Orkla ASA — Earnings Release 2016

Nov 1, 2016

Orkla ASA: Broad-based improvement for Orkla

Orkla ASA: Broad-based improvement for Orkla

Orkla's operating profit (EBIT adj.) increased by 19% to a total of NOK 1,178

million in the third quarter of 2016. Branded Consumer Goods achieved a 15%

improvement in operating profit, which amounted to NOK 1,209 million. Orkla

strengthened its operations through a number of acquisitions and internal

improvement projects.

Orkla's operating revenues rose by 13% to NOK 9,429 million in the third

quarter.

Branded Consumer Goods reported organic top-line growth of 2%. Orkla Foods,

Orkla Confectionery & Snacks and Orkla Care showed improvement, while Orkla Food

Ingredients delivered a slightly weaker performance in the quarter. Growth for

Branded Consumer Goods was on a par with market growth.

"For the tenth consecutive quarter we have achieved organic turnover growth in

Branded Consumer Goods. Orkla posted a clear improvement in operating profit due

to acquired companies, higher sales and internal improvement projects. In

addition, work is still in progress on a major integration process after several

acquisitions," says Orkla President and CEO Peter A. Ruzicka.

In the third quarter, Orkla made a number of acquisitions and strengthened its

presence in several markets. With the purchase of Harris, Orkla House Care has

become the leading supplier of "Do-It-Yourself" painting tools in the UK.

Sonneveld acquired 70% of the shares in Broer, making it the Netherlands'

leading supplier of almond paste, bakery ingredients and ice cream powder.

Through the acquisition of the Colon-C brand, Orkla Health has strengthened its

position in the gut health segment in Poland.

Profit from Orkla's associates and joint ventures increased by 31% to NOK 313

million in the third quarter. Orkla's share of profit in Sapa was NOK 172

million, compared with NOK 54 million in the corresponding period of 2015. This

progress is due to improvement programmes and the continued reorientation of

sales towards higher value products. Jotun also contributed positive results,

but sales growth has tapered off slightly in the course of the year. Hydro Power

achieved operating profit of NOK 64 million in the third quarter of 2016,

compared with NOK 22 million in the corresponding period of 2015. The

improvement is largely attributable to a rise in realised power prices.

Orkla's profit before tax increased by 24%, totalling NOK 1,328 million in the

third quarter.

Orkla's diluted earnings per share rose by 31% to NOK 1.05 in the third quarter

of 2016.

Orkla ASA

Oslo, 1 November 2016

Ref.:

Group Director Corporate Communications and Corporate Affairs

Håkon Mageli

Mob.: +47 928 45 828

SVP Investor Relations

Mattias Orrenius

Mob: +47 983 66 334

An Excel spreadsheet with key figures is available at www.orkla.com.

This information is subject to the disclosure requirements pursuant to section

5 -12 of the Norwegian Securities Trading Act.