PION Group — Interim / Quarterly Report 2008

Apr 30, 2008

ENGLISH VERSION OF THE INTERIM REPORT PUBLISHED ON APRIL 24

Managing Director and CEO Johan Eriksson comments on Poolia s Interim Report for January 1 March 31, 2008

Highest operating margin in eight years

Revenues

Poolia continued to grow during the first quarter of 2008. The Group reported total revenues of SEK 360 M, the highest ever figure for an individual quarter, corresponding to a growth rate of 7% compared with 2007. However, the comparison with the year-earlier period is affected by Easter falling during the first quarter this year, which meant fewer working days. The current uncertainty regarding the economic trend in Western Europe has not yet affected demand for Poolia s services, with the exception of the banking sector in London.

Dedicare noted the highest growth rate in the Group, with a 60% increase in revenues. This is particularly remarkable since the unit also reported strong growth in the year-earlier quarter. Dedicare continues to experience strong demand for both doctors and nurses, and has now been ISO certified with the aim of strengthening its competitiveness in future negotiations.

Poolia Germany also advanced strongly during the quarter. We are now focusing primarily on additionally increasing volumes to achieve a critical mass in all six offices, but have also decided to open an office in Hannover, where we believe there is a large and growing market. The Hannover office will initially be managed as a satellite to the office in Hamburg, a work method for which we have favourable previous experience.

Poolia Sweden grew by 9% during the quarter. In terms of revenues per working day, the increase was 13%. The strongest trends were noted in the Southern and Western Regions. The positive trend in the Stockholm Region, which started after the turnaround in the fourth quarter, has continued and been strengthened. Finland has also had a very positive trend for several consecutive months and grew during the quarter by a total of 24%.

Since Poolia UK is currently a significantly smaller unit following last year s restructuring, comparisons with the preceding year will be negative in terms of revenues. The depreciation of the GBP also resulted in a negative currency effect of slightly more than 8% on revenues. We are now focusing entirely on London and will continue efforts to broaden the customer base and reduce dependence on the banking sector.

Earnings

During the first quarter of the year, we succeeded in achieving a sharp improvement in efficiency and it is gratifying that all units contributed positively to the operating profit. The Group s operating margin increased to 7.8%, which is more than twice as high as in the preceding quarter and the best margin for an individual quarter since the third quarter of 2000. The efficiency improvements that we have now achieved create a significantly more stable base for the future.

Dedicare, Denmark and Finland had operating margins of around 6%, while Sweden and Germany remained at the 10% level. It should be noted that the TV commercial campaign that commenced in Sweden in the autumn continued during the quarter, which affected earnings. The UK reported a positive operating margin for the period, following five quarters of losses. It is very satisfying that we are already reaping the benefits of the extensive measures that were implemented in the fourth quarter of 2007.

Johan Eriksson

Poolia s interim report January 1 March 31, 2008

• Revenues totalled SEK 360.1 M (337.6)
• Operating profit amounted to SEK 28.3 M (21.4)
• Profit after financial items totalled SEK 29.5 M (21.9)
• Profit after taxes was SEK 21.5 M (16.4)
• Earnings per share amounted to SEK 1.17 (0.89)
• Cash flow from operating activities was a positive SEK 24.0 M (18.8)

January March

Revenues

Group revenues rose 7% to SEK 360.1 M (337.6), the highest quarterly revenue ever for Poolia. Currency effects had a negative impact of 1.5% during the quarter, primarily due to the depreciation of the GBP. The number of working days was 62, which was fewer than in the year earlier period (64). Growth in invoicing per working day was approximately 10%. Temporary Staffing was the predominant service area. The proportion of Permanent Recruitment was unchanged at 10%. Finance/Accounting was the largest occupational segment in absolute terms.

The revenue trend for Poolia Sweden remained favourable. Revenues for the quarter rose to SEK 225.1 M (206.6), up 9%. Growth was strongest in the Southern, Western and Stockholm Regions, while the Eastern Region experienced a slight decline.

