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NEW NORDIC HEALTHBRANDS AB ( PUBL ) THREE MONTH REPORT JANUARY - MARCH 2021 NEW NORDIC Q1 2021 Q1 2020 FULL YEAR 2020 Net sales , KSEK Change in SEK , percent 127 831 112 258 13.9 8.3 450 064 -0,56 Change in local currencies , % 21.1 8.5 2.1 Gross profit , KSEK 85 682 80 333 309 080 Gross margin , % 67.0 71.6 68.7 EBITDA KSEK EBITDA , % Operating profit , KSEK Operating margin , % 13 415 7 050 10.5 13 195 6 881 6.3 24 594 5.5 23 841 10.3 6.1 5.3 Profit for the period , KSEK Earnings per share EBITDA , SEK 10 386 5 395 17 765 2.17 1.14 3.97 Earnings per share * after tax , SEK 1.68 0.87 2.87 * There are no dilutive effects COMMENTS BY CEO KARL KRISTIAN BERGMAN JENSEN The year started well with record revenue and fine earnings . We achieved 21 percent growth measured in local currencies and almost 14 percent after conversion to Swedish kronor . The progress is a result of our adjustments to sales and marketing to the market conditions prevailing during the pandemic and shutdowns . This applies in particular to the focus on driving sales via online stores . Sales have increased in all main geographical areas and in almost all individual markets . By 2020 , Sweden and the UK have been hit hard by the pandemic . The decline in sales in Sweden slowed in the first quarter of the year and we focus on getting the Swedish market growing again . In the UK , we have still been challenged during the quarter but we believe in growth after the pandemic is now under control in the UK and customers are once again starting to shop in the stores where we have our products distributed . In Australia , we are gaining some traction and we are working hard to create a good distribution for pharmacies and health stores . Unfortunately , our gross profit has been reduced from 71 to 67 percent . This is largely due to shifts in product mix and in particular that a larger part of our sales comes from sales of gummies in North America where the profit is lower . It's probably a more permanent shift . To offset the lower gross profit , we are holding back a bit with the marketing of these products so that we defend our EBITDA . This is possible as the gummies we sell are a pro- duct variant of our tablets that the marketing is focused on . The gross profit is also naturally lower when we sell to distributors who are responsible for marketing at their own expense . Our sales to distributors have increased nicely in the quarter . We will continue to have a full focus on maintaining the gross profit as high as possible . 1