Interim report January 1-June 30, 2008

Interim report January 1-June 30, 2008

Stable growth despite turbulent markets
Net revenue continued to improve and rose by SEK 19.6m, or 16%, compared to Q2
2007. Recurring revenue increased by SEK 24.8m, equal to 24%, and now makes up
93% of net revenue.

The annualized value of existing customer contracts grew by SEK 20.5m compared
to Q1 2008. Of the increase, Orc's operations in Asia Pacific accounted for SEK
9.6m, or 47%.

The level of reductions in existing customer contracts was lower than in the
prior quarter.

The annualized value of existing customer contracts at the end of Q2 2008 was
SEK 517.2m (433.7), up by SEK 83.5m, or 19%, compared to Q2 2007. On a fixed
exchange rate basis, the increase was SEK 115.3m, or 27%.
April-June 2008
•	Net revenue of SEK 138.8m (119.3)
•	Revenue growth of 16% (11) 
•	Operating income of SEK 27.3m (26.8) 
•	Operating margin of 20% (22) 
•	Income after tax of SEK 17.7m (20.9) 
•	Basic earnings per share of SEK 1.17 (1.33) 

January-June 2008
•	Net revenue of SEK 275.3m (238.2)
•	Revenue growth of 16% (22)
•	Operating income of SEK 48.4m (56.9)
•	Operating margin of 18% (24)
•	Income after tax of SEK 32.9m (41.7) 
•	Basic earnings per share of SEK 2.16 (2.72) 

CEO Thomas Bill comments:
Orc has continued its stable expansion in spite of the global credit crunch, and
achieved growth of around SEK 20m in the order book during Q2. It is highly
satisfying that sales have widely outpaced total customer contract reductions, a
sign of strength in view of the turmoil that has plagued the financial markets
in recent quarters. 

Our solutions for trading and connectivity are benefiting from strong growth in
derivatives trading, ongoing automation and expanding trading volumes.

Geographically, Asia Pacific was the top regional performer and posted the
strongest order book growth of all regions during the quarter. In recent years
Orc has established a position as a global company with a significant presence
in the international financial markets, which has reduced dependency on the
European region. 

Our business model based predominantly on recurring revenue also contributes to
good stability. Recurring revenue now makes up more than 90% of our total
revenue and this share is rising further. 

Despite unrest in the financial markets, we look forward to the second half of
2008 with confidence.

For the full year 2008 we expect to increase both our revenue and order book
compared to 2007. 


About Orc Software
Orc Software (SSE: ORC) is the leading global provider of powerful solutions for
the worldwide financial industry in the critical areas of advanced derivatives
trading and low latency connectivity. Orc's competitive edge lies in its depth
of knowledge of the derivatives trading world gained by deploying advanced
solutions for sophisticated traders for over 20 years.

Orc Trading and Orc Connect provide the tools for making the best trading and
connectivity decisions… strong analytics, unmatched market access, powerful
automated trading functionality, high performance futures and options trading
capabilities, ultra-low latency, and risk management.

Orc's customers include leading investment banks, trading and market-making
firms, exchanges, brokerage houses, institutional investors and hedge funds. 

Orc provides timely sales and quality support services from its offices across
EMEA, Americas and Asia Pacific. 
For more information, please visit www.orcsoftware.com


Contact Information 
CEO Thomas Bill, phone: +46 8 506 477 35
CFO Anders Berg, phone: +46 8 506 477 24