Global Slowdown Impacts Second Quarter Results – Revenues ... · Global Slowdown Impacts Second Quarter Results – Revenues drop 35% and Pre-tax Profits decrease 40% in Q2 Oslo,

Nordic Companies/Global Money 1

Press Release

ABG Sundal Collier

Second Quarter 2008 - Report to Shareholders

Global Slowdown Impacts Second Quarter Results – Revenues drop 35%and Pre-tax Profits decrease 40% in Q2

Oslo, 24 July 2008 – Despite improved sentiment in the first two months of the second quarter,Nordic equity markets succumbed to renewed concerns about slowing growth and higherinflation in the final month of the quarter. This market environment has negatively affectedABGSC’s results for yet another quarter as a significantly reduced level of ECM activity andlower market turnover on the Nordic stock exchanges, have had a negative impact on therevenues in the Equities division. Within the Corporate Finance division, the trend establishedin the first quarter of a shift away from ECM and capital raising activities to M&A and corporaterestructuring projects continued in the second quarter. Although activity levels within CorporateFinance remain high, this shift results in lower revenues in the short-term and higheruncertainty regarding future revenues for the division. On a positive note, excluding ECM-related revenues, the fall in Equities Division revenues compared to last year improved in thesecond quarter (-9%) versus the first quarter (-18%). This improvement in the relative trendwas also reflected in a further improved market share.

Q2 Highlights

Second Quarter revenues were NOK 349 mil vs. NOK 535 mil last year, a decline of35%. For the first half of 2008, total revenues were NOK 720 mil vs. NOK 1,104 mil lastyear, a decline of 35%.

Second Quarter Earnings Per Share fell by 46% to NOK 0.24 vs. NOK 0.44 last year on19% greater shares outstanding. For the first half year of 2008, EPS was NOK 0.49 vs.NOK 0.93 last year, a decline of 47%.

Stockbroking revenues in the second quarter were NOK 188 mil vs. NOK 202 mil lastyear (-7%). For the first half of 2008, Stockbroking revenues were NOK 395 mill vs. NOK451 mil last year (-12%). The decrease in Q2 reflects lower traded volumes on Nordicstock exchanges. Equities division revenues excluding ECM-related revenues improvedits year-on-year comparison in the second quarter versus the first quarter.

Corporate Finance revenues were NOK 137 mil in the second quarter vs. NOK 313 mil inthe same period last year (-56%). For the first half of 2008 Corporate Finance revenueswere NOK 281 mill vs. NOK 611 mil in 2007 (-54%).

Our overall Nordic market share of traded volumes increased to 4.07% in the secondquarter this year versus 3.08% in the same quarter last year and from 3.52% in the firstquarter this year


Summary Financial Data

Operating data and key ratios

2. quarter 2. quarter YTD 30. June YTD 30. June Year

2008 2007 2008 2007 2007

Average number of shares in 1,000 (1) 406,382 341,577 391,396 336,171 353,859

Shares outstanding end of period 357,998 306,880 357,998 306,880 337,480

Forward contracts for shares outstanding end of period 49,546 35,910 49,546 35,910 36,665

Earnings per share (in NOK) (2) 0.24 0.44 0.49 0.93 1.81

Pre-tax income (in NOK 1,000) 126,936 214,712 257,789 448,517 887,241

Book value per share (in NOK) (3) 3.13 2.93 3.13 2.93 4.88

Operating cost / Income ratio (4) 45.1 % 24.7 % 42.3 % 23.7 % 24.9 %

Total cost / Income ratio (5) 73.5 % 63.4 % 71.9 % 62.8 % 64.1 %

Compensation / Income ratio (6) 50.8 % 51.2 % 51.0 % 51.2 % 51.7 %

Pre-tax pre bonus profit margin (7) 64.8 % 78.8 % 65.4 % 79.7 % 79.6 %

Return on Equity (12 months) (8) 32.7 % 64.2 % 32.7 % 64.2 % 49.1%

Number of employees at period end 299 257 299 257 289

(1) Adjusted for treasury shares and shares on forward contracts

(2) Net result for the period + interest element in forward contracts divided by the average number of shares

(3) Book equity at end of period divided by the total number of shares (adjusted for treasury shares)

(4) Operating expenses as a percentage of operating revenues

(5) Total expenses including bonus expense and profit to partners as a percentage of operating revenues

(6) Personnel expenses plus bonus expense and profit to partners as a percentage of operating revenues

(7) Earnings before tax adjusted for bonus expense and profit to partners as a percentage of operating revenues

(8) Net result for the last 12 month period as a percentage of average shareholders' equity.


