Catella AB - Interim Report Q2 2012, 1 January - 30 June 2012

Second quarter of 2012, April – June

  · Net sales in the first quarter totalled SEK 210 M (261). Excluding invoiced
direct assignment costs and commission, income amounted to SEK 161 M (203).
  · Profit before tax for the quarter amounted to SEK -3 M (11) and profit after
tax was SEK -3 M (19).
  · Earnings per share for the quarter amounted  to SEK -0.05 (0.23).
  · Corporate Finance recognised net sales of SEK 85 M (129). Excluding
invoicing for assignment costs and commission, income amounted to SEK 80 M
(109). The result before tax was SEK -1 M (9).
  · Asset Management recognised net sales of SEK 124 M (133). Excluding
invoicing for assignment costs and commission, income amounted to SEK 78 M (93).
Profit before tax amounted to SEK 2 M (3).
  · In June 2012, Catella made the decision to discontinue the divestment
process for the subsidiary Banque Invik with the aim of integrating the bank
into Catella’s operation.

First half of 2012, January – June

  · Jet sales for the first six months of the year totalled SEK 431 M (454).
Excluding invoiced direct assignment costs and commission, income amounted to
SEK 336 M (335).
  · Profit before tax amounted to SEK 7 M (7) and profit after tax was SEK 3 M
(15).
  · Earnings per share for the quarter amounted  to SEK 0.03 (0.18).

CEO's Comment

Following the first quarter of 2012, during which some optimism arose in the
financial markets, the second quarter was marked by recurring macroeconomic
turmoil and continued credit crunch in the banking sector. This had a general
negative impact on Catella’s earnings during the quarter, entailing lower
transaction volume than normal and a result before tax of SEK -1 M for Corporate
Finance. Assets Management generated lower performance-based earnings compared
with the first quarter and recognised a result before tax of SEK 2 M in the
second quarter. Overall, the Group generated a result before tax of SEK -3 M
during the second quarter.

At the same time, the difficulties in the financial markets are creating new
business opportunities in the financial area. The decision to retain and
integrate Banque Invik in Catella should be viewed against this background.

In Banque Invik, Catella has control of a full-scale bank with a profitable card
operation, combined with wealth management operations with development
potential. The bank also has a strong balance sheet and lending potential.
Consequently, it is the right decision for Catella to develop the existing
banking operation and capitalise on the opportunities offered in a banking
market under change. Our assessment is that the future Catella Bank will
strengthen Catella’s customer offering, improve profitability and thus generate
greater shareholder value. This is will be achieved by cultivating the existing
business opportunities in the bank’s card operation, strengthening Assets
Management by improving operational and administrative coordination between the
operations in Luxembourg and Sweden, and by establishing specialised lending
activities in collaboration with Catella’s transaction operations, primarily in
the property area.

Work to capitalise and integrate the bank into Catella has commenced and the
measures implemented to date have generated positive effects. This applies to
measures aimed at strengthening and developing the business operation, as well
as cost-saving activities. However, some of the measures have generated initial
costs which will be charged to earnings in the second half of 2012, such as for
premises in Luxembourg, where the bank is bound by an old contract with a
remaining lease period of five years. Intense work is in progress to reduce the
costs.

Disregarding the general macroeconomic uncertainty, Catella is facing a very
exciting autumn. In Corporate Finance, we see a number of business opportunities
in the transaction area and in an increasingly broader service offering in the
financing area. Asset Management is expanding and we are focusing on developing
its product programme and structure, while the cost level in some sections of
the business is under review. In addition, new opportunities will be generated
by the creation of Catella Bank.

Johan Ericsson, CEO Catella


For more information, please contact:
Johan Ericsson
Chief Executive Officer, Catella
46 8 463 33 10
Press contact:
Viktoria Ejenäs
Communications Officer, Catella
46 8 463 33 34, 46 72 726 33 34
About Catella: Catella offers specialised financial services and products within
selected market segments. Catella has 430 employees in 12 European countries
within two operating segments; Corporate Finance and Asset Management. Catella
is listed on Nasdaq OMX, First North Premier and the share is traded under the
abbreviations CAT A and CAT B. Remium AB is Catella’s Certified Adviser, 46 8
454 32 00. Read more about Catella at www.catella.com.