Reach Subsea — Earnings Release 2021

Nov 4, 2021

Reach Subsea ASA: Third quarter financial results

Reach Subsea ASA: Third quarter financial results

Reach Subsea ASA: Third quarter 2021 financial results

Haugesund, 4 November 2021: Reach Subsea ASA, the trusted data and subsea service provider for ocean-based industries, today published its third quarter 2021 financial results.

Highlights (numbers in brackets are comparative figures from Q3 2020):

• 3Q 2021 revenue increased 11% to NOK 224 million (NOK 201 million), driven by continued high utilization of assets and resources, and successful project execution.

• 3Q 2021 EBIT was NOK 23 million (NOK 24 million), while pre-tax result was NOK 23 million (NOK 33 million).

• Year to date turnover was NOK 495 million (497 million), EBIT was 53 million (36 million), while pre-tax result was NOK 50 million (29 million).

• High activity in renewables segment with 44.5% and 49.2% of project days generated from non-oil & gas clients in 3Q 2021 and year-to-date, respectively.

• Busy tendering activity during the quarter, which extended into the fourth quarter, providing a good schedule to build upon for the upcoming winter season.

• Continuous work and progress on Reach Remote project, on track for 2023. Significant interest from clients and potential partners globally.

• On track to meet company’s fifteen Sustainability targets set for 2021.

"I’m proud to announce the sixth quarter in a row with positive results for Reach Subsea, and the best nine-month result in our company’s history, with NOK 50 million in pre-tax profit. Continued high vessel utilization and successful project execution, with zero incidents, resulted in double-digit revenue growth in the third quarter,” said Reach Subsea’s CEO Jostein Alendal. “We’re excited about the fact that Reach Remote is on track for delivery in 2023 and that the low-emission, cost-effective subsea services that it will offer is already receiving great interest from offshore wind farm operators and oil and gas asset owners alike.”

“We see clear signals of improvement in the market, in part owing to high oil and gas prices, but also due to strong demand from the renewable energy sector, especially offshore wind. For Reach Subsea, this represents a segment with abundant opportunities, not only related to development and construction, but also long-term recurring maintenance and inspection business. Our long-standing business relations with the world’s largest energy companies, coupled with experience and technology from offshore oil and gas, means that we are well positioned to take part in this structural growth,” added Alendal.

For further details, please see the attached third quarter 2021 report and presentation.

Reach Subsea CEO Jostein Alendal and CFO Birgitte Wendelbo Johansen will host a webcast presentation of the results in English at 10:30 CET today. You can follow the webcast on this direct link:

https://channel.royalcast.com/landingpage/hegnarmedia/20211104_10/

A recorded version of the presentation will be available after the live stream is concluded. Participants will have the opportunity to submit questions online throughout the webcast session.

For further information, please contact:

Birgitte Wendelbo Johansen

Chief Financial Officer

Reach Subsea ASA

bwj@reachsubsea.no

About Reach Subsea:

Reach Subsea ASA Group offers subsea services as a subcontractor and/or directly to end clients, based out of our head office in Haugesund. The core business of the Group is based on modern, high spec Work ROVs operated by highly-qualified offshore personnel, and supported by onshore engineering resources. The Group’s objective is to be a preferred subsea partner and full-service provider of subsea operations for clients, focusing on safety, environment, financial solidity and profitability.

www.reachsubsea.no