On 18 December 2003 the Board of Per Aarsleff A/S has adopted the Annual Report for the period 1 October 2002 – 30 September 2003. The consolidated profit for the year 2002/2003 is DKK 21 million before tax, an improvement of DKK 6 million compared to the forecast expressed in the notice given to the Copenhagen Stock Exchange on 26 August 2003. Revenue is up 3% to DKK 3,120 million.

The profit before tax is considerably lower than the DKK 80 million forecasted at the beginning of the financial year and the previous year’s profit before tax at DKK 67 million. The Danish part of the revenue amounts to DKK 2,227 million against DKK 2,063 million in the previous financial year. Revenue from abroad came to DKK 893 million against DKK 954 million last year.

The profit after tax for the year is DKK 12 million.

Equity amounts to DKK 736 million as at 30 September 2003.

As expected cash flows from operating activities after deduction of investments arrive at a very positive DKK 109 million, which is considerably higher than in the previous financial year. Even though part of this amount is the outcome of random fluctuations at the time of settlement, the goal of improving liquidity was achieved.

Seen from an overall point of view the result is not satisfactory. This is especially due to isolated circumstances, mainly concentrated on provisions for a few projects as well as adjustment expenses in Germany, Italy and Poland.

Increased competition, caused by public budget cuts, currently characterises the Danish market. We expect this situation to continue in the coming financial year and prepare ourselves accordingly. The general civil engineering activities are affected the most by this situation whereas our specialised activities Piling and Pipe Technologies, holding large export shares, are less dependent on the domestic market.

The number of directly employed, full-time employees in the Group is 2,211 compared to 2,147 in the previous financial year.

For the coming financial year, the company forecasts a slightly decreasing level of activity and a profit before tax at DKK 40 million.