Nobia

Quarterly Report • Jul 20, 2012

Stable earnings in weak markets

(All figures in brackets refer to the corresponding period in 2011)

Net sales for the second quarter amounted to SEK 3,449 million (3,559). Organic growth totalled negative 5 per cent (pos: 1). Operating profit excluding restructuring costs of SEK 62 million (24) amounted to SEK 205 million (241), corresponding to an operating margin of 5.9 per cent (6.8). Profit after tax and including restructuring costs totalled SEK 82 million (137), corresponding to earnings per share of SEK 0.49 (0.82). Operating cash flow amounted to SEK 198 million (96).

Nobia's sales for the second quarter were adversely impacted by weaker market development in all regions. Relevant macro indicators, such as consumer confidence and property transactions, did indeed recover slightly, yet remain on lower levels than last year on all markets.

Positive currency effects of SEK 79 million (neg: 272) impacted net sales for the quarter. Revenues declined 5 per cent organically.

The gross margin amounted to 40.1 per cent (40.0), positively impacted by price increases and currency effects.

Operating profit excluding restructuring costs amounted to SEK 205 million (241), corresponding to an operating margin of 5.9 per cent (6.8). Lower costs and price increases could only partly offset the effects of lower sales volumes and a negative sales mix.

Currency effects of approximately SEK 10 million (10) were charged to operating profit excluding restructuring costs, of which SEK 5 million (neg: 20) in translation effects and SEK 5 million (30) in transaction effects.

Restructuring costs amounted to SEK 62 million (24), primarily attributable to costs for introduction of the Group-wide range, but also to refurbishments in France and relocation of production in the Nordic region.

Return on capital employed including restructuring costs amounted to 1.2 per cent over the past twelve-month period (Jan-Dec 2011: 3.6). Operating cash flow increased primarily as a result of a positive change in working capital and received payment for the sale of a property.

Comments from the CEO

"Despite a weak market development, an operating margin of almost 6 per cent was generated and cash flow was improved. Structural measures are continuing and the Group-wide range is being successively introduced into our various units. In France, we could see that refurbished stores displayed a positive trend and the renovation programme is being conducted according to plan. Sales losses in Continental Europe and the UK were partly offset by our growing Nordic operations that, with their efficient production and relatively high share of harmonised range, delivered an operating margin in excess of 12 per cent. However, looking ahead to the autumn, we see a weakening in the Nordic project market, which is why we have reduced the number of temporary employees in production. We are continuing to consistently take proactive measures to adjust the cost level to market trends," says Morten Falkenberg, President and CEO.

		Apr-Jun			Jan-Jun		Jan-Dec	Jul-Jun
Nobia Group summary	2011	2012	Change, %	2011	2012	Change, %	2011	2011/2012
Net sales, SEK m	3,559	3,449	–3	6,766	6,383	–6	13,114	12,731
Gross margin, %	40.0	40.1	–	39.4	39.6	–	39.1	39.2
Operating margin before depreciation and impairment (EBITDA), %	9.4	8.8	–	7.6	6.7	–	7.0	6.5
Operating profit (EBIT), SEK m	241	205	–15	312	227	–27	518	433
Operating margin, %	6.8	5.9	–	4.6	3.6	–	3.9	3.4
Profit after financial items, SEK m	219	178	–19	269	177	–34	435	343
Profit/loss after tax, SEK m	137	82	–40	167	70	–58	69	–28
Earnings/loss per share, after dilution, SEK	0.82	0.49	–40	1.00	0.42	–58	0.42	–0.17
Operating cash flow, SEK m	96	198	–	12	–19	–	9	–22

All figures except net sales, profit/loss after tax, earnings/loss per share and operating cash flow have been adjusted for restructuring costs. Further information about restructuring costs is available on pages 3–5, 7 and 10.

Net sales and operating margin

Profitability trend

Earnings/loss per share

Net sales amounted to SEK 3,449 million and operating margin to 5.9 per cent.

Return on capital employed including restructuring costs amounted to 1.2 per cent over the past twelve-month period.

Loss per share after dilution amounted to SEK 0.17 over the past twelve-month period.

Analysis of net sales and regional reporting

Positive currency effects of SEK 79 million (neg: 272) impacted second-quarter net sales. Organic growth was positive in the Nordic region and negative in the UK and Continental Europe regions. Combined, organic growth was negative 5 per cent (pos:1).

Analysis of net sales		Apr-Jun	Jan-Jun
	%	SEK m	%	SEK m
2011		3,559		6,766
Organic growth	–5	–189	–7	–497
– of which UK region	–11	–126	–14	–315
– of which Nordic region	3	44	3	82
– of which Continental Europe region	–11	–107	–15	–263
Currency effect	2	79	2	114
2012	–3	3,449	–6	6,383

Net sales and profit/loss per region (operating segment)

		UK		Nordic	Continental Europe			Group-wide and eliminations		Group
		Apr-Jun		Apr-Jun	Apr-Jun			Apr-Jun		Apr-Jun
SEK m	2011	2012	2011	2012	2011	2012	2011	2012	2011	2012	Change, %
Net sales from external customers	1,137	1,082	1,432	1,481	990	886		– –	3,559	3,449	–3
Net sales from other regions	–	2	–	0	3	2		–3 –4	–	–	–
Net sales	1,137	1,084	1,432	1,481	993	888		–3 –4	3,559	3,449	–3
Gross profit excluding restructuring costs	430	431	553	590	414	357		27 6	1,424	1,384	–3
Gross margin excluding restructuring costs, %	37.8	39.8	38.6	39.8	41.7	40.2		– –	40.0	40.1	–
Operating profit/loss excluding restructuring costs	57	51	159	179	41	22	–16	–47	241	205	–15
Operating margin excluding restructuring costs, %	5.0	4.7	11.1	12.1	4.1	2.5		– –	6.8	5.9	–
Operating profit/loss	52	8	148	171	36	11	–19	–47	217	143	–34
Operating margin, %	4.6	0.7	10.3	11.5	3.6	1.2		– –	6.1	4.1	–

