Selvaag Bolig ASA

Earnings Release • May 22, 2014

Selvaag Bolig ASA: Q1 2014: Good margins and improved sales

Selvaag Bolig ASA: Q1 2014: Good margins and improved sales

* Sales up because of a better market

* Building activity still high, and stable number of construction starts

* 139 homes sold, 77 started and 80 delivered

* Operating revenues (NGAAP) of NOK 688.2 million, EBITDA of NOK 123.7 million

* Land purchased in Oslo and Trondheim

Selvaag Bolig achieved operating revenues (Norwegian generally accepted

accounting principles) of NOK 688.2 million in the first quarter of 2014, and an

EBITDA of NOK 123.7 million - corresponding to a margin of 18 per cent.

"We're delivering good margins on projects under construction, and find that

new-build sales are starting to climb again," says CEO Baard Schumann.

"More people are coming to view homes, and we're securing sufficient advance

sales to be able to start building. We were ahead of our sales budget at 31

March, and the positive trend has continued into the second quarter."

Selvaag Bolig started construction of 77 homes during the quarter. At 31 March,

the company had 1 474 houses under construction with a combined sales value of

about NOK 5.4 billion. Eight completed homes remained unsold.

At 31 March, 75 per cent of the housing under construction had been sold. Since

sold homes are first recognised as income on delivery to the buyer, the

inventory of such buildings represents substantial value for Selvaag Bolig in

the time ahead. As expected, the IFRS result for the first quarter of 2014 was

low because relatively few homes were delivered.

Revenues for homes delivered pursuant to the IFRS in the quarter came to NOK

244.6 million and EBITDA to NOK 9 million, which corresponds to a margin of 3.7

per cent.

Corresponding IFRS figures for the first quarter of 2013 were operating revenues

of NOK 523.8 million and EBITDA of NOK 102.2 million, corresponding to a margin

of 16.4 per cent.

Operating revenues in accordance with NGAAP for the first quarter of last year

came to NOK 637.6 million and EBITDA to NOK 144.3 million - corresponding to a

margin of 22.6 per cent.

The interim report for the first quarter of 2014 can be downloaded here:

www.selvaagbolig.no/investor/en

Results for the second quarter of 2014 will be published on 22 August.

Further information from

Baard Schumann, CEO, Selvaag Bolig ASA

Telephone: +47 940 80 000, e-mail: bs@selvaagbolig.no

Haavard Rønning, CFO, Selvaag Bolig ASA

Telephone: +47 400 20 019, e-mail: hroe@selvaagbolig.no

Selvaag Bolig ASA is a residential property developer controlling the entire

value chain from acquisition of land to sale of homes. The company has several

thousand homes under development at any given time, and focuses on the growth

areas in and around Greater Oslo, Bergen, Stavanger and Trondheim. Selvaag Bolig

represents a continuation of Selvaag's 60-year history and experience, and

offers a broad variety of property types marketed under the brand names Start,

Hjem and Pluss. The company is headquartered at Løren in Oslo.

www.selvaagbolig.no/investor

This information is subject of the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

[HUG#1787677]