QUARTERLY REPORT

Q4 2014 UNAUDITED

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Message from the CEO

Q4 2014 represented a strong quarter for Cxense with a record number of 34 contracts signed compared to

22 in Q3 2014. A large part of our sales growth is due to our DMP, and the company is well positioned to

continue to grow within this segment in 2015. Media is our largest vertical by revenue, but with our DMP,

we are able to approach other market segments such as E-commerce and the Enterprise market. In addition

to the effects from the DMP, our global sales organization is performing well with solid backing by the rest of

the organization. Our R&D department is steadily improving our software suite with new functionality, and

our Global Operations Team are taking well care of our customers before launch of our software. The cost

reduction announced in our Q3 2014 report is moving forward as planned, and though the full effect of the

reductions will be realized in June 2015, we will experience significant effects already by March 2015. With

continuing revenue growth and cost reduction, combined with the recent equity issue raising USD 7million,

Cxense is well positioned for 2015.

Yours sincerely

Sta le Bjørnstad

CEO

Cxense ASA

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Contents

Selected highlights _______________________________________________________________________________________ 5

Q4 2014 in Brief __________________________________________________________________________________________ 6

Financial development summary _______________________________________________________________________ 9

About Cxense ___________________________________________________________________________________________ 11

Condensed Financial Report ___________________________________________________________________________ 16

Consolidated Income Statement (unaudited) ________________________________________________________ 19

Consolidated Statement of Financial Position ________________________________________________________ 20

Consolidated Statements of Changes in Equity ______________________________________________________ 21

Consolidated Statement of Cash Flow ________________________________________________________________ 22

Notes to the Consolidated Financial Statements _____________________________________________________ 23

“Cxense (pronounced see-sense) helps businesses succeed in a digital world. Using audience data and

advanced real-time analytics, Cxense creates hyper-relevant content recommendations; targeted

advertising and predictive search that help customers increase digital revenue, and provide their

users with a better experience. Cxense is headquartered in Oslo, Norway, with offices around the

globe.”

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OFFICE LOCATIONS

North America Latin America Japan Europe Asia Pacific

New York City, NY

Cxense, Inc. 1180 Avenue of the Americas Rockefeller Center NY 10036 USA

Buenos Aires, Argentina

Cxense Argentina Victoria Ocampo 360 Puerto Madero Ciudad de Buenos Aires Argentina

Tokyo, Japan

Cxense Co., Ltd. Cerulean Tower 15F 26-1, Sakuragaoka-cho, Shibuya-ku Tokyo, 150-8512 Japan

Oslo, Norway (Corporate HQ)

Cxense AS Sommerrogaten 17 P.O. Box 2920 Solli NO-0230 Oslo, Norway

Melbourne, Australia

Cxense Australia Pty Ltd Suite 20/717 Bourke Street Docklands 3008 Melbourne Victoria Australia

Miami, FL Cxense Latin America Suite 232, 4801 South University Drive Davie, FL 33328 USA

Rio de Janeiro, Brazil

Cxense Brazil Praia Botafogo, 300 - Botafogo

22250-040 Brazil

Stockholm, Sweden Cxense Sweden Emseas Teknik AB

Drottninggatan 67

111 36 Stockholm

Sweden

Madrid, Spain Cxense Spain PAN Spain C/ Arlabán 7, 8º planta 28014 Madrid Spain

Singapore

Cxense Asia 12 Marina Boulevard #17-01, Marina Bay Financial Center Tower 3 018982 Singapore

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Selected highlights

Record order intake with the signing of 34 new contracts in Q4 2014 compared to 22 new contracts in Q3 2014. The revenue resulting from the new contracts will have full effect from Q1 2015 and give the Company a solid start of 2015.

Q4 2014 SaaS revenue reached USD 3.59 million, a YoY growth of 35% compared to Q4 2013.

Q4 2014 revenues were negatively affected by the strong USD appreciation during the quarter. Currency adjusted Q4 2014 SaaS revenues were USD 3.80 million compared to Q3 2014 revenues of USD 3.53 million.

Consolidated annualized currency adjusted revenue run rate in December 2014 reached USD 18.3m, as compared to a Q3 2014 run rate of 16.4m, representing a quarter-to-quarter growth of 12%.

Our DMP (Data Management Platform), launched in Q2 2014, gained significant market traction in Q4 2014, and it is becoming our strongest performing solution in the market. The market outlook for the DMP remains strong, and we also expect to bring the Cxense DMP into new market verticals throughout 2015.

The Q4 2014 gross margin was 84 %, compared to 81 percent in the two previous quarters. The increase relates to full effect from the change in hosting partners

The cost reduction plan announced in the Q3 2014 report, is moving forward as planned, and the Company is aiming for monthly operating expenses of USD 1.5 million by end of May 2015, a decrease of more than 20% as compared to September 2014 opex level.

The Q4 2014 SaaS segment EBITDA was USD -3.3million. Adjusted for the expected full effect of ongoing cost reductions as well as one-off items in Q4 2014, the underlying EBITDA stood at USD -1.5 million.

Cxense experienced good reception for the January 2015 share issue of USD 7million. 65 % of the subscribed amount came from new shareholders.

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Q4 2014 in Brief

The SaaS revenue model (software-as-a-service) represents a predictable revenue stream from our clients.

Contracts are normally signed for 12 months with auto renewal; hence we build a long-term relationship

with our customers. The currency adjusted group revenue run-rate1 in December 2014 was USD 18.3m

compared to 16.4 m in September 2014, a quarterly growth of 12%, which translates to an annualized

growth rate of 57%. The growth in the run rate was driven by a record order intake in Q4 2014 with 34

contracts signed in the quarter compared to 22 contracts in Q3 2014. The strong growth proves the

increased momentum for our software suite in the market. About 40% of the new contracts came through

upselling to existing clients making additional purchases. Our DMP (Data Management Platform) continues

to gain momentum, and we experience continued demand from the publishing- and e-commerce segments

for this solution. In addition, we have also seen the Enterprise market starting to develop, and we have

strong expectations for the Cxense DMP in this vertical. The signing of Commercial Bank of Dubai in

February 2015 is a strong evidence that Cxense has a value proposition for this vertical. The DMP accounted

for 37% of the new recurring revenue on contracts closed in Q4 2014.

