Net sales during the year amounts to SEK 1 847.1 million. Operating profit for the same period increase by 15 per cent to SEK 226.1 (196.5) million. During the fourth quarter net sales amounts to SEK 491.3 (507.1) million, operating profit increases by 1 per cent to SEK 61.5 (61.2) million and operating margin increases to 12.5 (12.1) per cent. Cash flow for the fourth quarter of the year amounts to SEK 49.3 million and liquid assets total SEK 188.1 million. At the end of the quarter we are 1 560 employees at HiQ. The Board of HiQ proposes a dividend of SEK 3.40 per share, totalling SEK 190 million. During the second quarter, as announced earlier, we divested our holding in Westend Affärscentrum Oy, which is our former office space in Finland. The divestiture generated a profit of SEK 22.8 million.

“During 2019 we increase the profit and margin and deliver a continuous strong cash flow. Also during the fourth quarter we increase profit, margin and cash flow. We have a strong cash position and more employees during Q4 compared to Q3. Including our real estate disposal in Finland, we pass SEK 225.9 million in profit for the whole year – thus more than we ever did before”, says Lars Stugemo, President and CEO of HiQ.

JANUARY – DECEMBER 2019

Net sales amounts to SEK 1,847.1 (1,852.7) million
Operating profit (EBIT) increases to SEK 226.0 (196.5) million – an operating margin of SEK 12.2 (10.6) per cent
EBIT includes realisation gain from the divestment of shares in Westend Affärscentrum with SEK 22.8 million
Pre-tax profit increases to SEK 224.1 (197.4) million
Profit after tax increases to SEK 176.3 (151.9) million
Earnings per share, before dilution increases to SEK 3.16 (2.73)
Cash flow from operations increases to SEK 232.2 (167.4) million
Liquid assets increases to SEK 188.1 (183.5) million
The Board proposes a dividend of SEK 3.40 per share, totalling 190 million.
OCTOBER – DECEMBER 2019

Net sales total SEK 491.3 (507.1) million
Operating profit (EBIT) increases to SEK 61.5 (61.2) million – an operating margin of SEK 12.5 (12.1) per cent
Pre-tax profit increases to SEK 60.4 (61.1) million
Profit after tax increases to SEK 46.6 (46.9) million
Earnings per share, before dilution increases to SEK 0.83 (0.84)
Cash flow from operations increases to SEK 49.3 (61.1) million
SIGNIFICANT EVENTS DURING THE YEAR
Q4

Saab broaden its collaboration with HiQ and signs new framework agreement for IT services
SVT signs framework agreement with HiQ for IT consultancy services within system development
HiQ wins framework agreement with Telenor Connexion
HiQ simplifies local referendum in Helsingborg, by creating digital support for printing poll cards on site
HiQ develops platform for influencer marketing for the company Valuefication
HiQ is announced as one of Sweden’s Career companies for the year 2020
Q1, Q2 & Q3

The Swedish Tax Agency names HiQ as the winner in its procurement of contracted IT Application services
Orkla Foods chooses HiQ as digital partner to develop future digital solutions
The Swedish Armed Forces (Försvarsmakten) names HiQ as a winner in the procurement for consultant services within the area of digital channels
HiQ and Scania develop a mobile solution that gives Scania customers faster assistance during unscheduled downtime
HiQ develops a mobile solution for ST1-owned service station chain Shell in Norway for coffee subscriptions
Lähitaksi chooses HiQ to simplify taxi travel in Finland
Taxi Stockholm partners with HiQ to develop new digital services
AWA enhances partnership with HiQ and choose HiQ’s integrations platform Frends
HiQ helps SKL make healthcare services more efficient by using AI
Procurator choose HiQ and Frends for system integration
Swedish Automobile Sports Federation chooses HiQ as digital partner
HiQ helps Sixt to launch a completely new service for corporate customer’s long-term car rental
HiQ develops software for tech start-up InviSense’s smart moisture scanners
The Annual General Meeting approves a shareholder’s dividend of SEK 3.35 per share, corresponding to a total pay-out of approximately SEK 187 million
Helena Forsmark is new managing director of HiQ’s subsidiary HiQ Stockholm from 5 April 2019
Ann Hellenius is appointed as a new member of the Board of Directors of HiQ
HiQ moves to a new head office at Katarinavägen 15 at Södermalm in Stockholm
HiQ divests holding in Westend Affärscentrum Oy in Finland
HiQ Sailing Team wins the 2019 ÅF Offshore Race and sets a new epic course record
SIGNIFICANT EVENTS AFTER END OF THE REPORTING PERIOD

HiQ lands new contract and ramps up partnership with Epiroc
HiQ, as employer, is ranked best in industry among IT consulting companies by market insight company Universum

For detailed information on the outcome for the period, please see the year-end report attached to this press release.

