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2008-04-22

Strong start to 2008

The first quarter in brief
- Net turnover increased by 15 % to SEK 238 (207) million.
- Profit before tax amounted to SEK 8.0 (5.6) million.
- Net profit after tax amounted to SEK 5.7 (3.8) million.
- Earnings per share amounted to SEK 0.50 (0.35).

Report by Olof Sand, Chief Executive Officer of Proact

2008 has got off to a strong start in terms of both net sales and profit. Net sales amounted to SEK 238 million, up 15 %. The growth for comparable units – that is to say, exclusively acquired or newly started units – amounted to 14 %. The company’s biggest market is Sweden, where growth amounted to no less than 27 % compared with the same period last year. The group’s pre-tax profit amounted to SEK 8 million, which is 43 % up on the corresponding period last year. In this respect, more than SEK 3 million was charged to earnings due to establishment over the quarter on the market in the Netherlands, completely new to Proact.

The company’s focus market is continuing to enjoy positive development. Selective outsourcing in the fields of storage and archiving are still undergoing massive growth.

Xperion AS in Norway has been acquired and integrated into the Norwegian subsidiary over the quarter. This acquisition has resulted in a huge increase in Proact’s expertise and presence in Norway in the field of high uptime solutions. The growth of digital information is still strong, storage solution technology is developing quickly, and this merger places Proact in an even better position to meet customers’ ever more stringent demands. This deal will also underpin Proact’s position in service sales and increase its customer base.

In Sweden, a number of major deals have been made under what is known as the Verva agreement, which is a framework agreement for servers, storage and services for the public sector. In Denmark, a new sales organisation has enhanced efficiency in sales, so improving profits. In Lithuania, the good development of results is explained by the fact that the overall Proact product portfolio is now on offer following its gradual introduction, along with the fact that a number of major customers are implementing generation upgrades of their IT infrastructures.

Of Proact’s total income, some 30 % is made up of contracted income for operation and support. These agreements generally remain valid over three years, so ensuring stability in the flow of income.

Proact employed 298 staff as at 31 March, representing an increase of 25 people over the quarter.

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