Norse Atlantic ASA: Dual model delivers 66% revenue growth and positive EBITDAR in seasonally weakest quarter

21 May 2026 07:00 CEST

Arendal, Norway, 21 May 2026 - Norse Atlantic ASA today reports a 66% year-on
-year increase in revenue to USD 160 million for the first quarter of 2026
supported by strong commercial momentum, record unit revenue and 99% load factor
reflecting an attractive product, a service-minded crew and increased demand for
direct long-haul travel.

The transition to a balanced dual ACMI and own network model was successfully
completed in January.

Q1 2026 headlines:

*Strong commercial momentum with 66% revenue increase YoY and continued
improvement in underlying profitability

*5% lower unit costs (CASK ex. fuel), supported by ACMI and underlying
efficiency measures

*EBITDAR at positive USD 5.8 million for the seasonally weak first quarter

*Increased demand for direct long-haul routes following the disruptions
affecting Middle East hubs

*Substantial cost impact from sharply rising fuel costs end-February onwards

*Adjusting capacity, reducing cost base and strengthening balance sheet to
support continued operations until market normalizes

*Norse has appointed  J.P. Morgan Securities plc as financial advisor to launch
a strategic review to explore structural opportunities

CEO Eivind Roald comments:

"The first quarter showcased the earnings potential of Norse Atlantic's dual
ACMI and own network model. Delivering a positive EBITDAR in the first quarter,
the seasonally weakest quarter in the airline industry, is a genuine milestone
and direct validation of the strategic transformation we have executed over the
past year.

Norse's own network was on path to profitability in the first quarter with
underlying unit cost down 5% and unit revenue up 34% year-over-year driven by
route high-grading. Our ACMI and charter segment, now covering half the fleet
under long term contracts, delivered USD 16 million of EBITDAR in the quarter
providing earnings stability and substantially reducing our fuel price exposure.
In total, our EBITDAR came in at positive USD 5.8 million in the period.

However, from end-February, the unexpected escalation of the Middle East
conflict created an unprecedented spike in fuel prices, materially impacting
industry economics. Global travel patterns have also been disrupted, perhaps
permanently. As an Airline on Demand, Norse responded quickly by adding capacity
on London Gatwick-Bangkok. Longer term, we believe passengers and partners will
increasingly prioritize direct routes over hub-based connections.

At the end of January, we completed the transition to a more resilient and
balanced business model with half of the fleet on ACMI and charter operations,
significantly reducing our fuel price exposure and increasing the earnings
stability. Moreover, our modern Boeing 787 Dreamliners have a structural
advantage, with approximately 25% lower fuel consumption compared to other long
-haul aircraft types. Measures taken to increase regularity are also starting to
impact with a recent strong improvement in punctuality.

We are acting decisively on all fronts. Subsequent to quarter end we moved
swiftly to strengthen Norse's financial flexibility and robustness through a
proposed USD 110 million fully underwritten and subscribed rights issue,
accelerate the Falcon cost reduction programme, make capacity adjustments and
propose a debt to equity conversion. On completion, Norse will be positioned to
weather the current period of elevated fuel prices, and to deliver profitable
operations once markets normalize.

Our accelerated implementation of the Project Falcon program is set to improve
efficiency, simplify operations and reduce annual costs by up to USD 50 million.
This will align the organization with a more flexible and demand-driven
operating model.

In addition, we are responding to incoming interest from potential strategic
partners by engaging an international investment bank to initiate a strategic
review of alternatives, which may include a sale, merger or partnership.

Going forward, Norse will adapt quickly to changes in market trends and demand.
We will be flexible and offer charters and ACMI for compelling and profitable
business opportunities and adjust routes rapidly to maximize profitability.
These are key elements of our strategy to build a profitable long-haul business,
always agile, responsive and continuously improving - true to our position as
The Explorer's Airline.

For further information, please see attached first quarter 2026 report and
presentation.

Webcast:

An online presentation of the first quarter 2026 financial results will be
available at 08:00 AM CEST, using the following link:
https://qcnl.tv/p/FZ_TEONSJhOrM_csWjAzvw

Investor contact:
Anders Hall Jomaas, CFO
anders.jomaas@flynorse.com

Media contact:
Bård Nordhagen, CCCO
baard.nordhagen@flynorse.com

About Norse Atlantic ASA

Norse Atlantic Airways is an airline committed to offering affordable fares on
direct, long-haul flights to popular destinations, along with specialized
charter and ACMI services for tailored travel needs and extensive cargo
operations. Norse Atlantic operates a modern fleet of 12 fuel-efficient Boeing
787 Dreamliners, serving a network of destinations across North America, Europe,
Africa and Asia.

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

More information:
Access the news on Oslo Bors NewsWeb site

674063_Norse_2026_Q1_Presentation.pdf
674063_Norse_2026_Q1_Report.pdf