The streamlining of the organization, announced in our Q3 2014 report, is progressing according to plan. By

removing overlapping recourses the organization is reduced from 118 FTEs (full time employees) at the end

of Q3 2014 to 95 FTEs. Consequently, the operating opex base will be reduced by more than 20 percent,

from more than USD 1.9m per month to USD 1.5m per month. More than 80% of the cost effect will be

realized by March 2015 and 100% by the end of June 2015. The streamlining of the organization has led to a

simplified organizational model with less administrational functions and more people in sales. We have also

set up a new large account sales team. This group consists of our four best sales people, and we have high

expectations from this team in 2015.

We have organized our direct sales in five sales regions: North America (NorthAm), Latin America (LatAm),

Europe and Middle East (EMEA), Asia and Pacific (APAC), and Japan. As earlier communicated, the NorthAm

region, struggled in Q2 and Q3 2014 to establish its market presence, but Q4 2014 saw a positive shift for

our NorthAm operation based out of New York. Customers like Times Publishing Company, Philadelphia

Media Networks and Deseret Digital Media signed up for the Cxense software-as-a-service suite in NorthAm.

EMEA, our largest region measured in revenue, continued to build its market share with significant

contracts such as Børsen and TV2 Denmark. APAC sales region is in its early stages, but is gaining

momentum and signed with the South China Morning Post (SCMP). Last but not least, LatAm showed strong

performance by signing 5 contracts in the quarter.

1 Currency adjusted group revenue run rate: The group revenue for the period including commited but not recognized recurring revenue for the period and calculated at the currency rates for the comparing period.

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The table above shows a SaaS segment EBITDA allocation by geography. The allocated EBITDA is adjusted for one-off costs and provisions

and the expected full effect of the cost reduction program executed in Q4 2014.

In February 2015 we launched our Cxense Insight online subscription service. Historically Cxense has been

doing direct sales only, but by introducing this internet-based subscription model where clients can access

Cxense.com, register, and pay by credit card for usage of certain offerings in our software suite, we are now

augmenting our direct sales model with online client self-service sales. With a strong direct sales team in

each of our five regions, as well as the new large account team and the online subscription model, we believe

we have created a solid and robust sales model that will enable Cxense to grow going forward. Combining

the three sales channels, we have increased our sales force from 20 representatives in Q3 2015 to 27 in Q4

2014.

Q4 2014 SaaS revenue reached USD 3.59 million, a YoY growth of 35% compared to Q4 2013. Q4 2014

revenues were negatively affected by the strong USD appreciation during the quarter. Currency adjusted Q4

2014 revenues were USD 3.80 million compared to Q3 2014 revenues of USD 3.53 million, which translates

to an annualized organic growth rate from Q3 to Q4 of 34%.

The Q4 2014 gross margin for the SaaS segment reached 84% percent in Q4 2014, compared to 81 percent

in the two last quarters. We have worked hard to increase the efficiency of our datacenter operations, and

now experience the effect of this optimization. The gross margin is expected to continue to vary somewhat

also going forward, as new datacenters are opened to further scale with the number of clients and

corresponding traffic increases.

The Q4 2014 EBITDA was USD -3.3 million. Adjusted for the expected full effect of ongoing cost reductions

as well as one-off items in Q4 2014, the underlying EBITDA stood at USD -1.5 million.

SaaS segment accounts receivables were down 30% from net 60 days of revenues outstanding in Q3 2014 to

42 days in Q4 2014.

SaaS segment

USD thousands

Q4 2014 Q3 2014 Q4 2014 Q3 2014 Q4 2014 Q3 2014 Q4 2014 Q3 2014 Q4 2014 Q3 2014

Revenues 2 609 2 587 503 507 479 437 3 591 3 531

COGS (allocated) 411 489 79 96 76 83 566 667

Gross profit 2 197 2 098 424 411 404 354 3 025 2 864

Gross magin % 84 % 81 % 84 % 81 % 84 % 81 % 84 % 81 %

Employees (FTEs) 20 29 14 16 10 9 50 64 95 118

OPEX (allocated) 968 1 325 649 704 484 411 2 443 3 433 4 544 5 873

EBITDA adjusted 1 229 773 -225 -293 -80 -57 -2 443 -3 433 -1 519 -3 009 In % of revenues 47 % 30 % -45 % -58 % -17 % -13 % -42 % -85 %

Group functions

and R&D

SaaS business

segment TOTAL

Regional Sales & Operations

EMEA Americas APAC

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Cxense raised USD 7 million in a private placement in January 2015. 65 % of the subscribed amount came

from new shareholders. In addition we have an ongoing subsequent offering towards the investors that

were not able to participate in the private placement. We expect these two fund raisings to capitalize the

company until it grows into profitability.

Q4 2014 saw the launch of significant new product features related to support for editorial dashboards in

Cxense Insight. By providing views specially tailored towards the needs of editors and online newsrooms

and how they use and act upon real-time site information, the functionality of Cxense Insight in this area

now matches or surpasses that of editorial specialized vendors. The updates have been very well received

by Cxense customers.

The Cxense DMP also saw several major improvements in Q4 2014. The DMP allows for easy and powerful

definition of user segments, and to use this segment membership information for precise high-yield

individualized targeting in a wide variety of systems, both third-party systems such as Google DFP as well as

Cxense Content, Cxense Display and Cxense Advertising. In Q4 Cxense R&D further extended the core DMP

backend to allow for the ingestion of performance data (e.g., information about clicks and impressions) from

any external system. This is an enabler for several differentiating features to be launched in Q1 2015 as it,

e.g., allows for unprecedented insights and extremely powerful reporting capabilities by joining the external

performance data with the full treasure-trove of data collected by the Cxense platform.

Within the advertising area, during Q4 2014 Cxense R&D came up with substantial innovations by, e.g.,

conceiving and developing the concept of 3D ads. 3D ads represent a novel and eye-catching presentation

mechanism which was launched early Q1 2015 to great acclaim in the industry.

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Financial development summary

USD 1,000 Q4 2012 Q1 2013 Q2 2013

Q2 2013

cont'd. Q3 2013

Q4 2013

excl.

Emediate

Q4 2013

incl.