Nordic Equity Markets Review

The market recovery of April/May proved a false dawn as Nordic equity prices succumbed torenewed macro worries in the final month of the quarter, this time centring on the spiking oilprice and its implications for higher inflation and slowing growth. As a consequence, the FTNorex 30 index ended the quarter down by 6% for an accumulated half-year loss of 21%.Among the Nordic markets, fortunes were mixed. In Norway the recovery held up throughoutthe quarter and the main index gained 12%, partly making up for the loss in the first quarter,taking the half-year performance to only -6%. Sweden and Finland were harder hit by the latequarter selling and recorded losses in the quarter of 11% and 12%, respectively, taking first halflosses to 21% for the Swedish market and 18% for Finland. The Danish market had a smallerloss of 1% in the second quarter, bringing first half performance to -9. Apart from Norway, allNordic markets underperformed the North American, European and Japanese main indices forboth the quarter and first half.

With the oil price reaching new highs, and with both hard and soft commodity prices continuingto rally, it was no surprise to find the winning stocks among companies with exposure to theseareas. Having sorted out its company specific problems earlier in the year, StatoilHydrorebounded strongly in the quarter (+22%). Also benefitting from the higher oil price was LundinPetroleum (+12% in the quarter and +42% for the year). As a transporter of oil, Frontline alsobenefitted from the high oil demand, its stock gaining 56% in the second quarter. With anindirect exposure to the higher oil price, and to demand for energy in general, both VestasWind Systems and REC performed well in the quarter, rising 26% and 17%, respectively. Onthe back of continued robust development in metals and steel prices SSAB was up 21% andNorsk Hydro gained 19% in the quarter. But, yet again, the stellar performer in Nordic marketswas Yara. With agriculture prices soaring, the stock continued to rally another 60% in thequarter for a total gain of 85% since the beginning of the year.

On the other end of the spectrum, the negative performance within Nordic equity markets wasdominated by four sectors: Consumer Goods, Machinery & Engineering, Banks, and Pulp &Paper. Weakness in its Q1 report and further worrying signs from its competitors and sub-suppliers about future growth continued to put pressure on Nokia shares which fell 19% in thequarter. Fear of a consumer slowdown as well as a real threat of much higher input prices forsteel drove Electrolux down 22% in the quarter. Machinery & Engineering stocks held up wellduring the first quarter although, concerns over growth and higher input prices resulting inearnings weakness in the coming years started to take their toll on the sector during the secondquarter. SKF fell 15%, Sandvik fell 16% and Assa Abloy fell 21%, to name but a few. Havingperformed reasonably well during the winter months, after the poor performance during lastautumn, financial stocks yet again took centre stage among the underperformers. Concernsregarding the health of the Nordic economies in general, coupled with company specificmatters, saw some bank stocks fall sharply in the second quarter. Den Danske Bank fell 21%fuelled by fears about its Irish lending portfolio. SEB fell 28% with its high exposure toinvestment banking in general and the fast-weakening Baltic region. Swedbank fell -29% on theback of its high exposure to the Baltic region. Finally there seems to be no light at the end ofthe tunnel for Pulp & Paper companies. Several profit warnings within the sector in the quarterpushed UPM down 14% and Stora Enso down 25%.


Business Segments Review

Equities Division

Measured in Norwegian kroner (NOK), traded volumes on Nordic stocks exchanges fell by 23%during the second quarter. This represented a continued deterioration compared to the trend inthe first quarter of this year when volumes fell by 18%. In total, for the first half, traded volumeson the Nordic stock exchanges fell by 21%. Against this backdrop, it is a positive developmentthat ABGSC’s traded volumes actually increased by +1% in the second quarter, having fallenby 15% in the first quarter. For the first half, our traded volumes were down 7%. Thisdevelopment in traded volumes was reflected in our improved market share, which increased to4.07% in Q2 2008 from 3.08% in Q2 2007 and from 3.52% in Q1 2008. For the first half-year of2008, our market share was 3.78% versus 3.32% for the same period last year. The relativeimprovement in traded volumes was also reflected in the division’s revenues. Excluding ECMrevenues, revenues within the division declined by 9% in the second quarter compared to thesame period last year, representing an improvement compared to the first quarter whencomparable revenues fell by 18% versus last year.

