Nekkar — Earnings Release 2022

May 25, 2022

Nekkar ASA: first quarter 2022 interim financial results

Nekkar ASA: first quarter 2022 interim financial results

25.5.2022 07:00:00 CEST | Nekkar ASA | Additional regulated information required

to be disclosed under the laws of a member state

25 May 2022 - Nekkar ASA (Nekkar) reported revenue of NOK 84 million in this

year's first quarter (Q1 2021: NOK 93 million), and operational EBITDA of NOK 12

million (17), equivalent to an operational EBITDA-margin of 14 percent (18%).

EBIT ended at NOK 12 million (16).

"As indicated in the fourth quarter presentation, we are delivering a first

quarter on approximately the same level as last year's first quarter. The

slightly lower revenue is caused by delays on the customer side. Tender activity

remains high, and we have not lost any tenders, so we retain our positive market

outlook," says Preben Liltved, interim CEO of Nekkar.

NEW UPGRADE CONTRACT

Nekkar increased its order intake to NOK 31 million in the first quarter, versus

NOK 16 million in the same quarter last year. Most of the order intake was

related to a contract to upgrade a shiplift and transfer system that is

installed at an undisclosed Egyptian shipyard.

Nekkar's order backlog stood at NOK 763 million at the end of the first quarter.

"Our strategy to generate more revenues from services and upgrades of

Syncrolift's substantial installed base has proven successful. We continue to

experience strong tendering activity for service and upgrade projects. Tender

activity for newbuild projects is also high and we expect decisions on large

newbuild tenders during 2022. Nevertheless, our strong order backlog provides us

with excellent visibility for the next couple of years," adds Preben Liltved.

Nekkar reported revenues of NOK 84 million (93) in the first quarter 2022. The

company's operational EBITDA was NOK 12 million (17), equivalent to an

operational EBITDA-margin of 14 percent (18%). Operational EBITDA excludes

losses/gain on foreign exchange contracts not qualifying for hedge accounting.

Reported EBITDA was NOK 14 million (17), equivalent to a margin of 16.2 percent

(18.3%). EBIT ended at NOK 12 million (16).

MACRO TRENDS DRIVE INTEREST IN IMPACT TECHNOLOGIES

Nekkar is currently developing sustainable and digitalised impact technologies

that aim to unlock customer value in ocean-based industries such as offshore

energy, aquaculture and renewables. These technologies include the Starfish

closed fish cage, the SkyWalker wind turbine installation tool, and the

Inteliwell rig automation solution.

"Global macro trends such as increased raw material prices, high energy prices,

growing renewable investments, higher food prices and continued pressure to

reduce environmental footprint actually benefit Nekkar. Simply because Starfish,

SkyWalker and Inteliwell are developed with the same philosophy of highest

degree of automation, less manpower involved, lighter structures, lower

operating costs and emissions. As a result, we are experiencing growing interest

in all our new impact technologies," says Preben Liltved.

Within Aquaculture Solutions, Nekkar and leading fish farming companies are

currently assessing ideal site locations for the first full scale Starfish

closed fish cage. Nekkar has already placed orders for key long-lead items for

Starfish.

Development of the SkyWalker wind turbine installation tool is also progressing

according to plan. Next step is wind tunnel testing of the 1:20 model. Nekkar in

in parallel investigating potential industrial partnerships to fast-track the

commercialisation of SkyWalker.

In Nekkar's Digital Solutions business area, the Intellilift team has been in

Houston, USA, for large parts of the first quarter to support the Inteliwell

joint venture established together with Transocean. The Inteliwell team has

successfully completed MVP testing (minimum viable product) and is ready to

enter the commercial sales phase. The Inteliwell team already has solid leads on

oil and gas SaaS projects.

PRESENTATION AT 08:00 AM TODAY

The first quarter 2022 business update presentation is enclosed to this

announcement.

Nekkar ASA will hold a live webcast presentation today at 08:00 CET. The webcast

presentation can be followed from the following URL:

https://channel.royalcast.com/landingpage/hegnarmedia/20220525_1/

DISCLOSURE REGULATION

This information is subject to the disclosure requirements pursuant to Section

5-12 the Norwegian Securities Trading Act.

CONTACTS

* Preben Liltved, CEO, +47 480 62 691, IR@Nekkar.com

ABOUT NEKKAR ASA

Nekkar (OSE: NKR) is an industrial technology group offering impact technologies

combined with high-end software solutions. The group combines 50 years' heritage

from the world's number one shiplift company, Syncrolift, with new investments

into sustainable, digitalised technology businesses that aim to unlock growth

within ocean-based industries such as offshore energy and renewables and

aquaculture.

ATTACHMENTS

Nekkar ASA_Q1 2022_presentation 250522.pdf -

https://kommunikasjon.ntb.no/ir-files/17847326/1484/2028/Nekkar%20ASA_Q1%202022_

presentation%20250522.pdf