Nobia develops and sells kitchens through some twenty strong brands in Europe, including Magnet in the UK; Hygena in France; HTH, Norema, Sigdal, Invita, Marbodal, and Myresjökök and Uno form in Scandinavia; Petra, Parma and A la Carte in Finland; EWE, Intuo and FM in Austria; Optifit in Germany, as well as Poggenpohl globally.

Nobia generates profitability by combining economies of scale with attractive kitchen offerings. The Group has approximately 7,500 employees and net sales of about SEK 13 billion in 2011. The Nobia share is listed on the NASDAQ OMX Stockholm under the short name NOBI. Website: www.nobia.com.

UK region

Net sales for the second quarter amounted to SEK 1,084 million (1,137). Organic growth was negative 11 per cent (neg: 8). Restructuring costs of SEK 43 million (5) were charged to operating profit for the quarter. Operating profit excluding restructuring costs amounted to SEK 51 million (57) and the operating margin was 4.7 per cent (5.0). Total currency effects of approximately SEK 5 million (pos: 10) on operating profit excluding restructuring costs comprised a translation effect of SEK 5 million and a transaction effect of SEK 0 million.

Kitchen market

Demand in the UK weakened compared with the year-earlier period. The kitchen market in the UK is deemed to have weakened with a lower rate than in the first quarter.

Nobia

Sales through Magnet's store network declined primarily within Trade and regarding joinery, largely as a consequence of the bankruptcy of window supplier Oakworth Joinery. B2B sales in the UK also fell. Comparisons with the preceding year are negatively affected by Focus withdrawing from the market in the second quarter of 2011. Sales to Focus amounted to approximately SEK 10 million for the second quarter of 2011.

Positive currency effects of SEK 73 million (neg: 120) impacted net sales for the quarter.

The gross margin strengthened due to higher sales prices, currency effects and mix effects caused by lower sales of joinery.

Earnings declined due to the negative volume trend, which could mostly be offset by cost reductions, price increases and lower material prices.

Restructuring costs for the period primarily pertained to costs for the introduction of the Group-wide range in Magnet stores.

Measured in local currency, operating profit for the region totalled GBP 4.7 million (5.6).

Quarterly data in SEK			2011			2012
	I	II	III	IV	I	II
Net sales, SEK m	1,142	1,137	1,108	1,094	973	1,084
Gross profit excluding restructuring costs, SEK m	442	430	424	423	387	431
Gross margin excluding restructuring costs, %	38.7	37.8	38.3	38.7	39.8	39.8
Operating profit excluding restructuring costs, SEK m	54	57	66	46	27	51
Operating margin excluding restructuring costs, %	4.7	5.0	6.0	4.2	2.8	4.7
Operating profit, SEK m	54	52	56	37	27	8
Operating margin, %	4.7	4.6	5.1	3.4	2.8	0.7

Quarterly data in GBP	2011
	I	II	III	IV	I	II
Net sales, GBP m	110.0	111.2	106.2	103.0	91.7	98.8
Gross profit excluding restructuring costs, GBP m	42.5	42.2	40.6	39.8	36.5	39.3
Gross margin excluding restructuring costs, %	38.6	37.9	38.2	38.6	39.8	39.8
Operating profit excluding restructuring costs, GBP m	5.2	5.6	6.3	4.3	2.5	4.7
Operating margin excluding restructuring costs, %	4.7	5.0	5.9	4.2	2.7	4.7
Operating profit, GBP m	5.2	5.1	5.3	3.5	2.5	0.7
Operating margin, %	4.7	4.6	5.0	3.4	2.7	0.7

Store trend, Apr-Jun

Renovated or relocated	–
Newly opened, net	–

Percentage of consolidated net sales, second quarter

Nordic region

Net sales for the second quarter amounted to SEK 1,481 million (1,432). Organic growth was 3 per cent (8). Restructuring costs of SEK 8 million (11) were charged to operating profit for the quarter. Operating profit excluding restructuring costs totalled SEK 179 million (159) and the operating margin was 12.1 per cent (11.1). Positive currency effects of about SEK 5 million (0) on operating profit excluding restructuring costs comprised a translation effect of SEK 0 million and a transaction effect of SEK 5 million.

Kitchen market

The Nordic kitchen market weakened compared with the same period in the preceding year. The decline was attributable to a weaker trend in the consumer segment while the trend in the professional segment is deemed to have been positive during the period.

Nobia

Increased sales were primarily attributable to the Norwegian and Finnish markets. Sales to the professional segment increased, supported by the financial programme for social housing in Denmark, while sales to the consumer segment fell. Positive effects have been

achieved by co-ordinated, brand-independent production in Sweden. In total, Nobia is deemed to have increased its market share in the Nordic region.

Positive currency effects of SEK 5 million (neg: 77) affected net sales for the quarter.

The gross margin was strengthened mainly due to price increases. The improvement in earnings was primarily the result of higher sales volumes, price increases and cost savings.

