Interim Report April – June 2012

April – June 2012

  · Cybercom divested the operations in China
  · Cybercom is closing its operations in Romania
  · Sales were SEK 336.8 million (384.1).
  · EBITDA was SEK 2.6 million (-22.4) and the EBITDA margin was 0.8% (-5.8),
which includes restructuring costs of SEK 5.0 million for closure of the office
in Romania.
EBITDA from operating activities was SEK 7.6 million (4.8) and the EBITDA margin
was 2.3% (1.2).
  · EBIT was SEK -16.6 million (-166.9) and the EBIT margin was -4.9% (-43.5),
which includes the above restructuring costs and a capital loss of SEK 11.7
million associated with divestment of the Chinese operations. EBIT from
operating activities was SEK 0.1 million (-4.7) and the EBIT margin was 0.0% (
-1.2).
  · Earnings per share were SEK -0.59 (-4.49).

January – June 2012

  · Sales were SEK 711.6 million (766.1).
  · EBITDA was SEK 28.9 million (7.2) and the EBITDA margin was 4.1% (0.9).
  · EBIT was SEK 1.9 million (-164.2) and the EBIT margin was 0.3% (-21.4).
  · Earnings per share were SEK -0.33 (-4.51).

After the end of the period

  · Cybercom has decided to move to a new, more efficient financing solution
that is better suited to its operations. As part of this financing solution,
the board intends to call an extraordinary general meeting to propose
a decision on a rights issue.

Comments from the CEO

In the second quarter the market has been relatively stable and Cybercom has
continued to win important new contracts in Connectivity in the Nordic region
and globally. Among new projects won are, for example, a large vendor management
project in Connectivity Management and a 4G assignment for one of the major
operators in Singapore, M1. We have also won an interesting turnkey contract
with regard to cost savings in manufacturing of telecom infrastructure. The
broadening from telecom and into new sectors, which is important for our
profitability, has continued during the quarter. In the Nordic countries we have
been chosen by Höganäs Municipality and MTV Media to develop digital solutions,
we have broadened ourselves in the industrial segment and we can add three new
energy clients.

In the last interim report I wrote that our primary focus was to turn the tide
in the International segment and to reduce the imbalance between demand and our
own consultants in Sweden and that these measures would affect second-quarter
results. A large number of activities in the current streamlining of operations
have been conducted during the quarter.

It is satisfying to note that ahead of the autumn we have divested the loss
-making Chinese business, and have started to close the Romanian near-shore
office and moving these projects to our successful Polish and Indian businesses.
Furthermore, we have reduced the number of administrative roles within the
International segment. In Sweden we have streamlined the organisation by merging
business areas and have reduced the number of offices. We have made investments
in our sales organisation. By acting more professionally in our sales, with a
common strong proposition in Connectivity and with clear sales management, we
are now making progress in Sweden and in other segments in how we sell and
package our expertise.

The measures I am now implementing are intended to stabilise the company and to
better utilise the potential that the company holds and to be able to deliver on
the financial targets set by the board.

Cybercom has previously had a growth strategy based on acquisitions. These
acquisitions have contributed to Cybercom’s strong market position in
Connectivity, but have also been costly since they were mainly financed by
loans, which the company has largely repaid over the past five years. We have
reduced our net debt from approximately SEK 660 million at mid-year 2007 to SEK
154 million at mid-year 2012. An important part of the development of Cybercom
is to strengthen its capital structure through a more efficient financing
solution. I have respect for a more volatile macroeconomic environment and a
tougher financial climate. I will continue the streamlining that has been
started in order to stand well equipped in a more challenging market. I also
believe that a new financing solution that includes a rights issue is necessary
to create the financial platform that the company needs to be able to act more
proactively in developing the company going forward.

Stockholm, 13 July 2012

Niklas Flyborg
President and CEO
For additional information, please contact:
Niklas Flyborg, President and CEO +46 70 594 96 78
Camilla Öberg, CFO +46 73 398 50 01
Kristina Cato, Communications Director and IR Manager +46 70 864 47 02


Cybercom is an IT consulting company that assists leading companies and
organisations to benefit from the opportunities of the connected world. The
company’s areas of expertise span the entire ecosystem of communications
services. Cybercom’s domestic market is the Nordic region, and in addition the
company offers global delivery capacity for local and international business.
Cybercom was founded in 1995 and has been quoted on the NASDAQ OMX Stockholm
exchange since 1999.