Enea Interim Report, April – June 2012

Increase in net sales and significantly improved profitability
Enea continued to achieve growth and improved profitability over the second
quarter. The company has been run as a focused software company since the
beginning of 2012, following the divestment of the Nordic consultancy business
at the end of last year.

Net sales for the second quarter increased to SEK 120.6 (107.4) million, which
is equivalent to growth of 12.3 (-6.2) percent. Growth of 7.7 (-3.6) percent was
achieved for the first six months of the year.

Other income amounted to SEK 61.7 million, which was reported during the first
quarter, refers to capital gains from the divestment of the Nordic consultancy
business.

The operating profit for the second quarter amounted to SEK 18.4 (4.3) million,
which is equivalent to an operating margin of 15.3 (4.0) percent. For the first
six months of the year, operating profit increased to SEK 34.1 (18.2) million,
corresponding to an operating margin of 14.3 (8.2) percent, excluding capital
gains.

Earnings per share amounted to SEK 0.88 (0.19) for the second quarter and SEK
1.53 (0.77) for the first six months of the year, excluding capital gains.

Cash flow from operations amounted to SEK 27.3 (44.3) million for the second
quarter and SEK 33.4 (49.7) million for the first six months of the year. Cash
and cash equivalents amounted to SEK 117.3 (122.6) million at the end of the
second quarter.

On May 16, SEK 8.00 (5.00) per share was paid out to shareholders via a
redemption program, equivalent to a transfer amounting to SEK 136.9 (86.7)
million.

April to June 2012
(second quarter previous year in brackets)

  · Net sales, SEK 120.6 (107.4) million
  · Growth, 12.3 (-6.2)%
  · Growth, currency adjusted, 8.1 (-2.8)%
  · Operating profit, SEK 18.4 (4.3) million
  · Operating margin, 15.3 (4.0)%
  · Net profit before tax, SEK 20.5 (5.6) million
  · Net profit after tax, SEK 14.9 (3.3) million
  · Earnings per share, SEK 0.88 (0.19)
  · Cash flow from operations, SEK 27.3 (44.3) million
  · Cash and cash equivalents, SEK 117.3 (122.6) million

January to June 2012
(first half year previous year in brackets. All numbers excluding capital gain.)

  · Net sales, SEK 238.0 (221.0) million
  · Growth, 7.7 (-3.6)%
  · Growth, currency adjusted, 4.9 (-0.6)%
  · Operating profit, SEK 34.1 (18.2) million
  · Operating margin, 14.3 (8.2)%
  · Net profit before tax, SEK 36.8 (20.3) million
  · Net profit after tax, SEK 26.1 (13.2) million
  · Earnings per share, SEK 1.53 (0.77)
  · Cash flow from operations, SEK 33.4 (49.7) million

Anders Lidbeck, President and CEO comments:

“Enea has continued its positive development over the second quarter of the
year. Net sales were up by 12.3 percent compared with the same quarter last
year, and by 2.9 percent compared with the first quarter. The operating margin
has also continued to increase and amounted to 15.3 percent over the second
quarter, which is the highest margin reported by Enea in a very long time. This
means that our profit was more than four times higher than in the same quarter
last year.

Market Trends

We want to be the best company in the world when it comes to operating systems
solutions for communicating systems and associated services. Linux, combined
with real-time operating systems, is currently the widespread standard when
constructing telecom equipment for infrastructure, and so we need it in order to
retain our leading position among major companies all over the world.
Consequently, we have initiated and accelerated our investment on Linux. We have
also opted to provide our version of Linux with reinforced real-time
characteristics, a crucial factor in the communications segment. We can also
benefit from our strong service organization, which has many years of experience
of successful management of large-scale projects requiring intensive service.

Another clear trend is the use of what is known as “system-on-chip”, i.e.
hardware with pre-integrated software such as its operating system. The
equipment manufacturer can then consult a single player and receive a fully
integrated solution which is tested and verified right from the outset. This
development is still in its infancy, but it makes our relationships with
hardware manufacturers even more important. Demands for reliable, high
performance operating systems have not decreased, and we want to be the partner
selected by hardware manufacturers for their system-on-chip solutions. This is
why we are working ever more closely with hardware manufacturers and have
increased our investments in this field.

