Year-end report January 1 – December 31, 2005

Pointsec sales increased by 87% in the fourth quarter - Doubling of dividend proposed

FOURTH QUARTER 2005 • Sales for the quarter increased by 56% to SEK 96.2 M (61.8). Adjusted for divested units, sales increased by 66% from SEK 57.9 M. • Revenues from Pointsec sales increased by 87% to SEK 81.4 M (43.5), which corresponded to 85% of total revenues (70%) and was the highest-ever quarterly result. • Income after net financial items amounted to SEK 31.6 M (0.9). • Profit after tax amounted to SEK 22.5 M (11.3). • Profit per share amounted to SEK 2.01 (1.06). JANUARY – DECEMBER 2005 • Sales increased by 33% to SEK 288.9 M (217.4). Adjusted for divested operations, sales increased by 44%. • Total revenues from Pointsec sales increased by 56% to SEK 233.5 M (149.5). • Income after net financial items amounted to SEK 66.0 M (20.5). • Profit after tax amounted to SEK 44.5 M (24.2) and shareholders’ equity to SEK 222.6 M (177.9). • Profit per share amounted to SEK 4.02 (2.28). DIVIDEND • The Board of Directors proposes that the dividend be doubled to SEK 2.50 per shares (1.25), corresponding to a total of SEK 28.0 M (13.7). CEO Thomas Bill’s comments: “Demand for our Pointsec software is substantial, and we continue to take market shares. This resulted in a strong fourth quarter, with a sales record noted for the sixth consecutive quarter. Profit during the fourth quarter was as high as total profit during the first three quarters of the year. It was gratifying that the trend of a large number of orders continued during the fourth quarter and that there was also a substantial geographic spread. Increased efforts in the important markets in the US and Japan produced favorable results, and we anticipate continued strong growth in these markets. Sales also developed well in the Middle East, India and the Nordic countries. In Europe, sales did not develop as expected, and the market organization was therefore strengthened in this region. Protect Data is well prepared to take advantage of the strong market growth. During 2006, we will focus on further strengthening our market position and therefore expect continued growth in sales and profit. We will take advantage of the substantial growth opportunities and take additional market shares.”