First half-year 2008 weaker than expected

Group sales for the first half-year 2008 preliminarily amounted to MSEK 3,744 (3,461*), with a sales growth of 8 percent, whereof 5 percent organic growth. Operating income before amortization (EBITA) preliminarily amounted to MSEK 232 (281), which gave an EBITA-margin of 6.2 percent (8.1). Income before tax preliminarily amounted to MSEK 167 (275). Operational cash flow for the period preliminarily amounted to MSEK 372 (178).

In a comment to the preliminary result for the first half-year of 2008, Juan Vallejo, Group President and CEO says:

”Sales growth and EBITA-margin for the first half-year are lower than our expectations, mainly due to a weaker than expected development in the UK and Southern Europe. In addition, costs for rebranding and costs for the concluding phase of the project write-downs in the Norwegian operation, have burdened the result for the period.

The weaker sales growth during the first half-year in combination with market insecurity within the customer groups banking and retail, implies that previously communicated full-year outlook of total sales growth of over 10 percent and an EBITA margin around 9 percent most likely cannot be obtained. Additional information about the company’s full-year outlook will be given in connection with the company’s ordinary interim report.”

Niscayah publishes Interim Report for January-June 2008, on August 5, 2008.

*All comparative figures in brackets refer to same period previous year