Emediate

Nov & Dec Q1 2014 Q2 2014 Q3 2014 Q4 2014

IFRS IFRS IFRS IFRS IFRS IFRS IFRS IFRS IFRS IFRS IFRS

SaaS segment

Revenues total 736 840 993 993 1 090 1 314 2 650 3 568 3 442 3 530 3 591

Cost of sales 117 146 203 203 179 244 501 644 646 666 565

Gross profit 619 694 790 790 911 1 070 2 149 2 924 2 797 2 864 3 025

Gross magin % 84 % 83 % 80 % 80 % 84 % 81 % 81 % 82 % 81 % 81 % 84 %

Personnel 1 579 1 790 1 832 1 832 1 833 2 383 2 935 3 055 3 861 4 034 4 487 Wherof share based payment costs 74 140 137 136

Wherof share based social costs provision 20 - - 76

Wherof salary and social restrucutring provisions and costs - 345

Other OPEX 221 676 802 802 643 1 580 1 849 1 662 3 685 1 635 2 034 Wherof office moving costs and restructuring costs - - 57 68

Wherof extraordinary/special - 40 50 496

Wherof one-off provision for doubtful debt - 200 -130 210

Wherof transaction costs 436 436 - 1 607 -189 -419

Whereof R&D refund -228

OPEX 1 800 2 466 2 633 2 633 2 476 3 963 4 784 4 717 7 546 5 669 6 521

EBITDA -1 181 -1 772 -1 844 -1 844 -1 565 -2 893 -2 635 -1 793 -4 750 -2 805 -3 496

EBITDA adjusted for whereof items (run-rate) -2 457 -2 199 -1 793 -2 903 -3 017 -2 811

Estimated full effect of cost reduction program 1 299

EBITDA adjusted for full effect of cost program -1 512

PCAN segment

Revenues total 1 437 1 375 1 534 547 685 634 634 672 750 672 619

Cost of Goods Sold 1 443 1 390 1 263 487 523 450 450 502 560 509 474

Gross profit -5 -15 272 60 162 184 184 170 190 163 145

Gross magin % 0 % -1 % 18 % 11 % 24 % 29 % 29 % 25 % 25 % 24 % 23 %

Personnel 226 238 291 124 109 107 107 145 157 154 146

Other OPEX 107 97 129 73 35 78 78 84 76 88 89

OPEX 332 335 419 196 144 185 185 229 233 242 235

EBITDA -338 -350 -148 -137 18 -1 -1 -59 -43 -79 -89

GROUP

Revenues all segments 2 173 2 215 2 527 1 540 1 775 1 948 3 284 4 240 4 193 4 202 4 210

Intra-segment eliminations -112 -110 -126 -40 -67 -72 -72 -66 -78 -62 -58

Revenues consolidated 2 061 2 105 2 401 1 500 1 708 1 876 3 212 4 174 4 115 4 140 4 152

EBITDA -1 519 -2 122 -1 991 -1 980 -1 547 -2 894 -2 636 -1 852 -4 793 -2 875 -3 585

EBITDA adjusted -2 458 -2 200 -1 852 -2 946 -3 096 -2 901

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Q2 2013 cont’d and quarters thereafter exclude the discontinued operations of PPN AG. All other quarters are

presented including PPN AG. Segment notes in the financial reports published after the PPN divestment are re-

stated with figures for continuing operations.

Cost of sales is presented net of the elimination differences.

Emediate is included in Q4 2013 with the months of November and December, i.e. not a full quarter, as the

effective date for the acquisition was November 1. For Q1 2014 and onwards Emediate is consolidated with

normal full quarterly effect.

Share based payments costs and share based social costs provision relates to calculated cost effect of share

options and subscription rights granted by the BoD to the employees, calculated according to IFRS 2.

Transaction costs in Q4 2013 include cost to lawyers and financial advisors that performed due-diligence and

general advisory services in connection with the acquisition of Emediate (Transactions costs related to the

share issue financing the acquisition are booked against other paid in capital and therefore visible in the

consolidated statement of changes in equity, i.e. not in the profit and loss statement). Transaction costs in Q2

2014 relates to the IPO of Cxense including VAT. Transaction costs in Q3 2014 (negative costs) relates to VAT

refund on IPO costs booked in Q2 2014. Transaction costs in Q4 2014 (negative costs) relates to re-booking of

some of the IPO costs against equity following the final settlement of advisor costs and VAT calculations.

Office relocation and restructuring costs mentioned under other OPEX in Q3 2014 relates to inter-city re-

location of the offices in Copenhagen and Melbourne. The corresponding Q4 2014 costs relates to rent

provisions for 6 months of rent of the Copenhagen office following the cost reduction program.

Extraordinary / special in Q2 and Q3 2014 relates to one off advisory fees. Extraordinary and special in Q4

2014 relates to: Write downs related to the Emediate / Copenhagen re-structuring and office close down, due

diligence fees and cost provisions for a new invoicing tool for the Emediate portfolio following the

restructuring.

The one-off receivable loss provision booked in Q2 2014 of USD 200 thousand was reversed by USD 130

thousand in Q3 2014 due to successful debt negotiations. The one-off receivable loss provision in Q4 2014

relates to a general increase in loss provisions following a year end assessment.

The adjusted EBITDA is EBITDA adjusted for all other OPEX listed on the “whereof lines”. The EBITDA

adjusted for full effect of cost reduction program: This EBITDA level is also adjusted for costs incurred in Q4

2014 on employees that are no longer part of the Cxense organization when the ongoing cost program has

been completed.

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About Cxense

The businesses that succeed online are those that deliver the most relevant and engaging content,

advertisement, and search results to their audience. This is exactly the capability that Cxense offers its

customers. Through sophisticated, real-time data analysis and cutting-edge content delivery solutions, we

know what people want online and have the ability to deliver that content seamlessly. It's as if websites and

mobile apps using Cxense technology are tailor-made for every single site visitor.

On behalf of our customers, Cxense holds anonymous user profiles for well over half a billion users around

the world. All of these profiles are updated in real-time. They drive the decisions on whether to show a story

about war in the Middle East or Justin Bieber; whether to promote a new mobile phone or mortgage rates;

whether to promote a basic subscription or an upsell.

Cxense customers drive more e-commerce sales, higher digital subscription rates, higher advertising

response rates, and higher consumer loyalty, because the stories, products, videos and subscriptions they

promote match the individual user's interests, and the context that person is in at that particular moment.

Consumers get more interesting sites, advertisers get higher sales, and site-owners get more traffic and

revenue. Everyone’s a winner.