Restructuring costs for the period pertained to the relocation of operation from the plant in Älmhult to the production units in Tidaholm and Ølgod, see page 7.

					2012
I	II	III	IV	I	II
1,270	1,432	1,192	1,382	1,319	1,481
466	553	452	548	500	590
36.7	38.6	37.9	39.7	37.9	39.8
75	159	102	126	106	179
5.9	11.1	8.6	9.1	8.0	12.1
69	148	86	96	106	171
5.4	10.3	7.2	6.9	8.0	11.5
			2011

Store trend, Apr-Jun
Renovated or relocated	–
Newly opened, net	–1
Number of kitchen stores	254
Of which franchise	181
Of which own	73

Share of consolidated net sales, second quarter

Continental Europe region

Net sales for the second quarter amounted to SEK 888 million (993). Organic growth was negative 11 per cent (pos: 3). Restructuring costs of SEK 11 million (5) were charged to operating profit for the quarter. Operating profit excluding restructuring costs amounted to 22 million (41) and the operating margin was 2.5 per cent (4.1). Currency effects of approximately SEK 0 million (0) on operating profit excluding restructuring costs comprised a translation effect of SEK 0 million and a transaction effect of SEK 0 million.

Kitchen market

Overall demand in the region's main markets is deemed to have weakened compared with the year-earlier period, as a result of the macro-economic uncertainty.

Nobia

The decline in sales was primarily attributable to fewer project deliveries and store closures, as well as refurbishments and lower visitor traffic in Hygena.

An ongoing refurbishment programme is being carried out in Hygena. At year-end, a total of 78 stores in Hygena had been refurbished and 13 stores were closed in January. In April and May, 21 stores were refurbished and around 20 additional stores will be renovated during the second half of the year, after which a total of around 120 of the total 127 Hygena stores will have been refurbished. The refurbished stores

have gradually improved in relation to other stores and posted markedly better sales than non-refurbished stores during the period. Combined, these measures are expected to significantly improve conditions for Hygena.

Poggenpohl was affected negatively during the period by postponed deliveries to project customers in Asia.

Positive currency effects of SEK 1 million (75) impacted net sales for the quarter.

The gross margin weakened mainly due to lower volumes and negative mix effects.

The negative effect on earnings from lower volumes could only partly be offset by cost savings and price increases.

Restructuring costs for the period pertained to store refurbishments and the change of range in Hygena.

Quarterly data in SEK			2011		2012
	I	II	III	IV	I	II
Net sales, SEK m	798	993	811	766	645	888
Gross profit excluding restructuring costs, SEK m	316	414	310	279	244	357
Gross margin excluding restructuring costs, %	39.6	41.7	38.2	36.4	37.8	40.2
Operating profit/loss excluding restructuring costs, SEK m	-34	41	-18	-59	–76	22
Operating margin excluding restructuring costs, %	-4.3	4.1	-2.2	-7.7	–11.8	2.5
Operating profit/loss, SEK m	-22	36	-98	-188	–79	11
Operating margin, %	-2.8	3.6	-12.1	-24.5	–12.2	1.2

Store trend, Apr-Jun

Renovated or relocated	21
Newly opened, net	–2
Number of kitchen stores (own and franchise)	163
Of which franchise	1
Of which own	162

Percentage of consolidated net sales, second quarter

Consolidated earnings, cash flow and financial position January–June 2012

Net sales for the first six months amounted to SEK 6,383 million (6,766). Organic growth totalled negative 7 per cent (pos: 2). Operating profit excluding restructuring costs of net SEK 74 million (32) amounted to SEK 227 million (312), corresponding to an operating margin of 3.6 per cent (4.6). Profit after tax and including restructuring costs was SEK 70 million (167), corresponding to a profit per share of SEK 0.42 (1.00). Operating cash flow amounted to negative SEK 19 million (pos: 12).

The kitchen markets in Europe developed negatively during the first half-year.

Nobia's organic growth was negative 7 per cent, specified as follows: negative 14 per cent in the UK, positive 3 per cent in the Nordic region and negative 15 per cent in the Continental Europe region.

Currency effects made a positive contribution of SEK 114 million (neg: 558) on net sales.

Currency effects on operating profit excluding restructuring costs amounted to approximately SEK 10 million (30), comprising a translation effect of SEK 5 million (neg: 25) and a transaction effect of SEK 5 million (pos: 55).

Operating profit of SEK 227 million (312) was negatively impacted by lower volumes, which could only partly be offset by price increases and lower costs.

Group-wide items and eliminations reported an operating loss of SEK 82 million (loss: 40). This decline in earnings was due to the reallocation between central and local activities and certain nonrecurring items.

Net financial items amounted to an expense of SEK 50 million

(expense: 43). Net financial items include the net of return on pension assets and interest expense for pension liabilities corresponding to an

expense of SEK 19 million (expense: 15).

The net interest expense totalled SEK 32 million (expense: 30), with the increase attributable to a higher interest-rate level.

Operating cash flow was adversely affected by lower earnings generation, which were partly offset by the improvement in working capital.

The return on capital employed over the past twelve-month period amounted to 1.2 per cent (Jan-Dec 2011: 3.6) and the return on shareholders' equity was negative 0.8 per cent (Jan-Dec 2011: 2.0).

Nobia's investments in fixed assets amounted to SEK 171 million (140), of which SEK 113 million (50) was related to store investments, primarily Hygena.

Goodwill at the end of the period amounted to SEK 2,675 million (2,663), corresponding to 74 per cent (74) of the Group's shareholders' equity.

