SWECO AB (publ) Interim report January-March 2008

Continued upward trend for SWECO: Strong earnings and operating margins

• Operating profit improved by 12 per cent to SEK 157.3 million (140.4).
• Operating margin was 11.8 per cent (12.3).
• Net sales increased by 17 per cent to SEK 1,334.3 million (1,145.0).
• Profit before tax was SEK 155.3 million (140.1).
• Profit after tax was SEK 111.2 million (98.8), equal to earnings per share of SEK 1.30 (1.16).

Comments from CEO Mats Wäppling:

”The year got off to an excellent start and we have continued to grow with strong profitability and operating margins. In Sweden we posted an operating margin of 14.5 per cent, which is our highest ever recorded for an individual quarter.

”The SWECO Group as a whole delivered impressive results despite a calendar effect where the first quarter contained an average of 20 hours fewer due to the early Easter holiday.

”All units have benefited from favourable market conditions and the current climate of economic uncertainty has not yet had any negative impact on demand for our services. The long-term growth prospects in the infrastructure, energy and environmental areas are positive in all of SWECO’s markets. In particular, SWECO’s special expertise in climate-related issues and sustainable development is attracting keen interest.

”SWECO’s healthy finances and leading market positions in areas like water and environment, infrastructure and energy provide a solid platform for robust long-term development.”