INTERIM REPORT JANUARY - SEPTEMBER 2009

INTERIM REPORT JANUARY - SEPTEMBER 2009

Strong market position and strong financial position

January - September 2009
• Net sales amount to SEK 778.9 (862.1) million
• Operating profit (EBIT) amounts to SEK 99.6 (143.4) million, an operating
margin of 12.8 (16.6) percent
• Pre-tax profit amounts to SEK 99.0 (145.8) million
• Profit after tax amounts to SEK 71.9 (104.5) million
• Earnings per share amount to SEK 1.39 (2.05)
• Cash flow from operations amounts to SEK 82,2 (111.0) million

July - September 2009
• Net sales amount to SEK 208.7 (266.7) million
• Operating profit (EBIT) amounts to SEK 21.0 (45.6) million, an operating
margin of 10.1 (17.1) percent
• Pre-tax profit amounts to SEK 20.9 (46.1) million
• Profit after tax amounts to SEK 14.8 (32.8) million
• Earnings per share amount to SEK 0.29 (0.63)

Significant events during the period
• HiQ named ‘IT Consultant of the Year 2009' in Veckans Affärer's survey.
• HiQ invested in expansion in the Mälaren Valley and established operations in
Västerås.
• HiQ signed a new two-year framework agreement with SEB for services within
systems development, quality assurance, project management and business
development. 
• HiQ signed a comprehensive new framework agreement with Volvo Cars.
• HiQ signed a new framework agreement in the area of IS/IT with one of the
world's leading telecoms suppliers. 
• HiQ won a significant infotainment order for Volvo Cars.
• HiQ formed a new business area, HiQ Öresund, which incorporates the
subsidiaries HiQ Skåne and HiQ Copenhagen, head of the new business area is Jon
Carvell.
• HiQ has been ranked one of Sweden's ten most attractive employers within IT,
and the no 1 among IT-services companies, in Universum Communications yearly
survey. 

2009 in brief
HiQ is performing well in 2009, with strong cash flow and a very good financial
position despite the economic downturn. Net sales amounted to SEK 778.9 million
and operating profit to SEK 99.6 million, a margin of 12.8 percent. Cash flow
from operations amounted to SEK 82.2 million. 

The economic downturn is affecting both us and our clients. For seasonal reasons
the third quarter is generally weaker, and this effect is amplified in a
recession. 

During the period HiQ developed well in the Mälaren Valley, in Gothenburg and in
Finland. In Gothenburg HiQ strengthened its position substantially during the
year, particularly within the telecoms- and automotive industries.  In Stockholm
HiQ was affected by a more pronounced seasonal effect than usual. In Skåne the
sector has been impacted by restructuring among telecoms suppliers, but HiQ has
continued to perform well in the current market. In Denmark the market position
remains very challenging. The formation of HiQ Öresund provides HiQ with a good
platform for increased cooperation across the Sound, and thus a stronger
offering to HiQ's clients in the region. 

HiQ enjoys good demand for services in areas such as IT management, which aims
to streamline client processes using IT support. Other areas in which HiQ is
seeing good demand and great development potential include the development of
systems and solutions in the media and entertainment segments as well as
multimedia.

In 2009 HiQ has intensified its efforts in respect of the IS/IT market, i.e.
business-critical IT systems used to support the client's organisation. As an
important part of this initiative, in the third quarter HiQ announced a
framework agreement in the area of IS/IT with one of the world's leading
telecoms suppliers.

Further examples of framework agreements signed in 2009 include those with SEB,
Volvo Cars, SKI (the Danish public sector procurement organisation) and Ascom
Sweden.

Large organisations looking to streamline and rationalise their operations are
trying to reduce the number of suppliers they use and to strengthen their
partnership with a few quality suppliers instead. All in all, this is creating
opportunities for HiQ to win new business and further strengthen its market
position.

HiQ is continuing to work on developing its offering in order to become even
more competitive. At the same time, we continue to work on fine-tuning and
adapting operations to ensure high efficiency, good profitability and thus
increased freedom to act. 

HiQ was named ‘IT Consultant of the Year 2009' in the magazine Veckans Affärer's
annual survey of buyers of consulting services. This is the third year in
succession that HiQ has been top ranked. Those taking part in the survey are
asked to assess their suppliers as regards confidence, customer orientation,
expertise and results - areas that have always had high priority for HiQ. Also,
HiQ was ranked in the top among Sweden's best employers in Universum
Communications yearly survey. 

HiQ works with clients in around ten industries, including Veikkaus, Nokia,
Ericsson, the Swedish National Tax Board, SEB, Tekes (the National Technology
Agency of Finland), Tele2 and Volvo. HiQ developed very well within Defence, the
Public Sector and Industry during the period. 

HiQ offers a flexible delivery model with a customised offering. One element of
this delivery model is the use of HiQ's development centre in Russia. The
Russian operations enable HiQ to offer expertise in systems development and
quality assurance to sectors such as finance, telecoms and gaming &
entertainment. During the third quarter demand for HiQs Near Shore offering has
increased.


For further information, please contact:

Lars Stugemo, President and CEO, HiQ
tel. +46 (0)8-588 90 000

Annika Billberg, Head of Corporate Communications and Investor Relations, HiQ 
tel. +46 (0)8-588 90 015, +46 (0)704 200 103


HiQ International AB (publ) company registration no. 556529 -3205
Mäster Samuelsgatan 17, 9th Floor
Box 7421
SE-103 91 STOCKHOLM
tel.: +46 (0)8-588 90 000
fax: +46 (0)8-588 90 001
www.hiq.se