Zalaris

Earnings Release • Oct 28, 2021

Positive development in revenue and margins - expected to continue as new agreements go-live

Positive development in revenue and margins - expected to continue as new agreements go-live

Zalaris ASA, the provider of Payroll and HR Solutions, today posted revenue of

NOK 195.4 million and an adj. EBIT of 14.1 million.

Q3 highlights:

· Revenue of NOK 195.4 million (NOK 189.7 million) - increase mainly due to

the inclusion of ba.se service & consulting GmbH ("ba.se"), acquired during the

quarter.

· Adjusted EBIT of NOK 14.1 million (NOK 13.3 million) - higher margins within

Managed Services in the Nordics and the inclusion of ba.se, partly offset by

currency movements, and temporary use of external consultants within

Professional Services in Germany.

· Adjusted EBIT margin of 7.2% (7.0%).

· Continued high sales activity within Managed Services, resulting in a

further build-up of annual recurring revenue ("ARR") through new BPO agreements

and extensions during the third quarter - total new BPO contracts awarded during

the quarter has an expected ARR of NOK 9 million, year-to-date ARR of NOK 81

million (net ARR NOK 53 million), when fully implemented.

· Completed the acquisition of ba.se, a leading provider of payroll and HR

services within the German retail sector, providing a platform for further

growth in Germany and Central Europe.

· Cash and cash equivalents of NOK 168.8 million, after NOK 42.5 million

payment for ba.se (net of cash acquired) +NOK 52.5 million compared to last

year.

Trend shift and strong sales in Germany and the UK, as the Zalaris brand is

increasingly being recognised

"Our efforts in streamlining sales and cooperating across regions continue to

deliver results. Increased brand awareness has created significant increase in

new business opportunities in Germany and UK, particularly for our PeopleHub

multi-country solutions." - says CEO and Founder Hans-Petter Mellerud.

Zalaris will host a webcast for all shareholders and interested parties today at

08:30 CET. There will be a Q&A session following the management presentation.

The third quarter webcast will be available through ir.zalaris.com.

Contact:

Hans-Petter Mellerud, CEO and founder

Mobile: +47 928 97 276

E-mail: hans-petter.mellerud@zalaris.com

Gunnar Manum, CFO

Mobile: +47?951 79 190

E-mail: gunnar.manum@zalaris.com

About Zalaris

Zalaris (OSLO: ZAL) simplify HR and payroll administration, empower you with

useful information so that you can invest more in people. We are a leading

service provider of Human Experience Management (HXM) solutions across Europe,

serving more than 1.5 million employees with an annual revenue of ~78 million

Euros (2020). We hold #1 or #2 positions in most of our markets. Our consultants

have more than 21 years of experience in transforming HR with our clients.

Simplify work life. Achieve more. For more information, go to www.zalaris.com.

This information is subject to the disclosure requirements pursuant to section 5

-12 of the Norwegian Securities Trading Act.