Focused work resulted in a successful year

Annual General MeetingRay Mauritsson, President & CEO

The agenda

•Summary 2006

•First Quarter, 2007

•Outlook

Financial performance, 2006

•Total sales 1 202 MSEK (895)

Growth 34%

Currency effects –10 MSEK

•Video sales 1062 MSEK (733)

Growth 45 %

MSEK Growth

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140%

Video sales Video growth

Total growth

EBIT, 2006

•Gross margin 54.8% (54.0%)

•Operating margin 18.6% (14.3%)

•Profit margin 18.5% (14.2%)

MSEK Margin

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EBIT Gross margin EBIT margin

Sales in the product areas

Full year 2007

Video growth +45% Print growth -30 % Scan & Other +69 %

Sales in the regions

* Full year 2006

Americas + 42 % EMEA + 44% Asia - 9 %

Growth in the regions

Worldwide organization

SwedenHQ

Singapore

France

Nordics, EE& Russia

UK

China

Australia

Korea

Taiwan

San Diego

Canada

SouthAmerica

Boston

Spain &Portugal

Germany

Italy

Middle East& Africa

Japan

South Africa

Global distribution, sales and education

Distributors

Resellers System integrators

End user

Technology leadership

•15-20% continuous investment in R&D

•In-house developed ASIC technology ETRAX for networking

ARTPEC for network video functions

•Innovative network solutions 1991 First to introduce a multi-protocol print server

1996 First to introduce a network camera

•Open standards

The market’s broadest video portfolio

Fixed cameras Domes & PTZs Video servers Management SW

AXIS 223MAXIS 221AXIS 225FDAXIS 216FD AXIS 216FD-VAXIS 211 and 211AAXIS 210 and 210AAXIS 207 and 207W AXIS 207MWAXIS 206AXIS 209FD-R

AXIS 232D+AXIS 231D+AXIS 214 PTZAXIS 213 PTZAXIS 212 PTZAXIS 233D

AXIS 243SAAXIS 243Q BladeAXIS 291 1U RackAXIS 242S IVAXIS 214QAXIS 241QAAXIS 247SAXIS 241Q & BladeAXIS 241S & 241SAAXIS 241S BladeAXIS 240Q & BladeAXIS 250S & Blade

ACSACM

ADP > 400 Partners

Customer segments

•Banking & Finance

•Education

•Government

•Industrial

•Retail

•Transportation

Customer segment – Transportation

•Press releases, April, June & September, 2006 Close to 2000 network cameras total to be

installed in commuter & train stations in Stockholm, AXIS 225FD

10,000 network cameras on Stockholm buses, AXIS 209FD-R

•Press release February, 2007 Approx 1000 network video products

installed in Moscow underground

Potential for further installations

Customer segment – Retail

•Target, USA

•Hughes & Hughes, Ireland

•IKEA, Holland

•Citgo, USA

•Hugo Boss, France

•The Grape Group, Australia

•SAKS 5th Avenue, Dubai

The AXIS STS system

Sales January - March, 2007

•Total sales 338 MSEK (257)

Growth 32%

Currency effects -26 MSEK

•Video sales 309 MSEK (220)

Growth 41 %

MSEK Growth

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140%Video sales

Video growthTotal growth

EBIT January – March, 2007

•Gross margin 55,1 % (53,8 %)

•Operating margin 19,7% (14,8 %)

•Profit margin 19,6% (14,7 %)

MSEK Margin

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80%EBIT

Gross margin

EBIT margin

Sales Q1, 2007

Print6 %

Print6 %

Video91 %Video91 %

Americas42 %

Americas42 %

EMEA48 %

EMEA48 %

Asia10 %Asia10 %

Scan & other 3

%

Scan & other 3

%

*Q1 2007

Growth of the global market

Growth10%

CCTV

Growth40%

NetworkVideo

Future outlook, Axis goals

•Focused product range Aggressive product development

Intelligent solutions

•Focused business model Channel partnerships

•Focused companyMarket leadership

Professional Network Video