Bewi Invest AS

Earnings Release • Aug 17, 2023

BEWI - Results for the second quarter of 2023

BEWI - Results for the second quarter of 2023

Solid results in challenging markets with low activity in the building and

construction industry

BEWI, a leading provider of packaging, components, and insulation solutions,

today reports its results for the second quarter and first half of 2023.

Approximately 60 per cent of the company's business is exposed to the building

and construction industry, where the activity has continued to decline across

regions, impacting volumes sold from the segments RAW and Insulation &

Construction (I&C).

BEWI recorded net sales of 289.6 million euro for the quarter, up by 5 per cent

compared to the 277.0 million euro for the same quarter of 2022, with an

adjusted EBITDA of 31.5 million euro, compared to 40.3 million euro last year.

"We are proud to be able to deliver such solid results, given a volume-drop of

20 to 50 per cent for units within RAW and I&C," says Christian Bekken, CEO of

BEWI ASA.

The results reflect the weaker construction market, but also positive effects

from continuous improvement initiatives. BEWI has succeeded in adjusting

capacity and costs to the market conditions. This has, combined with strong

price management, and reduced raw material prices, enabled improved EBITDA

margins for both downstream segments from the previous quarter.

For the first half of 2023, BEWI had net sales of 586.0 million euro, up from

507.2 million euro for the same per. Adjusted EBITDA came in at 59.7 million

euro for the same period, down from 74.7 million last year.

"We are especially pleased to see the profitability improvement in the Nordic

insulation business from the measures taken there, providing us with comfort and

confidence for improvements in other regions going forward. The EBITDA for the

quarter was in line with our expectations, however lower volumes were

compensated by stronger margins," Bekken continues.

Going forward, the activity in the building and construction industry is

expected to remain low in the short-to-medium term, impacting volumes. The

outlook for the packaging segment is still solid.

As of today, BEWI expects the EBITDA for the second half of the year to be

stronger than for the first half due to the solid outlook for P&C and impact

from implemented measures as described above, however lower than predicted in

previous guiding. This is explained by the drop in construction activity in

recent months being sharper than what the company based its guidance on.

BEWI remains confident in the long-term potential for its solutions, supported

by strong underlying fundamentals, such as the need to improve energy efficiency

in buildings and transporting and preserving food. The company maintains its key

priorities to secure a strong platform for long-term growth, including

continuously adjusting capacity and costs to the current market conditions and

extracting synergies from integrating acquired companies.

Please find attached the full report for the second quarter and first half of

2023, the presentation of the results and the financials spreadsheet.

CEO Christian Bekken and CFO Marie Danielsson will present the results from

10:00 through a live webcast. The link to the webcast is available from BEWI's

homepage www.bewi.com, and a recording of the webcast will be made available.

For further information, please contact:

Charlotte Knudsen, Director of IR and Communications BEWI ASA, tel: +47 9756

1959

Marie Danielsson, CFO BEWI ASA, tel: +46 70 661 0047

About BEWI ASA

BEWI is an international provider of packaging, components, and insulation

solutions. The company's commitment to sustainability is integrated throughout

the value chain, from production of raw materials and end goods, to recycling of

used products. With a vision to protect people and goods for a better every day,

BEWI is leading the change towards a circular economy.

BEWI ASA is listed at the Oslo Børs under ticker BEWI.

The information is such that BEWI ASA is required to disclose in accordance with

the EU Market Abuse Regulation. The information was submitted for publication,

through the agency of the contact person set out above, at 07:00 CEST on 17

August 2023