Photocure ASA

Earnings Release • May 7, 2014

Photocure ASA: Results for the first quarter 2014

Photocure ASA: Results for the first quarter 2014

Oslo, Norway, 7 May 2014: Photocure (OSE: PHO), a Norwegian specialty

pharmaceutical company focused on photodynamic technologies in dermatology and

cancer, announces its results for the first quarter 2014.

Highlights include:

(Numbers in brackets are for the corresponding period in 2013)

* Total sales revenues of Hexvix/Cysview increased 33% to NOK 19.3 million

(NOK 14.5 million) in the quarter driven by strong underlying customer

demand and volume growth in the major markets,

* Hexvix/Cysview global in-market sales value growth of 36% in the quarter to

NOK 46 million.

* Global in-market unit sales increased 20% in the quarter with double-digit

sales growth of Hexvix/Cysview across all regions.

* The regulatory preparation for the phase 3 program of Cevira in women with

HSIL (CIN2) is progressing as planned and positive support for the proposed

phase 3 program has been obtained by major European regulatory authorities.

* First quarter operating loss from continued operations was NOK 13.7 million,

an improvement of 42% from first quarter last year.

* Cash and cash equivalents of NOK 150 million as on 31 March 2014.

Key figures:

+----------------------------------------------+-------+-------+------+-------+

|Figures in NOK million |1Q 2014|1Q 2013|Change|FY 2013|

+----------------------------------------------+-------+-------+------+-------+

|Sales revenues Hexvix / Cysview | 19.3| 14.5| 33 %| 77.9|

+----------------------------------------------+-------+-------+------+-------+

|Sales revenues API | 0.2| 0.1| 19 %| 1.4|

+----------------------------------------------+-------+-------+------+-------+

|Signing fee & milestone revenues | 1.2| 1.0| 12 %| 4.3|

+----------------------------------------------+-------+-------+------+-------+

|Total revenues | 20.7| 15.7| 32 %| 83.6|

+----------------------------------------------+-------+-------+------+-------+

|Gross profit | 19.1| 14.3| 33 %| 76.8|

+----------------------------------------------+-------+-------+------+-------+

|Research and development expenses | 8.7| 9.1| -5 %| 34.0|

+----------------------------------------------+-------+-------+------+-------+

|Sales and marketing expenses | 14.1| 19.0| -25 %| 68.4|

+----------------------------------------------+-------+-------+------+-------+

|Operating result excl. restructuring & one-off| -13.7| -23.6| -42 %| -63.0|

+----------------------------------------------+-------+-------+------+-------+

|Operating result incl. non-recurring | -13.7| -23.6|  | -75.5|

+----------------------------------------------+-------+-------+------+-------+

|Net profit/loss | -13.0| -21.4|  | -57.2|

+----------------------------------------------+-------+-------+------+-------+

|Earnings per share, diluted (NOK) | -0.61| -1.01|  | -2.68|

+----------------------------------------------+-------+-------+------+-------+

President & CEO Kjetil Hestdal, M.D. Ph.D. comments:

"We generated good revenue growth in the first quarter from our flagship bladder

cancer product, Hexvix/Cysview. Alongside this positive growth in revenue, our

focus on cost containment has resulted in reduced losses.

I am particularly pleased to report the continued unit sales growth of

Hexvix/Cysview across all geographies which demonstrates the high untapped

potential for the Hexvix/Cysview brand. In the US market our efforts, coupled

with the efforts of other key stakeholders within the Urology and Bladder Cancer

community, continue in earnest to secure a long term sustainable reimbursement

solution for this valuable product."

Please find the full financial report and presentation enclosed.

Photocure ASA will present its first quarter 2014 report today at Hotel

Continental, Oslo, Norway. The presentation will begin at 08.30 (CET) and

representatives from the company will be Kjetil Hestdal, President & CEO and

Erik Dahl, CFO.

The presentation will be publicly available at www.photocure.com. It will be

possible to follow the presentation through a live webcast.

A light snack will be served from 08:00 (CET). The presentation is scheduled to

conclude at 09:15 (CET).

Photocure will additionally host an audio webcast and conference call today in

English at 16:00 CET / 15:00 GMT / 10:00 EST.

Please make sure to dial in 5-10 minutes prior to scheduled conference call

start time on one of the following numbers:

* NORWAY:        +472350 0486

* UK:                  +44(0)20 3427 1915

* USA:                +1212 444 0896

Confirmation code: 8859582

It is possible to listen to a replay of the conference call on the following

numbers:

* NORWAY         +47 2100 0498

* UK                   +44 (0)20 3427 0598

* USA                 +1 347 366 9565

Confirmation code: 8859582

For further information, please contact:

Photocure

President & CEO Kjetil Hestdal

Tel: + 47 913 19 535, Email: kh@photocure.no

CFO Erik Dahl

Tel: +47 450 55 000, Email: ed@photocure.no

Hume Brophy

Mary Clark

Tel: +44 20 3440 5653

Email: photocure@humebrophy.com

About Photocure

Photocure, headquartered in Oslo Norway, is a specialty pharmaceutical company

and world leader in photodynamic technology. Based on our unique proprietary

Photocure Technology(TM) platform, Photocure develops and commercializes highly

selective and effective solutions within disease areas with high unmet medical

need, such as bladder cancer, HPV and precancerous cervical lesions, colorectal

cancer and skin conditions. Our aim is to provide solutions which can improve

health outcomes for patients worldwide. Photocure is listed on the Oslo Stock

Exchange (OSE: PHO). Information about Photocure is available at

www.photocure.com.

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

trademarks of Photocure ASA.

This information is subject of the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

[HUG#1783100]