Rocla Oyj - Quarterly report

ROCLA OYJ INTERIM REPORT 1.1.-30.6.2007

STRONG SALES GROWTH CONTINUES

  - The strong growth in sales from the early part of the year
  continued in the second quarter.
  - Net sales in January-June were EUR 61.2 million, up 19.9%
  over the corresponding period last year. The operating
  profit for the first half of the year was EUR 2.0 million
  (EUR 1.7 million).
  - The order book at the end of June 2007 stood at EUR 27.4
  million, a growth of 43.8% over last year.

BUSINESS ORGANIZATION AND REPORTING

The integration process of Rocla warehouse trucks and
automated guided vehicles operations will be finalized within
2007. There will be a shift from tailor-made automated guided
vehicles to standardized AGV deliveries and the business
concept will be phased into the order-delivery process of
warehouse trucks. The Group is managed as a one product line
business and reporting is based on the concept of one business
segment as of the beginning of 2007.

GENERAL DEVELOPMENT

The strong around one-fifth growth of Rocla consolidated net
sales continued in the second quarter of 2007. The second
quarter turned out to be the strongest quarter in the history
of Rocla in terms of sales and the operating profit was more
than double that of the second quarter the year before.
Despite the strong sales development and the good level of the
order book the materials costs in particular pose a continuous
challenge.

The development of the new automated guided vehicles concept
is proceeding as planned. The first customer deliveries will
take place at the end of the year 2007.

NET SALES, OPERATING PROFIT AND ORDER BOOK

The key business indicators of Rocla Oyj developed as follows:

Meur                    1-6   1-6  Change   1-12
                      2007    2006          2006
Net sales              61.2  51.1   19.9%  104.4
Operating profit        2.0   1.7   16.6%    1.5
Orders received        50.8  41.9   21.3%   87.6
Order book at the
end of the period      27.4  19.1   43.8%   26.8

MARKETS

The global demand for warehouse trucks continued to be strong
throughout the first half of 2007. Growth on Rocla s main
market, Europe, reached a growth rate of some 20%, a figure
clearly exceeded by the growth of Rocla s warehouse truck
order bookings. In the US market demand is declining but
Rocla s order flow has grown in comparison with last year for
that market as well. During the first part of the year Rocla
has continued to build up its distribution network. In Denmark
a significant new dealership agreement was signed with the
local truck supplier VB Trucks A/S.

The share of international operations in Rocla s net sales
keeps growing. In the case of trucks manufactured by Rocla,
business outside Finland accounts for 90% of the volume. As a
truck house Rocla operates in a fully global competitive
environment with the special advantage of the strong
innovation capability of Finnish product development. This is
proven especially by the upgraded Humanic truck family that
has spearheaded growth in order bookings as well as market
shares.

RESULTS

The net sales for the first half of the year, EUR 61.2
million, exceeded last year s by one fifth (EUR 51.1 million).
The operating profit was EUR 2.0 million (EUR 1.7 million).

The operating profit improved over last year but boosting
profitability remains the key challenge of the Group. In line
with its strategy Rocla aims to improve its profitability
especially by global sourcing, continued factory automation
and by a dedicated development program to improve lead times
and productivity.

Consolidated income before taxes was EUR 1.2 million in the
first half of the year (EUR 1.4 million) and net income came
to EUR 0.9 million (EUR 1.0 million).

PROFITABILITY

Return on investment, ROI, in the Rocla Group in the first
half of 2007 was 7.4% p.a. (7.5 %). Return on equity, ROE, was
7.6% p.a. (8.4% p).

Earnings per share, EPS, in the first half of the year were
0.23 euros (0.25 euros).


BALANCE SHEET AND FINANCING

At the end of June 2007 the consolidated balance sheet total
was EUR 83.4 million (EUR 73.2 million). At the turn of the
year the balance sheet total was EUR 82.3 million. The main
factors behind the growth in the balance sheet are the
increased need for working capital following sales growth and
especially growth in sales receivables. The need for working
capital has been financed by borrowing which reflects in an
increase in the gearing ratio. At the end of June 2007
consolidated net debt was EUR 36.2 million (at the end of June
2006 the corresponding sum was EUR 31.0 million), net gearing
was 141.5% (132.4%) and the equity to assets ratio 31.1%
(32.2%).

