RTX — Interim / Quarterly Report 2018

May 1, 2018

INTERIM REPORT FOR

Q2 2017/18 (the period 01.01.2018 - 31.03.2018)

GROWTH DESPITE UNFAVOURABLE US DOLLAR DEVELOPMENT

The Board of Directors of RTX A/S has today considered and approved the Group's interim report for the second quarter of 2017/18 (covering the period 01.01.2018 – 31.03.2018)

SUMMARY OF THE SECOND QUARTER OF 2017/18 FOR THE RTX GROUP

• Net revenue increased in Q2 by 26.9% to DKK 106.8 million corresponding to an increase in revenue of DKK 22.7 million compared to Q2 of 2016/17. The increase in revenue in Q2 of 2017/18 is anchored in both business units, but is to some extent counterbalanced by the unfavourable development in the US dollar exchange rate, and corrected for this effect the increase was 41.9%.
• Revenue apportioned across RTX's business units as follows:
• Business Communications achieved an increase in revenue of DKK 19.1 million to DKK 68.8 million corresponding to a growth of 38.3% compared to Q2 of 2016/17 (corrected for exchange rate effect the growth was 58.7%).
• Design Services increased revenue by DKK 3.6 million to DKK 38.0 million corresponding to a revenue growth of 10.4% compared to Q2 of 2016/17 (corrected for exchange rate effect the increase was 19.0%).
• Gross profit increased by 38.5% to DKK 64.8 million in Q2 of 2017/18 compared to the same period last year. Due to the revenue mix the gross margin increased by 5.1% points to 60.7% from 55.6% in Q2 of 2016/17.
• In Q2 of 2017/18, capacity costs increased by 8.8% driven by increased staff to meet the higher level of activity in both business units and continued investments in own financed development projects. The increased number of own financed development projects has resulted in capitalization of DKK 6.3 million in Q2 of 2017/18 compared to DKK 4.8 million in the same period last year.
• Operating profit (EBIT) increased to DKK 19.6 million compared to DKK 4.7 million in the same period last year. The growth in operating profit (EBIT) must be seen in the light of the disruptions in the supply chain last year.
• Cash flows from operating activities amounted to DKK 20.4 million in Q2 of 2017/18 compared to DKK 26.5 million in Q2 of 2016/17.

ANNOUNCEMENT

to Nasdaq Copenhagen A/S and the media

Nørresundby, 1 May 2018 Announcement no. 9/2018

No. of pages: 12

SUMMARY OF THE FIRST SIX MONTHS OF 2017/18 FOR THE RTX GROUP

• In the first six months of 2017/18 RTX realized a growth in revenue by 6.3% to DKK 207.7 million corresponding to an increase in revenue of DKK 12.3 million compared to the same period last year. Corrected for exchange rate effects the growth in revenue corresponds to 16.3%.
• Revenue apportioned across RTX's business units as follows:
• Business Communications saw an increase in revenue of DKK 8.1 million to DKK 134.6 million corresponding to a growth of 6.3% compared to Q2 YTD 2016/17 (corrected for exchange rate effect the growth was 18.3%).
• Design Services increased revenue by DKK 4.2 million to DKK 73.1 million corresponding to a revenue growth of 6.2% compared to Q2 YTD 2016/17 (corrected for exchange rate effect the increase was 12.9%).
• Gross profit increased by 14.0% to DKK 121.8 million corresponding to a growth of DKK 14.9 million compared to the same period last year. Due to the revenue mix the gross margin increased by 4.0% points to 58.7% from 54.7% in the same period last year.
• In 2017/18, capacity costs have increased by 5.7% driven by increased staff to meet the higher level of activity in both business units and continued investments in own financed development projects. The increased number of own financed development projects has resulted in capitalization of DKK 9.7 million in 2017/18 compared to DKK 6.5 million in the same period last year.
• Operating profit (EBIT) increased to DKK 31.7 million compared to DKK 19.7 million in the same period last year. The growth in operating profit (EBIT) must be seen in the light of the disruptions in the supply chain in Q2 last year.
• Cash flows from operating activities in the first six months of 2017/18 amounted to DKK 39.4 million compared to DKK 18.0 million in 2016/17.

