Reach Subsea — Earnings Release 2018

May 23, 2018

Report for the first quarter 2018

Report for the first quarter 2018

First quarter 2018 HIGHLIGHTS

* Implementation of IFRS 16 boosts balance sheet by NOK 220 million, increases EBITDA and reduces pre-tax result for 1Q2018 compared with 1Q2017.

* 1Q EBITDA before amortization of termination fee was NOK 13.2 million (NOK 2.4 mill in 1Q2017), while pre-tax result was NOK -18.6 million (NOK -12.8 million). However, underlying financial performance was in line with 1Q 2017.

* Strategic breakthrough with the award of significant frame agreements with Equinor for survey, light construction and IMR services for the next 5 years.

* Solid balance sheet maintained, positioning the Group to further invest in innovative technologies and subsea assets to leverage our platform for the expected future market recovery.

* Tender activity remains high with outstanding tender value of around NOK 1.7 billion, compared with NOK 1.4 billion at the end of 1Q2017.

* Reach Subsea opened an office in Houston at the beginning of 2018 with the objective of penetrating other markets, in particular the Gulf of Mexico and West Africa. The Houston office has already been awarded and successfully completed some projects in Trinidad.

For further information, please contact:

Birgitte Wendelbo Johansen (CFO)

www.reachsubsea.no