Year-end Report January-December 2007

Year-end Report January-December 2007

Teleca on plan; restores growth in services & achieves 10% operating margin in
2H 2007

Fourth quarter highlights
- Revenues of SEK 366 million (356). Consulting reported revenues of SEK 311
million (300). The consulting business showed 5% growth in the second half of
2007 compared to the first half. 
- Product revenues amounted to SEK 55 million (56), which were higher than
expected. 
- Teleca reports operating earnings (EBIT) of SEK 42 million (-57) and a 12%
operating margin (-16%). Consulting contributed with SEK 26 million (36) to the
operating earnings and Products with SEK 16 million (-93). The result in
Consulting includes redundancy charges of SEK 4 million in Asia.
- Net earnings for the quarter amounted to SEK 25 million (-64).
- Earnings per share for the quarter amounted to SEK 0.41 (-1.03).
- Cash flow from operating activities of SEK -32 million (6), negatively
impacted by temporary increase in working capital at year end due to delayed
payments from larger customers as well as restructuring earlier accounted for of
SEK 23 million. 


Key figures,   2007 Q4   2006 Q4         %   2007 FY   2006 FY         %
SEK million
Net sales          366       356         3     1,311     1,490       -12
Operating           42       -57       174      -533      -277       -92
earnings
(EBIT)
Earnings for        32       -61       152      -663      -296      -124
the period
from
continuing
operations
Earnings for        -6        -4       -50       337       298        13
the period
from
discontinuing
operations
Net earnings        25       -64       140      -327         2      n.a.
for the
period
Earnings per      0.41     -1.03       140     -4.88      0.02      n.a.
share, SEK
Cash flow          -32         6      -608      -243       -70      -247
current
operations
Cash flow          -39       -41         4       514         2      n.a.
after
investments
Net sales          311       300         4     1,133     1,263       -10
Consulting
Net Sales           55        56        -2       178       227       -21
Products
EBIT                26        36       -28        70        84       -17
Consulting
EBIT Products       16       -93       118      -101      -220        54

Press and analyst conference
Teleca will present the earnings figures at 09.00 (CET) on 7 February 2007, at
Grand Hotel in Stockholm (room Carl Larsson). Call SWE +46 (0)8 505 59853, UK
+44 (0)20 3043 2436 or US +1 866 458 40 87, or view live via the internet at
www.teleca.com.

For more information contact
- René Svendsen-Tune, President and CEO, Teleca AB, mobile +45-40540068
- Christian Luiga, CFO, Teleca AB, mobile +46-703751604
- Mattias Stenberg, Investor Relations Manager, Teleca AB, mobile +46-70611961