OUTLOOK FOR 2017/18

• Combined with the continued investment in a broader product portfolio and technology platform, Management maintains the expectations for revenue between DKK 460-490 million, EBITDA between DKK 72-87 million and Operating Profit (EBIT) between DKK 58-73 million, where especially EBIT must be seen in the light of an increased investment level supporting the newly defined strategic directions of RTX.

RTX A/S

PETER THOSTRUP PETER RØPKE Chairman CEO

ENQUIRIES AND FURTHER INFORMATION: CEO

Peter Røpke, tel +45 96 32 23 00

APPENDICES

Interim report for Q2 2017/18 comprising:

• Group financial highlights and key ratios
• Management report
• Group income statement
• Group Statement of comprehensive income
• Group balance sheet
• Group equity statement
• Group cash flow statement
• Notes

On Friday, 4 May 2018 at 9 am, RTX will hold a meeting for investors and analysts at

ABG Sundal Collier, Forbindelsesvej 12, 2100 Copenhagen.

At this meeting, the Company's management will comment on the interim report for the second quarter of 2017/18.

To register for the meeting, please email ABGSCEvents-Copenhagen@abgsc.dk.

Group financial highlights and key ratios

(non-audited)

Amounts in DKK million	Q2 2017/18	Q2 2016/17	H1 2017/18	H1 2016/17	FY 2016/17
INCOME STATEMENT ITEMS
Revenue	106.8	84.1	207.7	195.4	433.5
Gross profit	64.8	46.8	121.8	106.9	238.5
Operating profit/loss (EBIT)	19.6	4.7	31.7	19.7	72.3
EBITDA	21.4	5.9	34.9	22.0	77.2
EBITDA %	20.0%	7.0%	16.8%	11.3%	17.8%
Net financials	-1.3	-0.2	-1.6	0.0	-1.9
Profit/loss before tax (EBT)	18.3	4.5	30.1	19.8	70.4
Profit/loss for the period	14.3	3.2	23.6	15.0	58.2
BALANCE SHEET ITEMS
Cash and current asset investments	138.8	159.0	138.8	159.0	151.3
Total assets	335.3	306.3	335.3	306.3	353.0
Equity	269.2	257.6	269.2	257.6	283.0
Liabilities	66.1	48.7	66.1	48.7	70.0
OTHER KEY FIGURES
Development costs (own) before capitalization	10.0	11.0	17.4	18.3	36.9
Capitalized development costs	6.3	4.8	9.7	6.5	17.4
Depreciation, amortization
and impairment	1.8	1.2	3.2	2.2	4.9
Cash flow from operations	17.9	26.8	38.1	14.0	46.7
Cash flow from investments	-8.4	-8.0	-14.2	-14.4	-37.0
Investments in property, plant and equipment	2.3	2.6	4.0	7.1	8.9
Increase/decrease in cash and cash equivalents	-9.3	-15.0	-12.2	-43.6	-61.4

Amounts in DKK million	Q2 2017/18	Q2 2016/17	H1 2017/18	H1 2016/17	FY 2016/17
KEY RATIOS
Growth in net turnover (percentage)	26.9	-18.0	6.3	0.5	9.6
Profit margin (percentage)	18.4	5.6	15.3	10.1	16.7
Return on invested capital 2) (percentage)	93.0	81.3	93.0	81.3	92.1
Return on equity 2) (percentage)	25.3	14.5	25.3	14.5	20.7
Equity ratio (percentage)	80.3	84.1	80.3	84.1	80.2
EMPLOYMENT
Average number of full-time employees	243	228	239	226	227
Revenue per employee 1) (DKK '000)	439	369	869	865	1,910
Operating profit/loss per employee 1) (DKK '000)	81	21	133	87	318
SHARES
Average number of shares in circulation ('000)	8,543	8,787	8,544	8,808	8,735
Average number of diluted shares ('000)	8,664	8,978	8,695	8,994	8,916
SHARE DATA. DKK PER SHARE AT DKK 5
Profit/loss for the period (EPS), per share 1)	1.7	0.4	2.8	1.7	6.7
Profit/loss for the period, diluted (DEPS), per share 1)	1,7	0.4	2.7	1.7	6.5
Dividends, per share (DKK)	-	-	-	-	2.0
Equity value, per share	31.4	29.4	31.4	29.4	32.9
Listed price, per share	162.0	190.5	162.0	190.5	180.0

