ArcticZymes Technologies — Earnings Release 2017

Apr 27, 2017

Biotec Pharmacon: Results for Q1 2017

Biotec Pharmacon: Results for Q1 2017

(Tromsø, 27 April 2017) Biotec Pharmacon ASA ("Biotec", OSE: BIOTEC) reported

sales of NOK 18.2 million (17.3) in the first quarter of 2017, and a negative

EBITDA of NOK 4.1 million (-3.5). Woulgan® generated sales of NOK 0.4 million

during the first quarter primarily to Germany. ArcticZymes continued its

positive sales growth from the previous quarters

-We see that Woulgan® continues to generate revenues in Germany and based on the

positive market feedback from the evaluations, we remain optimistic for this

product going forward. We hope our latest response to the UK Drug Tariff will be

acceptable. We are applying for a new product category so the UK authorities

need a strong level of confidence before they reimburse. ArcticZymes continues

its solid performance with sales growth in the first quarter, says Svein Lien,

Chief Executive Officer of Biotec.

Sales in the first quarter 2017 ended at NOK 18.2 million (17.3) with an EBITDA

of NOK -4.1 million (-3.5). Sales from beta-glucans and enzymes were NOK 9.3 and

8.9 million, respectively. Woulgan® had sales of NOK 0.4 million in the quarter

primarily from Germany. Biotec has a good financial position with a cash balance

of NOK 46.5 million at the end of the quarter.

Biotec replied to "UK Drug Tariff" questions at the end of February 2017, and is

currently awaiting feedback. Germany is developing as expected and several new

homecare companies are evaluating Woulgan®. In the Nordic countries, tender

listings and key opinion leader support is important to generate brand awareness

and push sales.

-We are pleased how we are able to move the business units forward. Also, the

positive development in the cancer area is encouraging and we will seek ways to

move this forward with limited resources, says Lien

Biotec's operational targets for 2017 are to finalize UK reimbursement, drive

commercial sales for Woulgan®, expand and retain business opportunities within

the consumer and animal health segment. ArcticZymes targets to develop new

products and continue sales growth.

The complete interim report for Q1 2017 is enclosed. The company is hosting a

presentation on 27 April 2017 at 08:30 CET at Hotel Continental, Stortingsgata

24, Oslo.

For additional information,

Svein Lien, CEO, +47 922 89 323, svein.lien@biotec.no

About Biotec Pharmacon ASA:

Biotec Pharmacon ASA is the parent company of Biotec BetaGlucans AS and

ArcticZymes AS. Biotec BetaGlucans develops, manufactures and markets novel

immunomodulating products, including Woulgan®, an advanced wound care product

for stalled wounds with a proprietary medicinal ingredient. ArcticZymes

develops, produces and markets recombinant enzymes of marine origin used in

molecular DNA technologies and diagnostics, representing growth markets where

rapid technological developments are creating a strong demand for new and

improved enzymes.