Q-Free ASA — Earnings Release 2021

Jul 9, 2021

Q-Free: Second quarter 2021 results

Q-Free: Second quarter 2021 results

(Oslo, 9 July 2021) Q-Free ASA (OSE: QFR) reported revenues of NOK 253 million

(223) in the second quarter of 2021 and an EBITDA of NOK 35 million (26). The

company has a backlog of NOK 1.2 billion and reiterates its positive short- and

long-term outlook.

"Performance in the second quarter was very strong with high organic revenue

growth and significantly improved profitability. Both Tolling and Traffic

Management contributed to the best quarterly results since 2017," says Håkon

Volldal, President and CEO of Q-Free.

In the second quarter of 2021 Q-Free generated revenues of NOK 253 million, up

13 percent from NOK 223 million in the corresponding quarter in 2020. Adjusted

for currency effects and discontinued business, the organic revenue growth was

29 percent. EBITDA* ended at NOK 35 million (26), an increase of 32 percent

driven by increased revenue, stable gross margin, and cost control. EBIT was 20

million (10) and EPS NOK 0.13 (-0.06). The order intake ended at NOK 151 million

(170), down 11 percent YoY but up 50 percent year-to-date, and the backlog

exceeded NOK 1.2 billion.

Q-Free reiterates its 2025 ambitions of NOK 1.3-1.5 billion in revenues and an

EBITDA margin in the 15-20 percent range. The outlook for 2021 remains positive

despite global supply constraints for microcontrollers that will negatively

impact tag sales in the second half of the year.

"Our backlog is solid, the 2021 opportunity pipeline is attractive, and our win

rate on targeted contracts in the past 12 months has been 67 percent," Volldal

concludes.

Q-Free will host a webcast on 9 July to present the second quarter and first

half 2021 results. The presentation starts at 09:00 CET and can be followed live

on: https://www.q-free.com/investor_relations/web-cast/

A recorded version will be available after the webcast has been concluded. The

report from the Board of Directors and the webcast presentation are enclosed.

* EBITDA and other alternative performance measures (APMs) are defined and

reconciled to the IFRS financial statements as a part of the APM section of the

second quarter 2021 financial report on page 28.

This information is considered to be inside information pursuant to the EU

Market Abuse Regulation and is subject to the disclosure requirements pursuant

to section 5-12 of the Norwegian Securities Trading Act. This stock exchange

announcement was published by Rita Bøe Isaksen, Board Secretary in Q-Free ASA,

on 9 July 2021 at 07:00 CET.

For further information, please contact:

Håkon Volldal, President & CEO, +47 977 19 973

Trond Christensen, CFO, +47 481 02 754

About Q-Free:

Q-Free ASA (OSE: QFR) is a global innovator in intelligent transportation

systems that improve traffic flow, road safety, and air quality. With an open,

collaborative approach to tolling, traffic and active transportation management,

Q-Free works with customers and partners on every continent to digitize

infrastructure and overcome modern mobility challenges for the greater good of

society.

Headquartered in Trondheim, Norway, Q-Free has annual revenues of approximately

1 billion NOK and employs approximately 360 transportation innovators, experts,

and enthusiasts. To learn more about how Q-Free is "changing the movements of

life", visit www.q-free.com or Twitter:@Q-FreeASA