Note: The Group's financial year runs from 1 October to 30 September.

Definitions of the key ratios used are stated in the annual report for 2016/17 in the accounting policies. 1) Not annualized.

2) Calculated over a 12 months' period. Key ratios regarding previous periods were corrected.

Management report

Comments on developments for the second quarter of the 2017/18 financial year

WITH REFERENCE TO THE GROUP'S FINANCIAL FIGURES FOR THE SECOND QUARTER OF 2017/18

In Q2 of 2017/18, the Group realized revenue of DKK 106.8 million equivalent to an increase of 26.9% compared to DKK 84.1 million in the same period last year. Adjusted for exchange rate effects, revenue increased by 41.9% compared to last year.

Business Communications realized revenue of DKK 68.8 million in Q2, which was an increase of 38.3% or DKK 19.1 million from DKK 49.7 million in the same period last year. Corrected for exchange rate effects the increase was 58.7%. Revenue in Q2 of 2016/17 was negatively affected by changes in the Business Communications supply chain, which postponed revenue from Q2 to Q3 in 2016/17. The investment in RTX's own business headset program has generated the first sales in Q2 of 2017/18 and continued interest from customers is expected to increase sales in the months to come. Additional own financed investments in a handset program has resulted in a contract with a major new international customer.

Design Services realized growth of 10.4% in revenue to DKK 38.0 million in Q2 compared to DKK 34.4 million in the same period of 2016/17. Adjusted for exchange rate effects the growth was 19.0%. The continued activity growth in Design Services is based on an increasing demand for

customized modules and highly specialized engineering services. The development of own financed gaming platforms progresses as planned and with positive attention from potential customers.

The development in revenue resulted in an increase of gross profit to DKK 64.8 million from DKK 46.8 million in Q2 of 2016/17 equivalent to an increase of 38.5%. The gross margin was improved by 5.1% points to 60.7% compared to 55.6% in the same period last year due to a positive development in the product mix.

Capacity costs increased during the period in consequence of an increased level of activity in both business units and amounted to DKK 49.7 million in Q2 of 2017/18 compared to DKK 45.7 million in the same period last year. The higher level of activity is driven by a higher demand for customer financed development projects resulting in additionally 15 employees in Q2 of 2017/18 compared to Q2 of 2016/17.

As an effect of the increase in investments in own financed development projects, the capitalized amount was DKK 6.3 million in Q2 of 2017/18 and in line with the expectations.

Depreciations rose according to plan to DKK 1.8 million in Q2 of 2017/18 from DKK 1.2 million in Q2 of 2016/17 primarily due to higher investments in operation equipment and own financed development projects.

Operating profit (EBIT) amounted to DKK 19.6 million compared to DKK 4.7 million in the same period last year. This development is mainly due to the higher activity in Q2 2017/18, which is partly counterbalanced by an unfavorable US dollar exchange rate.

Net financial income resulted in a cost of DKK 1.3 million compared to a cost of DKK 0.2 million in the same period last year. The primary reason for the development is the exchange rate fluctuations.

Profit before tax for Q2 of 2017/18 amounted to DKK 18.3 million compared to DKK 4.5 million in the same period last year.

Profit after tax amounted to DKK 14.3 million in Q2 of 2017/18 compared to DKK 3.2 million for the same period last year.

As announced in the beginning of Q2, the company concluded the share repurchase program authorized by the Annual General Meeting. The share buyback and pay out of dividends had a negative impact on equity. The equity ratio amounted to 80.3% at the end of Q2 compared to 84.1% last year.

