BE Group is reporting its best quarter ever Press Release July 17, 2008 BE Group showed sustained strong performance. Buoyed by robust demand and rising prices for commercial steel, the company is reporting its best second-quarter earnings ever. · Net sales rose 2.1% in the second quarter compared to Q2 2007, to SEK 2,116M (2,073). Shipped tonnage increased by 6.1%. Organic tonnage growth was 3.5%. · Operating profit increased to SEK 250M (170). Earnings benefited from capital gains of SEK 50M. Operating profit excluding capital gains was SEK 200M, BE Group's highest ever for a single quarter. · Underlying EBITA improved to SEK 162M (158) and the underlying EBITA margin was strengthened to 7.7% (7.6). · Earnings per share after dilution were SEK 4.01 (2.36) and underlying earnings per share after dilution were SEK 2.72 (2.17). · Full-year earnings are expected to significantly outperform 2007, based on rising prices for commercial steel and stable demand. · Growth in Central and Eastern Europe was strengthened with the acquisition of Ferram Steel in the Czech Republic. BE Group President and Chief Executive Officer Håkan Jeppsson's remarks on the report: “BE Group is posting a fine result. The entire Group is delivering excellent performance and we have benefited from strong demand in Sweden and Finland. This contributed to the best quarter in BE Group's history.” “The markets in Central and Eastern Europe remained vigorous, especially the Czech Republic and Slovakia. BE Group is now strengthening its position with the acquisition of Ferram Steel, which combined with the previously acquired Czechprofil will multiply our turnover in the Czech Republic tenfold. BE Group expects both acquisitions to augment growth and earnings this year.” “BE Group expects the market to remain stable, with robust demand in Finland and most of Central and Eastern Europe. Demand in Sweden is expected to slow somewhat in the second half from the present high activity level.” Net sales for the mid-year period of January-June were SEK 4,111M (4,138) and operating profit rose to SEK 385M (343). Underlying EBITA was SEK 305M (325) and earnings per share after dilution increased to SEK 5.89 (4.88). For further information, please contact: President and Chief Executive Officer Håkan Jeppsson, +46 (0) 705 - 50 15 17, e-mail: hakan.jeppsson@begroup.com Chief Financial Officer Torbjörn Clementz, +46 (0) 70-869 07 88, e-mail: torbjorn.clementz@begroup.com A press conference in English will be held at 1:00 p.m. The conference may be followed by phone or via webcast (see information below). The press conference will be hosted by CEO Håkan Jeppsson and CFO 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. 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 July 17, 2008 at 10:00 P.m CET. 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 approximately 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.
BE Group is reporting its best quarter ever
| Source: BE Group AB
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