Nocom’s Year-end Report for 2004

Doubled operating profit, increased sales and offensive investments in growth Nocom closed the year 2004 in a convincing manner. The final quarter of the year was characterized by good sales in all countries, positive cash flow, and profitability. Operating profit for the year doubled in comparison with 2003, which was previously the company’s most profitable year. Moreover, sales increased by more than 40 percent. Nocom’s year-end report shows dramatically improved profitability for the company, with an operating profit of SEK 10 million. Stable profitability is necessary for Nocom’s offensive growth strategy. In May, Danish Tempest A/S was acquired, rapidly integrated with the group and is reporting profits. During the autumn, Nocom began expansion into the Baltic States. In December, Nocom submitted a public bid for the acquisition of two IT companies listed on the Stockholm Stock Exchange’s O-List, – TurnIT and IAR Systems. “We’ve reached our goal for 2004 – to grow profitably. We’ve succeeded in combining successful business operations with strong expansion," says Stefan Skarin, CEO at Nocom. “I'm looking forward to the new exciting phase we’re now entering, with the planned merger with TurnIT and IAR Systems." 2003 in brief: - Sales increased by 41 percent and amounted to SEK 214.2 (151.5) million, of which SEK 72.1 (52.9) million is attributable to the fourth quarter. - Operating profit amounted to SEK 10.2 (5.2) million, of which SEK 3.2 (2.4) million is attributable to the fourth quarter. Profit after tax totaled SEK 22.2 (3.3) million, of which SEK 18.0 (1.8) million is attributable to the fourth quarter Earnings per share totaled SEK 0.72 (0.12), of which SEK 0.56 (0.06) is attributable to the fourth quarter - The growth binds more capital, which burdened cash flow, primarily during the first half of the year. Cash flow from current operations amounted to SEK -7.5 (1.7) million because of an increase in operating capital. Cash flow was positive in the fourth quarter, totaling SEK 5.7 (5.4) million. For further information please contact: Stefan Skarin CEO, Nocom Mobile phone: 0708 – 65 10 05 E-mail: stefan.skarin@nocom.se Stefan Ström Chief Financial Officer, Nocom Mobile phone: 0708 – 65 10 68 E-mail: stefan.strom@nocom.se