Norman ASA had a growth in net revenues of 20 per cent in the first quarter 2005. Profit before tax more than doubled.

Norman ASA achieved net revenues of NOK 56,2 million in the first quarter compared to NOK 46,7 million in the same quarter last year. EBITDA for the first quarter was NOK 8,9 million, compared to NOK 4 million last year. As a result, the EBITDA margin for the period rose from 8 per cent to 16 per cent.

Profit before tax for the quarter was NOK 8,2 million compared to 3,1 million last year, while earnings per share was NOK 0,52 compared to NOK 0,36 first quarter last year.

All figures are reported in accordance with IFRS.

The market for antivirus products and services has developed positively during the first three months of 2005. The number of new virus attacks is increasing, even though there has been no significant highly spreading or highly damaging viruses in the first quarter.

In the first quarter Norman grew net revenues in Europe outside of Norway by 27 per cent (31 per cent adjusted for changes in currency exchange rates). Norway had a marginal increase in net revenues which proves that Norman’s market position in Norway is stable. Norway represents now less than one fourth of Norman’s total revenues.

The increase in net revenues comes mainly from stable growth from Norman’s 1.700 resellers. At the same time net revenues from OEM contracts increased and two new OEM contracts were signed in first quarter 2005. The revenue from partnership with computer manufacturers and other software companies is steadily increasing. Norman’s revenue growth is therefore based on several different sales channels, in line with the company’s strategy.

The Norman Sandbox Technology stopped a significant number of new viruses in the first quarter and proved its position as the leader in proactive protection against new unknown viruses.

During the first quarter the company released a new major version of Norman Virus Control and some of the relating products.

Financial situation and future expectations

Norman’s financial position is solid. The company has no interest-bearing debt and have a significant cash flow. Norman increased its cash position by NOK 8 million to NOK 79 million during the first quarter adjusted for payment of extraordinary dividend of NOK 39,7 million in January.

The growing number of new viruses is expected to continue and at the same time the virus authors are writing new damaging viruses faster than before. The need for next generation of virus protection seems to be evident, which strengthens the position for the company and its Sandbox Technology. Norman will continue to extend its market by entering into strategic alliances, as well as extending its distribution network.

The company expects good growth and profitability to continue.

For further information, please contact CEO Henning Hansen. (Tel: + 47 6710 9717, Mobile: +47 908 81 192)