Hofseth Biocare ASA: SECOND QUARTER 2021 FINANCIAL REPORT

This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading ActHofseth BioCare ASA (“HBC”) had net sales revenues of NOK 31.0m (19.9m) in the second quarter and gross operating revenues of NOK 30.0m (20.1m). For the first half of 2021 HBC had revenues of NOK 47.9m (38.6). Gross revenues in first quarter 2020 included NOK 8.2m in an insurance claim settlement. Revenues in the second quarter increased by 51 % compared to the same quarter...

Ålesund, 27/08/2021 (informazione.news - comunicati stampa - cibi e bevande)

This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act

Hofseth BioCare ASA (“HBC”) had net sales revenues of NOK 31.0m (19.9m) in the second quarter and gross operating revenues of NOK 30.0m (20.1m). For the first half of 2021 HBC had revenues of NOK 47.9m (38.6). Gross revenues in first quarter 2020 included NOK 8.2m in an insurance claim settlement. Revenues in the second quarter increased by 51 % compared to the same quarter in 2020. Adjusted for the settlement, HBC had 36% increased revenues in first half of 2021, compared to 2020.

Cost of Goods Sold (CoGS) amounted to NOK 21.6m (12.5m) in the quarter and NOK 29.9m (18.7m) for the first half of 2021. Operational profit (EBITDA) for the second quarter was NOK -14.6m (-12.3m) and NOK -33.4m (22.5m) for the first half of 2021.

Gross margin was 31 % in the second quarter, down from 38 % in the second quarter 2020, due to higher sales volumes to feed and pet food customers, even though also higher sales to human nutrition customers compared to the same period last year. We expect increased gross margin in the second half and next year. Including credit facilities, HBC had NOK 149.6m in free liquidity by the end of the second quarter 2021.

Highlights in the second quarter:

In the second quarter of 2021, HBC R&D delivered the following:

For further information, please contact:

Jon Olav Ødegård, Chief Financial Officer of Hofseth BioCare ASA
Phone: +47 936 32 966
E-mail: joo@hofsethbiocare.no

James Berger, Chief Commercial Officer of Hofseth BioCare ASA
Phone: +41 79 950 10 34
E-mail: jb@hofsethbiocare.no

About Hofseth BioCare ASA:
HBC is a Norwegian biotech company that develops high-value ingredients and finished products currently targeting the consumer health market. Research is ongoing to identify the individual elements within the products that modulate inflammation and the immune response with pre-clinical studies in multiple clinics and university research labs in several countries. Lead clinical and pre-clinical candidates are in development for the protection of the Gastro-Intestinal (GI) system against inflammation, including ulcerative colitis and the orphan condition necrotising enterocolitis, as a Medical Food to help treat age-related Sarcopenia, and as a treatment for Iron Deficiency Anemia, all using peptide fractions of Salmon Protein Hydrolysate. Preclinical trial work with the oil is ongoing to ameliorate lung inflammation in eosinophilic asthma and COPD ("smoker's lung") as well as clinical work in COVID.

The company is founded on the core values of sustainability and optimal utilization of natural resources. Through an innovative hydrolysis technology, HBC can preserve the quality of lipids, proteins and calcium from fresh salmon off-cuts.

Hofseth BioCare's headquarters are in Ålesund, Norway with branches in Oslo, London, Zürich, Chicago, Mumbai, Palo Alto and Tokyo.

This information is subject to the disclosure requirements pursuant to Section 5-12 of the Norwegian Securities Trading Act

Attachment