The slowdown in market activity will inevitably lead to a more challenging environment for ourCorporate Access team (CAG), particularly in light of the near absence of ECM-relatedroadshow activities. Having delivered consistent growth over the last five years, the overallnumber of roadshow days fell by 21% in the second quarter compared to the same period lastyear. On a more positive note, however, excluding ECM-related roadshow marketing, theunderlying number of roadshow days actually increased by 10%. This is a testament to ourcontinuous effort to broaden management exposure to our clients. We continued to expandour special seminar offering, hosting a Danish Pharmaceutical seminar, a special Nordic RealEstate tour and a Swedish small cap Machinery & Engineering seminar.

As we noted in our first quarter 2008 report, the downturn in markets has opened up a realopportunity to hire senior personnel and speed up the generational shift within the division.During the second quarter this process continued as we hired a new senior Consumer Goodsanalyst in our Stockholm research team as well as a senior small cap analyst in our Danishresearch group. In addition, we have had a change of leadership within the researchdepartment during the second quarter. Espen Bruu Syversen has left his role as Global Headof Research and will focus entirely on his job as Norwegian strategist. With Espens’ move,Malene Brondberg has been appointed Global Head of Research. Malene has been a senioranalyst with the firm for several years and her appointment to the new position should mean animportant continuity of leadership for what is a core area of the firm. Within Equities HansØyvind Haukeli will move from London to replace Petter Bjertnæs as head of Oslo Sales duringQ3. Petter Bjertnæs will return to his former position within Oslo Corporate Finance.


Market share in the Nordic

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

4.0%

4.5%

Q104

Q204

Q304

Q404

Q105

Q205

Q305

Q405

Q106

Q206

Q306

Q406

Q107

Q207

Q307

Q407

Q108

Q208

Traded ABGSC volume in the Nordic

0

50,000

100,000

150,000

200,000

250,000

300,000

Q104

Q204

Q304

Q404

Q105

Q205

Q305

Q405

Q106

Q206

Q306

Q406

Q107

Q207

Q307

Q407

Q108

Q208

NOKm

Stockbroking Revenues

Revenues (NOKm)

0

50

100

150

200

250

300

2006:1 2006:2 2006:3 2006:4 2007:1 2007:2 2007:3 2007:4 2008:1 2008:2


Corporate Finance Division

Corporate Finance revenues fell by 56% to NOK 137 mil in Q2 2008 vs. NOK 313 mil in Q22007, reflecting tougher market conditions. The trend outlined in our first quarter report of ashift to fewer ECM transactions and a greater focus on M&A and corporate restructuringprojects continued in the second quarter. The longer lead times for the latter type of projectsmeans that revenues will be affected in the near-term and that there will be more uncertainty inthe timing of future revenue flows. Despite this trend and the challenging market environment,the activity level has remained high throughout the quarter and we are pleased to haveconcluded a number of projects within different areas of our division, some of which arehighlighted below.

Polarcus is an ongoing project, similar to last year’s success story Eastern Echo. The companyis a pure play within marine geophysics with a pioneering environmental agenda, specialising inhigh-end towed streamer data acquisition. Despite the very challenging markets in the lastmonth of the second quarter, we managed to raise around USD 140 mil for the company in acombined equity, convertible bond and secured bond issue. Also during the quarter, we wereinvolved with the prestigious assignment to financially restructure Norske Skog as well asadvising GGS in the spinning off and separate listing of its Spectrum operation. Within M&A weacted as advisor to Cash Guard in its merger with PSI. In the second quarter we concludedplacements of new shares in both Petromena and Morphic. The variety of this project portfolioshows our continuous efforts over recent years to diversify our corporate finance revenuestream into new areas and industries as well as to expand geographically.

Another business unit within our Corporate Finance division which has been fast-growing overthe last five years is our real estate and shipping products business. This business has grownto be an important unit within our Corporate Finance department. Distribution in this area isundertaken through several channels with our long-standing cooperation agreement with ACTAplaying a major part. Over the last few months, there has been negative press about ACTA, asource of concern to us and with a negative impact on ACTAs as well as our business. Theimpact is limited to lower activity related to structuring of new investments while managementof existing projects and portfolios are not affected.

