F-Secure Group's Financial Results January 1 - March 31, 2003

Helsinki, Finland - April 29, 2003

For the first quarter of 2003, F-Secure reported revenues of 9.1 million euros. The operating result was EUR 0.2 million negative for the first quarter (0.7 m positive in 4Q02 and 0.7m negative in 1Q02).

The anti-virus revenues continued to increase at a steady rate, by 7% from 4Q02 and by 9% from 1Q02. The number of anti-virus service subscriptions grew with an accelerating speed. The encryption business declined by 31% compared to one year ago and by 31% compared to the previous quarter.

The Security as a Service business (service subscriptions through ISPs) grew well, and the quarter was the eighth consecutive quarter of more than 20% quarter-to-quarter growth of revenues. In the first quarter service subscriptions accounted for 10% of anti-virus revenues. Growth was 146% from1Q02 to 1Q03.

The Group has the two largest ISPs in Europe offering managed security based on F-Secure solutions, Wanadoo in France and Deutsche Telekom in Germany. Deutsche Telekom initiated the first phase launch of the service during the quarter, full roll-out is expected towards the end of 2003.

Security software spending remained extremely cautious during the quarter. New license sales were weak in all other areas than anti-virus for consumers and small businesses. Especially encryption sales were affected by the investment freeze in both corporate and governmental sector, in addition to the traditional seasonal slowness of the first quarter. Maintenance and support sales remained at a moderate level.

The F-Secure Anti-Virus 2003 and F-Secure Internet Security products for the consumer/small user market were pilot launched in Scandinavia. The products received wide acclaim in the press for their ease of installation and use. For example, F-Secure Anti-Virus 2003 was nominated with the "Best in Test" award in an antivirus test conducted by the Swedish Internetworld magazine in March 2003. The same product technology is now applied with the Security as a Service customers. Key wins during the quarter included New York Metropolitan Transit Authority, Elopak and BASF. During the last five years the Group has gained 90% of all United States Government agencies as customers. After the reporting period, the Group announced new customer relations with the world’s largest oil company, Saudi Aramco, and Microsoft MSN.

"We are happy that our efforts in the area of the Security as a Service concept are bringing results. Some of the largest Internet Service Providers in Europe are our customers. Furthermore, we have succeeded in developing an easy-to-use consumer product. However, the fact that major corporations and the public sector froze their investment activities affected our overall result. Growth is still our focal challenge and most important goal," says Risto Siilasmaa, President and CEO of F-Secure Corporation.

Financial reporting

A press and analyst conference will be arranged today, April 29, at 11 am Finnish time at the Group’s Headquarters, Tammasaarenkatu 7, Helsinki. A conference call for international investors and analysts will be arranged at 15.00 Finnish time (14.00 CET, 1.00 pm UK time). Instructions can be found at http://www.europe.f-secure.com/investor-relations/

For full stock exchange release, please visit: http://www.Europe.F-Secure.com/investor-relations/news/

The next quarterly reports for 2003 will be published August 6 (Q2) and October 30 (Q3).

A Stock Exchange bulletin will be sent at 9 am Finnish time to the Helsinki Exchanges, a press and analyst conference will be arranged at 11 am Finnish time in Helsinki, and an international conference call will be arranged in the afternoon. Full details will be provided later on the Group’s web site.

Additional information:
F-Secure Corporation
Risto Siilasmaa, President and CEO     	tel.358 9 2520 5510
Taneli Virtanen, Director of Finance          	tel.358 9 2520 5655