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Cxense is a global company headquartered in Oslo, Norway, with offices in Buenos Aires, London, Madrid,

Melbourne, Miami, New York, Rio de Janeiro, San Francisco, Singapore, Stockholm, Tokyo, and Zurich.

Customers include Dow Jones/Wall Street Journal, Hearst, Globo, Grupo Clarin, AEON, DMM, Rakuten,

Singapore Press Holdings, South China Morning Post, Amedia, Bonnier, Polaris Media, TV2, and many more.

For more information visit www.cxense.com or follow @Cxense on Twitter. Cxense is listed on the Oslo Stock

Exchange with the ticker CXENSE.

Cxense built the Extraordinary Insight EngineTM (EIE) for real-time analysis of content, user context, and

user data, including 1st and 3rd party data. The EIE is fully integrated with a range of applications (Cxense

Advertising, Insight, DMP, Content, and Search), which are used by Cxense customers to increase advertising

revenue, user engagement, conversions to digital subscriptions and product sales.

The applications based on the EIE are provided as SaaS (Software-as-a-Service) services with monthly

recurring subscription license fees, as well as additional royalty payments dependent on advertising volume

and transaction levels. In addition, we charge implementation fees and consultancy services amounting to 5-

10% of revenues in each quarter. The sale of our SaaS applications is reported in the Cxense SaaS business

area and represents the Company’s core business.

The EIE™ (Extraordinary Insight Engine™)

The EIE analyzes the behavior of more than 500 million Internet users and detect their location and device

and deduces their interest, intent, among others. The EIE gives our customers a 360 degree view of their

online users, including also customer 1st party data, as well as 3rd party data.

The EIE technology has several unique aspects. It is end-to-end real time: From data capture, through data

processing, to actionable data output. It is also mobile optimized through its scalable, low bandwidth user

profiling methodologies, which do not rely on 3rd party cookies. With highly flexible APIs, the EIE can power

any application and make it context aware.

It employs a unique behavioural, contextual, collaborative and semantic processing; making user and

content insight actionable in real time.

Cxense Advertising

Cxense Advertising provides businesses with the most targeted advertising solution on the market. Media

companies choose Cxense Advertising so they can deliver the most relevant advertising and promotions to

their users. This improves the user experience on their sites, boosts the effectiveness of the ads they serve

and increases the price at which they can sell their inventory. The Advertising solution offers multiple cost

models (cost-per-click, cost-per-impression and cost-per-action basis), works cross device (computer, tablet

and mobile) and with every advertising format (text, image and video/rich media, mobile). Cxense

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Advertising can be combined with other Cxense solutions for advanced promotion of digital subscriptions

and for mixing targeted advertising with relevant content (native advertising).

Cxense Insight

Cxense Insight provides businesses with powerful insight into their online audience. Through a real time

vizualization of how an audience interacts with websites, mobile sites and mobile apps, Cxense customers

can make decisions on which content to promote, which audience to target, how to grow their userbase and

how to monetize their assets. Cxense customers monitor and customize dashboards to suit their needs for

traffic patterns, audience interests, demographics, content popularity and first party data across a single site

or a network of sites.

Cxense Content

Cxense Content is used for content optimization and personalization on selected sections of a site or on the

complete site. By providing a personalized and more relevant experience to each user, the publishers

achieve increasing site traffic, readership and dwell time.

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Cxense Data Management Platform (DMP)

The Cxense DMP solution offers extended APIs for integration with first and third party applications with

the Extraordinary Insight Engine (EIE). The Cxense DMP captures structured and unstructured data in real

time across mobile, tablet and desktop devices and combines this with 1st and 3rd party data, such as age,

gender, subscriber information, etc. It analyses the combined data, develop individual user profiles and

useful audience segments, and put the data to work across our customer sites and multi-channel marketing

plans.

Cxense DMP can be set up to integrate with our customers CRM systems and enable highly

effective targeted marketing campaigns, understanding of digital subscription conversion

patterns as well as deep understanding of your individual customer needs2.

Out of the box integrations with Cxense solutions such as Cxense Advertising and Cxense Content, as well as

with other industry leading advertising products such as Google DFP, make the DMP extremely easy to use.

Cxense Search

Cxense Search is a cloud-based and easy to implement enterprise search application. It represents a very

affordable, top quality, low maintenance, enterprise search solution for online companies. It is easy to

integrate with other Cxense applications, and it offers unique personalization and advertising monetization

opportunities for the search results pages.

Privacy and Transparency

Cxense is fully aware that the type of technology and services the Company provides has the potential to

conflict with the interests of end users, if used inappropriately. Therefore, Cxense is committed to

safeguarding its services and only providing them in a way that improves the end-user experience, and takes

the end user’s privacy fully into account. This is conducted in collaboration with Cxense customers, the data

owners.

Cxense has a clearly stated Privacy Policy and is required to conform to the European Union’s Data

Protection Directive (Directive 95/46/EC, which is also embodied in the US Safe Harbour Privacy Principles

of Notice, Choice, Onward Transfer, Security, Data Integrity, Access and Enforcement, and Safe Harbour

Policies).

2 Scan the QR code with your QR app on the phone to see the Cxense DMP video or use this link: http://youtu.be/x0xO_d-T284

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Cxense regularly reviews its operations in order to be in compliance in view of this Directive.

Hosting and SaaS operations

Cxense delivers its software-as-a-service from scalable outsourced data centers in both USA and Europe.

The Cxense software solutions are based on distributed software architecture making them data center

agnostic – thus hosting capacity can be purchased choosing between several reputable providers at a

market price. With the Emediate acquisition, Cxense also got additional data centers hosting most of the

Emediate advertising business.

The PCAN business segment

Cxense has also helped establish several Publisher-Controlled Advertising Networks (PCANs). The PCANs

act as publisher-controlled broker between the advertisers and the publishers, distributing and sharing the

advertising revenues generated in the network with the publishers. Cxense is an advertising technology

provider to the PCANs and charges a fee based on the PCAN revenues, thus aligning the interest of Cxense

and our customers. In Spain, the Company has retained a 51% ownership interest, and because of its

majority ownership, this PCAN is consolidated into the Group accounts, and it is reported in the Cxense

PCAN business area.