Net debt including pension provisions amounted to SEK 1,646 million (1,541). The debt/equity ratio was 46 per cent at the end of the period (43).

Net sales and profit/loss per region (operating segment)

UK Nordic Continental Europe Group-wide and eliminations Group Jan-Jun Jan-Jun Jan-Jun Jan-Jun Jan-Jun SEK m 2011 2012 2011 2012 2011 2012 2011 2012 2011 2012 Change, % Net sales from external customers 2,279 2,054 2,702 2,800 1,785 1,529 – – 6,766 6,383 –6 Net sales from other regions – 3 – 0 6 4 –6 –7 – – – Net sales 2,279 2,057 2,702 2,800 1,791 1,533 –6 –7 6,766 6,383 –6 Gross profit excluding restructuring costs 872 818 1,019 1,090 730 601 43 20 2,664 2,529 –5 Gross margin excluding restructuring costs, % 38.3 39.8 37.7 38.9 40.8 39.2 – – 39.4 39.6 – Operating profit excluding restructuring costs 111 78 234 285 7 –54 –40 –82 312 227 –27 Operating margin excluding restructuring costs, % 4.9 3.8 8.7 10.2 0.4 –3.5 – – 4.6 3.6 – Operating profit (EBIT) 106 35 217 277 14 -68 –57 –91 280 153 –45 Operating margin, % 4.7 1.7 8.0 9.9 0.8 -4.4 – – 4.1 2.4 – Financial items – – – – – – – – –43 –50 –16 Profit after financial items – – – – – – – – 237 103 –57

Restructuring measures in progress

Restructuring costs pertain to certain nonrecurring costs, see page 10. Restructuring costs for the period January-June amounted to SEK 74 million (32) and primarily related to costs for the introduction of the Group-wide range in Magnet's stores in the UK, but also in connection with store refurbishments in Continental Europe and relocation of production in the Nordic region.

Approved and implemented restructuring measures of SEK 112 million (119) were charged to cash flow, of which SEK 91 million (76) derived from the preceding year's restructuring measures.

Relocation of production from Älmhult

Nobia has decided to relocate the surface treatment and manufacturing of kitchen doors from Älmhult to the production plants in Tidaholm and Ølgod. This measure is in line with Nobia's strategy to better capitalise on the economies of scale of being a large Group. The relocation is estimated to generate annual savings of SEK 8 million and will be finalised at the end of 2013.

Agreement in Poggenpohl

Nobia entered into an agreement in principle with the works council at Poggenpohl, which involves the possibility of voluntary staff reductions and an obligation for the company not to relocate operations from the plant in Herford until the end of 2013. Various measures are estimated to generate annual savings of approximately SEK 40 million and expected to lead to restructuring costs in a corresponding amount during the second quarter of 2012.

Sale of production property

In the first quarter, Nobia sold a production property in Germany. The sale generated a total net capital loss of SEK 4 million that was recognised in the first quarter of 2012. The purchase consideration amounting to approximately SEK 25 million was received during the second quarter.

Divested operations and fixed assets held for sale

In the period 2008–2011, Nobia acquired a number of stores from franchisees with the intention of selling these on. At the end of 2011, Nobia had two stores in Denmark and four in Sweden, a total of six stores, which are recognised in the Nordic region as discontinued operations and a divestment group held for sale in accordance with IFRS 5. No change took place in the first six months of 2012.

Loss after tax for these stores amounted to SEK 8 million (loss: 4) for the period January-June 2012.

Nobia intends to divest one production property in both Denmark and Sweden in 2012. These properties are recognised in accordance with IFRS 5 under assets held for sale in the Nordic region.

Corporate acquisitions and divestments

No corporate acquisitions or divestments were made during the first six months of 2012.

Personnel

The number of employees at the end of the period amounted to 7,486 (7,951). The decrease was primarily due to savings measures in all regions.

Related-party transactions

The Parent Company invoiced Group-wide services to subsidiaries in an amount of SEK 28 million (28) during the period.

The Parent Company reported no earnings from participations in Group companies (12).

Significant risks for the Group and Parent Company

Nobia is exposed to strategic, operating and financial risks, which are described on pages 30-31 of the 2011 Annual Report. Demand in the Nordic professional market was weakly positive during the first six months. Demand in other markets continued to be weak. This means that combined production and deliveries are still at a low level. Nobia continues to capitalise on synergies and economies of scale by harmonising product range, co-ordinating production and enhancing purchasing efficiency. Nobia's balance sheet contains goodwill of SEK 2,675 million. The value of this asset item is tested if there are any indications of a decline in value and at least annually.

Accounting policies

This interim report has been prepared in accordance with IFRS, with the application of IAS 34 Interim Financial Reporting. For the Parent Company, accounting policies are applied in accordance with Chapter 9, Interim Reports, of the Swedish Annual Accounts Act. In this interim report, Nobia has applied the same accounting policies as were applied in the 2011 Annual Report.

New or revised IFRS and interpretive statements from the IFRS Interpretations Committee (IFRS IC) will come into effect in forthcoming fiscal years and were not applied in advance to the preparation of these financial statements.