MANUFACTURING, INVESTMENTS AND PRODUCT DEVELOPMENT

The development plan for increasing the efficiency of truck
assembly will be speeded up. The target for the MP-10000 plan,
an annual level assembly capacity of 10,000 trucks, will be
achieved by the end of this year as the outlook now stands.
This is augmented by the automation of mast production already
in place and the transformation of reach truck assembly to
line production from the former one-man-one-truck assembly
principle. This transformation has been made possible
especially by the growing volume of the Humanic truck family.

In June Rocla launched another example of its innovative
product development: the h2 tiller arm. In the development of
this tiller arm special emphasis has been placed on ergonomy
and durability. This new product brings significant novelty to
the Rocla warehouse trucks using a tiller arm. The modular
product structure of the arm also speeds up production. The
share of tiller arm operated warehouse trucks constitutes some
four fifths of European market demand.

Gross investments in fixed assets in the first half of 2007
were EUR 2,8 million (EUR 3.1 million), out of which product
development expenses of EUR 1,0 million (EUR 0.7 million) were
carried forward in line with IFRS accounting practices.

PERSONNEL

During the first half of 2007 the Group had an average of 499
employees (454). At the end of the period personnel strength
was 507 persons (460 persons), out of whom 103 (81) worked
outside Finland.

ANNUAL GENERAL MEETING

Financial statements

The Annual General Meeting on April 3, 2007 adopted the
Board s proposal to declare a dividend of 0.20 euros per share
(0.20 euros). The record-date for the dividend was April 10
and the pay-date April 17, 2007.

Authorizations

In line with the Board s proposal the Annual General Meeting
authorized the Board to decide on the purchase of 194,535
Rocla Oyj shares and a new share issue, transfer of treasury
shares and/or the granting of special rights as defined in the
10th Chapter, 1   of the Companies Act. Based on this
authorization the Board may issue a maximum of 565,000 shares
in one or several decisions. The shares issued in the form of
new shares or special rights are included in the
aforementioned total number. The authorization is for a paid
new share issue and is valid until the 2008 Annual General
Meeting.

SHARES, OPTIONS AND SHARE CAPITAL

Shares

In the first half of 2007 a total of 243,255 Rocla Oyj shares
were traded at the Helsinki Exchanges. This number constitutes
around 5.7% of the total number of shares. The highest share
price in the period was 12.50 euros and the lowest 10.70
euros. The average price was 11.41 euros and the closing price
at the end of June was 11.41 euros.

Rocla Oyj s market capitalization at the end of June 2007
based on the closing share price, excluding treasury shares,
was EUR 48.3 million (EUR 45.5 million):

Rocla Oyj holds 30,789 of its own shares corresponding to 0.7%
of all the shares and votes in the company. The number is the
same as at the turn of the year.

Option scheme

A total of 325,310 shares were subscribed in the period April
10-24, 2007 based on the option rights attached to the Rocla
Oyj 1998 warrant bond. As a result of this the share capital
grew by 325,310.00 euros and the premium fund by 2,147,046.00
euros. The increase in the share capital was registered in the
trade register on May 9, 2007. The new shares carry the same
rights as the old shares and they were traded together with
the old shares at the Helsinki Exchanges from May 10, 2007.

The Rocla Oyj share capital after this increase is 4,264,788
euros and the number of shares is 4,264,788.

After the end of the subscription period for the 1998 option
scheme Rocla has no ongoing option programs.


OWNERSHIP

The share subscriptions based on option rights affected the
ownership structure by their own weight. After the new shares
were registered the holdings of the company s biggest
shareholders decreased in that the holdings of Etra-Invest Oy
Ab fell from 25.4% to 23.4% and those of Mitsubishi
Caterpillar Forklift Europe B.V. and Mitsubishi Caterpillar
Forklift America, Inc. from 15.2% to 14.1%. There was no
change in the number of shares held by these shareholders.