Corporate Finance

Revenues (NOKm)

0

50

100

150

200

250

300

350

400

450

2006:1 2006:2 2006:3 2006:4 2007:1 2007:2 2007:3 2007:4 2008:1 2008:2


Financial Review

While revenues fell in the second quarter and first half, operating expenses increased by 19%,reflecting ongoing investment in both people and systems. Consequently operating profitbefore bonuses and profit to partners fell by 52% in Q2. For the first half-year, operating profitbefore bonuses and profit to partners fell by 51% as revenues decreased by 35% andoperating costs rose by 16%. The movement in revenues and costs results in a cost/incomeratio for the second quarter of 45% versus 25% in the second quarter last year. For the firsthalf, the cost/income ratio was 42% versus 24% in the first half of last year.

The increase in operating expenses can be explained by a number of smaller items. The neteffect of all this items is that operating expenses for the second quarter have increasedapproximately in line with the increase in the average headcount for the same period of 18%.

Net financial income was NOK 34 mil in the second quarter compared to NOK 19 mil in thesame period last year. The improvement came largely from dividends received on strategicshareholdings. With a higher net financial result, and with our normal accrual for bonuses, pre-tax profit was NOK 127 mil in the second quarter versus NOK 215 mil in the second quarter lastyear, representing a fall of 41%. For the first half, pre-tax profit fell by 43% to NOK 258 milversus NOK 449 mil in the same period last year. Reflecting the increase in shares outstandingafter last summer’s rights issue, EPS fell by a slightly higher 47% to NOK 0.24 per share in Q22008 from NOK 0.44 per share in Q2 2007.

During the quarter value adjustments attributable to available for sale investments led to anegative value adjustment equal to NOK 0.44 per share for the first half of 2008 that wasrecorded directly towards equity (adjustment with 0.00 per share in 1H 2007).

In the second quarter, return on equity was 33%, well above our target, but lower than inprevious periods due to both lower earnings and higher equity. The company remains in a verystrong capital position with a Group capital adequacy ratio of 19% (ex-dividend), compared withthe 8% requirement of the Financial Supervisory Authority of Norway, and a liquid balancesheet.

63% 63%68%

65% 62% 63%69%

63%

70%73%

13% 12%16%

11% 12% 13%16%

11%

20% 22%

0%

20%

40%

60%

80%

100%

2006:1 2006:3 2007:1 2007:3 2008:1

Cost/Income ratio Salary & Benefits/Income Ratio

76% 75%69%

76% 77% 75%

68%

78%

60%55%

61%

71% 70% 70% 68%64%

58%

49%

39%

33%

0%

20%

40%

60%

80%

100%

2006:1 2006:3 2007:1 2007:3 2008:1

Operating Profit M argin Return on Equity


ABG SUNDAL COLLIER GROUP

Profit & Loss

% %

Amount in NOK 1,000 2. quarter 2. quarter change YTD 30. June YTD 30. June change Year

2008 2007 2008 2007 2007

Operating revenues

Stockbroking revenues 188,395 202,254 -6.9 % 395,419 450,863 -12.3 % 884,436

Corporate Finance revenues 136,575 312,784 -56.3 % 281,170 610,935 -54.0 % 1,224,445

Proprietary Trading revenues 23,813 19,825 20.1 % 43,724 42,180 3.7 % 81,955

Other revenues - - - - 1,508

Total operating revenues 348,782 534,863 -34.8 % 720,313 1,103,979 -34.8 % 2,192,344

Operating expenses

Salaries and NI expenses (78,340) (66,891) 17.1 % (153,679) (133,749) 14.9 % (275,829)

Other operating expenses (73,830) (62,113) 18.9 % (141,612) (121,673) 16.4 % (255,859)

Depreciation (5,155) (3,259) 58.2 % (9,296) (6,362) 46.1 % (14,051)

Total operating expenses (157,325) (132,263) 18.9 % (304,588) (261,785) 16.4 % (545,739)

EBIT Pre-bonus and profit to partners 191,457 402,601 -52.4 % 415,725 842,194 -50.6 % 1,646,604