For further information

Please contact any of the following on: +46 (0)8 440 16 00 or +46 (0)705 95 51 00:

• Morten Falkenberg, President and CEO
• Mikael Norman, CFO
• Lena Schattauer, Head of Investor Relations

Presentation

The interim report will be presented on Friday, 20 July 2012 at 3:00 p.m. CET in a webcast teleconference that can be followed on Nobia's website. To participate in the teleconference, call one of the following numbers:

• From Sweden: +46 (0)8 505 598 53
• From the UK: +44 (0)203 043 2436
• From the US: +1 866 458 4087

Financial calendar

26 October 2012	Interim report Jan-Sep 2012
12 February 2013	Interim report Jan-Dec 2012

Currency effect (EBIT)*

		Translation effect		Transaction effect		Total effect
SEK m	Q2	Jan-Jun	Q2	Jan-Jun	Q2	Jan-Jun
UK region	5	5	0	–5	5	0
Nordic region	0	0	5	10	5	10
Continental Europe region	0	0	0	0	0	0
Group	5	5	5	5	10	10

* Pertains to effects excluding restructuring costs.

7

The Board of Directors and CEO assure that the six-month report provides a fair view of the Parent Company's and the Group's operations, financial position and profits, and describes the material risks and uncertainties facing the Parent Company and the companies included in the Group.

Stockholm, 20 July 2012

Johan Molin Chairman

Nora Förisdal Larssen Bodil Eriksson Thore Ohlsson

Fredrik Palmstierna Rolf Eriksen Lilian Fossum Biner

Morten Falkenberg President and CEO

Per Bergström Olof Harrius

Employee representative Employee representative

This interim report is unaudited.

Nobia AB, Corporate Registration Number 556528-2752

The information in this interim report is such that Nobia AB (publ) is obliged to publish in accordance with the Swedish Securities Market Act. The information was released to the media for publication on 20 July at 1:00 p.m. CET.

Box 70376 • 107 24 Stockholm, Sweden • Street address: Klarabergsviadukten 70 A5 • Tel 08-440 16 00 • Fax 08-503 826 49 • www.nobia.se Corporate Registration Number: 556528-2752 • The registered office of the Board of Directors is in Stockholm, Sweden

Condensed consolidated income statement

	Apr-Jun		Jan-Jun		Jan-Dec	Jul-Jun
SEK m	2011	2012	2011	2012	2011	2011/12
Net sales	3,559	3,449	6,766	6,383	13,114	12,731
Cost of goods sold	-2,144	-2,100	-4,112	-3,891	-8,066	-7,845
Gross profit	1,415	1,349	2,654	2,492	5,048	4,886
Selling and administration expenses	-1,196	-1,203	-2,369	-2,336	-4,851	-4,818
Other expenses	-2	-3	-5	-3	-13	-11
Operating profit	217	143	280	153	184	57
Net financial items	-22	-27	-43	-50	-83	-90
Profit/loss after financial items	195	116	237	103	101	-33
Tax	-54	-30	-66	-25	-16	25
Profit/loss after tax from continuing operations	141	86	171	78	85	-8
Loss from divested operations, net after tax	-4	-4	-4	-8	-16	-20
Profit/loss after tax	137	82	167	70	69	-28
Total depreciation	92	119	192	219	390	417
Total impairment	2	19	8	19	58	52
Gross margin, %	39.8	39.1	39.2	39.0	38.5	38.4
Operating margin, %	6.1	4.1	4.1	2.4	1.4	0.4
Return on capital employed, %	–	–	–	–	3.6	1.2
Return on shareholders' equity, %	–	–	–	–	2.0	-0.8
Earnings per share before dilution, SEK1)	0.82	0.49	1.00	0.42	0.42	-0.17
Earnings per share after dilution, SEK1)	0.82	0.49	1.00	0.42	0.42	-0.17
Number of shares at period end before dilution, 000s 2)	167,131	167,131	167,131	167,131	167,131	167,131
Average number of shares after dilution, 000s2)	167,131	167,131	167,131	167,131	167,131	167,131
Number of shares after dilution at period end, 000s2)	167,186	167,202	167,389	167,202	167,131	167,202
Average number of shares after dilution, 000s2)	167,186	167,167	167,389	167,149	167,131	167,140

1) Earnings/loss per share attributable to Parent Company shareholders.

2) Excluding treasury shares.

Consolidated statement of comprehensive income

	Apr-Jun		Jan-Jun		Jan-Dec	Jul-Jun
SEK m	2011	2012	2011	2012	2011	2011/12
Profit/loss after tax	137	82	167	70	69	-28
Other comprehensive income
Exchange-rate differences attributable to translation of foreign operations	49	31	-27	-5	11	33
Cash flow hedges before tax	-2	1	6	3	-9	-12
Tax attributable to change in hedging reserve for the period	0	-1	-2	-1	2	3
Other comprehensive income/loss	47	31	-23	-3	4	24
Total comprehensive income/loss	184	113	144	67	73	-4
Total profit attributable to:
Parent Company shareholders	137	82	167	70	70	-27
Non-controlling interests	0	0	0	0	-1	-1
Total profit/loss	137	82	167	70	69	-28
Total comprehensive income attributable to:
Parent Company shareholders	184	113	144	67	74	–3
Non-controlling interests	0	0	0	0	–1	–1
Total comprehensive income/loss	184	113	144	67	73	–4

Specification of restructuring costs

Restructuring costs per function	Apr-Jun		Jan-Jun		Jan-Dec	Jul-Jun
SEK m	2011	2012	2011	2012	2011	2011/12
Cost of goods sold	-9	-35	-10	-37	-74	-101
Selling and administrative expenses	-14	-27	-21	-33	-235	-247
Other expenses	-1	-	-1	-4	-25	-28
Total restructuring costs	-24	-62	-32	-74	-334	-376
Restructuring costs per region	Apr-Jun		Jan-Jun		Jan-Dec	Jul-Jun
SEK m	2011	2012	2011	2012	2011	2011/12
UK	-5	-43	-5	1) -43	-24	3) -62
Nordic	-11	-8	-17	2) -8	) -63	-54
Continental Europe	-5	-11	7	-14	-202	4) -223
Group-wide and eliminations	-3	0	-17	-9	-45	5) -37
Group	-24	-62	-32	-74	-334	-376

1) Impairment amounted to SEK 17 million and pertained to kitchen displays.