On June 30, 2007 the ten biggest shareholders of Rocla Oyj
were the following:

Owner                         Number of shares    %     %
    
    of shares of votes

1.  Etra-Invest Oy Ab             1,000,000    23.4    23.4
2.  Mitsubishi Caterpillar          600,000    14.1    14.1
    Forklift Europe B.V.
3.  Mitsubishi Caterpillar          600,000    14.1    14.1
    Forklift America Inc.
4.  Aktia Capital Investment Fund   190,000     4.5     4.5
5.  Henki-Sampo Insurance Company   171,200     4.0     4.0
6.  EVK-Capital Oy                  130,000     3.0     3.0
7.  City of Turku Indemnity Fund     64,889     1.5     1.5
8.  Sr Arvo Finland Value            58,476     1.4     1.4
9.  Fennia Mutual Insurance Co       47,000     1.1     1.1
10. El ke-Fennia Mutual
    Insurance Co                     45,900     1.1     1.1

Total 10 biggest                  2,907,465    68.2    68.2
Nominee-registered                  536,100    12.6    12.6

Total                             4,264,788   100.0   100.0

ORDER BOOK

At the beginning of 2007 Rocla s order book stood at the
record level of EUR 26.8 million. At that time it was almost
double the one of the same time a year earlier. The order book
has continued to build up as the year 2007 has progressed. At
the end of June the order book was EUR 27.4 million. The
corresponding figure a year ago was EUR 19.1 million. Growth
is 43.8%.

IMMINENT RISKS AND FACTORS OF UNCERTAINTY

The major strategic and operational risks of the Group s
business activities are related to the management of business
partnerships, launches of new products and estimations of
competitiveness, price development of production factors and
the obligations and estimates brought by long-term agreements.
In the case of operational risks, materials costs continue to
build up and the availability of components also carries risks
in an up-cycle. A well-balanced transformation to the new
automated guided vehicles concept continues to be an important
success factor for the earnings potential of the entire Group.

OUTLOOK

The good demand for trucks seems to hold out. The growth
prospects for the Rocla Group have strengthened during the
year. For 2007 net sales are estimated to grow at a rate
approaching 20%. The continued rise in the cost of materials
and other costs caused by the business cycle pose additional
challenges for profitability.

The consolidated result for 2007 is estimated to improve over
last year as stated in the previous interim report.

FINANCIAL INFORMATION

ACCOUNTING PRACTICES

The Interim Report for the period January-June 2007 is
prepared based on the IAS 34 Interim Statement standard. Rocla
Oyj has adhered to the same accounting principles and
reporting standards as in the Financial Statements for 2006.
The key ratios presented in the Interim Report have been
computed based on the same principles as the corresponding
data presented in the latest financial statements. The
calculation principles for the key ratios are presented on
page 22 of the Financial Statements section in the Annual
Report.

The Interim Report is un-audited.

CONSOLIDATED INCOME STATEMENT (Meur)

                   1-6/2007 1-6/2006  Change % 1-12/2006

NET SALES              61.2     51.1   19.9       104.4

Change in finished goods
and work in progress   -0.6      1.2                2.3
Other operating
income                  0.1      0.2                0.3
Materials and
services              -37.5    -31.4   19.5       -65.9
Personnel expenses    -11.8    -10.5   12.9       -21.2
Depreciation           -3.6     -3.1   16.8        -6.6
Other operating
expenses               -5.8     -5.9   -1.8       -12.0
OPERATING PROFIT        2.0      1.7   16.6         1.5
Financial expenses
(net)                  -0.8     -0.3  132.7        -1.1
INCOME BEFORE
TAXES                   1.2      1.4  -10.7         0.4
Income taxes           -0.3     -0.4  -22.4        -0.1
NET INCOME
FOR THE PERIOD          0.9      1.0   -5.7         0.3

Earnings per share
euros                  0.23     0.25               0.07
Earnings per share,
euros (diluted)           -     0.24               0.07

CONSOLIDATED BALANCE SHEET (Meur)

