Photocure ASA

Earnings Release • May 19, 2021

Photocure ASA: Results for the first quarter of 2021

Photocure ASA: Results for the first quarter of 2021

Oslo, Norway, 19 May 2021: Photocure ASA (OSE:PHO), the Bladder Cancer Company,

today reported Hexvix[®]/Cysview[®] revenues of NOK 81.6 million in the first

quarter of 2021 (Q1 2020: NOK 54.4 million), and EBITDA of NOK 18.1 million (NOK

-4.8 million), following the continued successful launch in markets previously

operated by Ipsen Pharma SAS. The third Covid-19 wave impacted operations in the

quarter, but a strong March performance indicates the environment is improving.

"For the first quarter of 2021, Photocure delivered a 50% YoY increase in

Hexvix/Cysview sales, unit growth in our U.S. segment, and positive EBITDA

driven by the added revenue in Europe, cost containment, and the payment from

Asieris to license Hexvix in China and Taiwan. I am pleased with this

performance, particularly given the negative impact from the third wave of Covid

-19 in January and February of this year, foreign currency headwinds during the

quarter, and the difficult comparison to the same period last year when pandemic

lockdowns and limited access to care did not occur until mid-March. While access

is still closed or significantly restricted in many areas, strong performance in

the last month of the quarter in both our U.S. and European segments suggests

that the environment is improving," says Daniel Schneider, President & Chief

Executive Officer of Photocure.

Photocure reported total group revenues of NOK 88.2 million in the first quarter

of 2021 (NOK 55.0 million), with an EBITDA* before restructuring of NOK 18.1

million (NOK -4.8 million) including signing fees from Asieris totaling NOK 6.4

million for the commercialization of Hexvix in Mainland China and Taiwan.

Hexvix/Cysview revenues were NOK 81.6 million (NOK 54.4 million) following the

successful transition of the Ipsen territories, while unit growth in the U.S.

increased 4% despite the limited access to hospitals and physicians due to Covid

-19. EBIT grew to NOK 12.3 million (-10.5 million) and the cash balance at the

end of the first quarter 2021 was NOK 329.5 million (127.6 million).

The installed base of blue light cystoscopes in the U.S. was 280 at the end of

the first quarter, an increase of 42 units, or 18%, compared to the same period

in 2020. Blue Light Cystoscopy (BLC[®]) in the surveillance setting is a key

priority for Photocure in the U.S. market. By the end of the first quarter, a

total base of 41 flexible cystoscopes had been installed giving more patients

access to the procedure with less constraints.

"Despite the ongoing commercial challenges, we continued to advance several

initiatives to grow the installed base of Blue Light Cystoscope towers and to

prepare for increasing procedure volumes when full access to care reopens. In

the U.S., we installed 12 new towers during the quarter including 3 flexible

Blue Light Cystoscope units. Our growing pipeline suggests the potential for

acceleration of Blue Light Cystoscope installations during the remainder of the

year, and we believe that the benefits of Blue Light Cystoscopy with

Hexvix/Cysview offering superior detection and management of bladder cancer will

continue to be adopted and become the standard of care, " Schneider adds.

The ongoing Covid-19 pandemic adds continued uncertainty to Photocure's near

-term business forecast, but the Company believes that in places where

procedures have been postponed due to the fear of exposure to Covid-19, the

number of procedures is expected to rebound back to pre-Covid-19 growth rates in

the U.S. and positive growth in the Company's newly acquired European markets.

"Our contracting strategies in the U.S. are also gaining traction and expected

to lead to new account growth and higher penetration into our existing

institutional customers and physician clinics. In Europe, where we are

introducing Photocure as the new sponsor of Hexvix, we have had strong buy-in

from leading key opinion leaders in target countries. Despite limited access to

our new customers, we are seeing early indications of a turn-around in our key

growth markets such as the UK, France, and Italy. As access improves, we will

continue to staff our European operations and invest in order to generate

additional growth in the region. Our performance in dealing with the ongoing

business volatility, including the sales rebound that we saw in March, gives me

confidence that we are taking the right steps to return to strong growth and to

execute on our strategy to become a leader in the diagnosis and treatment of

bladder cancer patients around the world" Schneider concludes.

Please find the full financial report and presentation enclosed.

EBITDA* and other alternative performance measures (APMs) are defined and

reconciled to the IFRS financial statements as a part of the APM section of the

first quarter 2021 financial report on page 23.

Photocure will present its first quarter 2021 report on Wednesday 19 May 2021 at

14:00 CET. The investor presentation will be streamed live and be hosted by

Daniel Schneider, CEO and Erik Dahl, CFO.

The presentation will be held in English and questions can be submitted

throughout the event. The streaming event is available through

https://channel.royalcast.com/landingpage/hegnarmedia/20210519_6/. The

presentation is scheduled to conclude at 14:45 CET.

For further information, please contact:

Dan Schneider

President and CEO

Photocure ASA

Email: ds@photocure.com

Erik Dahl

Chief Financial Officer

Tel: +47 450 55 000

Email: ed@photocure.no

David Moskowitz

Vice President of Investor Relations

Tel: +1 202 280 0888

Email: david.moskowitz@photocure.com

Media and IR enquiries:

Geir Bjørlo

Corporate Communications (Norway)

Tel: +47 91540000

Email: geir.bjorlo@corpcom.no

About Photocure ASA

Photocure: The Bladder Cancer Company delivers transformative solutions to

improve the lives of bladder cancer patients. Our unique technology, making

cancer cells glow bright pink, has led to better health outcomes for patients

worldwide. Photocure is headquartered in Oslo, Norway and listed on the Oslo

Stock Exchange (OSE: PHO). For more information, please visit us at

www.photocure.com, www.hexvix.com, www.cysview.com

All trademarks mentioned in this release are protected by law and are registered

trademarks of Photocure ASA.

This information is considered to be inside information pursuant to the EU

Market Abuse Regulation and is subject to the disclosure requirements pursuant

to section 5-12 of the Norwegian Securities Trading Act. This stock exchange

announcement was published by Tolv Hillestad, Group Controller, Photocure ASA,

on 19 May 2021 at 07:00 CET.