Intoi’s strategy is to focus on IAR Systems and distribute Deltaco to the shareholders. Deltaco is therefore reported in distributed operations. To reflect the new focus, Intoi intends to change its name to IAR in connection with the Annual General Meeting on 3 May 2011.

Total consolidated operating profit rose from SEK 5.5m to SEK 25.0m and earnings per share strengthened from SEK 0.17 to SEK 1.88 for the full year. This improvement was achieved despite one-time costs of SEK 8.3m for a new group structure in the fourth quarter and a foreign exchange effect of SEK -8.8m on operating profit for the full year due to appreciation of the Swedish krona.

IAR Systems ended 2010 on a high note with growth of 17% in net sales to a new record level of SEK 48.0m and an increase of 19% in operating profit to SEK 6.2m for the fourth quarter. For the full year, operating profit rose by 26% to SEK 22.5m despite foreign exchange effects of SEK -7.7m owing to a higher Swedish krona rate. Thanks to successful product launches and sales activities, net sales in local currency were up by 19% in the USA, 20% in Europe and 28% in Japan for the full year. IAR Systems has a very strong position as an independent supplier of development tools for microprocessors from all chip vendors, particularly for the most advanced systems (often based on ARM technology). The company’s new technology for energy-efficient programming has been a major success among the customers.

Northern has an advanced and award-winning technology and a list of customers that includes some of the world’s most well known and demanding organisations. Net sales for the fourth quarter reached SEK 17.9m and the company reported a modest operating profit. In January 2011, Jonas Areskoug was appointed as the new President to drive sales and more effectively leverage the company’s technology and position.

Deltaco reported its highest net sales of all time for both the full year and the fourth quarter. Net sales rose by 8% for the full year and by 7% to SEK 107.7m for the fourth quarter. Operating profit was SEK 32.3m for the full year and SEK 7.9m for the quarter. Arne Myhrman has taken over as the new Chairman ahead of the process of listing the company on First North in the second quarter of 2011.

Intoi has a solid financial position, with equity per share of SEK 54.16, an equity/assets ratio of 80% (80), cash and cash equivalents of SEK 25.1m and an unutilised bank overdraft facility of SEK 40.4m. In the fourth quarter we invested in IAR Systems and amortised certain interest-bearing loans. The Board of Directors does not intend to propose any cash dividend in addition to the distribution of Deltaco.

The target for 2010 was for operating profit to exceed the level in 2008 (SEK 32.3m). Total consolidated operating profit, adjusted for one-time costs for the new group structure, amounted to SEK 33.3m. The Board has chosen not to make any forecast for 2011.

Stefan Skarin