Atlas Copco Second Quarter Report 2006

(unaudited)

Record performance - strategic acquisitions

-- The divestment process of the construction equipment rental business continues and is expected to be finalized in the third quarter.

- This business is reported as discontinued operations.

-- Strong growth in all regions and most customer segments.

-- All business areas improved sales, profits and margins.

-- Agreements to acquire two compressor businesses with total turnover above BSEK 2.2.

-- Orders received for continuing operations up 20%, whereof 14% in volume.

-- Revenues for continuing operations reached MSEK 12 444 (10 539), up 12% in volume.

- MSEK 15 408 (13 062) including Rental Service.

-- Operating profit for continuing operations was MSEK 2 337 (1 667), corresponding to a margin of 18.8% (15.8).

- MSEK 3 163 (2 241) including Rental Service, a margin of 20.5%(17.2).

-- Profit before tax for continuing operations increased 38% to MSEK 2 433 (1 766).

- MSEK 2 926 (2 170) including Rental Service.

-- Profit for the period was MSEK 1 963 (1 492).

-- Basic earnings per share were SEK 3.11 (2.36).

-- Operating cash flow totaled MSEK 799 (955).
For further information
Atlas Copco AB
SE-105 23 Stockholm, Sweden
Phone: +46 8 743 8000, Fax: +46 8 644 9045
Internet: www.atlascopco.com
Corp. id. no: 556014-2720

Analysts
Mattias Olsson, Investor Relations Manager,
Phone: +46 8 743 8291 or +46 70 518 8291 ir@se.atlascopco.com

Media
Annika Berglund, Senior Vice President Corporate Communications,
Phone: +46 8 743 8070 or +46 70 322 8070

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