2) Impairment amounted to SEK 2 million and pertained to machinery.

3) Impairment amounted to SEK 3 million and pertained to equipment.

4) Impairment amounted to SEK 29 million and pertained to store fittings and kitchen displays in Hygena.

5) Impairment amounted to SEK 17 million and pertained to property in Germany.

Condensed consolidated balance sheet

	30 Jun		31 Dec
SEK m	2011	2012	2011
ASSETS
Goodwill	2,663	2,675	2,681
Other intangible fixed assets	271	224	249
Tangible fixed assets	2,080	2,019	2,111
Long-term receivables	60	56	59
Deferred tax assets	424	494	456
Total fixed assets	5,498	5,468	5,556
Inventories	971	1,004	1,005
Accounts receivable	1,437	1,416	1,210
Other receivables	347	417	422
Total current receivables	1,784	1,833	1,632
Cash and cash equivalents	205	141	152
Assets held for sale	85	74	71
Total current assets	3,045	3,052	2,860
Total assets	8,543	8,520	8,416
SHAREHOLDERS' EQUITY AND LIABILITIES
Share capital	58	58	58
Other capital contributions	1,455	1,463	1,459
Reserves	-405	-381	-378
Profit brought forward	2,479	2,452	2,382
Total shareholders' equity attributable to Parent Company shareholders	3,587	3,592	3,521
Non-controlling interests	5	4	4
Total shareholders' equity	3,592	3,596	3,525
Provisions for pensions	557	561	565
Other provisions	307	330	404
Deferred tax liabilities	211	200	207
Other long-term liabilities, interest-bearing	1,036	1,119	1,106
Total long-term liabilities	2,111	2,210	2,282
Current liabilities, interest-bearing	159	112	73
Current liabilities, non-interest-bearing	2,675	2,599	2,534
Liabilities attributable to assets held for sale	6	3	2
Total current liabilities	2,840	2,714	2,609
Total shareholders' equity and liabilities	8,543	8,520	8,416
BALANCE-SHEET RELATED KEY RATIOS
Equity/assets ratio, %	42	42	42
Debt/equity ratio, %	43	46	45
Net debt, SEK m	1,541	1,646	1,586
Capital employed, closing balance, SEK m	5,345	5,388	5,269

Statement of changes in consolidated shareholders' equity

	Attributable to Parent Company shareholders
SEK m	Share capital	Other capital contributions	Exchange-rate differences attributable to translation of foreign operations	Cash flow hedges after tax	Profit brought forward	Total	Non controlling interests	Total share holders equity
Opening balance, 1 January 2011	58	1,453	-381	-1	2,312	3,441	5	3,446
Profit for the period	–	–	–	–	167	167	0	167
Other comprehensive income/loss for the period	–	–	-27	4	–	-23	0	-23
Total comprehensive income/loss for the period	–	–	-27	4	167	144	0	144
Dividend	–	–	–	–	–	–	–	–
Allocation of employee share option scheme	–	2	–	–	–	2	–	2
Closing balance, 30 June 2011	58	1,455	-408	3	2,479	3,587	5	3,592
Opening balance, 1 January 2012	58	1,459	-370	-8	2,382	3,521	4	3,525
Profit for the period	–	–	–	–	70	70	0	70
Other comprehensive income/loss for the period	–	–	-5	2	–	-3	0	-3
Total comprehensive income for the period	–	–	-5	2	70	67	0	67
Dividend	–	–	–	–	–	–	–	–
Allocation of employee share option scheme	–	4	–	–	–	4	–	4
Closing balance, 30 June 2012	58	1,463	-375	-6	2,452	3,592	4	3,596

Condensed consolidated cash-flow statement

	Apr-Jun Jan-Jun			Jan-Dec	Jul-Jun
SEK m	2011	2012	2011	2012	2011	2011/12
Operating activities
Operating profit	217	143	280	153	184	57
Depreciation/Impairment	94	119	1) 200	2) 219	3) 448	467
Adjustments for non-cash items	6	12	-11	18	179	208
Tax paid	-17	-25	-53	-63	-82	-92
Change in working capital	-129	13	-273	-217	-316	-260
Cash flow from operating activities	171	262	143	110	413	380
Investing activities
Investments in fixed assets	-72	-91	-140	-171	-471	-502
Other items in investing activities	-3	27	9	42	67	100
Interest received	3	3	4	5	8	9
Change in interest-bearing assets	0	0	4	0	5	1
Cash flow from investing activities	-72	-61	-123	-124	-391	-392
Operating cash flow before acquisition/divestment of companies,
interest, increase/decrease of interest-bearing assets	96	198	12	-19	9	-22
Operating cash flow before acquisition/divestment of companies, interest, increase/decrease of interest-bearing assets	99	201	20	-14	22	-12
Financing activities
Interest paid	-19	-20	-34	-37	-66	-69
Change in interest-bearing liabilities	-73	-249	4) -135	5) 41	6) -159	17
Dividend	–	–	–	–	0	0
Cash flow from financing activities	-92	-269	-169	4	-225	-52
Cash flow for the period excluding exchange-rate differences
in cash and cash equivalents	7	-68	-149	-10	-203	-64
Cash and cash equivalents at beginning of the period	193	209	356	152	356	205
Cash flow for the period	7	-68	-149	-10	-203	-64
Exchange-rate differences in cash and cash equivalents	5	0	-2	-1	-1	0
Cash and cash equivalents at period-end	205	141	205	141	152	141

1) Impairment amounted to SEK 8 million, of which SEK 4 million pertained to buildings, SEK 2 million to machinery and SEK 2 million to kitchen displays.

