TOMRA Systems — Earnings Release 2021

Apr 23, 2021

TOMRA: 1Q 2021 - Sustained growth and all-time high order backlog

TOMRA: 1Q 2021 - Sustained growth and all-time high order backlog

TOMRA started the year of 2021 with continued quarter over quarter growth in

comparable currencies. The order intake recovered, and first quarter ended with

an all-time high order backlog. Although uncertainty remains, technology

continues to be a success factor for our customers and the demand for TOMRA's

solutions is strong across all business segments.

Revenues in the first quarter 2021 amounted to 2,291 MNOK compared to 2,302 MNOK

in first quarter last year. Currency adjusted revenues were up 3% for TOMRA

Group. At division level, currency adjusted revenues were up 21% in TOMRA

Collection Solutions, down 33% in TOMRA Recycling Mining and flat in TOMRA Food.

Gross margin was 42% in the first quarter 2021, similar to the same period last

year, with higher margins in TOMRA Collection Solutions and lower in TOMRA

Recycling Mining.

Operating expenses amounted to 733 MNOK in first quarter 2021, compared to 745

MNOK in first quarter last year - flat when adjusting for currencies.

EBITA was 240 MNOK in first quarter 2021, up from 228 MNOK in the same period

last year.

Cash flow from operations was 269 MNOK in first quarter 2021, compared to 265

MNOK in first quarter 2020.

"TOMRA started the year with quarter over quarter growth and a record high order

backlog. We are still in pandemic times, yet it is astounding how well things

are running. TOMRA is serving resilient and important markets, we have a strong

offering, and we have fantastic people and culture. This is the core of what we

do. In addition, we have maintained focus on future growth and nourished our

strategic investments. The society needs a green recovery and TOMRA is even

better positioned to be a strong partner for circular economy solutions and

sustainable food production.", says Stefan Ranstrand, TOMRA President and CEO.

Collection Solutions: Solid growth driven by European markets

Revenues in the business area equaled 1,364 MNOK in the first quarter, up from

1,168 MNOK in first quarter last year. After adjustment for currency changes,

revenues were up 21%.

Gross margin increased to 42% in the first quarter from 40% in the same period

last year as a result of mix and operating leverage. Operating expenses amounted

to 317 MNOK, compared to 311 MNOK last year, up 4% currency adjusted.

The strong momentum in Europe continues into 2021. The deposit expansion to

small bottles in The Netherlands has been an important contributor to the

revenue growth in the first quarter of 2021. Northern European and German

markets have been growing in the first quarter 2021 compared to the same period

last year which was mostly unaffected by the Covid-19 pandemic. The operations

in North America are at similar levels to last year and the volumes in Australia

have been steadily growing quarter over quarter from last year.

On April 9[th], 2021, it was announced thar TOMRA was selected as reverse

vending technology provider for the new Latvia deposit return system. A

negotiation period will follow with the contract set to be signed by July 1[st],

EBITA was 256 MNOK in the first quarter, up from 151 MNOK last year.

Recycling Mining: All time high order backlog, Covid-19 impact on the quarter

Revenues equaled 318 MNOK in first quarter 2021, down 33% in local currencies

compared to last year. Gross margin was 50%, down from 51% in first quarter

Operating expenses in the first quarter amounted to 136 MNOK versus 137 MNOK

last year, flat when adjusted for currency effects.

EBITA was 23 MNOK, down from 112 MNOK in first quarter 2020.

Order intake was 498 MNOK in the first quarter, compared to 623 MNOK in the same

period last year, an increase of 6% in local currencies driven by good momentum

in waste sorting and recovery in the metal recycling and mining segments. The

order backlog increased to 732 MNOK at the end of first quarter 2021, up 20%

currency adjusted from the end of first quarter 2020.

The waste sorting and plastic recycling business is a healthy segment driven by

legislation and the push for circularity. The order intake in the Metal sorting

and Mining segments has improved as a result of increased industrial demand and

better commodity prices.

Food: Good momentum in both the fresh and processed food segments

Revenues equaled 609 MNOK in first quarter 2021, compared to 649 MNOK in the

same period last year, flat when adjusting for currencies. Gross margin was 40%,

stable compared to first quarter 2020.

Operating expenses in the first quarter was 252 MNOK versus 274 MNOK in the same

period last year, down 6% when adjusted for currencies.

EBITA was -11 MNOK in first quarter 2021 compared to -12 MNOK in first quarter

Order intake was 887 MNOK in the first quarter, compared to 968 MNOK in the same

period last year. The order backlog was 1,196 MNOK at the end of first quarter

2021, compared 1,213 MNOK in first quarter 2020, an increase of 10% when

measured in local currencies.

Home consumption has boosted the grocery business and sustained the good

momentum in fresh food throughout the Covid-19 pandemic. The momentum in the

food service sector has turned to an increasingly positive one, both segments

contributing positively to the development in the order intake and backlog

compared to pre-pandemic levels.

Asker, 23 April 2021

TOMRA Systems ASA

For questions, please contact:

Espen Gundersen, Deputy CEO/CFO: +47 66 79 92 41 / +47 97 68 73 01

Georgiana Radulescu, Director Investor Relations: +47 94 10 16 43

Webcast link: https://events.webcast.no/tomra/kvartalspresentasjoner/tomra

-systems-asa-q1-presentation

-2021 (https://eur02.safelinks.protection.outlook.com/?url=https%3A%2F%2Fevents.w

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There will be a Q&A after the presentation and the recorded webcast will be made

available on TOMRA's webpage www.TOMRA.com.

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 provides technology-led solutions that enable

the circular economy with advanced collection and sorting systems that optimize

resource recovery and minimize waste in the food, recycling and mining

industries.

TOMRA has approximately 100,000 installations in over 80 markets worldwide and

had total revenues of ~9.9 billion NOK in 2020. The Group employs ~4,300

globally and is publicly listed on the Oslo Stock Exchange. (OSE: TOM). For

further information about TOMRA, please see www.tomra.com