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Condensed Financial Report

Q4 2014 Group revenue for continued operations amounted to USD 4.15 million, an increase of USD 0.9

million compared to Q4 2014 revenues of USD 3.2 million. The Cxense Group has two business segments:

Cxense Software-as-a-Service (SaaS) and Cxense Publisher Controlled Advertising Networks (PCAN). The

increase in group revenue is due to the steady growth in the number of external customers in the SaaS

Segment, the acquisition of Emediate in November 2013 and steady growth within the PCAN business

segment. The Q4 2014 revenue from the SaaS Segment was USD 3.59 million for external customers and

inter-segment revenue was USD 0.06 million. The SaaS segment revenues relates predominantly to sales of

recurring software licenses and some implementation services. Revenue from the PCAN segment was USD

0.62 million which comes from sale of online advertising.

The Q4 2014 group cost of sales amounted to USD 1.0 million, compared to USD 0.88 in Q4 2013. The SaaS

Segment cost of sales for Q4 2014 was USD 0.57 million, while the PCAN segment cost of sales was USD 0.47

million. Cost of sales within the SaaS segment predominantly relates to the hosting of the software

applications used by our customers. Cost of sales within the PCAN segment relates to revenue share paid to

publishers providing their advertising space, as well as agency commission paid to advertising agencies. The

Q4 2014 gross profit for the SaaS segment amounted to USD 3.0 million and USD 0.15 million for the PCAN

segment.

The Q4 2014 employee benefit expenses were USD 4.6 million, compared to USD 3.0 million in Q4 2013. The

increase is attributable to a higher average number of employees in Q4 2014 compared to Q4 2013, an

increase in shared based payments from USD 81 thousand in Q4 2013 to USD 135 thousand in Q4 2014 as

well as one-offs on salary and social cost provisions in Q4 2014 of USD 345 thousand related to the cost

reduction initiative that was executed during the quarter.

The Cxense SaaS organization reduced staffing from 118 employees at the beginning of the quarter to 95 at

the end of Q4 2014, a reduction of 23 employees due to the organizational optimization. Of the 95

employees, there are 40 employees within the R&D organization. Furthermore, 33.5 work within Sales &

Marketing, whereof 27 within front-end sales. 16 work within Operations, and 5.5 within Management,

finance & admin.

The depreciation and amortization in Q4 2014 were USD 365 thousand, compared to USD 211 thousand in

Q4 2013.. This increase in depreciation and amortization in Q4 2014 compared to Q4 2013 is attributable to

the acquisition of Emediate Group where the excess value was capitalized to the balance sheet and

amortized over a five-year period (only 2 months amortizations were included in Q4 2013), and the

depreciation of hosting cost investments in second half of 2014.

The Q4 2014 goodwill that relates to the Emediate acquisition was USD 3.8 million, the same amount as in

Q4 2013. The Q4 2014 goodwill amount has been tested for impairment.

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Excluding the excess value and goodwill from the Emediate acquisition the group has limited intangible

assets. The large distributed cloud-based systems operated by the Company are predominantly hosted on

platforms leased by large reputable hosting suppliers and thus do not lead to investments in fixed assets.

However, in Q3 2014 Cxense invested USD 290 thousand in owned hosting infra-structure. The estimated

monthly saving compared to the leased solution being replaced is USD 32 thousand, with full effect from Q4

2014.

The group R&D costs are expensed in full (i.e. not capitalized to the balance sheet).

Other operating expenses amounted to USD 2.1 million in Q4 2014 compared to USD 1.9 million in Q4 2013.

The majority of the expenses are related to travel, marketing and external consulting (audit, legal and

other).

In Q4 2014 other operating expenses were positively affected by the restating of IPO cost from other OPEX

to equity following the final settlement of VAT calculations and advisor fees, and a R&D refund in Australia.

Q4 2014 other OPEX was negatively affected by restructuring provisions for rent, provisions for a new

invoice solution for the group, provision for bad debt and write down of assets related to the Emediate

acquisition. The various effects are summarized in the Financial Summary table on page 9.

The Finance income in Q4 2014 was USD 0.32 million largely relating to interest earned on bank deposits

arising from the share issue proceeds raised in June. Finance income in Q4 2013 was USD 0.09. Finance

expenses, mostly relating to currency expenses, amounted to USD 0.23 million in 2014 and USD 0.1 in Q4

2013.

Income tax expense for Q4 2014 was USD 0.26 million compared to USD 0.02 in Q4 2013. In general the

income tax expense arises in the Cxense SaaS subsidiaries in USA, Japan and Australia that perform Sales &

Marketing and Research & Development activities for the parent company based on inter-company

agreements (with arm’s length pricing principles). In Q4 2014 the tax expense was higher than normal due

to a write down of a withholding tax asset of USD 318 thousand following a Cxense Finance assessment that

the asset may not be presented according to IFRS accounting principles. The Company still has the tax asset

and plans to use it when growing into profitability and a tax position. The Company also has a substantial

tax loss carried forward (see annual report tax notes). The amortization of excess values from the Emediate

acquisition also had a positive Q4 2014 tax effect of USD 70 thousand (negative cost). The tax expenses are

estimates only, with full reviews currently being performed.

The group net loss from continuing operations amounted to USD 4.12 million in Q4 2014, compared to USD

2.8 million in Q4 2013. This represents a Q4 2014 loss of USD 0.11 per share, compared to a loss of USD 45

per share in Q4 2013. There was conducted a 1/200 share split in Q2 2014. See note 7 for details.

During Q3 2013 the accounting entries for sale of the PCAN subsidiary were finalized and recorded,

resulting in a gain of USD 0.14 million. Full details of the sale of the PCAN subsidiary are outlined in

Note 4 to the accounts.

18

Total assets at the end of Q4 2014 amounted to USD 15.6 million compared to USD 23.3 million at Q4 2013.

The decrease is predominantly due to the decrease in intangible assets as a result of the amortization of the

intangible assets following the purchase price allocation of the Emediate acquisition, reduction in trade

receivables and a decrease in cash and cash equivalents.

Trade receivables stood at USD 2.15 million 44 days of inventory3) at the end of Q4 2014, compared to USD

3 million (84 days) at the end of Q4 2013. The decrease in Q4 2014 receivables is due to good collection

progress during the quarter as well as the year end one-off receivable provision in Q4 2014.

The Q4 2014 cash position amounted to USD 2.8 million compared to USD 8.8 million at the end of Q4 2013.

