TOMRA Systems — Earnings Release 2014

Apr 30, 2014

TOMRA Q1: Solid performance in Collection Solutions, all time high order backlog in Sorting Solutions

TOMRA Q1: Solid performance in Collection Solutions, all time high order backlog in Sorting Solutions

Revenues in first quarter 2014 amounted to 1,065 MNOK compared to 966

MNOK in first quarter last year. Revenues in Collection Solutions

increased by 13% (4% currency adjusted), while revenues in Sorting

Solutions increased 6% (down 2% currency adjusted).

Gross margin was 43% in the quarter, down from 44% in the corresponding

period last year, negatively influenced by a stronger EUR vs USD in

TOMRA Sorting.

Operating expenses increased from 314 MNOK in first quarter 2013 to 356

MNOK in first quarter 2014, including a onetime integration cost of 12

MNOK in TOMRA Sorting. Adjusted for currency (stronger EUR and USD vs

NOK) and the integration cost, operating expenses increased by 1%.

EBITA was 106 MNOK in first quarter 2014 versus 113 MNOK in first

quarter 2013.

Ordinary cash flow from operations in first quarter 2013 equaled 12

MNOK, compared to 11 MNOK in first quarter 2013.

Collection Solutions: Higher activity in core markets, favourable

currency effects and good reception of T-9

Driven by stronger USD and EUR vs NOK, the business area reported a

revenue growth of 13% in first quarter 2014, compared to same quarter

last year.  In local currencies, revenues were up 4%; slightly down in

US, offset by higher activity in Central Europe.

Gross margin was 43% in the quarter, unchanged from same period last

year.

Operating expenses increased 1% in local currencies.

EBITA was 110 MNOK, up from 92 MNOK in first quarter 2013, as a

consequence of higher volumes, positive currency development, stable

margins and good cost control.  Currency adjusted, EBITA improved by 7%.

At the end of third quarter 2013, TOMRA announced the launch of T-9, the

first of a new generation of reverse vending machines (RVM) based on

TOMRA Flow Technology. T-9 features the first ever 360 degree

recognition system applied inside an RVM and enables faster and cleaner

collection of beverage containers, also including containers that until

now could not be collected in RVMs.

"Since September we have introduced the T-9 in about 85% of the markets

we are active in. The launch has been a success, and we saw orders for

around 200 machines only in Q1", says Stefan Ranstrand, TOMRA President

and CEO

Sorting Solutions: Strong order backlog going into Q2

Revenues in the quarter increased by 6% compared to same quarter in

2013. Adjusted for currency effects, revenues were down 2%.

Gross margin decreased from 47% in first quarter 2013 to 45% in first

quarter 2014, negatively influenced by a stronger EUR vs USD. Operating

expenses increased in the same period from 145 MNOK to 171 MNOK,

negatively influenced by integration costs of 12 MNOK. Adjusted for

integration cost and currency, operating expenses were unchanged.

EBITA decreased from 27 MNOK in first quarter 2013 to 3 MNOK in first

quarter 2014, due to higher operating expenses.

After three consecutive quarters with lower order intake, the value of

signed orders during both fourth quarter 2013 and first quarter 2014 has

increased significantly. Order intake during first quarter 2014 totaled

488 MNOK, up from 403 MNOK during the same quarter last year. Order

backlog ended at 574 MNOK compared to 475 same period last year.

"As a consequence of higher order intake and somewhat fewer orders taken

to P/L, the order backlog at the end of first quarter 2014 comes out at

an all-time high, comment Ranstrand.

Asker, 30 April 2014

TOMRA Systems ASA

For questions, please contact:

Deputy CEO/CFO Espen Gundersen +47 66 79 92 42 / +47 97 68 73 01

Webcast link: http://presenter.qbrick.com/?pguid=4f8d7839-88b7-46f2-bd45

-90f38e3fcf6e

The Webcast will also be made available through on our webpage

www.tomra.com. We will open up for Q&A after the presentation.

TOMRA was founded on an innovation in 1972 that began with design,

manufacturing and sale of reverse vending machines (RVMs) for automated

collection of used beverage containers. Today TOMRA has ~150,000

installations in over 80 markets worldwide and had total revenues of

~4.6 billion NOK in 2013. The Group employs ~2,500 globally, and is

publicly listed on the Oslo Stock Exchange. (OSE: TOM) The TOMRA Group

continues to innovate and provide cutting-edge solutions for optimal

resource productivity within two main business areas: Collection

Solutions (reverse vending, material recovery and compaction) and

Sorting Solutions (recycling, mining and food sorting). For further

information about TOMRA, please see www.tomra.com