Nefab grows by 27% and starts production in India

In the interim report released today, Nefab once again reports a strong improvement in sales and earnings. Profit after net financial items rose SEK 36 M to SEK 122 M, up 41%, Invoiced sales increased by 27%, of which 16% is organic growth.

Nine-month period in summary:

- Invoicing amounted to SEK 1,380 M (1,091), an increase of 21%

- Profit after financial items rose 41% to SEK 122 M (86)

- Earnings per share amounted to SEK 3.30 (2.34)

- Continued favorable growth in China

- Decision to establish production in India


“We are continuing to grow at a favorable pace,” says Lars-Åke Rydh, President of Nefab. ”I am particularly satisfied with the strong growth in China.

”As a result of high capacity utilization, combined with the effects of implemented efficiency measures, we can report favorable earnings despite a number of acquisitions that entail integration costs and amortization of surplus values,” continues Rydh.

”The market in India creates new possibilities. Our concept fits well and, accordingly, we have decided to start local production. By being able to offer service to multinational customers on this growing market, we further strengthen our role as a global cooperation partner,” concludes Lars-Åke Rydh.

For further information, contact: President Lars-Åke Rydh, +46-70-592 45 70,
e-mail lars-ake.rydh@nefab.se, or CFO Anna Stålenbring, +46-70-814 23 44,
e-mail anna.stalenbring@nefab.se



Jönköping, October 31, 2006



Lars-Åke Rydh
President and CEO