The Group's balance sheet total was DKK 335.3 million at the end of the second quarter compared to DKK 306.3 million in the same period last year corresponding to an increase of DKK 29.0 million. The increase is mainly attributed to our strategic decision to develop own projects.

The Group realized a positive cash flow from operations in Q2 of 2017/18 of DKK 17.9 million compared to DKK 26.8 million in Q2 of 2016/17. Last year's cash flow from operations was positively affected by an unusual reduction in working capital due to the activity drop in Q2 of 2016/17.

Shareholder focused initiatives adopted by the Annual General Meeting affected the Group's total cash flow negatively by DKK 18.8 million in Q2 of 2017/18 compared to a negative effect in Q2 of 2016/17 of DKK 33.7 million. The development is due to the decision not to initiate a new share repurchase program in Q2 of 2017/18.

The Group's total cash funds and current securities less bank debt totaled DKK 138.8 million at the end of Q2, i.e. a decrease of DKK 20.2 million compared to the same period last year. The reduction is primarily due to the shareholder focused activities and investments in own financed development projects.

OUTLOOK FOR THE 2017/18 FINANCIAL YEAR

The company maintains the expectations for revenue to be in the range of DKK 460-490 million, EBITDA in the range of DKK 72-87 million and EBIT in the range of DKK 58-73 million for the financial year 2017/18.

RISKS AND UNCERTAINTIES FOR THE 2017/18 FINANCIAL YEAR

STATEMENTS ON FUTURE CONDITIONS

The above statements on the Group's future conditions, including in particular, future revenue and operating profit (EBIT), reflect Management's current outlook and carry some uncertainty. These statements can be affected by a number of risks and uncertainties, which mean that actual developments can be different from the indicated outlook. These risks and uncertainties include - but are not limited to - general business and economic conditions, dependence on partners, the time of delivery of components, integration of acquired companies and foreign exchange and interest rate fluctuations.

FINANCIAL CALENDAR

Expected publication of financial information for the financial year 2017/18:

28 AUGUST 2018 Interim report for Q3 2017/18

27 NOVEMBER 2018 Annual report for 2017/18

Statement by the Management on the interim report

The Board of Directors and the Executive Board have today considered and approved the interim report of RTX A/S for the second quarter of the financial year 2017/18 (covering the period 1 January to 31 March 2018).

The interim report has been prepared in accordance with IAS 34, Interim Financial Reporting, as adopted by the EU and further Danish disclosure requirements for the interim reporting for listed companies. The interim report has not been audited or reviewed by the Company's auditor.

We consider the applied accounting policies appropriate for the interim report to provide, in our opinion, a true and fair view of the Group's assets, liabilities and financial position as at 31 March 2018 and of its financial performance and cash flow for the second quarter of 2017/18.

We consider Management's report to give a true and fair view of the Group's activities and finances, profit/loss for the period and the Group's financial position as a whole, as well as a true and fair description of the most material risks and uncertainties facing the Group.

Nørresundby, 1 May 2018

Executive Board

CEO CFO

Board of Directors

Peter Thostrup Jesper Mailind

Peter Røpke Kristian Frederiksen

Chairman Deputy Chairman

Christian Engsted Lars Christian Tofft Jens Hansen

Rune Strøm Jensen Flemming Vendbjerg Andersen Kurt Heick Rasmussen Employee representative Employee representative Employee representative

Group Income Statement

(non-audited)

