Year-End Report January - December 2006

Excellent fourth quarter with further improvements in earnings and order intake

• Order intake increased to 3 588 MSEK (3 152). Organic growth in order intake was 17 per cent.
• Net sales increased to 3 561 MSEK (3 265). Organic growth in net sales was 12 per cent.
• Earnings before taxes increased to 500 MSEK (-127).
• Earnings after taxes increased to 418 MSEK (-110).
• Earnings per share, before dilution, increased to 4.71 SEK (-1.51).

Hexagon's best year ever

• Order intake increased to 13 720 MSEK (9 749). Organic growth in order intake was 14 per cent.
• Net sales increased to 13 469 MSEK (9 637). Organic growth in net sales was 12 per cent.
• Earnings before taxes and non-recurring items1) increased by 105 per cent to 1 605 MSEK (784). Including these items, earnings before tax were 1 618 MSEK (705).
• Earnings before taxes increased by 130 per cent to 1 618 MSEK (705).
• Earnings after taxes increased by 107 per cent to 1 280 MSEK (618).
• Earnings per share, before dilution, increased by 60 per cent to 15.03 SEK (9.42).

Dividend and split

• The Board of Directors proposes a dividend increase of 60 per cent to 5.00 SEK (3.00) per share and a split 3:1 of the Hexagon share.

Forecast 2007

• Earnings for 2007 will exceed earnings in 2006 with minimum 15 per cent per share.