Norsk Titanium: Second half 2022 – Advancing to Serial Production

09 Mar 2023 07:00 CET

9 March 2023: Norsk Titanium AS, a global leader in metal 3D printing through
its RPD® technology and ongoing part sales to the highly regulated commercial
aerospace and semiconductor industries, today releases its interim report for
the second half and full year 2022.

The company shows continued operational development with significant progress in
three core segments: commercial aerospace, defense and industrial, through its
engagements with Airbus, US Department of Defense (DoD) prime contractors, and
industrial customers in the semiconduction industry. The company received its
first serial production order from Hittech for carrier trays to be delivered to
semiconductor manufacturing equipment supplier ASML. Development part deliveries
and testing with aerospace customers are on schedule and Norsk Titanium is
confident these efforts will come to a successful conclusion, enabling a
transition to serial production in 2023. This opens the door to other markets
with large long-term potential for value creation.

Key highlights
• Machine qualification testing completed and the results submitted for official
approval from Airbus
• Transitioned into industrial manufacturing trials at our Plattsburgh facility
to demonstrate serial production capabilities for Airbus programs
• Continuing to evaluate several Airbus A350 components for transition to
production with multiple Airbus tier-one suppliers
• Continued development of a large structural part for General Atomics for
delivery in late first half 2023
• Added to an undisclosed US DoD prime contractor’s approved supplier list,
material specification in-place; receipt of initial production order expected in
first half 2023
• Demonstrator part approved and serial production awarded for ASML carrier
trays in Q4’22, production of the first 15 articles underway
• Delivered proof of concept articles to Kongsberg Defense & Aerospace to
demonstrate RPD®’s applicability to part repair, a multi-billion dollar industry

“The company continues to strengthen its relationships with major customers in
our target markets. We have completed key qualification testing programs and are
confident that we will transition to serial production with these customers in
2023. At the same time, we are exploring exciting new markets such as part
repair. We believe that the inherent cost benefits and efficiencies of RPD® will
continue to resonate with customers in multiple markets, leading to broader
adoption and generating long term recurring revenue on established programs.”
says Michael Canario, CEO of Norsk Titanium.

In the second half of 2022, Norsk Titanium generated revenue of USD 2.3 million,
comprised of USD 1.0 million from sale of printed parts and USD 1.3 million in
other income, namely grants from the Norwegian government through Innovation
Norway and Skattefunn.

Revenue for the full year 2022 amounted to USD 3.2 million, compared to USD 5.3
million in 2021. The higher total revenues in 2021 was driven by grants
recognized under the US Cares Act and Innovation Norway.

Average monthly cash burn during the second half 2022 was USD 1.9 million,
approximately USD 0.3 million higher than the first half of the year. The
increase in the monthly cash burn rate was expected as the company ramped-up
activities in second half 2022 for serial production in 2023.

The company has retained Carnegie AS and Skandinaviska Enskilda Banken AB (publ)
as financial advisors with the intent to raise additional funding. Long-term
investors Scatec Innovation and Rose Park Advisors have indicated their intent
to support the upcoming funding round.
CEO Michael Canario and CFO Ashar Ashary will present the Norsk Titanium’s
results at 08:00 CET today, followed by a Q&A.

Please use the following link to access the webcast:
https://channel.royalcast.com/landingpage/hegnarmedia/20230309_3/
The report and presentation be made available at:
https://www.norsktitanium.com/investors

For further information, please contact:
Ashar Ashary
CFO
ashar.ashary@norsktitanium.com
+1 (518) 556-8966

ABOUT NORSK TITANIUM
Norsk Titanium is a global leader in metal 3D printing, innovating the future of
metal manufacturing by enabling a paradigm shift to a clean and sustainable
manufacturing process. With its proprietary Rapid Plasma Deposition® (RPD®)
technology and 700 MT of production capacity, Norsk Titanium offers
cost-efficient 3D printing of value-added metal parts to a large addressable
market. The RPD® technology uses significantly less raw material, energy, and
time than traditional energy-intensive forming methods, presenting customers
with an opportunity to better manage input costs, logistics, and environmental
impact. RPD® printed parts are already flying on commercial aircraft, and Norsk
Titanium has gained significant traction with large defense and industrial
customers.

www.norsktitanium.com

This information is considered to be inside information pursuant to the EU
Market Abuse Regulation (MAR) and is subject to the disclosure requirements
pursuant to section 5-12 of the Norwegian Securities Trading Act. This stock
exchange release was published by Anne Lene Gullen Bråten, on 9 March 2023 at
07:00 CEST.

More information:
Access the news on Oslo Bors NewsWeb site

584639_Norsk Titanium AS - Second Half 2022 Presentation.pdf
584639_Norsk Titanium AS - Second Half 2022 Report.pdf