2) Impairment amounted to SEK 19 million, of which SEK 2 million pertained to machinery and SEK 17 million to kitchen displays.

3) Impairment amounted to SEK 58 million, of which SEK 17 million pertained to property, SEK 21 million to machinery and technical equipment, SEK 12 million to kitchen displays, SEK 4 million to buildings and SEK 4 million to equipment.

4) Loan repayments totalling SEK 220 million.

5) Loans raised totalling SEK 20 million.

6) Loan repayments totalling SEK 130 million.

Analysis of net debt	Apr-Jun		Jan-Jun		Jan-Dec	Jul-Jun
SEK m	2011	2012	2011	2012	2011	2011/12
Opening balance	1,599	1,814	1,510	1,586	1,510	1,541
Translation differences	15	2	1	-11	-5	-17
Operating cash flow	-96	-198	-12	19	-9	22
Interest paid, net	16	17	30	32	58	60
Change in pension liabilities	7	11	12	20	32	40
Dividend	–	–	–	–	0	0
Closing balance	1,541	1,646	1,541	1,646	1,586	1,646

Parent Company

Condensed Parent Company income statement		Apr-Jun		Jan-Jun	Jan-Dec	Jul-Jun
SEK m	2011	2012	2011	2012	2011	2011/12
Net sales	30	11	51	29	80	58
Administrative expenses	-37	-43	-79	-79	-145	-145
Operating loss	-7	-32	-28	-50	-65	-87
Profit from shares in Group companies	12	-	12	-	193	181
Other financial income and expenses	-32	-9	-42	-19	-70	-47
Profit/loss after financial items	-27	-41	-58	-69	58	47
Tax on profit/loss for the period	0	0	0	0	-1	-1
Profit/loss for the period	-27	-41	-58	-69	57	46

Parent Company balance sheet	30 Jun		31 Dec
SEK m	2011	2012	2011
ASSETS
Fixed assets
Shares and participations in Group companies	1,247	1,252	1,250
Total fixed assets	1,247	1,252	1,250
Current assets
Current receivables
Accounts receivable	16	2	25
Receivables from Group companies	3,833	3,747	3,832
Other receivables	4	5	2
Prepaid expenses and accrued income	10	35	10
Cash and cash equivalents	24	17	33
Total current assets	3,887	3,806	3,902
Total assets	5,134	5,058	5,152
SHAREHOLDERS' EQUITY, PROVISIONS AND LIABILITIES
Shareholders' equity
Restricted shareholders' equity
Share capital	58	58	58
Statutory reserve	1,671	1,671	1,671
	1,729	1,729	1,729
Non-restricted shareholders' equity
Share premium reserve	52	52	52
Buy-back of shares	-468	-468	-468
Profit brought forward	2,183	2,247	2,188
Profit/loss for the period	-58	-69	57
	1,709	1,762	1,829
Total shareholders' equity	3,438	3,491	3,558
Provisions for pensions	8	9	8
Long-term liabilities
Liabilities to credit institutes	800	800	800
Current liabilities
Liabilities to credit institutes	150	110	71
Accounts payable	9	14	9
Liabilities to Group companies	696	607	644
Other liabilities	2	4	3
Accrued expenses and deferred income	31	23	59
Total current liabilities	888	758	786
Total shareholders' equity, provisions and liabilities	5,134	5,058	5,152
Pledged assets	–	–	–
Contingent liabilities	465	477	535

Comparative data per region

Net sales	Apr-Jun		Jan-Jun		Jan-Dec	Jul-Jun
SEK m	2011	2012	2011	2012	2011	2011/12
UK	1,137	1,084	2,279	2,057	4,481	4,259
Nordic	1,432	1,481	2,702	2,800	5,276	5,374
Continental Europe	993	888	1,791	1,533	3,368	3,110
Group-wide and eliminations	-3	-4	-6	-7	-11	-12
Group	3,559	3,449	6,766	6,383	13,114	12,731
Gross profit excluding restructuring costs	Apr-Jun		Jan-Jun		Jan-Dec	Jul-Jun
SEK m	2011	2012	2011	2012	2011	2011/12
UK	430	431	872	818	1,719	1,665
Nordic	553	590	1,019	1,090	2,019	2,090
Continental Europe	414	357	730	601	1,319	1,190
Group-wide and eliminations	27	6	43	20	65	42
Group	1,424	1,384	2,664	2,529	5,122	4,987
Gross margin excluding restructuring costs	Apr-Jun		Jan-Jun		Jan-Dec	Jul-Jun
%	2011	2012	2011	2012	2011	2011/12
UK	37.8	39.8	38.3	39.8	38.4	39.1
Nordic	38.6	39.8	37.7	38.9	38.3	38.9
Continental Europe	41.7	40.2	40.8	39.2	39.2	38.3
Group	40.0	40.1	39.4	39.6	39.1	39.2
Operating profit excluding restructuring costs	Apr-Jun		Jan-Jun		Jan-Dec	Jul-Jun
SEK m	2011	2012	2011	2012	2011	2011/12
UK	57	51	111	78	223	190
Nordic	159	179	234	285	462	513
Continental Europe	41	22	7	-54	-70	-131
Group-wide and eliminations	-16	-47	-40	-82	-97	-139
						433
Group	241	205	312	227	518
Operating margin excluding restructuring costs	Apr-Jun		Jan-Jun		Jan-Dec	Jul-Jun
%	2011	2012	2011	2012	2011	2011/12
UK	5.0	4.7	4.9	3.8	5.0	4.5
Nordic	11.1	12.1	8.7	10.2	8.8	9.5
Continental Europe	4.1	2.5	0.4	-3.5	-2.1	-4.2
Group	6.8	5.9	4.6	3.6	3.9	3.4
Operating profit	Apr-Jun		Jan-Jun		Jan-Dec	Jul-Jun
SEK m	2011	2012	2011	2012	2011	2011/12
UK	52	8	106	35	199	128
Nordic	148	171	217	277	399	459
Continental Europe	36	11	14	-68	-272	-354
Group-wide and eliminations	-19	-47	-57	-91	-142	-176
Group	217	143	280	153	184	57
Operating margin	Apr-Jun		Jan-Jun		Jan-Dec	Jul-Jun
%	2011	2012	2011	2012	2011	2011/12
UK	4.6	0.7	4.7	1.7	4.4	3.0
Nordic	10.3	11.5	8.0	9.9	7.6	8.5
Continental Europe Group	3.6 6.1	1.2 4.1	0.8 4.1	-4.4 2.4	-8.1 1.4	-11.4 0.4

