Continued weak market

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Nobia Q2 2009

The recession continued to have a negative impact on the demand for
kitchens. At the end of the period, demand was between 10 and 30 per
cent lower in Nobia's markets compared with the preceding year. The
customers' purchasing process is taking a longer time and
price-consciousness has increased sharply. Nobia's sales amounted to
SEK 4,291 million (4,477) and organic growth was a negative 15 per
cent. Profit after tax was SEK 39 million (271) and earnings per
share after dilution were SEK 0.23 (1.61).

Operating profit for the second quarter, excluding structural
expenses of SEK 30 million, amounted to SEK 107 million (417) and the
operating margin was 2.5 per cent.
Operating profit including structural expenses totalled SEK 77
million (417) and the operating margin was 1.8 per cent (9.3).
The strong decline in earnings was attributable to reduced volumes,
structural expenses, price pressure and a changed sales mix.
The currency effect was SEK 0 million (neg: 55).
Operating cash flow amounted to SEK 456 million (11). The improvement
compared with the preceding year is attributable to lower tied-up
capital, lower tax paid and reduced investments.

Comments from the CEO
"Market conditions have remained very difficult," says President and
CEO Preben Bager. "Cash flow was strengthened considerably as a
result of our focused efforts. We are intensifying the scope of the
internal initiatives that we have launched, which will lead to a
lower overall cost structure through adapted production capacity and
enhanced efficiency."