Aker Solutions — Earnings Release 2021

Oct 27, 2021

Aker Solutions ASA: Third-Quarter Results 2021

Aker Solutions ASA: Third-Quarter Results 2021

October 27, 2021 - Increased revenue, order intake and backlog, with margins at

6.3 percent. In the third quarter of 2021, Aker Solutions continued to

demonstrate that it remains on-track with its transformation and growth targets,

as the company continued to progress well on projects globally. Tendering

activity remains high, and the company updated its financial guidance.

3Q 2021 Financial Highlights

(excl. special items)

· Revenue NOK 7.3 billion

· EBITDA NOK 459 million

· EBITDA margin 6.3 percent

· Earnings per share NOK 0.22

· Net cash position NOK 1.1 billion

· Order intake NOK 9.5 billion (1.3x book-to-bill)

· Order backlog NOK 48.4 billion

"We delivered another solid quarter demonstrating that we continue on-track with

our growth targets and our transition journey. Third-quarter results reflect

continued strength in operational performance and further support our confidence

in full-year financial guidance. We secured our sixth consecutive quarter of

high order intake above 1.0x book-to-bill. This provides a solid foundation for

activity increase moving forward. Another important development is that we

continue to secure order intake from energy transition related work, and this

currently represents more than 30 percent of our orderbook. Looking forward, we

see increased market activity across areas where we are relevant. Aker Solutions

is well positioned to take full advantage of opportunities ahead," said Kjetel

Digre, chief executive officer of Aker Solutions.

Key Financials

In the third quarter, Aker Solutions delivered revenues of NOK 7.3 billion and

an EBITDA of NOK 459 million excl. special items. This was equivalent to an

EBITDA-margin of 6.3 percent. The earnings per share was NOK 0.22 in the

quarter. The company's financial position remained solid with a net cash

position of NOK 1.1 billion and a liquidity buffer of NOK 8.5 billion.

Order Intake

The order intake was NOK 9.5 billion, equaling 1.3 times book-to-bill. At the

end of the quarter, the backlog stood at NOK 48.4 billion, an increase from NOK

38.1 billion a year ago. During the quarter, Aker Solutions won a major contract

of more than NOK 3 billion from Ørsted and Eversource, to provide the HVDC (high

-voltage, direct current) transmission system for the Sunrise Wind offshore wind

project in the U.S. Sunrise Wind is the first offshore wind farm in New York,

and when completed, it is planned to generate enough electricity to power close

to 600,000 homes.

Within oil and gas, the largest awards in the quarter included a topside

modification contract for ConocoPhillips' Tommeliten Alpha field development,

and the subsea production system for the Kobra East & Gekko field development by

Aker BP. Aker Solutions was also awarded important front-end engineering and

design (FEED) contracts from Aker BP for two platforms and subsea production

systems for NOA and Fulla, which is part of the greater NOAKA field development.

These FEED contracts could potentially represent contract opportunities of more

than NOK 12 billion for Aker Solutions in 2022, subject to final investment

decision and regulatory approvals.

After quarter-end, on October 20, the company announced a letter of intent for a

FEED contract from Equinor, for the FPSO for the Wisting field development in

Norway. If the field development moves forward to execution phase, Aker

Solutions estimates it could potentially represent a significant contract

opportunity in the range NOK 8 to 12 billion, subject to final investment

decision and regulatory approvals.

Operations and Developments

The company is gradually increasing progress on recently awarded work. Third

-quarter results reflect solid operational performance. On Johan Sverdrup, the

company delivered a large 5,000-ton topside module on time, on budget, and with

the right quality. On the Troll phase 3 project, first gas was achieved during

the quarter, delivering great value for the customer. Aker Solutions also

delivered the Hod unmanned wellhead platform to Aker BP in a record-breaking 14

months after the first steel was cut, despite the challenges imposed by the

COVID-19 pandemic.

Another highlight was the formation of a consortium with Siemens Energy and

Doosan Babcock to develop solutions for the growing UK carbon capture,

utilization and storage (CCUS) market. The company also announced its commitment

to Net Zero by 2050, to reduce own emissions to help reduce climate change.

Outlook

The outlook remains positive in the company's main markets, both within oil and

gas and related to energy transition work. Aker Solutions is well positioned for

the increased project sanctioning expected on the Norwegian continental shelf in

Tendering activity remains high, and the company is currently bidding for

contracts totaling about NOK 80 billion. About 25 percent of the tender value is

related to energy transition work, such as offshore wind, carbon capture,

hydrogen, and solutions for oil and gas with reduced emissions. Aker Solutions

will continue to have a disciplined and focused approach to the projects it is

tendering for. The company plans ahead in terms of capacity, also by discussing

this with customers.

For 2021, the company increases full-year revenue guidance to around NOK 29

billion, with underlying EBITDA-margin seen up from last year to around the 6.0

percent level. Based on secured backlog and market activity, 2022 full-year

revenue is at this stage seen up 15 percent from 2021.

ENDS

Media Contact:

Torbjørn Andersen, mob: +47 928 85 542, email:

torbjorn.andersen@akersolutions.com

Investor Contact:

Fredrik Berge, mob: +47 450 32 090, email: fredrik.berge@akersolutions.com

Aker Solutions delivers integrated solutions, products and services to the

global energy industry. We enable low-carbon oil and gas production and develop

renewable solutions to meet future energy needs. By combining innovative digital

solutions and predictable project execution we accelerate the transition to

sustainable energy production. Aker Solutions employs approximately 15,000

people in more than 20 countries.

Visit akersolutions.com and connect with us on

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This press release may include forward-looking information or statements and is

subject to our disclaimer, see https://akersolutions.com

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

-12 of the Norwegian Securities Trading Act.