Navamedic — Earnings Release 2016

May 11, 2016

Navamedic ASA : Q1 2016 Results

Navamedic ASA : Q1 2016 Results

(Oslo, 11 May 2016) Navamedic ASA (OSE: NAVA) reported revenues of NOK 60.8

million (61.8) in the first quarter of 2016, and a positive EBITDA of NOK 2.1

million (4.1). The company targets annual revenues of NOK 15-25 million from the

Medtech Business area in 2018.

"Navamedic had a satisfactory first quarter, with gross margin improvement and

underlying revenue growth of 16% in our Nordic distribution business, as well as

delivery on key milestones with regards to the development and commercialisation

of Sippi, our advanced digital urine volume measurement system," says Tom

Rönnlund, Chief Executive Officer of Navamedic.

Revenues in the first quarter 2016 ended at NOK 60.8 million (61.8), with an

EBITDA of NOK 2.1 million (4.1). The Q1 2016 revenue decline is mainly due to

the loss of revenues from the Benelux region, while EBITDA in the quarter was

affected by the business development activities and ongoing commercialisation of

Sippi®.

Navamedic's development and commercialisation of Sippi® made important steps

forward in the quarter, including the launch of wireless communication

capabilities that allow transfer of data from Sippi® to a Patient Data

Monitoring System (PDMS), and the signing of an agreement with Pennine

Healthcare for distribution in the UK, Ireland, and Northern Ireland.

"Sippi is now in initial introduction phase in ten European markets, and we

continue to evaluate new partners for further expansion. Although development

and commercialisation will take time, Navamedic expects its medtech business to

represent a major future opportunity for the company, with revenues in the range

of NOK 15-25 million in 2018, provided successful entry of Sippi in targeted

markets," says Rönnlund.

In the Pharma and Healthcare business area, Navamedic continues to broaden its

portfolio of partnerships and products. During Q1 2016, the company expanded its

cooperation with Pohl-Boskamp for distribution of Nitrolingual® pumpspray in the

Nordic markets.

"Navamedic continues to work on additional launches for the coming year that,

coupled with the inflow of new products in 2016, will help drive future growth,"

says Rönnlund.

For further information, please contact:

Tom Rönnlund, CEO, Navamedic. Telephone +46 727 320 321.

Navamedic ASA is a Norwegian medtech and pharmaceutical products company,

delivering products to patients, hospitals and pharmacies in the Nordic and

Benelux markets. The Group's Medtech business has developed and is currently

introducing the next generation of digital urine meter Sippi®. Navamedic's

Pharma and Healthcare business is a distributor of products supplied by a number

of pharmaceutical manufacturers. Navamedic is listed on the Oslo Stock Exchange

(ticker: NAVA).

www.navamedic.com

This information is subject of the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

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