As of this quarterly report, the Other Nordic countries are reported as two separate segments, Denmark and Finland (historic performance reported under the Accounting Principles section). Denmark reported sales of SEK 4.6 M (5.0), 8% lower than in the year-earlier period. Finland reported sales of SEK 6.8 M (5.5), 24% higher than a year earlier. The proportion of permanent recruitment increased in both segments.

Revenues in Germany were SEK 23.1 M (15.8), up 46%. All districts reported positive volume trends. The proportion of permanent recruitment increased.

In the UK, revenues decreased to SEK 49.5 M (72.7). The depreciation of the GBP generated negative currency effects of SEK 5.9 M or 8.1%. The lower revenues were also due to the discontinuation of unprofitable master vendor contracts during the latter part of 2007, the closure of four smaller local offices and reduced demand for banking services. Volumes increased within the Accounting & Control professional area.

Dedicare (formerly Poolia Healthcare) reported total revenues of SEK 51.0 M (32.0), an increase of 59%. Compared with the year-earlier period, growth occurred in Sweden and Norway, and for both doctors and nurses.

Earnings

Profit after financial items totalled SEK 29.5 M (21.9). Operating profit amounted to SEK 28.3 M (21.4) and the operating margin was 7.8% (6.3).

Poolia Sweden reported operating profit of SEK 24.6 M (25.5). The operating margin was 10.9% (12.3). Healthy demand, high capacity utilization and improved efficiency contributed to increased profitability within all regions. During the quarter, a TV advertising campaign was executed, which impacted earnings.

Denmark reported operating profit of SEK 0.3 M (0.3) and Finland SEK 0.4 M (0.0). The operating margins were thus 5.9% (7.4) in Denmark and 6.5% (neg: 0.5) in Finland.

Germany s operating profit totalled SEK 2.7 M (2.0), corresponding to an operating margin of 11.7% (12.5). The local office in Cologne, which opened in early 2007, reported a loss of SEK 0.3 M (loss: 0.5), while remaining districts reported profits. Another new office will be opened in Hannover in June 2008.

In the UK, operating profit for the period was SEK 0.8 M (loss: 3.5). Costs decreased compared with the year-earlier period due to the discontinuation of four regional offices and a sharp reduction in overhead costs.

Operating profit for Dedicare was SEK 2.8 M (1.6) and the operating margin was 5.5% (5.0).

The Group s net financial items amounted to SEK 1.2 M (0.5). Non-distributed Parent Company costs amounted to SEK 3.3 M (4.5).

The tax rate for the Group was 27% (25).

Information about operating segments and geographic regions

January - March Revenues and operating results

	2008 Jan-Mar Operating revenues	2008 Jan-Mar Operating profit/loss	2007 Jan-Mar Operating revenues	2007 Jan-Mar Operating profit/loss
Poolia Sweden	225.1	24.6	206.6	25.5
Poolia Finland	6.8	0.4	5.5	0.0
Poolia Denmark	4.6	0.3	5.0	0.3
Poolia Germany	23.1	2.7	15.8	2.0
Poolia UK	49.5	0.8	72.7	-3.5
Dedicare	51.0	2.8	32.0	1.6
Non-distributed Parent Company costs		-3.3		-4.5
Total	360.1	28.3	337.6	21.4

Liquidity and financing

On March 31, 2008, the Group s cash and cash equivalents amounted to SEK 129.6 M (114.1). Cash flow from operating activities during the period was a positive SEK 24.0 M (18.8). The average collection period for accounts receivables decreased. The equity/assets ratio was 59.3% (57.3).

Investments

The Group s investments in fixed assets amounted to SEK 2.9 M (2.0).

Seasonal variations

The number of working days in 2008 is as follows:

	Jan-Mar	Apr-Jun	Jul-Sep	Oct-Dec	Full year
Sweden	62 (64)	62 (59)	66 (65)	62 (62)	252 (250)
Germany	62 (64)	62 (59)	66 (65)	61 (63)	251 (251)
UK	61 (64)	63 (61)	64 (64)	63 (63)	251 (252)

Employees

The average number of annual employees was 2,100 (2,103). On March 31, 2008, the number of employees was 2,351 (2,326).

