Aqua Bio Technology - Earnings Release 2016

Good first quarter for Aqua Bio Technology

Aqua Bio Technology ASA posted all time high revenues in the first quarter

2016. Income in the quarter was NOK 12.5 million, compared to NOK 9.1 million

last year.

ABT maintained its strong profitability in the first quarter. EBITDA ended at

NOK 6.1 million, corresponding to an EBITDA margin of 49 per cent. In last

year's first quarter EBITDA was NOK 5.2 million, reflecting a 58 per cent

margin. Operating costs in the first quarter 2016 were adversely affected by a

lawsuit from one of ABT's customers in the United States in March of this year.

The Company made provisions in the quarter for expected legal costs of NOK 2

million. The lawsuit remains unresolved, while the parties are making certain

efforts to find a solution through dialogue. A continued process however, will

impact the legal costs of the Company until the process has come to an end.

ABT's strategy is to utilize its resources and expertise to commercialize third

party biotechnology for applications in cosmetics. This fast growing industry

has an unmet need for new and sustainable ingredients.

In the first quarter, ABT entered into partnership with two manufacturers of

substances with potential significant value to the cosmetic industry. The

Company has initiated efficacy and safety testing processes, and expects to

launch the new products in the fourth quarter of this year.

For further information, please call Arvid Lindberg, CEO, telephone

+47 9824 5410

Aqua Bio Technology (ABT) has launched several cosmetic ingredients used in skin

care products globally. Skin care is the fastest growing segment in the

cosmetics industry, where ABT's ingredients have established a foothold. In

addition to ingredients from its own technology, ABT also commercializes novel

technologies/ingredients for partners, for use in skin care products. Aqua Bio

Technology is listed on the Axess market of the Oslo Stock Exchange.

This information is subject to the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

[HUG#2011500]

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