Amounts in DKK '000 Note		Q2 2017/18	Q2 2016/17	H1 2017/18	H1 2016/17	FY 2016/17
Revenue	3	106,769	84,137	207,692	195,399	433,503
Value of work transferred to assets 4		6,264	4,799	9,713	6,543	17,427
Costs of sales etc.		-41,935	-37,373	-85,874	-88,546	-195,046
Other external expenses		-11,877	-12,165	-23,020	-23,533	-47,382
Staff costs		-37,824	-33,514	-73,608	-67,871	-131,300
Depreciation, amortization and impairment	4	-1,753	-1,194	-3,166	-2,244	-4,921
Operating profit/loss (EBIT)		19,644	4,690	31,737	19,748	72,281
Financial income	5	855	614	1,568	729	1,492
Financial expenses	5	-2,189	-769	-3,188	-691	-3,393
Profit/loss before tax		18,310	4,535	30,117	19,786	70,380
Tax of profit/loss for the period		-3,965	-1,328	-6,561	-4,751	-12,178
Profit/loss for the period		14,345	3,207	23,556	15,035	58,202
Profit/loss per share (EPS) 1)
Profit/loss for the period (DKK)		1.7	0.4	2.8	1.7	6.7
Profit/loss for the period, diluted (DKK)		1.7	0.4	2.7	1.7	6.5

1) Not annualized.

Group Statement of Comprehensive Income

(non-audited)

Amounts in DKK '000	Q2 2017/18	Q2 2016/17	H1 2017/18	H1 2016/17	FY 2016/17
Profit/loss for the period	14,345	3,207	23,556	15,035	58,202
Items that can be reclassified subsequently to the income statement
Exchange rate adjustments of foreign subsidiaries	-1,005	-433	-1,460	1,117	-1,663
Fair value adjustment of short-term current asset investments	-	23	-8	46	134
Other comprehensive income, net of tax	-1,005	-410	-1,468	1,163	-1,529
Comprehensive income for the period	13,340	2,797	22,088	16,198	56,673

Group Balance Sheet

(non-audited)

Amounts in DKK '000	31.03.18	31.03.17	30.09.17
ASSETS
Own completed development projects	3,424	1,119	671
Own ongoing development projects	24,634	7,528	18,412
Goodwill	7,797	7,797	7,797
Intangible assets	35,855	16,444	26,880
Plant and machinery	8,052	8,232	7,720
Other fixtures, tools and equipment	3,352	3,765	3,086
Leasehold improvements	2,380	800	1,438
Tangible assets	13,784	12,797	12,244
Deposits	7,662	7,752	7,696
Deferred tax assets	16,156	19,719	21,221
Other long-term assets	23,818	27,471	28,917
Total long-term assets	73,457	56,712	68,041
Inventories	24,232	15,181	24,147
Trade receivables	70,622	50,013	84,006
Contract development projects in progress	21,242	20,779	16,472
Income taxes	-	26	3,403
Other receivables	2,428	1,415	3,100
Accruals	4,550	3,180	2,533
Receivables	98,842	75,413	109,514
Short-term current asset investments	-	18,305	18,392
Short-term current asset investments for sale (trading portfolio)	119,760	89,669	100,865
Total short-term current asset investments	119,760	107,974	119,257
Cash at bank and in hand	19,045	51,027	32,045
Total short-term assets	261,879	249,595	284,963
Total assets	335,336	306,307	353,004

Amounts in DKK '000	31.03.18	31.03.17	30.09.17
EQUITY AND LIABILITIES
Share capital	45,714	47,164	45,714
Share premium account	270,723	288,598	270,723
Retained earnings	-47,200	-78,116	-33,462
Equity	269,237	257,646	282,975
Provisions	258	261	258
Long-term liabilities	258	261	258
Prepayments received from customers	1,850	1,430	581
Trade payables	33,931	22,800	38,607
Contract development projects in progress	1,664	1,974	2,543
Income taxes	2,413	193	1,572
Provisions	1,132	1,722	1,282
Other payables	24,851	20,281	25,186
Short-term liabilities	65,841	48,400	69,771
Total liabilities	66,099	48,661	70,029
Total equity and liabilities	335,336	306,307	353,004

Group Equity Statement

(non-audited)