Parent Company

The Parent Company engages in general corporate management, development, financial and IT management activities. Revenues during the period amounted to SEK 5.5 M (2.5) and a loss after financial items of SEK 3.1 M (profit: 1.4) was reported. Profit for 2006 included dividends of SEK 5.6 M from subsidiaries.

Market trend

Demand in all of Poolia s markets was positive during the quarter. This applied to both temporary staffing and, even more so, to permanent recruitment. In the UK, however, demand in the bank sector was weaker. In several of the markets, competition for professional candidates is keen, particularly IT and accounting specialists.

Significant risks and uncertainties

Risks and risk management are described in Poolia s Annual Report for 2007. The risks can be summarized as changes in the economic trend, customer and individual dependence, legislation and regulations and financial risks. All significant risks and uncertainties for Poolia that existed on December 31, 2007 also existed on March 31, 2008.

Condensed consolidated income statement

	Jan-Mar	Jan-Mar	Jan-Dec
SEK M	2008	2007	2007
Operating revenues	360.1	337.6	1 339.7
Personal costs	-298.5	-285.6	-1 139.7
Other costs	-31.7	-29.3	-122.7
Depreciation of fixed assets	-1.6	-1.3	-7.3
Operating profit	28.3	21.4	70.0
Financial items	1.2	0.5	2.8
Profit after financial items	29.5	21.9	72.8
Tax	-8.0	-5.5	-7.5
Profit for the period	21.5	16.4	65.3
Earnings per share, SEK	1.17	0.89	3.54

Condensed consolidated balance sheet

SEK M	Mar. 31, 2008	Mar. 31, 2007	Dec. 31, 2007
Assets
Goodwill	92.8	99.6	98.8
Other fixed assets	29.6	22.2	28.7
Deferred tax assets	17.9	7.4	17.9
Current receivables	246.1	269.6	244.2
Cash and cash equivalents	129.6	114.1	111.4
Total assets	516.0	512.9	501.0
Shareholders equity and liabilities
Shareholders equity	306.0	293.7	293.6
Long-term liabilities	2.1	0.4	2.1
Current liabilities	207.9	218.8	205.3
Total shareholders equity and	liabilities 516.0	512.9	501.0
Pledged assets and contingent liabilities	0.2	1.2	0.2

Change in Group shareholders equity

	Jan-Mar	Jan-Mar
SEK M	2008	2007
Amount at the beginning of the period	293.6	275.4
New share issues	0	0
Translation differences	-9.1	1.9
Net profit for the period	21.5	16.4
Amount at the end of the period	306.0	293.7

Condensed cash-flow statement, Group

	Jan-Mar	Jan-Mar	Jan-Dec
SEK M	2008	2007	2007
Cash flow from operating activities	24.0	18.8	77.7
Cash flow from investing activities	-2.9	-2.0	-15.3
Cash flow from financing activities	0	0	-46.2
Cash flow during the period	21.1	16.8	16.2
Cash and cash equivalents on January 1	111.4	95.5	95.5
Exchange-rate differences in cash and cash equivalents	-2.9	1.8	-0.3
Cash and cash equivalents at the end of the period	129.6	114.1	111.4

Key ratios, Group

	Jan-Mar	Jan-Mar	Jan-Dec
SEK M	2008	2007	2007
Operating margin, %	7.8	6.3	5.2
Profit margin, %	8.2	6.5	5.4
Return on capital employed, %,
(12 month rolling basis)	26.9	28.8	25.6
Return on total capital, %,
(12 month rolling basis)	15.6	16.4	15.0
Return on shareholders equity, %,
(12 month rolling basis)	23.5	21.2	23.0
Equity/assets ratio, %	59.3	57.3	58.6
Share of risk-bearing capital, %	59.3	57.3	59.0
Average number of annual employees	2,100	2,103	2,136
Revenues per employee, SEK 000s	171	161	627
Average number of shares (000)	18,467	18,467	18,467
Number of shares outstanding (000)	18,467	18,467	18,467
Earnings per share, SEK	1.17	0.89	3.54
Shareholders equity per share, SEK	16.57	15.90	15.90