                         6/2007    6/2006       12/2006

ASSETS
NON-CURRENT ASSETS
Intangible
assets                      7.2       7.0           7.2
Consolidated goodwill       2.1       2.1           2.1
Tangible
assets                     28.4      25.4          26.7
Receivables                 0.1       0.3           0.1
NON-CURRENT ASSETS
TOTAL                      37.9      35.0          36.2

CURRENT ASSETS
Inventories                22.2      19.5          21.4
Sales receivables and
other receivables          22.6      16.7          22.0
Cash and cash equivalents   0.6       1.8           2.7
CURRENT ASSETS
TOTAL                      45.5      38.1          46.2

ASSETS TOTAL               83.4      73.2          82.3

EQUITY AND LIABILITIES
Share capital               4.3       3.9           3.9
Premium fund                6.8       4.3           4.6
Retained earnings          13.6      14.1          14.1
Income for the period       0.9       1.0           0.3
EQUITY
TOTAL                      25.5      23.4          23.0

NON-CURRENT LIABILITIES
Interest-bearing debt      20.3      12.7          19.2
Deferred taxes              1.4       1.3           1.1
NON-CURRENT LIABILITIES
TOTAL                      21.7      14.0          20.3

CURRENT LIABILITIES
Interest-bearing debt      16.5      20.0          17.1
Provisions                  0.4       0.5           0.4
Non interest-bearing debt  19.1      15.2          21.5
CURENT ASSETS
TOTAL                      36.1      35.7          39.0

LIABILITIES TOTAL          57.8      49.7          59.3

EQUITY AND LIABILITIES
TOTAL                      83.4      73.2          82.3

CHANGE IN EQUITY

A=Share capital, B=Premium fund, C=Translation differences
D=Current value fund, E=Retained earnings, F=Income for the
period, G=Total

1-6/2007            A    B     C    D     E      F     G
Beginning         3.9  4.6   0.0  0.0  14.4      -  22.9
Share subscriptions
Option-rights     0.3  2.1                           2.4
Dividends                              -0.8         -0.8
Income for the period                          0.9   0.9
Other changes               -0.0  0.0                0.0
End               4.2  6.7   0.0  0.1  13.6    0.9  25.5

1-6/2006            A    B     C    D     E      F     G
Beginning         3.9  4.2   0.1  0.1  14.9      -  23.1
Dividends                              -0.8         -0.8
Income for the period                          1.0   1.0
Other changes          0.0  -0.0  0.0                0.0
End               3.9  4.3   0.0  0.1  14.1    1.0  23.4


1-12/2006           A    B     C    D     E      F     G
Beginning         3.9  4.2   0.1  0.1  14.9      -  23.1
Share subscriptions
Option-rights     0.0  0.3                           0.4
Dividends                              -0.8         -0.8
Income for the period                          0.3   0.3
Transfer of
own shares             0.0              0.0          0.0
Other changes               -0.1 -0.0                0.0
End               3.9  4.6   0.0  0.0  14.1    0.3  23.0


CONSOLIDATED FUNDS STATEMENT
                         1-6/07      1-6/06       1-12/06

Cash flow from operations
Income for the period       0.9       1.0           0.3
Adjustments:
-Depreciation               3.6       3.1           6.6
-Financial income and
 expenses                   0.8       0.3           1.1
-Taxes                      0.3       0.4           0.1
-Other adjustments         -0.0      -0.0           0.0

Change in working capital  -3.9       0.7           0.2
Interests paid             -0.9      -0.7          -1.5
Interests received          0.2       0.0           0.0
Taxes paid                 -0.1      -0.0          -0.3

NET CASH FLOW FROM
OPERATIONS                  1.0       4.8           6.5

CASH FLOW FROM
INVESTMENTS                 2.8      -2.8          -9.8

Cash flow from financing
Loans withdrawn             2.6       4.0          11.6
Loans repaid               -3.8      -2.5          -2.8
Increase in equity          2.5       0.0           0.4
Sale of treasury shares     0.0       0.0           0.0
Financial leasing debts
paid                       -0.8      -1.5          -3.0
Dividends                  -0.8      -0.8          -0.8
NET CASH FLOW FROM
FINANCING                  -0.3      -0.7           5.5

