Q-Free ASA - Earnings Release 2014

Q-FREE FOURTH QUARTER AND FULL YEAR 2014 RESULTS

Q-Free reported revenues of NOK 258 million for the fourth quarter of 2014, up

71 percent from the corresponding quarter in 2013. Operating profit before

depreciation and amortisation (EBITDA) improved to NOK 26.2 million from NOK

-33.9 million, EBIT improved to NOK 4.3 million from NOK -49.8 million.

The strong revenue growth in the fourth quarter reflects a substantial increase

in sales within the ATMS business following the acquisition of US-based Open

Roads by the end of the third quarter 2014, and an increase in product revenues.

For the full year 2014, revenues increased by 30 percent to NOK 789 million

(606). EBITDA was NOK 84.7 million (-31.8), EBIT was NOK 8.4 million (-94.7).

- In early 2014, we revised our strategy and now aim at creating more leads in

the small and mid-sized segments. In Q4, we have made significant progress in

this respect. At the same time we succeeded in improving our overall financial

performance and we increased our operational cash flow, comments CEO in Q-Free,

Thomas Falck.

-We see that the expansion into ATMS is starting to pay off, and we see signs of

improvement in the RUC market. In Q4 we demonstrated improving underlying

margins from increasing volumes. We still have a long way to go, and we expect

some volatility in the quarters to come, but we are taking steps to continuously

improve our business to become a stronger and healthier player within the ITS

market, he continues.

Order intake during the fourth quarter amounted to NOK 338 million, up from NOK

191 million in the third quarter 2014. By the end of the period, the total order

backlog amounted to NOK 481 million, of which NOK 364 million relates to

contracts for delivery in 2015.

Enclosures: presentation and report

For further information, please contact:

CEO Thomas Falck: +47 468 00 767

CFO Roar Østbø: +47 932 45 175

About Q-Free

Q-Free is a leading global supplier of products and solutions within Road User

Charging and Advanced Transportation Management Systems. The Q-Free Group has

approximately 400 employees with offices in 18 countries and presence on all

continents. The Q-Free head office is in Trondheim,Norway. Q-Free is listed on

Oslo Stock Exchange under the ticker QFR.

www.q-free.com

Twitter: @Q-FreeASA

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