NeoNet reports a record quarter

The positive trend of increasing revenues and strong quarterly results, which NeoNet has enjoyed for a long period of time, continued in this report period. Revenues and earnings reached record levels thanks to considerable trading activity among NeoNet’s clients.

Compared to the second quarter of 2005, revenues increased by 75% to SEK 102.5 m and operating earnings at the EBITDA level increased by 180% to SEK 22.1 m. Earnings before tax were significantly higher totaling SEK 11.7 m (0,1). Underlying cash flow was strengthened and amounted to SEK 17.3 m (3.7). ”Our record earnings and the long-term positive revenues and earnings trend are attributable to high levels of trading activity among our clients and their active use of NeoNet’s services. NeoNet’s stable and fast trading platform is in demand among our clients and they highly value the fact that we exclusively trade on behalf of clients,” said Simon Nathanson, NeoNet’s CEO. “We have been witnessing a growing interest in our system and software services within the framework of NeoNet eXchange Gateway (XG) since it was launched. Most recently, one of the world’s largest banks opted to use NeoNet XG. Within our traditional business area, we offer trading on an increasing number of exchanges to a growing number of clients in numerous countries. This, combined with NeoNet XG, gives the company a more robust business base as we move forward,” concludes Simon Nathanson. See NeoNet’s Second Quarter Interim Report for 2006 for more information on the company’s financial development. For further information, please contact: Simon Nathanson CEO of NeoNet Tel. +46 8 454 15 51 simon.nathanson@neonet.biz