Innovation

The massive increase in connected devices and the resulting increase in data
traffic are turning telecom into a market with good growth forecasts. However,
this is also a market where there are clear demands for more and more capacity
at lower prices. This means that manufacturers in the field of telecom are very
price-sensitive. Like Linux and system-on-chip, this continuous hunt for better
prices and performance means increasing business opportunities for Enea.
However, it also means constant pressure on our business and margins. Therefore,
we will continue our investments outside the telecom segment as well as moving
resources to new areas in the long term, all with a view to improving our
competitiveness, market position and margins.

To ensure growth and high profitability in the future, we have to benefit from
the market trends which we have identified and ensure that we play our part in
the development projects started by our customers in order to build the networks
of the future. This work is constantly ongoing. For instance, we are currently
working on a development project in order to extend the Enea operating system
OSE with 64-bit support.

We have worked in close cooperation with hardware manufacturer Freescale during
the quarter to launch Enea Linux Base Station Platform, which provides customers
with easy access to a basic platform for base station development. Enea’s Linux
version, which constitutes the foundation for this platform, is optimized to
meet the requirements of the telecom industry. Enea Linux Base Station Platform
also utilizes hardware more efficiently, which meets demands for lower cost.

A Final Word

Enea’s sales vary depending on the success of our customers; this is due to the
royalties we receive based on customers’ sales. Therefore, growth will vary from
quarter to quarter. Some of our important customers saw weaker sales volumes
than expected during the first quarter, which adversely affected our second
quarter. Of course, the development of our customers’ sales over the year will
be of significance to our margin development. Our ambition during the next five
years is to create a global software company with considerably higher net sales,
high profitability, good cash flows and a large proportion of repeat income.”

Press and analyst meeting

Press and financial analysts are invited to a press and analyst meeting where
Anders Lidbeck, President and CEO, will present and comment on the report.

Time: Friday July 20 at 10:00 am CET.

Link: Financial Hearings (http://financialhearings.nu/120720/enea/)

Phone number: +46 8 506 857 57 or +44 (0) 20 7750 9950

The full report is published at www.enea.com/investors

This information is such that Enea AB (publ) is to publish in accordance with
the Swedish Securities Markets Act and/or the Financial Instruments Trading Act.
The information was submitted for publication on July 20, 2012 at 7.30 CET.
For more information

Anders Lidbeck, President & CEO
Email: anders.lidbeck@enea.com

Lars Kevsjö, CFO
Phone: +46 8 507 1 4000
E-mail: lars.kevsjo@enea.com

Catharina Paulcén, VP Communications
Phone: 46 709 714133
Email: catharina.paulcen@enea.com
About Enea
Enea is a global software and services company focused on solutions for
communication-driven products. With 40 years of experience Enea is a world
leader in the development of software platforms with extreme demands on high
-availability and performance. Enea's expertise in real-time operating systems
and high availability middleware shortens development cycles, brings down
product costs and increases system reliability. Enea's vertical solutions cover
telecom handsets and infrastructure, medtech, automotive and mil/aero. Enea has
offices in Europe, North America and Asia. Enea is listed on Nasdaq OMX Nordic
Exchange Stockholm AB. For more information please visit enea.com or contact us
at info@enea.com.

Enea®, Enea OSE®, Netbricks®, Polyhedra® and Zealcore® are registered trademarks
of Enea AB and its subsidiaries. Enea OSE®ck, Enea OSE® Epsilon, Enea® Element,
Enea® Optima, Enea® Optima Log Analyzer, Enea® Black Box Recorder, Enea® LINX,
Enea® Accelerator, Polyhedra® Flashlite, Enea® dSPEED Platform, Enea® System
Manager, Accelerating Network Convergence(TM), Device Software Optimized(TM) and
Embedded for Leaders(TM) are unregistered trademarks of Enea AB or its
subsidiaries. Any other company, product or service names mentioned above are
the registered or unregistered trademarks of their respective owner. © Enea AB
2012.