Amounts in DKK '000	Share	capital premium	Share Retained earnings	Total
Equity at 1 October 2016	47,164	288,598	-55,199	280,563
Profit/loss for the period	-	-	15,035	15,035
Exchange rate adjustments of foreign subsidiaries Fair value adjustment of short-term	-	-	1,117	1,117
current asset investments Other comprehensive income	- -	- -	46 1,163	46 1,163
Comprehensive income for the period	-	-	16,198	16,198
Share-based remuneration Deferred tax related to	-	-	2,150	2,150
share-based remuneration	-	-	2,000	2,000
Dividends for 2015/16	-	-	-17,558	-17,558
Acquisition of treasury shares Other transactions	- -	- -	-25,707 -39,115	-25,707 -39,115
Equity at 31 March 2017	47,164	288,598	-78,116	257,646

Amounts in DKK '000	Share	capital premium	Share Retained earnings	Total
Equity at 1 October 2017	45,714	270,723	-33,462	282,975
Profit/loss for the period	-	-	23,556	23,556
Exchange rate adjustments of foreign subsidiaries	-	-	-1,460	-1,460
Fair value adjustment of short-term current asset investments	-	-	-8	-8
Other comprehensive income	-	-	-1,468	-1,468
Comprehensive income for the period	-	-	22,088	22,088
Share-based remuneration	-	-	2,755	2,755
Deferred tax related to share-based remuneration	-	-	-2,421	-2,421
Dividends for 2016/17	-	-	-16,959	-16,959
Acquisition of treasury shares	-	-	-19,201	-19,201
Other transactions	-	-	-35.826	-35,826
Equity at 31 March 2018	45,714	270,723	-47,200	269,237

Share capital of DKK 45,714,190 consists of 9,142,838 shares at DKK 5. The Group holds 574,849 treasury shares at 31 March 2018 (682,557 shares at 31 March 2017). There are no shares carrying special rights.

Group Cash Flow Statement

(non-audited)

Amounts in DKK '000	Q2 2017/18	Q2 2016/17	H1 2017/18	H1 2016/17	FY 2016/17
Operating profit/loss (EBIT)	19,644	4,690	31,737	19,748	72,281
Reversal of items with no effect on cash flow
Depreciation, amortization and impairment	1,753	1,194	3,166	2,244	4,921
Other items with no effect on cash flow	2,048	1,145	769	-794	-731
Change in working capital
Change in inventories	-3,696	2,889	345	4,585	-5,873
Change in receivables	-12,085	26,826	7,994	9,326	-19,723
Change in trade payables etc.	12,711	-10,292	-4,621	-17,093	155
Cash flow from operating activities	20,375	26,452	39,390	18,016	51,030
Financial income received	856	614	1,568	729	761
Financial expenses paid	-3,084	-99	-3,188	-230	-434
Income taxes paid	-226	-172	371	-4,546	-4,700
Cash flow from operations	17,921	26,795	38,141	13,969	46,657
Investments in own development projects	-6,264	-4,799	-9,713	-6,543	-17,427
Acquisition of property, plant and equipment	-2,343	-2,622	-4,016	-7,104	-8.868
Deposits on leaseholds	20	-	34	-6	-11
Acquisition and sale of short-term securities	209	-612	-503	-700	-10,733
Cash flow from investments	-8,378	-8,033	-14,198	-14,353	-37,039

Amounts in DKK '000	Q2 2017/18	Q2 2016/17	H1 2017/18	H1 2016/17	FY 2016/17
Acquisition of treasury shares	-1,876	-16,176	-19,201	-25,707	-53,419
Paid dividend	-18,286	-18,865	-18,286	-18,865	-18,864
Dividend for treasury shares	1,327	1,307	1,327	1,307	1,307
Cash flow from financing activities	-18,835	-33,734	-36,160	-43,265	-70,976
Increase/decrease in cash and cash equivalents	-9,292	-14,972	-12,217	-43,649	-61,358
Exchange rate correction on cash items	-604	-386	-783	-133	-1,406
Cash and cash equivalents at the beginning of the period, net	28,941	66,385	32,045	94,809	94,809
Cash and cash equivalents at the end of the period, net	19,045	51,027	19,045	51,027	32,045
Cash and cash equivalents at the end of the period, net, is composed as follows:
Cash at bank and in hand	19,045	51,027	19,045	51,027	32,045
Cash and cash equivalents at the end of the period, net	19,045	51,027	19,045	51,027	32,045

Notes

1 ACCOUNTING POLICIES

The interim report is presented in accordance with IAS 34, Interim Financial Reporting, and further Danish disclosure requirements for interim reporting for listed companies. An interim report has not been prepared for the Parent.

