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Report on the fourth quarter and full-year 2005

President's comment:

"Demand during the quarter remained strong. Profit after financial items increased by 34% to SEK 2,566 M and earnings per share rose by 39%. It is pleasing that we increased the profit margin in all business areas and that Sandvik Materials Technology is now achieving its margin goal through increased efficiency and an improved product mix.

This means that 2005 was another very strong year for Sandvik. Invoiced sales amounted to SEK 63 billion and profit after financial items increased by 28% to SEK 8.8 billion. Our investments in product development and enhanced efficiency strengthens the Group's position as market leader in prioritized segments," says Lars Pettersson, President and CEO of Sandvik.

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