Nekkar — Earnings Release 2021

Feb 17, 2022

Nekkar ASA: fourth quarter and full-year 2021 interim financial results

Nekkar ASA: fourth quarter and full-year 2021 interim financial results

17.2.2022 07:00:01 CET | Nekkar ASA | Additional regulated information required

to be disclosed under the laws of a member state

17 February 2022 - Nekkar ASA (Nekkar) reported record high revenue of NOK 138

million in the fourth quarter of 2021, up from NOK 132 million in the same

quarter last year. Operational EBITDA was NOK 47 million (Q4 2020: NOK 38

million), equivalent to an operational EBITDA-margin of 34.3 percent (29.3%).

Nekkar's order backlog was NOK 838 million at year-end 2021.

"We are delivering both stronger revenues and higher operational EBITDA-margin

than we have seen in previous quarters and years. During the fourth quarter,

Nekkar successfully completed four large shiplift projects in our Shipyard

Solutions business area. The project deliveries had a positive impact on

revenues and margins in the quarter." says Preben Liltved, interim CEO of

Nekkar.

INCREASED SERVICE ORDER INTAKE

As clients may delay investment decisions for newbuild projects, Nekkar

initiated a project in 2019 to generate more service revenues from its extensive

global installed base of ship lifts and transfer systems.

In 2021, Nekkar's order intake from aftersales and services grew by 165 percent

year-over-year, from NOK 27.6 million to NOK 73.2 million.

"Both order intake and revenues from services are showing promising development.

We expect this to continue into 2022 and beyond. In addition, we expect to see

contract awards for newbuild projects in 2022," adds Preben Liltved.

Nekkar reported revenues of NOK 138 million (132) in the fourth quarter 2021.

The company's operational EBITDA was NOK 47 million (38), equivalent to an

operational EBITDA-margin of 34.3 percent (29.3%). Operational EBITDA excludes

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

Reported EBITDA was NOK 48 million (61). EBIT ended at NOK 45 million in this

year's fourth quarter (60).

At year-end, Nekkar's order backlog stood at a healthy NOK 838 million (1,167).

Nekkar's balance sheet remains strong with no interest-bearing debt and cash and

cash equivalents of approximately NOK 180 million at year-end.

GOOD PROGRESS ON IMPACT TECHNOLOGY PROJECTS

In addition to the Shipyard Solutions business, Nekkar has three business areas:

Digital Solutions, Aquaculture and Renewables.

In the Digital Solutions business area, Nekkar's subsidiary company Intellilift

AS established a joint venture company (JV), named Inteliwell, together with a

subsidiary of Transocean Inc. in the fourth quarter. The JV's purpose is to

commercialize software-based products and services that enable digital well

construction to rig operators and oil companies. The solution aims to generate

platform fees and SaaS revenues for Intillilift.

In the Aquaculture business area, testing of the scaled-down Starfish closed

fish cage progresses as planned, showing promising results. In the fourth

quarter, Nekkar has also progressed plans to build the first full-scale Starfish

closed fish cage, placing orders for key long lead items.

"We have also initiated advanced discussions with a leading Norwegian fish

farming company regarding the location for the full-scale Starfish test later in

2022," says Preben Liltved.

Within the Renewables business area, development of the SkyWalker wind turbine

installation tool is progressing according to plan. Nekkar is currently

conducting tests on the 1:20 SkyWalker model, in addition to finishing design of

the full-scale prototype. Nekkar and the company's innovation partners are also

in ongoing discussions about the most optimal go-to-market model for the

SkyWalker solution.

PRESENTATION AT 08:00 AM TODAY

The fourth quarter and full-year 2021 interim financial results 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/20220217_18/

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 Q4_FY 2021 Presentation.pdf -

https://kommunikasjon.ntb.no/ir-files/17847326/1210/1613/NEKKAR%20ASA%20Q4_FY%20

2021%20Presentation.pdf