The accounting policies applied in this interim report are consistent with those applied in the Company's annual report for 2016/17 which was presented in accordance with International Financial Reporting Standards (IFRS) as adopted by the EU and additional Danish disclosure requirements for annual reports of listed companies. We refer to the annual report for 2016/17 for a more detailed description of the accounting policies.

The applied accounting policy is unchanged compared to the annual report for 2016/17. New or amended standards and interpretations becoming effective for the financial year 2017/18 have no material impact on the interim report.

2 ESTIMATES AND ASSUMPTIONS

The preparation of interim reports requires management to make financial estimates and assumptions that affect the application of accounting policy and recognised assets, obligations, income and expenses. Actual results might be different from these estimates.

The material estimates that management make when applying the accounting principles of the Group and the material uncertainty connected with these estimates and assumptions are unchanged in the preparation of the interim report compared to the preparation of the annual report as per 30 September 2017.

3 SEGMENT INFORMATION

	Q2	Q2	H1	H1	FY
Amounts in DKK '000	2017/18	2016/17	2017/18	2016/17	2016/17
Revenue, business segments
Design Services	37,994	34,415	73,092	68,853	143,962
Business Communications	68,775	49,722	134,600	126,546	289,541
Total	106,769	84,137	207,692	195,399	433,503
EBIT
Design Services	4,885	3,972	6,385	5,233	17,987
Business Communications	17,512	1,057	30,298	17,741	57,485
Non-allocated items	-2,753	-339	-4,946	-3,226	-3,191
Total	19,644	4,690	31,737	19,748	72,281
Segment assets
Design Services	57,920	46,679	57,920	46,679	61,089
Business Communications	78,988	64,909	78,988	64,909	101,064
Non-allocated items	198,428	194,719	198,428	194,719	190,851
Total	335,336	306,307	335,336	306,307	353,004
Revenue, geographical segments
Denmark	4,426	1,412	6,609	2,869	7,225
Other Europe	61,384	58,699	129,231	140,763	296,708
Asia and Australia	23,345	11,613	38,207	21,507	64,228
North and South America	15,079	12,413	30,428	28,370	60,043
Africa	2,535	-	3,217	1,890	5,299
Total	106,769	84,137	207,692	195,399	433,503

Revenue is broken down by geographical area according to customer location. The Group balance sheet illustrates that the Group's assets are mainly owned by the parent company in Denmark. The geographical split of the assets is thus mainly in Denmark.

Notes

4 DEVELOPMENT COSTS

	Q2	Q2	H1	H1	FY
Amounts in DKK '000	2017/18	2016/17	2017/18	2016/17	2016/17
Development costs before capitalization	9,996	10,981	17,432	18,253	36,877
Value of work transferred to assets (capitalized)	-6,264	-4,799	-9,713	-6,543	-17,427
Total amortization and impairment losses on development projects	515	224	739	448	896
Development costs recognized in the profit/loss account	4,247	6,406	8,458	12,158	20,346

5 FINANCIAL ITEMS

Amounts in DKK '000	Q2 2017/18	Q2 2016/17	H1 2017/18	H1 2016/17	FY 2016/17
Interest income from bonds
available for sale	-	614	-	729	-
Exchange rate gains on bonds	-	-	-	-	731
Other financial income	855		1,568		761
Financial income	855	614	1,568	729	1,492
Exchange rate losses, net	1,204	614	1,944	30	2,959
Fair value adjustment of securities
included in the trading book	885	56	1,040	432	-
Other financial costs	100	99	204	229	434
Financial expenses	2,189	769	3,188	691	3,393