-- Net sales in the period amounted to MSEK 57 (59).
-- The gross margin for the period was 73% (65) and the gross profit was MSEK
41 (39).
-- Earnings before depreciations and amortizations (EBITDA) in the period was
MSEK 2 (5).
-- The result after tax for the period was MSEK -3 (1).
-- Ea
rnings per share before and after dilution for the first quarter was SEK
-0,02 (0,01).
-- The cash flow during the first quarter was MSEK -1 (-13).


Comments from the CEO

Ability to scale

In the first quarter we shipped the largest Business Solutions order in Anoto´s
history to a single customer, Taiyo Life Insurance Company in Japan. The
digital pen and paper solution was provided by our partner Dai Nippon Printing
as part of a new solution together with Fujitsu Limited and IBM Japan Ltd. to
improve customer service. The total contract was for 10,000 users

Total revenues in the period were MSEK 57 of which 77% came from Business
Solutions. Gross margin was satisfactory at 73%.

Anoto’s business through strategic partnerships such as Vodafone in the UK
continues to grow and is delivering an increased pipeline in large
organizations including National Health Service (NHS), Central Government and
the service industry.Three of our partners were selected as approved suppliers
for a National Framework Agreement for the NHS. This will enable NHS trusts to
procure solutions from these partners without the need to go to tender. Destiny
Wireless started deployment of a digital pen solution for midwives with NHS
Great Western Hospitals, integrating pen data with their Medway software
provided by System C.

Sales within interactive whiteboards and education as well as C Technologies
were lower than expected.

The ADP601 is ready for mass production starting early in the second quarter
and our partner TStudy is now preparing for sales of their interactive
classroom solution in larger deals, primarily in Asia. Our other partners
within the education segment have indicated that despite a slow start sales
will increase in the coming quarters.

In first quarter we strengthened our management team by hiring Dennis Ladd as
Chief Strategy Officer. Dennis has spent over 25 years in enterprise software
as an architect at SAP, as well as CTO and later CEO of Streamserve (merged
with enterprise content management leader OpenText). He will be responsible
for Anoto´s portfolio of products and strategic alliances within Business
Solutions.

Our product development continues according to plan to focus on meeting end
user needs and to package solutions that addresses document workflow and mobile
data capture. We also see an increasing interest in digital pen and paper with
regards to digital signature, secure ID and document traceability.

Outlook

We expect sales to improve in all business areas in the coming quarter, C
Technologies expects larger shipments in the second quarter. Anoto’s cash
position will be sufficient to support our business in the coming year.

To read the entire report, please see attached document.


A webcast of the Q1 report will be available from 09.00 on April 27.

A Q&A session via audiocast will be held at 11.00 the same day. For more
information, see www.anoto.com/investors.


Anoto Group AB may be required to disclose the information provided herein
pursuant to the Securities Markets Act. The information was submitted for
publication at 08.30 on April 27, 2012.


For more information, please contact:

Stein Revelsby, CEO
Phone: +46 (0)733 45 12 05

or

Dan Wahrenberg, CFO
Phone: +46 (0)733 45 10 19


Anoto Group AB (publ.), Corp. Id. No. 556532-3929

Box 4106,

SE-227 22 Lund, Sweden

Phone: +46 46 540 12 00

www.anoto.com

Anoto_ENG_Q1 2012.pdf