Norse Atlantic ASA: Navigating market volatility with record unit revenues in Q2 2026 and continued focus on cost reductions

Arendal, Norway, 20 August 2026

Norse Atlantic ASA today reports USD 132 million in revenues for the second quarter of 2026. Despite the challenging market environment, commercial performance in the high-graded own network remained strong with record-high unit revenues, while the overall profitability was impacted by elevated fuel prices, lower aircraft utilization and operational disruptions. At the same time, Norse continued to strengthen its commercial operations and financial platform, while advancing the strategic review into a formal process following strong interest.

Q2 2026 headlines:

*Network high-grading drives record high unit revenues, with TRASK up 23% to 6.15 US cents

*Revenue of USD 132 million, reflecting lower production and significantly increased Charter & ACMI activity

*Fuel costs and lower aircraft utilization impact profitability - EBITDAR of negative USD 8.4 million

*Continue to execute the Project Falcon USD 50 million cost reduction program 

*Strengthening liquidity with rights issue and senior secured financing agreement

*Second quarter net loss reflecting non-cash impact related to the early conversion of convertible bonds as part of recapitalization

*Strategic review progressing with strong interest

CEO Eivind Roald comments:

“The second quarter demonstrated Norse Atlantic’s ability to adapt as an Airline on Demand in a challenging environment for the airline industry. We are of course not satisfied with the financial results, but I believe we have taken important steps to strengthen our commercial operations and financial platform.

High jet fuel prices and geopolitical disruptions impacted profitability across the sector in the first half of 2026, with airlines trimming capacity to adapt to changing market conditions.

We also adjusted network capacity amid elevated fuel prices, delivered record high quarterly unit revenue and implemented cost reductions. We have in addition strengthened our balance sheet and progressed the strategic review that has attracted strong international interest.

Despite the industry headwinds, I’m very pleased to see that Norse continues to deliver an excellent product to our passengers, strong operational performance and significant commercial momentum. Second-quarter unit revenue in Norse’s own network increased 23% year-over-year on higher fares and a load factor of 94%.

However, a 26% drop in network production from the preceding quarter, combined with elevated fuel prices, weighed on network earnings. We continue to manage capacity based on profitability, including cancelling the Los Angeles summer program.

Our ACMI and charter operations were also affected by the challenging operating environment with fewer block hours than planned and with longer flight durations and industry-wide engine challenges increasing costs. Despite this, segment revenue increased more than six-fold and delivered positive EBITDAR.

As announced in July, the IndiGo agreement will end later this year with the returning aircraft providing more flexibility to optimize our fleet deployment across our two business segments.

The record high network unit revenue reflects our targeted approach to match network capacity and demand. We plan to further strengthen our ability to capture new market opportunities, while pursuing a more flexible and selective charter/ACMI approach with a clear focus on profitability.

Fully transitioning to an Airline on Demand across both segments opens new strategic paths for Norse. This is recognized by potential partners. Therefore, the strategic review has advanced into a more formal process, with multiple parties having signed NDAs, which may result in a sale, merger or partnership.

We work diligently to ensure that Norse has adequate financial resources to navigate the challenging market conditions. Our rights issue in June enabled a significant repayment of outstanding debt, while our Project Falcon aims to deliver USD 50 million of annual cost savings from 2027. To strengthen the liquidity in a period with persistently high fuel prices and reduced activity, we have entered into a USD 52 million senior secured financing agreement with maturity in 2027.  

The improved financial and fleet flexibility position Norse as a leaner and more agile airline, focused on allocating capacity where we see the strongest returns, improving profitability and creating long-term shareholder value."

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

Webcast: An online presentation of the second quarter and first half 2026 financial results will be available at 08:00 AM CEST, using the following link: https://qcnl.tv/p/p5_zRnTJO0mIt0YaATPyIA

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

Media contact: media@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