In January 2015 the company conducted a private placement of 550.000 new shares, each sold at a price of

NOK 100 per share, and thereby raised USD 7 million in new equity.

Total current liabilities at the end of Q4 2014 were USD 5.6 million compared to USD 5.8 million at Q4 2013.

Net cash flow used in operating activities was USD 2.3 million in Q4 2014, compared to USD 1.3 million in

Q4 2013. Q4 2014 cash flow from operations was affected negatively restructuring costs.

3 Days = Receivables / Quarterly revenues * 90 days

19

Consolidated Income Statement (unaudited)

USD 1,000 Note

Q4 ended 31

Dec 2014

Q4 ended 31

Dec 2013

Year Ended 31

December

2014

Year Ended

31 December

2013

Continuing operations:

Revenue 3, 4 4 151 3 213 16 580 7 612

Operating expense

Cost of goods sold 3,4 980 882 4 301 2 728

Employee benefit expense 5 4 633 3 040 16 039 8 814

Depreciation & Amortisation expense 365 211 1 333 227

Other operating expense 6 2 123 1 912 9 352 4 209

Total operating expense 8 100 6 045 31 026 15 978

Net operating income/(loss) (3 949) (2 832) (14 446) (8 366)

Financial income and expense

Finance income 319 91 541 367

Finance expense (230) (96) (382) (179)

Net financial income/(expense) 89 (5) 159 188

Net income/(loss) before taxes (3 861) (2 837) (14 287) (8 178)

Income tax expense 264 (22) 110 (15)

Net income/(loss) for the period from continuing

operations (4 125) (2 815) (14 397) (8 163)

Discontinued operations

Net income/(loss) for the period from discontinuing

operations 4 0 (0) 0 (24)

Total net income/(loss) for the period (4 125) (2 816) (14 397) (8 187)

Net income/(loss) attributable to:

Owners of the Company (4 083) (2 814) (14 266) (8 041)

Non-controlling interests (42) (1) (131) (147)

Earnings per share:

Basic and diluted 7 (0,0011) (0,45) (0,0041) (0,60)

Statement of comprehensive income

Net income/(loss) for the period (4 125) (2 816) (14 397) (8 187)

Other comprehensive income:

- Currency translation differences 2 721 461 3 473 562

Total comprehensive income/(loss) (1 404) (2 355) (10 923) (7 625)

Total comprehensive income/(loss) attributable to:

Owners of the Company (1 362) (2 354) (10 793) (7 478)

Non-controlling interests (42) (1) (131) (147)

20

Consolidated Statement of Financial Position

USD 1,000 Note

As at 31 Dec

2014

As at 31 Dec

2013

Assets

Non-current assets

Goodwill 3 807 3 807

Deferred tax asset 35 36

Intangible assets 4 309 5 429

Office machinery, equipment,etc. 483 295

Other financial assets 197 20

Total non-current assets 8 829 9 586

Current assets

Trade receivables 8 2 150 3 000

Other short-term assets 9 1 827 1 870

Cash and cash equivalents 2 828 8 843

Total current assets 6 805 13 714

Assets classified as " held for sale" 0 0

Total assets 15 635 23 300

Equity and liabilities

Equity

Share capital 10 2 477 2 713

Own shares - (56)

Other paid in capital 18 170 22 914

Currency translation differences 4 238 764

Retained earnings (15 097) (9 179)

Equity attributable to the holders of the Company 9 788 17 155

Non-controlling interest (403) (272)

Total equity 9 385 16 883

Liabilities

Non-current liabilities

Deferred tax liabilities 480 654

Total non-current liabilities 480 654

Current liabilities

Trade payables 1 454 1 933

Current taxes 119 35

Other short-term liabilities 11 4 196 3 794

Total current liabilities 5 770 5 763

Liabilities related to assets "held for sale" 0 0

Total liabilities 6 250 6 417

Total equity and liabilities 15 635 23 300

21

Consolidated Statements of Changes in Equity

USD 1,000

Nominal

share

capital

Own

shares

Other paid in

capital

Currency

translation

differences

Retained

earnings

Attributable to

owners of

parent

company

Non

Controlling

interest

Total

equity

Total equity as at 1 January 2013 2 269 0 13 803 201 (6 453) 9 820 (125) 9 695

Profit for the period (8 041) (8 041) (147) (8 187)

Other comprehensive income 562 562 562

Total comprehensive income/(loss) for 31 December

2013 0 0 0 562 (8 041) (7 478) (147) (7 625)

Reduction of paid in-capital (4 773) 4 773 0 0

Transaction costs (633) (633) (633)

Share- based payments 191 191 191

Increase in share capital 650 15 583 16 233 16 233

Purchase own shares (56) (56) (56)

Currency effects from translation of equity (206) 0 (1 256) 541 (922) (922)

Total equity as at 31 December 2013 2 713 (56) 22 914 764 (9 179) 17 155 (272) 16 883

USD 1,000

Nominal

share

capital

Own

shares

Other paid in

capital

Currency

translation

differences

Retained

earnings

Attributable to

owners of

parent

company

Non

Controlling

interest

Total

equity

Total equity as at 1 January 2014 2 713 (56) 22 914 764 (9 179) 17 155 (272) 16 883

Profit for the period (14 266) (14 266) (131) (14 397)

Other comprehensive income 3 473 3 473 3 473

Total comprehensive income/(loss) for YTD 2014 0 0 0 3 473 (14 266) (10 793) (131) (10 923)

Reduction of paid in-capital 0 0 0 0 0 0 0 0

Transaction costs 0 0 345 0 0 345 0 345

Share- based payments 0 0 412 0 0 412 0 412

Increase in share capital 292 0 6 884 0 0 7 176 0 7 176

Purhcase own shares 0 46 0 0 0 46 0 46

Reclassification of equity 0 0 (7 162) 0 7 162 (0) 0 (0)

Currency effects from translation of equity (528) 10 (5 222) 0 1 187 (4 554) 0 (4 554)

Total equity as at 31 December 2014 2 477 0 18 170 4 238 (15 097) 9 788 (403) 9 385

22

Consolidated Statement of Cash Flow

23

Notes to the Consolidated Financial Statements

Note 1 General information

Cxense ASA, which is the parent company of the Cxense group (the Group), is a Public limited liability

company incorporated and domiciled in Norway, with its corporate headquarters in Oslo. The Group is a

global technology company delivering innovative and intuitive products that help companies build unique

online experiences. Cxense ASA is listed on the Oslo Stock Exchange, ticker symbol CXENSE.

