Vacon - Interim report (Q1 and Q3)

VACON PLC FINANCIAL BULLETIN 1 January- 31 March 2007

Vacon Plc                           Stock Exchange Release
25 April 2007 at 6.p.m

VACON PLC FINANCIAL BULLETIN 1 January- 31 March 2007

Vacon's growth continues

January-March summary:

  * Order intake totalled MEUR 56.1, growth of 27.2 % from the
    corresponding period in the previous year (MEUR 44.1).
  * Revenues totalled MEUR 52.3, growth of 22.2 % (MEUR 42.8).
  * Operating profit was MEUR 6.3, an increase of 12.5 % (MEUR 5.6).
  * Cash flow from operations was MEUR 2.5 (MEUR 2.5).
  * Earnings per share was EUR 0.28 (EUR 0.25), growth from the
    previous year of 12.0 %.


Demand for Vacon's products remained strong during the first quarter.
High energy prices and increasing automation boosted the AC drive
market. In Vacon's opinion, which is based on market research, the AC
drive market is currently growing at a rate of 7-9 per cent a year.
Electric motors consume about 30 per cent of the electrical energy
generated in the world. Experts in industry have estimated that
developing more energy-efficient electric motors and increasing the
use of AC drives could save 25-30 per cent of the energy consumed by
electric motors.

Orders, revenues and operating profit all increased significantly
from the corresponding period in the previous year. Vacon
strengthened its market position in Europe and Asia. Direct sales,
distributors and OEM manufacturers were the distribution channels
showing strongest growth.

The Company's operating profit was EUR 6.3 million, an increase of
EUR 0.7 million from the corresponding, exceptionally good period in
the previous year. The weakening of the dollar and declining market
prices slowed down the growth in the operating profit.

Prospects
No significant changes have taken place in Vacon's market prospects
during the first months of the year. The state of the market is
expected to remain favourable in 2007. Based on market surveys Vacon
estimates that the AC drive market is currently growing at an annual
rate of 7-9 %. Vacon is growing at a much faster rate than the
market.
AC drives are one of the most significant means of enhancing the
efficient use of energy. Improving energy efficiency is an important
factor in restricting greenhouse gas emissions and AC drives play a
key role in this. The long-term demand factors for AC drives are
positive.
Vacon considers that potential risks to its financial performance in
2007 are problems that material suppliers may have with capacity, the
availability of key components and the weakening of the dollar.
Vacon forecasts that revenues in 2007 will grow by 15 - 20 % and that
profitability is expected to improve from 2006.

Following interim reports
Vacon is publishing two more interim reports in 2007 as follows:
January-June   Thursday, 2 August 2007 at 10.00 am
January-September   Thursday, 25 October 2007 at 10.00 am

Formal statement
This release contains certain forward-looking statements that reflect
the current views of the company's management. Due to the nature of
these statements, they contain risks and uncertainties and are
subject to changes in the general economic situation and in the
company's business sector.

Vacon was established in 1993 from a passion to create, develop and
produce unique AC drives for demanding needs, globally. We are driven
by a burning desire to serve our customers as they look for ever more
efficient, reliable and easy to use options to save energy and costs.
Vacon provides AC drives in the power range 0.25 kW - 5 MW.



Vaasa, 26 April 2007

VACON PLC

Board of Directors


For more information please contact:

Mr Vesa Laisi, President, phone: +358 (0)40 8371 510,
email: vesa.laisi@vacon.com

Mr. Mika Leppänen, Vice President, Finance & Control,
phone: +358 (0)40 8371 235,
email: mika.leppanen@vacon.com

Conference for the media and analysts
Vacon will hold a briefing for analysts and the media on 26 April
2007 at 11.30 am in the Talisman meeting room at the Scandic Marski
Hotel, Mannerheimintie 10, Helsinki.

Dial-in conference for investors and investment analysts
 A dial-in conference in English for investors and investment
analysts will be held on 27 April 2007 at 3.00 pm. President Vesa
Laisi and Mika Leppänen, Vice President, Finance and Control, will
participate in the conference. Lines can be booked ten minutes before
the conference by calling the service number +44 207 162 0025. The
conference ID code is "Vacon Oyj".
Conference link:

http://wcc.webeventservices.com/view/wl/r.htm?e=36278&s=1&k=5D792FA60C7DF0BF70D0557AB19CCAAB&cb=genesys


To hear a recording of the conference, available for two working
days, call +44 207 031 4064, ID code 735872.

Distribution:
Helsinki Exchanges
Financial Supervision Authority
Main media

Bifogade filer:

Vacon Plc Interim Report January-March 2007 presentation

Vacon Plc Interim Report January-March 2007