Bonus and profit to partners (98,922) (206,860) -52.2 % (213,519) (431,354) -50.5 % (858,498)

EBIT Post-bonus and profit to partners 92,535 195,741 -52.7 % 202,206 410,840 -50.8 % 788,107

Net financial result 34,402 18,971 81.3 % 55,583 37,677 47.5 % 99,134

Pre-tax income 126,936 214,712 -40.9 % 257,789 448,517 -42.5 % 887,241

Taxes (35,503) (68,708) -48.3 % (74,759) (143,525) -47.9 % (262,134)

Net result for the period 91,433 146,004 -37.4 % 183,030 304,991 -40.0 % 625,107

Balance Sheet

30. June 30. June 31. December

Amount in NOK 1,000 2008 2007 2007

Total intangible assets 76,674 79,811 81,336

Plant and equipment 50,246 27,056 38,417

Financial non-current assets 67,072 65,005 60,324

Total non-current assets 193,992 171,872 180,078

Receivables 4,997,712 5,971,803 4,039,198

Investments 364,052 185,466 526,310

Cash and bank deposits 429,801 789,822 806,028

Total current assets 5,791,565 6,947,092 5,371,536

Total assets 5,985,556 7,118,964 5,551,614

Paid-in capital 675,436 250,318 617,078

Retained earnings 446,530 647,778 1,030,518

Total equity 1,121,966 898,096 1,647,596

Long-term liabilities 388,012 384,005 384,837

Current liabilities 4,475,577 5,836,863 3,519,181

Total liabilities 4,863,589 6,220,868 3,904,018

Total equity and liabilities 5,985,556 7,118,964 5,551,614


NOTES TO THE FINANCIAL STATEMENTS

Note 1 - Accounting principles

Note 2 - Change in equity

2. quarter 2. quarter 30. June 30. June Year

2008 2007 2008 2007 2007

Shareholders equity - opening balance 1,663,353 1,166,251 1,647,596 980,153 980,153

Net result for the period 91,433 146,004 183,030 304,991 625,107

Dividend paid (577,847) (472,438) (577,847) (472,438) (472,438)

New issuing of shares 40,039 59,486 61,700 86,994 550,710

Change in own shares - (565) - (591) 275

Investments available for sale - valuation effect (94,849) - (189,111) - (20,193)

FX-conversions/ other (163) (642) (3,402) (1,013) (16,017)

Shareholders equity - ending balance 1,121,966 898,096 1,121,966 898,096 1,647,596

Note 3 - Information about Segments and Geographical Markets

The Group's three business segments are Equities, Corporate Finance and Trading & Risk. The internal management system is matrix-based. Revenues and expenses are recorded both by

business segment and geographical markets. Assets and liabilities except from directly allocatable items, and equity and cash flow are recorded by geographical markets.

Operating profit reported by primary segment (business segment)

Operating Revenues Operating expenses Operating profit before bonus and profit to partners

2. quarter 2. quarter 2. quarter 2. quarter 2. quarter 2. quarter

2008 2007 2008 2007 2008 2007

Equities 208,722 258,149 86,061 73,926 122,661 184,223

Corporate Finance 116,254 256,890 62,235 47,204 54,019 209,686

Trading & Risk 23,806 19,825 9,029 11,133 14,777 8,692

Total 348,782 534,864 157,325 132,263 191,457 402,601


YTD 30. June YTD 30. June Year YTD 30. June YTD 30. June Year YTD 30. June YTD 30. June Year

2008 2007 2007 2008 2007 2007 2008 2007 2007

Equities 418,991 553,562 1,047,586 166,941 152,241 325,090 252,050 401,321 722,496

Corporate Finance 257,598 508,236 1,062,803 107,765 85,860 170,907 149,833 422,376 891,896

Trading & Risk 43,724 42,181 81,955 29,882 23,684 49,742 13,842 18,497 32,213

720,313 1,103,979 2,192,344 304,588 261,785 545,739 415,725 842,195 1,646,604

Operating profit reported by secondary segment (geographical segment)