Parent Company s income statement, summary

	Jan-Mar	Jan-Mar	Jan-Dec
SEK M	2008	2007	2007
Net sales	5.5	2.5	9.9
Personnel costs	-4.4	-3.7	-16.6
Other costs	-4.5	-3.3	-9.6
Operating loss	-3.4	-4.5	-16.3
Financial items	0.3	5.9	10.5
Loss after financial items	-3.1	1.4	-5.8
Tax	0.9	1.2	5.6
Profit/loss for the period	-2.2	2.6	-0.2

Parent Company s balance sheet, summary

SEK M	Mar. 31, 2008	Mar. 31, 2007 Dec. 31, 2007
Assets
Participations in Group companies	128.2	128.2	128.2
Other fixed assets	7.4	-	-
Current receivables	115.7	112.9	116.8
Cash and cash equivalents	35.6	46.7	45.8
Total assets	286.9	287.8	290.8
Shareholders equity and liabilities
Shareholders equity	281.7	282.5	283.9
Current liabilities	5.2	5.3	6.9
Total shareholders equity and liabilities	286.9	287.8	290.8

Events after the close of the report period

The Annual General Meeting on April 14, 2008 approved a dividend of SEK 2.50 per share, of which SEK 1.50 is an extraordinary dividend. The resolution corresponds to total dividends of SEK 46.2 M. The Meeting also resolved in accordance with the Board s motion to authorize the Board to decide on the acquisition of the company s own Series B shares, which provides an opportunity for Poolia to use the redeemed shares as payment in any future company acquisitions.

Related-party transactions

There were no transactions with related parties that significantly affected the company s position and revenues during the period.

Forthcoming financial reporting dates

Interim Report January June July 18, 2008 at 1:00 p.m. Interim Report January September October 29, 2008 at 8:00 a.m. Year-end Report 2008 February 12, 2009 8:00 a.m.

Accounting principles

The interim report was prepared in accordance with IAS 34 and the Annual Accounts Act and for the Parent Company in accordance with the Annual Accounts Act. The consolidated accounts were prepared in accordance with IFRS. The same accounting principles and valuation methods were applied in this interim report as in the most recent annual report. As of this quarterly report, revenues and operating profit/loss for Poolia Finland and Poolia Denmark, which were earlier referred to as other Nordic countries, are reported separately.

Comparative figures for Poolia Finland and Poolia Denmark for 2007 are reported below.

Segment reporting, Other Nordic countries 2007

Revenues

	Jan-Mar	Apr-Jun	Jul-Sep	Oct-Dec
Poolia Finland	5.5	5.1	5.3	6.5
Poolia Denmark	5.0	4.3	3.1	3.6
Total	10.5	9.4	8.4	10.1

Operating profit/loss

	Jan-Mar	Apr-Jun	Jul-Sep	Oct-Dec
Poolia Finland	0.0	0.0	0.1	0.5
Poolia Denmark	0.3	0.2	-0.5	-0.1
Total	0.3	0.2	-0.4	0.4

Stockholm, April 24, 2008

Board of Directors

This interim report has not been reviewed by the company s auditors.

For further information, please contact:

Johan Eriksson, Managing Director and CEO, Tel: +46 (0)8-555 650 60 Mats Påhlson, Chief Financial Officer, Tel: +46 (0)8-555 650 20

Poolia AB (publ) Warfvinges väg 20 Box 30081 SE-104 25 Stockholm Tel: +46 (0)8-555 650 00 Fax: +46 (0)8-555 650 01 Corp. Org. No. 556447-9912 www.poolia.com