The company’s Board of Directors approved the financial statements on February 25, 2015 after close of

business on Oslo Stock Exchange.

Note 2 Basis of preparation and accounting policies

The principal accounting policies applied in the preparation of these consolidated financial statements are

set out below.

The quarterly report is prepared in accordance with IAS 34 Interim Financial Reporting and International

Financial Reporting Standards (IFRS) published by the International Accounting Standards Board (IASB)

and all interpretations from the Financial Reporting Interpretations Committee (IFRIC), which has been

endorsed by the EU commission for adoption within the EU. The quarterly report is prepared using the same

principles as those used for the 2013 annual report.

The quarterly report is unaudited.

The going concern assumption has been applied when preparing this interim financial report

The preparation of the consolidated interim financial statements in accordance with IFRS and applying the

chosen accounting policies requires management to make judgments, estimates and assumptions that affect

the reported amounts of assets, liabilities, income and expenses. The estimates and associated assumptions

are based on historical experience and various other factors that are believed to be reasonable under the

circumstances. Actual results may differ from these estimates. The estimates and underlying assumptions

are reviewed on a continuous basis.

Revisions to accounting estimates are recognized in the period in which the estimate is revised if the

revision affects only that period or in the period of the revision and future periods if the revision affects

both current and future periods. When preparing these consolidated interim financial statements, the

significant judgments made by management in applying the Group’s accounting policies and the key sources

of estimation uncertainty, were the same as those that applied to the consolidated financial statements as of

the period ended 31 December 2013.

There has not been any changes or transactions with any related parties that significantly impact on the

Group’s financial position or result for the period.

24

25

26

27

Balance sheet information 31 Dec 2013

USD 1,000 SaaS PCAN Eliminations Consolidated

Segment assets:

Non-current assets 9 543 24 20 9 586

Current assets

- Trade receivables 2 459 541 0 3 000

- Other short term assets 1 832 102 (63) 1 870

- Cash and cash equivalents 8 815 28 0 8 843

Total segment assets 22 643 695 (43) 23 300

Segment liabilities:

Non-current liabilities 654 0 0 654

Current liabilities 4 846 1 007 (92) 5 762

Total segment liabilities 5 501 1 007 (92) 6 417

Liabilities related to assets "held for sale" 0 0 0 0

Total segment liabilities 5 501 1 007 (92) 6 417

Geographic information

Revenues from external customers: Q4 2014 Q4 2013 2 014 2 013

EMEA 3 290 2 611 13 423 7 568

Americas 495 353 1 774 984

Pacific 367 249 1 383 882

Total revenue from external customers 4 151 3 213 16 580 9 434

Information about major customers

The Company does not have single customers that generate 10% or more of the entity's total revenue.

The revenue information above is based on the location of the entity generating the revenue and includes sales generated by discontinued

operations. Revenues from discontinued operations are included and have solely been booked to the EMEA segment in the table above. The

acqusition of Emediate Group is included in the 2014 figures and end of year 2013 numbers.

28

Note 4 Discontinuing operations

Profit from the discontinued operations

USD 1,000

Year Ended

December 2013

Revenue 1 982

Operating expenses 2 139

Net operating income/(loss) (156)

Net finance (11)

Income tax expense 0

Gain from sale of discontinued operation 143

Net income/(loss) for the period from discontinuing operations (24)

(1) All of operating income in 2013 comes from the six months ending 30 June, since the subsidiary was sold

effective from 1 July 2013.

At the end of Q2 2013 Cxense negotiated an agreement to sell the PCAN subsidiary PPN AG to

Tamedia AG, the Swiss based media group. The transaction is effective as of July 1, 2013. PPN

AG is presented as discontinuing operations through out this report.

Tamedia AG has been the most significant publisher in the Publisher Controlled Advertising

Network alongside a number of other publishers in the Swiss market. Tamedia states that the

rationale for the transaction is to improve the control of PPN and to use PPN as part of their

strategy to develop an exclusive networked advertising offering for their online publications.

Tamedias intention is to continue to cooperate with the other existing publishers in PPN around

click-based performance advertising.

One hundred percent of the shares in PPN AG were sold for USD 103 thousand. Net assets from

PPN AG included in the consolidated accounts as of June 30, 2013 and presented as "held for sale" is USD 5 thousand. The final transaction values have subject to a separate audit of the PPN

AG accounts and now fully finalised. The sale resulted in a gain of USD 143 thousand.

29

Earnings per share:

Basic and diluted (0,000)

Cash flow from discontinuing operations

USD 1,000 YTD 2013

Net cash flow from operating activities (88)

Net cash flow from investing activities 0

Net cash flow from financing activities 0

Net cash inflow/(outflow) (88)

USD 1,000 As at 30 June 2013

Assets

Intangible assets 2

Office machinery, equipment etc. 5

Trade receivables 666

Other short term assets 66

Cash and cash equivalents 49

Total assets 787

Liabilities

Trade payables 673

Other short term liabilities 108

Total liabilities 781

Net assets included from discontinued operations 5

(1) All of operating income in 2013 comes from the six months ending 30 June, since the subsidiary was sold

effective from 1 July 2013. Cash effects acquisition in 2012 and disposal are not included cash flow summary

above.

30

Social security tax includes provisions for social security tax on share based payments. USD 76 thousands

for Q4 2014.

Other personnel expense includes the performance based Sales Commission paid to sales quota holders.

Office rental and related expenses in Q4 2014 included provisions for 2015 office rent on offices with

terminated lease agreements as a result of the company re-organization.

Note 5 Employee benefit expense

Specification of employee expense

USD 1,000 Q4 2014 Q4 2013 2014 2013

Payroll expense 3 270 2 422 12 277 7 502

Share-based payments 135 81 487 228

Social security tax 491 354 1 622 860

Pensions 71 94 452 273

Other personnel expense 666 90 1 203 270

Presented as part of discontinued operations 0 0 0 (318)

Total employee benefit expense 4 633 3 040 16 039 8 814

31

Note 7 Earnings per share

USD 1,000 Q4 2014 Q4 2013 2014 2013

Net income/(loss) for the year attributable to the parent

company (4 083) (2 814) (14 266) (8 041)

Weighted average number of shares outstanding for

basic earnings per share (1) 3 681 717 13 305 3 505 053 13 305

Earnings per share

- Basic (0,0011) (0,45) (0,0041) (0,60)

- Diluted (2) (0,0011) (0,45) (0,0041) (0,60)

(1) A 1/200 share split was conducted

on the annual general meeting April 2 2014, in connection with the listing to the Oslo stock exchange.

