Year-end report 2007

Year-end report 2007

2007

•  The number of accounts increased by 24 percent, total savings by 12 percent
and the number of trades by 17 percent
•  Revenues increased by 19 percent to SEK 785.6 (661.0) million 
•  Profit after tax decreased by 5 percent to SEK 196.3 (206.7) million,
including non-recurring costs of SEK 22,7 million
•  Basic earnings per share after tax decreased by 5 percent to SEK 1.19 (1.25)
•  The board proposes a dividend of SEK 0.50 (SEK 0.50)

Fourth quarter

•  Revenues increased by 13 percent to SEK 193.4 (171.8) million
•  Profit after tax decreased by 64 percent to SEK 15.3 (42.7) million
•  Basic earnings per share after tax decreased by 65 percent to SEK 0.09 (0.26)
•  Non-recurring items burdened the fourth quarter in the amount of SEK 31.5
million. These items are attributed to disposals and new assessment concerning
the depreciation period of tangible and intangible assets of SEK 20.1 million,
severence pay of SEK 9.2 million, goodwill write-downs of SEK 0.2 million, and
other items, SEK 2.0 million

This is Nordnet
Nordnet offers savings in shares, mutual funds, and pensions and has 185,000
active accounts in six countries. Our offering spans shares from seven markets,
more than 900 mutual funds from 70 different fund managers, and comprehensive
savings in pensions and insurance policies. Nordnet AB (publ) is listed on the
Mid Cap list of the OMX Nordic Exchange Stockholm.

CEO's comment 

Strong growth
I believe that Nordnet will continue to experience strong growth. We will double
revenues over a period of three to five years while retaining our high operating
margin, though success in this demands the following immediate and concrete
measures:

•  The Nordic region is our domestic market, we will further strengthen our
position here.
•  Formulate a business plan with clear goals for our international venture.
•  Refine and focus wherein operations and products that do not contribute to
profitability are rectified.
•  Cost awareness. Costs are increasing too fast, so all costs will be reviewed.

•  Increased sales focus with the establishment of sales offices in Copenhagen
and Helsinki.

During the year, the number of accounts grew by 24 percent, total savings by 12
percent and our clients made 17 percent more trades than in 2006. In Finland,
the number of accounts grew by 179 percent. Nordnet launched several new
products and services, such as a new web service, banking services in Sweden,
pensions in Norway, and mutual funds in Norway and Denmark. Unfortunately,
revenues did not reach budgeted levels and the overall business goals were not
fulfilled, mostly due to expenses developing at an undesirable rate. In 2007 it
became evident that a better structure is required to allow continued high
growth at maintained profitability. I started as the new CEO on November 15,
2007. My first mandate from the Board was to review the business strategy. This
work was presented at the board meeting of February 4, and I could conclude that
Nordnet is a very successful and profitable company, but that even good
companies offer room for improvement.

The stock market's turbulent opening in 2008 caused much activity among our
clients. Despite uncertain market prospects, we believe interest in saving in
shares and mutual funds will remain high. We will place much emphasis on the
continued development of revenues other than commission. Our objective is to
within two years reach 100 percent cost coverage from non-commission related
income. With a focus on cost control and good profitability, I see an exciting
year ahead of us.


Carl-Viggo Östlund  
CEO



For further information, please contact Carl-Viggo Östlund, +46 8 506 330 30,
+46 70 609 58 81, 
carl-viggo.ostlund@nordnet.se


Nordnet AB (publ)
P.O. Box 14077,	S-167 14 Bromma, Sweden	
Visitors: Gustavslundsvägen 141 		
Phone +46 8 506 330 30		
E-mail: info@nordnet.se
Swedish corporate identity number 556249-1687

Company website: www.org.nordnet.se
Group websites: www.nordnet.se, www.nordnet.no, www.nordnet.dk, www.nordnet.fi,
www.nordnet.de, www.nordnet.lu, www.aktiedirekt.se, www.vcw.se