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Interim report January – June 2010

Read the January-June 2010 interim report of Axis, a global IT company specializing in network video solutions, focusing on sales growth, market insights, and strategic developments. Explore key financial highlights, operational margins, regional sales data, employee growth, and marketing activities. Discover the company's position in the industry, partnerships, product offerings, and global market trends. Stay informed and ahead with Axis, the leader in network video solutions.

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Interim report January – June 2010

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  1. Interim reportJanuary – June 2010 Ray Mauritsson, CEO & PresidentFredrik Sjöstrand, CFO

  2. This is Axis • Founded in 1984 • IT company driving the network video market • Focused on Network Video Solutions • Global partnerships through distributors, resellers and system integrators • Worldwide presence in more than 30 countries,850 employees* • Listed on NASDAQ OMX, Nordicunder the ticker AXIS Axis Headquarter, Lund, Sweden * June, 30, 2010

  3. Highlights, April – June 2010 • Very strong close of the second quarter • Margin affected by • Project pricing • Strategic price list adjustments • Currency effects • High recruitment rate

  4. MSEK Growth Sales • January - June • 1 321 MSEK (1 074) • Growth 23 % • Currency effects, -135 MSEK • April – June • 678 MSEK (542) • Growth 25 % • Currency effects, -52 MSEK

  5. MSEK Currency effects on total sales by region

  6. MSEK Operating expenses Q1 2007 – Q2 2010

  7. MSEK Margin Margins* • Gross margin* • 50,0% (54,7%) • Operating margin • 10.9% (8.6%) • Profit margin • 10,8% (8.5%) *Q2 2010

  8. Sales in the regions* Americas EMEA Asia 52% 39% 9% *Q2 2010

  9. Axis hiring 2002 – 2010 (Q2) Employees +20 Q2

  10. Continued high interest in government and transportation Siciliana MunicipalitiesItaly Azteca Subway, Mexico UTV.huHungary Marshfield Police, USA

  11. Axis offering in outdoor surveillance • Reliable surveillance, in tough operating conditions • Wide range of outdoor ready Axis network cameras • Easy to install • Efficient packaging and logistics

  12. Marketing activities in Q2 • Participation in trade shows • ISC West, US • IFSEC, UK and South Africa • ISC, Brasil • Transrussia, Russia • EXPO 2010, Shanghai • Partner events and training • Numerous a day • Total number of partners • 33.000

  13. ONVIF – Open Network Video Interface Forum • An open industry forum • Global standardization creates new possibilities for end-users, integrators and manufacturers • More than 200 members • More than 170 conformant products released by members • ONVIF extending the scope • Access control www.onvif.org

  14. The market situation today Short-term perspective • Continued expansion • Product portfolio • Partner program • Recruitment • Competition • General component situation unchanged Long-term perspective • High growth potential for network video • Axis’ goals remain unchanged

  15. Get the Axis picture. Stay one step ahead. leader Axis competence worldwide HDTV convergence open network video camera intelligent easy installation megapixel Thank you! partner network innovation outdoor safe environment global leader ease of use protect integration image usability focus H.264 video encoder thermal

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