CHANGE IN LIQUID FUNDS     -2.1       1.2           2.2

Liquid funds, beginning     2.7       0.6           0.6
Liquid funds, end           0.7       1.8           2.7


RELATED PARTY INFORMATION

Transactions with holding companies exercising significant
influence

(Meur)                 1-6/2007  1-6/2006      1-12/2006

Sales to closely
related parties            29.1      20.2          38.6

Purchases from closely
related parties             4.1       3.1           9.0

The Board of Directors decided to extend the share-based
management reward system valid in 2006 for the year 2007.

CONTINGENT COMMITMENTS (Meur)
                          06/07     06/06         12/06
For own debt:
Mortgages on real estate    0.5       0.5           0.5
Corporate mortgages         9.4       9.4           9.4

Other own commitments:
Leasing commitments         0.9       1.1           0.8
Rental commitments          0.0       0.2           0.0
Repurchase commitments      0.7       0.3           0.7

No pledges or other commitments have been extended on behalf
of management, shareholders or affiliated companies.


INCOME STATEMENT BY QUARTER

                          4-6   1-3 10-12   7-9   4-6  1-3
                         2007  2007  2006  2006  2006   2006

NET SALES               30.9   30.3  30.8  22.5  26.0   25.1
Change in finished goods
and inventories         -0.3   -0.3   0.6   0.5   0.8    0.4
Other operating
income                   0.1    0.0   0.0   0.1   0.1    0.1
Materials and services  -18.8 -18.7 -20.0 -14.5 -16.4  -15.0
Personnel expenses      -6.1   -5.8  -5.9  -4.8  -5.4   -5.1
Depreciation            -1.8   -1.8  -1.7  -1.8  -1.6   -1.5
Other operating expenses-2.9   -2.9  -3.4  -2.7  -3.2   -2.7
OPERATING PROFIT         1.1    0.9   0.4  -0.6   0.5    1.3
Financial expenses
(net)                   -0.4   -0.4  -0.2  -0.6  -0.2   -0.1
INCOME BEFORE TAXES      0.8    0.5   0.2  -1.2   0.2    1.2
Income taxes            -0.2   -0.1   0.0   0.3  -0.1   -0.3
INCOME FOR THE PERIOD    0.6    0.3   0.2  -0.9   0.1    0.8
EARNINGS PER SHARE
euros                   0.14   0.09  0.06 -0.24  0.03   0.22
EARNINGS PER SHARE
euros, diluted             -   0.09  0.06 -0.23  0.03   0.21


KEY RATIOS               6/2007    6/2006       12/2006

Net sales, Meur            61.2      51.1         104.4
Operating profit, Meur      2.0       1.7           1.5
% of net sales              3.3       3.4           1.4
Income before taxes, Meur   1.2       1.4           0.4
% of net sales              2.0       2.7           0.4
Equity/share, euros        6.04      6.06          5.88
Equity/assets, %           31.1      32.2          28.4
Return on equity, % p.a.    7.6       8.4           1.2
Return on investment, % p.a.7.4       7.5           3.3
Gross investments, Meur     2.8       3.1           5.9
Personnel,
average                     499       454           467
Personnel,
end of period               507       460           489


OTHER DATA

Order book, Meur           27.4      19.1          26.8
Shares, 1,000
average                   4,002     3,858         3,860
Shares, 1,000
diluted, average              -     4,016         4,014
Shares, 1,000
end of period             4,230     3,860         3,909

Treasury shares are excluded form the number of shares.


FINANCIAL DISCLOSURE

The Interim Report for January-September will be published on
October 25, 2007.

Järvenpää, July 17, 2007

ROCLAS OYJ
Board of Directors


Jussi Muikku
President and CEO

For additional information, contact:
Jussi Muikku, President and CEO, phone +358 20 778 1370
Hilkka Webb, CFO, phone +358 20 778 1316

Distribution:
Helsinki Exchanges, The main media