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Focus on expansion of product portfolio and recruitment January- March 2008

This presentation provides an update on Axis' financials, market expansion, and product portfolio from January to March 2008. It includes a focus on recruitment, global partnerships, and the introduction of new video surveillance solutions.

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Focus on expansion of product portfolio and recruitment January- March 2008

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  1. Focus on expansion of product portfolio and recruitmentJanuary- March 2008 Ray Mauritsson, CEO & President Fredrik Sjöstrand, CFO

  2. This is Axis • Founded in 1984 • IT company driving the network video market • Worldwide presence in 18 countries,600 employees* • Product areas: • Network Video Solutions • Network Print Servers • Global partnerships through distributors, resellers and system integrators • Listed on OMX Nordic Exchange, Stockholm Large Cap and Information Technology * March, 31.

  3. Today's agenda • Financials • Market & Product update • Outlook

  4. MSEK Growth Sales January – March 2008 • Total sales • 438 MSEK (338) • Growth 29% • Currency effects - 16 MSEK • Video sales • 409 MSEK (309) • Growth 32%

  5. MSEK Operating expenses, Q1, 2007- Q1, 2008

  6. MSEK Margin EBIT and Gross margin* • Gross margin • 55,4% (55,1%) • Operating margin • 15,7% (19,7%) • Profit margin • 15,6% (19,6%) *Q1 2008

  7. Sales in the product areas* Video Print & Scan Other 93% 6% 1% *Q1 2008

  8. Sales in the regions* Americas EMEA Asia 40% 50% 10% *Q1 2008

  9. Currency effects on total growth, percent

  10. Global distribution and sales Distributors System integrators Resellers End users

  11. A new world of video surveillance • AXIS P3301 • AXIS Q7401 • AXIS Q7406 • AXIS Q7900 • ACS 3.0

  12. ARTPEC-3

  13. Emerging market trends Megapixel Compression Intelligence

  14. H.264 – the ultimate video compression H.264 compression (example savings) MotionJPEG MPEG-4 Part 2 H.264 Bandwidth & storageconsumption 50% 80% Bandwidth & storageconsumption Bandwidth & storageconsumption

  15. 3x the performance (60 Mpixel/sec) Mpixel/sec

  16. The market’s broadest video portfolio Fixed cameras Domes & PTZ Video encoders Software AXIS 223M AXIS 221 AXIS 225FD AXIS 216MFD/216MFD-V AXIS 211M AXIS 216FD/216FD-V AXIS 211W AXIS 211/211A/ AXIS 210/210A AXIS 209FD-R AXIS 209FD/209MFD AXIS 207MW AXIS 207/207W AXIS 206 AXIS 233DAXIS 232D+ AXIS 231D+ AXIS 214 PTZ AXIS 213 PTZ AXIS 215 PTZAXIS 212 PTZ/PTZ-V AXIS 243Q AXIS 243SA AXIS 241QA AXIS 241Q AXIS 241S AXIS 247S AXIS 240Q AXIS 291 1U Rack AXIS 3U Rack AXIS Camera Station AXIS Camera Management ADP > 500 Partners Accessories Video Recorder AXIS 262+ NVR

  17. Market shares for network cameras in 2006 Source: IMS Research

  18. Customer segments • Retail store, US • Airport, Hong Kong • Schools in Midwest, US • Retail stores, Ireland • Industrial, China • Cruise line, US • Gas station, Japan • Hospitals, US • Government, US • Finance house, Kuwait • Trains, Norway

  19. Network Video Surveillance – worldwide Revenue in $M +33% +33% +38% +40% +42% Source : IMS Research

  20. Future outlook, Axis goals • Focused product range • Aggressive product development • Intelligent solutions • Focused business model • Loyalty in channel partnerships • Focused company Market leadership Professional network video

  21. Questions & Answers Q&A

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