Bouvet — Earnings Release 2009

Feb 19, 2010

BOUVET: HEALTHY GROWTH IN A DEMANDING MARKET

Oslo, 19. februar 2010: Bouvet had operating revenues

of NOK 159.6 million in the fourth quarter of 2009,

compared with NOK 156.1 million in the same period of

2008.The operating profit (EBIT) fell ended at NOK

14.7 milion, compared to NOK 20.7 million in the

fourth quarter last year.

The workforce continued to grow during the fourth

quarter as a result of increased activity. The

workforce grew by 79 people over the 12 months to 31

December, from 467 to 546, and by 31 people in the

fourth quarter alone. Competition in the market for

IT services remains tough, but the number of

enquiries and market activity rose towards the end of

For the full year Bouvet booked revenues of NOK 589.1

million compared with NOK 556.4 million in 2008. The

increase in revenues in the fourth quarter and for

the full year is in line with the company's

expectations, and shows that Bouvet is able to

deliver growth in a challenging market for the

company's services.

- We continue to capture market shares in 2009, and

we deliver an operating margin marginally below our

long-term target of 10 percent. We are pleased with

this performance, given the challenging market.

Bouvet incorporates a range of services and a

business model well adapted to our clients' needs,

making us positioned for continued profitable growth

in 2010, comments Sverre Hurum, President and CEO of

Bouvet ASA.

Sales to existing clients made good progress during

the quarter. Customers who also used the group in the

fourth quarter of 2008 accounted for 86 per cent of

operating revenues. In addition, clients acquired

since 31 December 2008 contributed a total of NOK

22.6 million to fourth-quarter operating revenues.

Bouvet's operating costs, including depreciation and

amortisation, were NOK 144.9 million for the fourth

quarter, up from NOK 135.4 million in the same period

of 2008. Payroll costs grew because both the average

number of employees and general pay rates rose. The

group experienced a general growth of 1.5 per cent in

pay levels over the past 12 months. Operating costs

for the full year rose by 7.3 per cent from 2008,

while revenues increased by 4.2 per cent.

Operating profit (EBIT) for the fourth quarter came

to NOK 14.7 million, compared with NOK 20.7 million

in the same period of 2008. The EBIT margin thereby

fell from 13.3 per cent in the same period of 2008 to

9.2 per cent. The operating profit for the full year

was NOK 57.1 million, compared with NOK 69.5 million

in the corresponding period of 2008. The EBIT margin

for the full year was 9.7 per cent, compared with

12.3 per cent for the same period of 2008.

Net profit came to NOK 10.6 million for the fourth

quarter, down from NOK 16.4 million in the same

period of 2008. Diluted earnings per share were NOK

1.04 for the quarter, compared with NOK 1.63 in the

same period of 2008.