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Orkla ASA Earnings Release 2015

Apr 29, 2015

3703_rns_2015-04-29_64c06d0c-44e0-4669-9f1c-24194ddeb6f4.html

Earnings Release

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Orkla ASA: Sapa (joint venture) - Announcement of results for the first quarter 2015

Orkla ASA: Sapa (joint venture) - Announcement of results for the first quarter 2015

Sapa is a 50/50 joint venture between Norsk Hydro ASA's former Extruded products

business area and Orkla ASA's Sapa (ex. Gränges) and is the global leader in

extruded aluminum solutions.  The joint venture was established on 1 September

Underlying EBIT for Sapa improved compared to the same quarter of the previous

year driven by strong North-American demand, the effects of improvement programs

and restructuring activities, and positive currency development. Results for

precision tubing operations improved, supported by growth in global automotive

demand.   Sapa's restructuring agenda continues to be ahead of plan, with

limited restructuring charges affecting reported EBIT for the quarter.

Key Figures - Sapa (100%):

+----------------------------+----------+----------+

| NOK million  |  Q1 2015 |  Q1 2014 |

+----------------------------+----------+----------+

| Sales volume (1000 tonnes) | 353 | 359 |

+----------------------------+----------+----------+

| Revenues | 14 134 | 11 346 |

+----------------------------+----------+----------+

| Underlying EBITDA | 705 | 440 |

+----------------------------+----------+----------+

| Underlying EBIT | 392 | 155 |

+----------------------------+----------+----------+

| Reported EBIT | 201 | -3 |

+----------------------------+----------+----------+

Orkla's share of Sapa's net income for the quarter was NOK 45 million compare to

negative NOK 51 mill. for the same quarter of the previous year.

Market Comments:

Demand for extruded products in North America increased by 11 percent compared

to the same quarter last year, driven by strong automotive demand and increased

building and construction activity.

In Europe, demand was stable compared to the same quarter previous year Demand

for extruded products is expected to be seasonally higher in the second quarter.

Compared to the second quarter of last year, demand in Europe is expected to

remain stable while the strong development in North America is expected to

continue.

Orkla ASA

Oslo, 29 April 2015

Ref.:

Orkla ASA

SVP Investor Relations

Rune Helland

Tel.: +47 977 13 250

Email: [email protected]

This information is subject to the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

[HUG#1916244]