PROHA PLC FINANCIAL STATEMENTS JANUARY 1 - DECEMBER 31, 2002

PROHA PLC FINANCIAL STATEMENTS JANUARY 1 - DECEMBER 31, 2002 · The Proha Group's net result in 2002 was EUR 1.8 (-10.1 in 2001) million, showing an increase of EUR 11.9 million compared to the net result in 2001. · Result was in line with expectations despite the challenging situation in the software market. · Earnings before interest, taxes, depreciation, and amortization (EBITDA) was EUR 5.3 (-4.4) million. · Operating result (EBIT) was EUR 3.1 (-6.1) million. · Profitability was improved by streamlining of operations and cost savings. · The sale of non-core operations had a positive impact of EUR 3.7 million on the result. · Result was weakened by one-time charges of EUR 0.8 million of the Internet Technologies business area. · In 2002, the Proha Group's net sales were EUR 100.8 (82.8) million. The increase in net sales results from consolidation of Dovre International AS (Dovre) as a subsidiary into the consolidated financial statements. In the interim reports of 2002, Dovre has been consolidated as an associated company. · The consolidation of Dovre as a subsidiary increased the net sales by EUR 20.3 million. Without Dovre's impact, the volume of operations increased but towards the year-end the strong euro had a decreasing effect on the net sales presented in euros. · In 2002, Proha sold over 92,000 end-user licenses of which over 30,000 were delivered during the fourth quarter. · The Group's cash and cash equivalents grew significantly in the fourth quarter. On December 31, 2002, cash and cash equivalents amounted to EUR 12.7 (7.0) million. · In 2003, operative business of the Group is expected to grow moderately and at least in line with the general growth of the software market. Profitability is anticipated to improve further. · The audit of the Artemis sub-group has not been completed. ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2003/03/18/20030318BIT00040/wkr0001.doc The full report http://www.waymaker.net/bitonline/2003/03/18/20030318BIT00040/wkr0002.pdf The full report