October 24, Atlas Copco Group Q3 Results October 24, 2006

October 24, Contents  Q3 Business Highlights  Market Development  Business Areas  Financials  Outlook

October 24, Q3 - Highlights  Value creation –High growth  Double digit growth in all regions  Good demand from most customer segments  Solid growth in the aftermarket business –Increased profits  All business areas improved profit margins  Atlas Copco sells majority stake of the equipment rental business

October 24, Q3 - Figures in summary  Orders received up 21%, +19% in volume  Revenues up 17% to MSEK , up 15% in volume  Operating profit up 29% to MSEK 2 306, a margin of 18.4% (16.6)  Profit before tax at MSEK (1 800), a margin of 16.6% (16.9) Including discontinued operations  Basic earnings per share were SEK 3.36 (2.71), up 24%  Operating cash flow totaled MSEK 434 (1 671)  ROCE at 36% (26) Revenues and operating profit including discontinued operations as per previously used accounting principles for comparison only  Revenues of MSEK (13 479)  Operating profit of (2 512), a margin of 20.4% (18.6)

October 24, Contents  Q3 Business Highlights  Market Development  Business Areas  Financials  Outlook

October 24, Orders received - Local currency Group total +24% YTD, + 25% last 3 months (Structural change +2% YTD, +3% last 3 months) September 2006 ABC A =Portion of sales, Year-to-date, % B =Year-to-date vs. prev. year, % C =Last 3 months vs. prev. year, %

October 24, Q3 - The Americas  Continued strong demand from most customer segments in North America –Solid growth in most manufacturing and process industry segments –Increased sales of mining and construction equipment in the region  Sustained growth in South America –Manufacturing and process industries’ demand particularly strong September 2006 ABC A =Portion of sales, Year-to-date, % B =Year-to-date vs. prev. year, % C =Last 3 months vs. prev. year, %

October 24, Q3 - Europe and Africa/Middle East  Europe shows strength –High order intake for all types of compressed air equipment –Weaker demand for advanced assembly tools –Increased demand from the construction and mining industries –Very strong growth in Russia and improvements in many major markets in Western Europe  +66% in the Africa / Middle East region –Booming mining sector in Africa and strong overall demand in the Middle East September 2006 ABC A =Portion of sales, Year-to-date, % B =Year-to-date vs. prev. year, % C =Last 3 months vs. prev. year, %

October 24, Q3 - Asia and Australia  Steady, high growth in Asia –Large compressor orders in China, on top of already strong development –High growth trend continues in India  Mining particularly strong in Australia September 2006 ABC A =Portion of sales, Year-to-date, % B =Year-to-date vs. prev. year, % C =Last 3 months vs. prev. year, %

October 24, Volume Growth per Quarter  Change in orders received in % vs. same Quarter previous year Atlas Copco Group, excluding Rental Service

October 24, Atlas Copco Group – Sales Bridge

October 24, Contents  Q3 Business Highlights  Market Development  Business Areas  Financials  Outlook

October 24, Atlas Copco Group Operating Profit and Return On Capital Employed (ROCE) by Business Areas

October 24, Compressor Technique  Strong order growth in all markets and all major product segments –Significant order growth in gas and process compressors –Higher growth in Western Europe  Steady positive development of aftermarket  Operating profit up 31%. Margin at all-time high 21.5% –Positive effect from volume and price  New manufacturing plant for screw compressor elements in China

October 24, Compressor Technique

October 24,  Continued strong demand, particularly in mining  Order intake up 25%, excluding currency –18th consecutive quarter with volume growth –Significant growth in Europe  Record profit, up 34%  Launch of new crawler rig for surface applications Construction and Mining Technique

October 24, Construction and Mining Technique

October 24, Industrial Technique  Strong sales to general industry  Weaker demand from the motor vehicle industry –Sales declined in Europe and North America  Good development of the aftermarket business  Strategic acquisitions  Improved operating margin

October 24, Industrial Technique

October 24, Rental Service  Rental revenues increased 20% in USD –Price +5%, volume +15%  Fleet utilization at 73.5%  Record operating margin  Continuing operations –Prime Energy and Prime Mexico will be integrated into the rental operations in the Compressor Technique business area when the divestment is finalized Including discontinued operations

October 24, Rental Service  Operating margins for Q2 and Q include depreciation expense for discontinued operations, as per previously used accounting principles, to enhance comparability Rental Revenue Volume Development, incl. discontinued operations

October 24, Contents  Q3 Business Highlights  Market Development  Business Areas  Financials  Outlook

October 24, Group Total

October 24, Balance Sheet

October 24, Capital Structure Adjusted for IFRS from Including discontinued operations. Net Debt/Equity

October 24, Cash Flow Including discontinued operations

October 24, Cash Flow in Summary Continuing and discontinued operations

October 24, Capital Expenditures and Depreciation MSEK Tangible fixed assets, continuing operations

October 24, Contents  Q3 Business Highlights  Market Development  Business Areas  Financials  Outlook

October 24, Near-term Outlook The demand for Atlas Copco’s products and services, from most customer segments such as mining, construction, and the manufacturing and process industries, is expected to remain at the current high level.

31October 24,

32 Cautionary Statement “Some statements herein are forward-looking and the actual outcome could be materially different. In addition to the factors explicitly commented upon, the actual outcome could be materially effected by other factors like for example, the effect of economic conditions, exchange-rate and interest-rate movements, political risks, impact of competing products and their pricing, product development, commercialization and technological difficulties, supply disturbances, and the major customer credit losses.”