This information is information that HiQ International AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person above, at 07.30 CET on 29 January 2020.

HiQ lands new contract to develop new software for global mining and infrastructure machinery manufacturer Epiroc. "We're really excited about this deal. Epiroc is a world-leading manufacturer for the mining industry and like us, innovation is at the top of their agenda. We're very familiar with this kind of software development, it's a core part of our business. But I think our work with Epiroc clearly boosts Sweden's competitive edges for heavy industry," says Lars Stugemo, President and CEO of HiQ.

The mining industry is, to a great extent, the backbone of Swedish industry, and the minerals and metals that are extracted are necessary to modern society. At the same time, like all industries in the Nordics, the challenge is to increase efficiency both sustainably and safely. New technologies like autonomous vehicles, remote control and battery operation are important to future development. Swedish company Epiroc is a leading global productivity partner to the mining and infrastructure industry, developing drilling rigs, and mining and construction equipment with a strong focus on innovation and digital development.

“We’ve been working with Epiroc for many years, and I’m both happy and proud that we’re now increasing our collaboration further. It’s proof that we deliver high quality,” says Anders Nilsson, Managing Director of HiQ Mälardalen.

Epiroc and HiQ are now increasing their software development collaboration. In addition to previous undertakings, HiQ is delivering two complete development teams to Epiroc’s development site in Örebro. The teams will focus on developing software for embedded systems in mining machines used both above and below ground.

“I’m really pleased about this collaboration. HiQ’s ability to quickly deliver two entire development teams was crucial to this deal and will enable us to maintain our high pace of development. It will help us take advantage of today’s rapid technology development,” says Jörgen Appelgren, VP of Automation & Technology Products at Epiroc.

The City of Helsingborg goes to the polls on 12 January to vote on whether the city should continue to be the majority owner in energy company Öresundskraft. HiQ is contributing to the democratic process by creating digital support for printing poll cards for the referendum on site. “This is an assignment that is extra close to our hearts. Being able to deliver a fast, flexible, secure solution that enables this is completely in line with our ambition to simplify things for people by using technology,” says Anna Kleine, Managing Director of HiQ in Skåne

For national elections in Sweden you can vote without your physical poll card and you can always get a duplicate poll card printed at the polling station. But the conditions are different for local elections.

“When there’s a referendum that’s not linked to a general election, we can’t use the election authority’s IT system. That’s why HiQ has helped us develop one locally,” says Cecilia Holm, Election Coordinator for the City of Helsingborg.

Through the application that HiQ has created, a person who wants to vote can enter their personal ID number and show identification on site. A search is done in the electoral register and a duplicate poll card is generated and printed – quickly and easily.

“We want to make it as easy as possible for our citizens. Being able to vote even if you’ve lost your poll card or if you spontaneously want to vote early at one of our polling stations and don’t have your poll card with you is a matter of accessibility,” says Cecilia Holm.

“Our local presence in the city, where many of our own employees work and live, of course makes it extra nice for us to contribute in this way,” says Anna Kleine.

The referendum will be held on 12 January, with the opportunity to vote early as from 2 January.

HiQ has developed Valuefication’s platform for influencer marketing, which is now being launched to companies and influencers in the global market. Valuefication’s vision is to create a tool that can help communicators and marketers work more effectively with influencer marketing and gain control over the actual impact of marketing. “This is an incredibly exciting project and company to work with. We have long talked about the impact of digitalisation on marketing and this is a great example. Digital technology makes marketing more efficient and more accurate,” says Jerker Lindstén, Managing Director of HiQ Gothenburg.

What has happened lately in influencer marketing is that it is going from a few big influencers to many smaller ones, which requires more when it comes to measuring the impact of their investments. This is something that can be solved with digital technology. In close collaboration between Valuefication’s development team and a HiQ development team, they have built a tool that will help marketers and communicators around the world create campaigns that offer completely new opportunities to measure and evaluate the work done in digital channels.

“We couldn’t find a good tool that really evaluated authenticity, value and influence online for brands and influencers, so we created it together with HiQ,” says Susanne Lundberg Gulickx, CEO of Valuefication.

Companies and agencies pay to use the service, while influencers can join for free. In December, a beta version of Valuefication’s platform will be released to influencers as well as a group of selected test customers, and as from the start of 2020 the service will be available to everyone.

“We are convinced that this is a tool needed in the market. So far, companies and agencies have been forced to rely too much on assumptions and gut feelings, but with Valuefication, they will be able to support their decisions with real data,” says Jerker Lindstén at HiQ.