Saga Pure — Earnings Release 2022

Aug 25, 2022

Saga Pure: Second quarter 2022 financial results

Saga Pure: Second quarter 2022 financial results

(Oslo, 25 August 2022) Saga Pure ASA (Saga Pure, OSE: SAGA) reported a net

profit for the second quarter 2022 of NOK 138 million (Q2 2021: NOK 3.5

million), corresponding to a year-to-date return on equity of 17.8 percent. The

Board of Directors has decided to distribute a dividend of NOK 0.1 per share.

"Having worked very actively with our biggest investment, Bergen Carbon

Solutions, over the last year and a half, we stepped down from the board in May.

This resulted in a change of the classification of the investment from an

associated company to a non-current financial asset. With profit and loss

adjustments from the company from June, the positive net effect from the

investment in Bergen Carbon Solutions is in excess of NOK 200 million, which

contributed to an overall very good result for the quarter," says Bjørn

Simonsen, Chief Executive Officer of Saga Pure.

Saga Pure reported a net profit in the second quarter 2022 of NOK 138 million

(Q2 2021: NOK 3.5 million), with a reported return on equity of 17.8 percent for

the first half year, adjusted for the dividend distributed in the first quarter

of 2022. The company had NOK 674 million in cash at the end of the quarter. Saga

Pure is an investment company, where holdings in certain companies are regarded

as associated companies. Hence, the full underlying value development will not

be reflected in the consolidated financial statements.

During the second quarter, the investment in Bergen Carbon Solutions (BCS)

ceased to be classified as an associated company. Hence the investment in BCS

was adjusted to market value end of May and was exposed to market adjustments.

The net positive effect over the profit and loss from the investment in BCS

during the second quarter was NOK 205 million. No other material changes were

made in the long-term investment portfolio.

The Board of Directors has decided to distribute a dividend of NOK 0.1 per

share, as a result of the positive development of the portfolio and realization

of gains year to date. Including the dividends paid after the first half of

2022, the total distributed dividends over the last twelve months ended up at

NOK 0.2 per share.

After the quarter end, Saga Pure has sold 2 million shares in BCS at NOK 37 per

share, reducing the ownership from 22.4% to 17.7%. The sale has increased the

company's cash balance with gross NOK 74 million. Further the company also

entered an agreement to buy an additional 770 000 shares in Heimdall Power for

NOK 17.7 million, resulting in a total ownership share of 22% in the company.

"The sale of shares in BCS in August has strengthened our cash balance, reduced

the risk in our portfolio and put us in a better position to distribute

dividends, while we continue to have a strong balance sheet to take advantage of

potential investment opportunities going forward, such as our recent increased

exposure in Heimdall Power. We still have strong conviction of our investment in

BCS along with a substantial exposure in the company. With volatile markets,

uncertain future inflation, increasing interest rates and tightening monetary

policies going forward, we will continue to be selective in our investment

approach and focus on further developing our portfolio companies," says

Simonsen.

Saga Pure will host a company update on 25 August at 12:00 CEST. The

Presentation will be held at Haakon VII's gate 2, Oslo and can also be followed

live at www.sagapure.com, or at

https://channel.royalcast.com/landingpage/hegnarmedia/20220825_9/

The presentation of the financial results for the second quarter 2022 and the

Board of Directors' report is enclosed.

ENDS

For additional information, please contact:

Bjørn Simonsen, CEO, +47 971 79 821

Espen Lundaas, CFO, +47 924 31 417

About Saga Pure | www.sagapure.com

Saga Pure ASA is an investment company focusing on opportunities within

renewable energy, hydrogen, circular economy and CO\2\-reduction.

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 Espen Lundaas, CFO, Saga Pure ASA, on 25 August

2022 at 08:00 CET.