2. quarter 2. quarter 2. quarter 2. quarter 2. quarter 2. quarter

2008 2007 2008 2007 2008 2007

Norway 194,181 355,038 75,030 63,422 119,151 291,616

Sweden 39,572 45,907 27,831 26,809 11,741 19,098

Denmark 5,329 8,444 3,514 4,050 1,815 4,394

UK 70,706 88,759 30,904 25,281 39,802 63,478

US 38,994 36,716 20,047 12,701 18,947 24,015

Total 348,782 534,864 157,325 132,263 191,457 402,601


YTD 30. June YTD 30. June Year YTD 30. June YTD 30. June Year YTD 30. June YTD 30. June Year

2008 2007 2007 2008 2007 2007 2008 2007 2007

Norway 373,623 679,276 1,285,279 139,318 114,459 232,129 234,305 564,817 1,053,151

Sweden 113,162 122,114 269,914 64,376 57,373 114,069 48,786 64,741 155,845

Denmark 9,337 17,570 31,207 6,319 7,743 15,033 3,018 9,827 16,174

UK 142,398 193,909 386,355 56,839 52,771 115,034 85,559 141,138 271,321

US 81,793 91,110 219,589 37,736 29,439 69,476 44,057 61,671 150,114

Total 720,313 1,103,979 2,192,344 304,588 261,785 545,739 415,725 842,194 1,646,604

Cash Flow Statement

2. quarter 2. quarter 30. June 30. June Year

2008 2007 2008 2007 2007

Net cash flow from operating activities (524,090) 87,773 (954,310) (150,125) 1,029,807

Net cash flow from investing activities 259,927 (10,394) 124,779 (14,779) (524,373)

Net cash flow from financing activities 84,008 (21,346) 453,304 339,032 (315,099)

Net change in cash and cash equivalents (180,155) 56,033 (376,227) 174,128 190,334

Cash and cash equivalents - opening balance 609,956 733,789 806,028 615,694 615,694

Cash and cash equivalents - ending balance 429,801 789,822 429,801 789,822 806,028

The quarterly report is prepared in accordance with the International Financial Reporting Standard (IFRS) published by the International

Accounting Standards Board (IASB) and all interpretations from the Financial Reporting Interpretations Committee (IFRIC), which have

been endorsed by the EU commission for adoption within the EU. The quarterly report is unaudited.


Shareholder Information

ABG Sundal Collier is listed on the Oslo Stock Exchange with the ticker symbol "ASC".

31 Dec 2007 30 June 2008

Share price NOK 12.60 NOK 7.60

Dividend Payment (AGM April 24th 2008): NOK 1.70 per share. The share traded ex dividend from April 25th.

High - Low 2008 (closing prices): NOK 12.60-7.50

Ownership StructureShares %

Directors & Staff 140,882,970 39.4Treasury shares 76,750 0.0All other 217,038,491 60.6Total Shares at 30 June 2008 357,998,201 100.0

ABGSC has forward contracts with partners purchasing 49,546,250 shares with settlement in2009-2011. ABGSC owns 76,750 Treasury shares. ABGSC has authorisation to re-purchaseits shares in the market or to issue new shares.

Share Price Development - Closing Prices

0

1,000

2,000

3,000

4,000

5,000

6,000

1-Jan 21-Jan 10-Feb 1-Mar 21-Mar 10-Apr 30-Apr 20-May 9-Jun 29-Jun

1,000 shares

0.00

2.00

4.00

6.00

8.00

10.00

12.00

14.00

NOK

Volume Price


Responsibility statement

We confirm to the best of our knowledge that the condensed set of financial statements for theperiod 1 January 2008 to 30 June 2008 has been prepared in accordance with the IAS 34“Interim Financial Reporting” and gives a true and fair view of the Group’s assets, liabilities,financial position and results for the period viewed in their entirety, and that the interim Board ofDirectors report includes a fair review of any significant events that arose during the six monthsperiod and their effect on the half-yearly financial report and any significant related parties’transactions. The report includes, to the best of our knowledge a description of the materialrisks that the Board of Directors, at the time of this report deem that might have a significantimpact on the financial performance of the Group.

Oslo, 23 June 2008

_______________ _______________ _______________

Judy Bollinger (sign) Cecilie Lind (sign) Arild Engh (sign)

_______________ _______________

Anders Grudén (sign) Arnold Rørholt (sign)

Documents

Global Slowdown Impacts Second Quarter Results – Revenues ... · Global Slowdown Impacts Second Quarter Results – Revenues drop 35% and Pre-tax Profits decrease 40% in Q2 Oslo,