Despite slowdown, BE Group heading for record year

Despite slowdown, BE Group heading for record year

Press Release 				

October 22, 2008 


BE Group's third-quarter profits outperformed Q3 2007 and the Group is heading
for the best full-year performance in the company's history. Total demand was
high in BE Group's markets, although there was a slowdown during the quarter.

• Net sales rose 12.3% compared to Q3 2007 to SEK 1,919M (1,709). Shipped
tonnage increased by 5.5%. 

• Operating profit increased by 91.8% to SEK 163M (85). Earnings benefited from
inventory gains of SEK 46M, while inventory losses of SEK 36M were charged
against earnings in the comparison period.

• Underlying EBITA declined by 2.5% to SEK 119M (122) and the underlying EBITA
margin was 6.2% (7.1).

• Earnings per share increased to SEK 2.27 (1.10) and underlying earnings per
share declined to SEK 1.32 (1.55).

• An efficiency improvement programme has been initiated in response to an
expected downturn in the market situation.

• Despite growing market uncertainty, operating profit for the full year is
going to be the best ever for BE Group and significantly outperform 2007. 


BE Group President and Chief Executive Officer Håkan Jeppsson's remarks on the
report:

“We have delivered a strong third quarter and are heading towards BE Group's
best full year ever. Sales went up and BE Group benefited from price increases
and strong demand. However, demand moderated gradually during the quarter and
the Central and Eastern European markets weakened faster than we expected.”

“BE Group significantly strengthened its market position in Central and Eastern
Europe through the acquisitions of Ferram Steel and Czechprofil in the Czech
Republic. The company expects the acquisitions to contribute to growth and
earnings this year.”

“The economy looks more uncertain than before. Demand is still high in several
markets, but I expect weaker demand in the fourth quarter, when we are also
going to see lower market prices.”

Net sales for the interim period of January-September were SEK 6,030M (5,848)
and operating profit rose to SEK 548M (428). Underlying EBITA was SEK 424M (446)
and earnings per share rose to SEK 8.16 (5.98).


The information presented here is such that BE Group AB (publ) is required to
publish pursuant to the Swedish Securities Markets Act and/or the Swedish
Financial Instruments Trading Act. The information was released for publication
on October 22, 2008 at 7.30 a.m. CET.

For further information, please contact:
Håkan Jeppsson, President and Chief Executive Officer 
+46 (0) 705 50 15 17, E-mail: hakan.jeppsson@begroup.com

Torbjörn Clementz, CFO and Deputy CEO, 
+46 (0) 70 869 07 88, E-mail: torbjorn.clementz@begroup.com

A press conference in English will be held at 9:00 a.m. The conference may be
followed by phone or via webcast (see information below). Hosts of the press
conference: CEO Håkan Jeppsson and CFO and Deputy CEO Torbjörn Clementz, BE
Group.

If you wish to participate via webcast and/or ask questions at the press
conference, please follow the link provided to register online.
http://wcc.webeventservices.com/view/wl/r.htm?e=108238&s=1&k=5AD9B16ADCFCD0044D8
6F378C67A4169&cb=genesys

Those who do not have access to the Internet may register by phone on +46 (0)8
5052 0110 a few minutes before the conference begins.


BE Group AB (publ), listed on the OMX Nordic Exchange, Stockholm since November
2006, is one of the leading trading and service companies within steel and other
metals in Europe. The company has about 10,000 customers, primarily within the
construction and engineering industries. BE Group provides service in the steel,
stainless steel and aluminium sectors. The company's sales in 2007 were SEK 7.7
billion. BE Group has more than 1,000 employees in ten countries in northern
Europe, where Sweden and Finland are its largest markets. The head office is in
Malmö, Sweden. For more information, you are invited to visit us online at
www.begroup.com.