Brock comments on Atlas Copco’s Q1 results 2006

April 27, 2006

Stockholm, Sweden, April 27, 2006: Today Atlas Copco reported a first quarter with sales and profits on record levels. “All business areas have achieved strong results in all geographical regions and in all customer segments, basically without exception,” says Gunnar Brock, President and CEO.
“It is a real achievement to be able, on top of an already very profitable operation, to increase our operating profits with yet another 63%.”  Order intake for the Atlas Copco Group in total increased 39%, to MSEK 16 614 (11 990) in the first quarter, an increase of 22% in volume for comparable units. Revenues were MSEK 14 863 (11 168), up 17% in volume. Operating profit totaled MSEK 2 771 (1 695), a margin of 18.6% (15.2). Profit before tax improved 52% to MSEK 2 606 (1 709).  During 2005 Atlas Copco increased its investment in R&D and product development. This trend is continuing in 2006. “We are accelerating the introduction of new products, and the increased market presence and penetration through more feet on the street is clearly paying off.”  The near-term demand outlook for Atlas Copco’s products and services is expected to remain at the current high level from all major customer segments. “The construction industry, among others, is developing well which is benefiting our ranges of construction tools, surface drilling equipment, portable compressors, and equipment rental.”  The process of divesting the construction equipment rental business is proceeding according to plan. For further information please contact:  Mattias Olsson, Investor Relations Manager  +46 (0)8 743 8291 or +46 (0)70 518 8291  Annika Berglund, Senior Vice President Corporate Communications  +46 (0)8 743 8070 or +46 (0)70 322 8070 Atlas Copco is a world leading provider of industrial productivity solutions.  The products and services range from compressed air and gas equipment, generators, construction and mining equipment, industrial tools and assembly systems, to related aftermarket and rental. In close cooperation with customers and business partners, and with more than 130 years of experience, Atlas Copco innovates for superior productivity. Headquartered in Stockholm, Sweden, the Group’s global reach spans more than 150 markets. In 2005, Atlas Copco had 27 000 employees and revenues of BSEK 53 (MEUR 5 600).  Learn more at www.atlascopco.com.