Multiconsult

Earnings Release • May 20, 2020

Multiconsult - Solid Q1 with significant improved profitability and revenues growth

Multiconsult - Solid Q1 with significant improved profitability and revenues growth

Oslo, 20 May 2020 - Multiconsult first quarter EBIT came in at NOK 117.5

million, reflecting an EBIT margin of 11.8%. In the first quarter, net operating

revenues were up 5.2% y-o-y to NOK 993.6 million. The nextLEVEL improvement

program is on-track, partly reflected in a reduction in other operating expenses

of 12.3% y-o-y to NOK 110.0 million. The order intake was solid at NOK 1 306

million giving a record high order backlog of NOK 3 099 million.

"Multiconsult delivered a solid Q1 with revenue growth and significant improved

profitability compared with 2019. The improvement comes on the back of solid

customer deliveries, and is also caused by significantly reduced operating

expenses resulting from the nextLEVEL improvement program. We are well underway,

but I believe there is potential for further improvement. At the same time we

are delivering solid sales resulting in an all-time high order backlog at the

end of the quarter. This is very important going into a period of more

uncertainly caused by the Covid-19 situation. I would like to thank all of our

dedicated Multiconsult employees for their relentless efforts and dedication in

achieving these improvements" - says Grethe Bergly, CEO in Multiconsult.

Net operating revenues increased by 5.2% to NOK 993.6 million (NOK 944.2

million) compared to the same quarter last year. The increase in net operating

revenues is exclusively organic. Higher activity and higher average group

billing rates compared to the same period in 2019 contribute positively to the

growth in net operating revenues. There was a calendar effect of one more

working day with an impact of NOK 13.4 million.

Reported operating expenses increased by 2.5% to NOK 825.9 million (NOK 805.9

million). Other operating expenses decreased by 12.3%, suggesting that the

nextLEVEL improvement program is on track.

EBIT was NOK 117.5 million (NOK 92.5 million), an increase of 27.0% y-o-y,

reflecting an EBIT margin of 11.8%.

The order backlog at the end of the first quarter 2020 increased to NOK 3 099

million (NOK 2 865 million) and is at an all-time-high level. Order intake

during the first quarter increased by 11.4% compared to the first quarter in

The Covid-19 situation has resulted in considerably increased uncertainty and

will impact our business.  While we so far have seen a relatively modest

negative impact of the Covid-19 situation, it is currently not possible to

predict the consequences for the industry and for Multiconsult going forward. A

softening of the market can be expected in parts of our business as a direct

consequence of the Covid-19 situation. The company is taking prudent,

responsible and necessary actions, to secure our people, our business, and, in

close cooperation with our customers, our deliveries so that our clients are

affected to the minimum extent possible.

With a solid market position, leading competences, technology and solutions for

our customers, Multiconsult believes it is well placed to handle the challenges

of the current uncertainties facing the economy and our industry.

Presentation

A presentation of first quarter 2020 results will be held today, Wednesday 20

May. In light of the Covid-19 outbreak and the accompanying disease prevention

measures taken into effect by the Norwegian authorities the presentation will

only be held as webcast.

A webcast in Norwegian will be held at 08:30 CET, followed by an audio cast at

09:30 CET in English. The presentations will be held by CEO Grethe Bergly and

CFO Hans-Jørgen Wibstad.

The live webcast from the Norwegian presentation can be accessed at

www.multiconsult-ir.com and at

https://channel.royalcast.com/webcast/hegnarmedia/20200226_2/.

The live audio cast from the English presentation can be accessed at

https://channel.royalcast.com/webcast/hegnarmedia/20200520_5/ or by conference

call.

Questions to the management can be made directly on the conference call after

the presentations or by in writing on the live Webcast.

Participant Access Information for the conference calls:

Please join the selected event conference 5-10 minutes prior to the start time.

You will be asked to provide the confirmation code or the title of your

conference.

Event Conference Title: Multiconsult Q1 2020

Confirmation Code: 569168

Location             Purpose            Phone Number

Norway              Participant        +47 21956342

United Kingdom    Participant        +44 (0)203 7696819

United States      Participant        +1 646-787-0157

Sweeden            Participant        +46-8-1241-0952

International       Participant        +44 203 7696819

For further information, please contact:

Investor relations:

Hans-Jørgen Wibstad, CFO

Phone: +47 916 89 661

E-mail: hans-jorgen.wibstad@multiconsult.no

Media:

Gaute Christensen, VP Communications

Phone: +47 911 70 188

E-mail: gaute.christensen@multiconsult.no

ABOUT MULTICONSULT ASA

Multiconsult is a leading Norwegian multidisciplinary engineering consulting

company, with approx. 3 000 employees and 45 offices in Norway and abroad. The

Company focuses on seven market areas: Buildings & Properties, Transport &

Infrastructure, Energy, Oil & Gas, Industry, Environment & Natural resources and

Architecture. The Company has an operating history that spans more than a

century, with the inception of Norsk Vandbygningskontor in 1908. In 2015

Multiconsult completed more than 9 000 projects for approx. 4 000 different

customers.

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

-12 of the Norwegian Securities Trading Act.