NRC Group ASA (the "Company") refers to the Q1 2024 report, where the Company
announced that mediation with the customer regarding a joint Norwegian-Swedish
rail project awarded in 2021 would commence in the second quarter (the
"Project").

The Company and the customer have so far been unable to find a satisfactory
solution. The initial contract value was approximately NOK 760 million and has
experienced substantial changes in scope resulting in an estimated total
contract value of approximately NOK 1.5-1.6 billion. The mediation process will
continue during the second half of 2024, with the potential for both a negative
and positive impact on the Project's final financial outcome.

These substantial changes in scope and pending clarification of change orders
are affecting the Company's financial performance, liquidity and leverage. In
addition, downward adjustments on certain projects in Finland and a legal
dispute in Sweden, will also affect the Company's financial performance in Q2
2024.

The Company's current assessment is that it will need to make a significant
downward adjustment in the Q2 2024 report of approximately NOK -160 million
related to the uncertainties outlined above, including NOK -125 million to the
Project. Except for the downward adjustments, the financial performance in first
half 2024 is as expected.

Based on preliminary figures for the second quarter and the first half of 2024,
the Company is unable to reach its financial guidance for the full year 2024 of
a slight increase in revenue and EBIT adj. margin. Considering these downward
adjustments, the Company expects a negative operational result for full year
2024. Further details and a new guidance for FY 2024 will be communicated along
with the Q2 2024 report in August.

The Company is continuing to monitor the situation and is evaluating measures to
strengthen its liquidity. The Company has received a waiver from the bank  and
is in compliance with its financial covenants for both bank and bond debt as of
Q2 2024. The Company will in due course initiate a dialogue with Nordic Trustee
and its bondholders to obtain similar waivers.

The Company has launched actions to mitigate any future negative financial
impact from the Norwegian-Swedish rail project, and has strengthened the
organizations in Norway and Sweden.

Please see below for preliminary figures for second quarter and first half of
2024, subject to further verification and final resolution on the figures in
connection with approval of the Q2 2024 report:

Preliminary key figures Q2 2024 - including downward adjustments

  · Revenue: NOK 1.7 billion (NOK 1.8 billion)
  · EBIT adj.: NOK -88 million (NOK 65 million)
  · EBIT adj. margin: -5.1% (3.6%)

Preliminary key figures first half 2024 - including downward adjustments

  · Revenue: NOK 3.1 billion (NOK 3.1 billion)
  · EBIT adj.: NOK -131 million (NOK 17 million)
  · EBIT adj. margin: -4.3% (0.5%)

The tender pipeline for our core markets remains strong, and investments from
governments in the Nordics are at record high levels, with growth evident across
all countries. The Company maintains its long-term goal of generating more than
NOK 10 billion of revenue with an adjusted EBIT margin above 5% in 2028.

For further information, please contact:

Anders Gustafsson, CEO of NRC Group, + 46 76-117 16 32

Ole Anton Gulsvik, CFO of NRC Group, +47 99 56 85 20

This information is considered to be inside information pursuant to the EU
Market Abuse Regulation and is subject to the disclosure requirements pursuant
to Section 5-12 of the Norwegian Securities Trading Act. This stock exchange
announcement was published by Siri Nilsen, Administration, NRC Group ASA.

_________________________________________________________________

Alternative performance measures and definitions:

EBIT

Operating profit. Earnings before net financial items and share of profit from
associates and joint ventures.

EBIT adj.
Operating profit excluding adjusting items.

EBIT adj. margin
Operating profit excluding adjusting items in relation to operating revenues.

Adjusting items
Adjusting items are material items outside ordinary course of business such as
impairment of goodwill, operating profit from businesses to be closed down,
restructuring costs, gains or losses arising from the divestments of a business
or part of a business, and impacts of the fair value adjustments from purchase
price allocations, such as amortisation of fair value adjustments on acquired
intangible assets relating to business combination accounting under the
provisions of IFRS 3, referred to as purchase price allocation ("PPA").

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