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M A K E Y O U R N E T W O R K S M A R T E R Video growth despite negative currency effects Year-end summary 2003 Ray Mauritsson, CEO.

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Presentation on theme: "M A K E Y O U R N E T W O R K S M A R T E R Video growth despite negative currency effects Year-end summary 2003 Ray Mauritsson, CEO."— Presentation transcript:

1 M A K E Y O U R N E T W O R K S M A R T E R Video growth despite negative currency effects Year-end summary 2003 Ray Mauritsson, CEO

2 Agenda 2003 summary and Axis today Network video: growth in security Technology: trends and outlook

3 Axis two main product areas Network Video Products Worldwide #1 position Axis largest product area, 57% of sales An installed base of more than 300,000 units Network Print Servers Worldwide #2 position 35% of Axis´ sales An installed base of more than 2,000,000 units

4 Financial performance 2003 Net sales: SEK 624 M (670) Currency effects had a negative impact of SEK 71 M Operating profit: SEK 1 M (40)

5 Financial highlights 2003 Growth for Video Decreased sales within Print Currency effects Weakened gross margin Cost-savings program 14 new patents

6 Video sales development

7 Gross margin

8 Q Continued growth within Video, + 23% Weakened sales for Print New generation video products launched

9 Sales Q1, % Print 28% Scan & Store 3% Access and other 5% Video 23% 26% 51% Asia Americas EMEA

10 Market size & forecast IMS Research, The EMEA market for CCTV and Video Surveillance Equipment Video servers Network cameras Factory revenue million Axis market share in EMEA today: Network cameras: 59.8% Video servers: 35.4%

11 Year 2003 – Success cases in all verticals Car park security in Japan Childcare Cam at Singaporian daycare center Surveillance in Newport School,UK Increased safety at Guernesey College, UK Surveillance Solution at Dutch School Security cams at 70 bank offices in France Safety for Danish bank Security in Italian Retail stores Swedish monitoring concept in shops Car park security in Germany Cameras help UK police cut crime Security solution to New Zealand penitentiary Security at Sydney Airport Remote Monitoring Solution to New York State Unified Court System IP based security in Texas school district, US Missouri school district implements Network Video Network Video improves patient care, Visicu,US Axis´network products for U.S federal prison Advanced network surveillance solutions to Washington, DC Police Car park security in Japan Childcare Cam at Singaporian daycare center Surveillance in Newport School,UK Increased safety at Guernesey College, UK Surveillance Solution at Dutch School Security cams at 70 bank offices in France Safety for Danish bank Security in Italian Retail stores Swedish monitoring concept in shops Car park security in Germany Cameras help UK police cut crime Security solution to New Zealand penitentiary Security at Sydney Airport Remote Monitoring Solution to New York State Unified Court System IP based security in Texas school district, US Missouri school district implements Network Video Network Video improves patient care, Visicu,US Axis´network products for U.S federal prison Advanced network surveillance solutions to Washington, DC Police

12 Customer segments Retail Bank Transportation Government Education Industrial

13 Benefits of network video Remote access to video from any location Low start-up and operating costs Flexible and scalable solutions based on open standards ¬ Integration possibilities A technology shift driving growth

14 Axis compared with the competition Dedicated to IP solutions Global coverage Widest range Own technology Over 150 ADP partners

15 Axis competitive advantage Own ASIC and compression chip ¬ Performance, image quality and lower cost ¬ ETRAX and ARTPEC Experience ¬ 9 years of imaging experience ¬ 20 years of networking experience Only open standards

16 Trends - Technology Smart cameras and integrated systems New technology is opening up possibilities in image quality and functionalities Examples: ¬ Megapixel ¬ Pictures scalable to any format ¬ License plate recognition ¬ Digital PTZ

17 New generation video products Aggressive road map New compression techniques Higher resolution Full frame rate Built-in wireless solution Power over Ethernet Dome cameras

18 The future of network video Accelerating technology shift Unlimited possibilities in addition to security solutions New applications

19 Visicu – eIC

20 Strategic direction Maximize the video opportunity Protect the printing business Nurture new ideas for future growth

21 Outlook 2004 Continued growth potential for Video Accelerating technology shift An aggressive product road map Restrained development for Print Well positioned for profitable growth


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