20 per cent growth for Ibas in 3rd quarter

- Ibas maintains the good growth performance achieved in the first half of 2004. All business areas have contributed to the growth, which is strongest outside Norway. The progress confirms Ibas' strategy of profitable growth, comments Bjørn Arne Skogstad, President and CEO of Ibas Holding ASA.

- It's also satisfying to report a 20.8 per cent EBITDA margin at a time when we have increased our commitment to sales and marketing. Our strategy of focusing on channel partners has already begun to yield results, says Skogstad.

Results

• Turnover increased by 20.3 per cent to NOK 25.4 million in the third quarter (2003: NOK 21.1 million). Turnover for the nine months to 30. September came to NOK 65.5 million (2003: NOK 55.1 million), - an increase by 19 per cent.
• EBITDA (earnings before interest, taxes, depreciation and amortisation) came to NOK 5.3 million in the third quarter (2003: NOK 4.7 million). EBITDA for the first nine months was NOK 10.2 million (2003: NOK 7.8 million).
• The EBITDA margin was 20.8 per cent in the third quarter (2003: 22.4 per cent), and 15.5 per cent for the first nine months (2003: 14.1 per cent).
• Pre-tax profit came to NOK 4.0 million in the third quarter (2003: NOK 3.8 million). Pre-tax profit for the first nine months totalled NOK 3.5 million (2003: NOK 5.1 million).
• Growth in all three business area, and in all important geographical regions.

NOK 0.4 milion was charged to the accounts in the third quarter for one-off costs relating to the stock market introduction. NOK 3.0 million in costs associated with the demerger from Norman ASA were charged to the Ibas accounts for the first half of 2004. Corrected for one-off costs, the EBITDA margin came to 22.4 per cent for the third quarter and 16.1 per cent so far this year.

Two important agreements
Ibas secured a contract during the quarter with Belfor International, one of the world's largest disaster recovery specialists. Covering Europe and Asia, this agreement commits Belfor to pass all data recovery assignments relating to water and fire damage to Ibas.
 
Through Siemens Business Services, Ibas was awarded a contract covering secure data erasure on all security-graded computers scrapped by the Norwegian defence forces over the next four years. The Norwegian defence forces, with their focus on data sensitivity and commitment to taking the security risk with redundant computers seriously, represent an important reference customer for Ibas.

Demerger
Ibas was demerged from Norman ASA and received a stock market listing on 20 August. This demerger gives the company big possibilities for expansion in a fragmented European market with consolidation opportunities. The demerger and the unique technology possessed by Ibas give the company a good basis for success with a growth strategy in Europe.

Capital position and prospects
Ibas increased its cash holding by NOK 2 million in the third quarter, and now has NOK 22 million in the form of cash. The equity ratio was 48.1 per cent per September as against 43.5 per cent per 1 January 2004.
 
The company will focus on profitable growth, and expects to maintain good earnings and a positive cash flow in the time to come.

Further information from:
Svein R Goli, chairman, Ibas AS, Phone: +47 33 46 77 90, mobile: +47 90 75 67 57
Bjørn Arne Skogstad, President and CEO, Ibas AS, Phone: +47 62 81 01 00,
Mobile: +47 48 14 90 70, e-mail: bjorn.arne.skogstad@ibas.no

Ibas is a world leader in the field of data recovery and erasure services. Computer forensics, which is a fast-growing market, is another important business area for the company. Ibas has a total of 82 employees, working at the main offices in Kongsvinger, Norway and in subsidiaries in eight countries - Sweden, Denmark, Finland, England, Germany, Poland, France and Singapore. The company also has distributors and agents in a number of other countries in Europe, Asia and America.