Quarterly data per region

Net sales			2011		2012
SEK m	I	II	III	IV	I	II
UK	1,142	1,137	1,108	1,094	973	1,084
Nordic	1,270	1,432	1,192	1,382	1,319	1,481
Continental Europe	798	993	811	766	645	888
Group-wide and eliminations	-3	-3	-2	-3	-3	-4
Group	3,207	3,559	3,109	3,239	2,934	3,449
Gross profit excluding restructuring costs			2011		2012
SEK m	I	II	III	IV	I	II
UK	442	430	424	423	387	431
Nordic	466	553	452	548	500	590
Continental Europe	316	414	310	279	244	357
Group-wide and eliminations	16	27	10	12	14	6
Group	1,240	1,424	1,196	1,262	1,145	1,384
Gross margin excluding restructuring costs			2011		2012
%	I	II	III	IV	I	II
UK	38.7	37.8	38.3	38.7	39.8	39.8
Nordic	36.7	38.6	37.9	39.7	37.9	39.8
Continental Europe	39.6	41.7	38.2	36.4	37.8	40.1
Group	38.7	40.0	38.5	39.0	39.0	40.1
Operating profit excluding restructuring costs			2011		2012
SEK m	I	II	III	IV	I	II
UK	54	57	66	46	27	51
Nordic	75	159	102	126	106	179
Continental Europe	-34	41	-18	-59	-76	22
Group-wide and eliminations Group	-24 71	-16 241	-24 126	-33 80	-35 22	-47 205
Operating margin excluding restructuring costs			2011		2012
%	I	II	III	IV	I	II
UK	4.7	5.0	6.0	4.2	2.8	4.7
Nordic	5.9	11.1	8.6	9.1	8.0	12.1
Continental Europe	-4.3	4.1	-2.2	-7.7	-11.8	2.5
Group	2.2	6.8	4.1	2.5	0,7	5.9
Operating profit			2011		2012
SEK m	I	II	III	IV	I	II
UK	54	52	56	37	27	8
Nordic	69	148	86	96	106	171
Continental Europe	-22	36	-98	-188	-79	11
Group-wide and eliminations	-38	-19	-31	-54	-44	-47
Group	63	217	13	-109	10	143
Operating margin			2011		2012
%	I	II	III	IV	I	II
UK	4.7	4.6	5.1	3.4	2.8	0.7
Nordic	5.4	10.3	7.2	6.9	8.0	11.5
Continental Europe	-2.8	3.6	-12.1	-24.5	-12.2	1.2
Group	2.0	6.1	0.4	-3.4	0.3	4.1

Definitions

Return on shareholders' equity

Profit for the period as a percentage of average shareholders' equity. The calculation of average shareholders' equity has been adjusted for increases and decreases in capital.

Return on capital employed

Profit after financial revenue as a percentage of average capital employed. The calculation of average capital employed has been adjusted for acquisitions and divestments.

Gross margin

Gross profit as a percentage of net sales.

EBITDA

Profit before depreciation and impairment.

Net debt

Interest-bearing liabilities less interest-bearing assets. Interest-bearing liabilities include pension liabilities.

Operating cash flow

Cash flow from operating activities including cash flow from investing activities, excluding cash flow from acquisitions/divestments of subsidiaries, interest received, increase/decrease of interest-bearing assets.

Region

Region corresponds to operating segment according to IFRS 8.

Earnings per share

Profit after tax for the period divided by a weighted average number of outstanding shares during the period.

Operating margin Operating profit as a percentage of net sales.

Debt/equity ratio

Net debt as a percentage of shareholders' equity, including non-controlling interests.

Equity/assets ratio

Shareholders' equity, including non-controlling interests, as a percentage of total assets.

Capital employed

Total assets less non-interest-bearing provisions and liabilities.

Currency effects

Translation effects refer to the currency effects arising when foreign results and balance sheets are translated to SEK.

Transaction effects refer to the currency effects arising when purchases or sales are made in currency other than the currency of the producing country (functional currency).