The split has only effect for YTD 2014.

(2) The Company has 173 380 potential dilutive shares from share options and subscription rights outstanding

Since the Group has a loss for the year, and since the potential

shares do not have a dilutive effect, they are not included in the calculation.

32

Past due, but not impaired > 90 days: Out of the total of USD 326 thousand a total of USD 110 thousand had

been paid by the date of this report. The Company continues to pursue the outstanding trade receivables.

The Company has made a provision of USD 171 thousand for bad debt..

Note 8 Trade receivables

USD 1,000 2014 2013

Trade receivables 2 600 3 300

Allowance for doubtful debts (450) (300)

Presented as assets "held for sale" 0 0

Total trade receivables 2 150 3 000

Trade receivables are non-interest bearing and are generally on 30-day terms.

As of 31 December, the age analysis of trade receivables is as follows:

USD 1,000

Total

Neither past due

nor impaired

<30

days 31-90 days >90 days

2014 2 600 1 470 432 372 326

2013 3 300 1 981 931 246 143

Movements in allowance for doubtful debt:

USD 1,000 2014 2013

Balance at the beginning of the year 300 30

Impairment losses recognized on receivables 224 300

Amounts written off during the year as uncollectible (64) (30)

Amounts recovered during the year (7) 0

Impairment losses reversed (3) 0

Balance at the end of the period 450 300

Past due but not impaired

33

Note 9 Other short-term assets

USD 1,000 2014 2013

Accrued income 150 6

Prepayments 164 141

Receivable on authorities and government grants 197 276

Other short-term receivables (1) 1 316 1 447

Other short term assets 1 827 1 870

(1) Includes Escrow account related to acqusition of Emediate Group of USD 1.1 million.

Note 10 Share capital and shareholder information

Number of

shares

Share capital

NOK

Share capital

USD

thousand

Balance at 1 January 2013 2 526 000 12 630 000 2 269

Issued during the year 789 000 3 982 000 444

Balance at 31 December 2013 3 315 000 16 612 000 2 713

Issued during the year 359 317 1 796 585 292

Currency effects from translation of equity -528

Balance as at 31 December 2014 3 674 317 18 408 585 2 477

Warrants:

In connection with the Private Placement in the Company the Board on June 10 2014 decided to issue

two warrants for every one share subscribed for and allocated in the Private Placement. The first warrant

("Warrant A") would have a term expiring on July 4 2015 and an exercise price per share of NOK 140.

The second warrant ("Warrant B") would have a term expiring on July 4 2016 and an exercise price per

share of NOK 150. As of December 31 2014, there are 718,434 outstading warrants to shareholders in

Cxense ASA.

Share options and subscription rights:

As of December 31 2014, there were 173,380 outstanding share options and subscription rights

outstanding to Cxense employees. This is a reduction compared to September 30 2014 where the

company had 216,300 share options outstanding to Cxense employees. The reduction is caused by cost

reduction program that led to the termination of the employment of employees with allocated share

options that were not fully vested according to the vesting schedule set out in the Company's share option

and subscription rights programs.

34

20 largest shareholders registered in VPS as of 31 December 2014:

Shareholder Number of shares % Share

CXVEST LIMITED 536 502 14,57POLARIS MEDIA ASA 476 462 12,94ASAH AS 407 492 11,07SIMPSON FINANCIAL LT 163 800 4,45STOREBRAND VEKST 129 892 3,53MP PENSJON PK 118 895 3,23PORTIA AS 104 000 2,82HOME CAPITAL AS 103 076 2,80FOLLO EIENDOM AS 99 770 2,71VIOLA AS 83 138 2,26GBBT AS 81 800 2,22NORTH MURRAY AS 80 000 2,17MIKITANI HIROSHI 80 000 2,17DANIELSEN STEIN HARDY 75 400 2,05ØHRN ALEKSANDER 73 000 1,98CRESSIDA AS 70 076 1,90M&L PRITCHARD HOLDIN 65 400 1,78DNB NOR MARKETS, AKS 49 000 1,33RAMS AS 40 000 1,09STOREBRAND NORGE 39 400 1,07Total top 20 shareholders 2 877 103 78,15

Others 804 614 21,85

Total 3 681 717 100,00

An updated list of the 20 largest shareholders can be found under the

Investor Relations section on the Cxense website (www.cxense.com)

35

Note 11 Other short-term liabilities

USD 1,000 2014 2013

Public duties payables 551 331

Prepayments from customers 87 170

Accrued expenses 1 196 1 056

Salary-related provisions 999 805

Other current liabilities (1) 1 363 1 432

Total other short-term liabilities 4 196 3 794

(1) Includes the Escrow account related to the Emediate acqusition of USD 1.1 million

Note 12 Related Party Disclosures

USD 1,000

Purchase of services from Description of services 2 014 2 013

Advokatfirma Ræder (1) Legal services 672 299

Theoline AS (2) Consulting services 64 45

(1) The Chairman of the Board in Cxense ASA is a partner in Advokatfirma Ræder.

(2) Stig Eide Sivertsen, Board member, is the owner of Theoline AS

USD 1,000

Balances with related parties Balance type 2 014 2 013

Advokatfirma Ræder Other Short Term Liabilties 125 239

Theoline AS Trade payables 0 0

all balance sheet figures incl. VAT

Balances and transactions between the Company and its subsidiaries, which are related

parties to the Company, have been eliminated on consolidation and are not disclosed in this

note. The group does not have other transactions with related parties, except for remuneration

to management as disclosed below:

36

Note 13 Subsidiaries

Name of subsidiary

Place of

incorporation

Portion of

ownership and

voting power

Cxense Ltd. Cxense SaaS Australia 100 %

Cxense Co., Ltd. Cxense SaaS Japan 100 %

Cxense, Inc. Cxense SaaS USA 100 %

Cxense Inc. NV Holdings Cxense SaaS USA 100 %

Emediate Aps Cxense SaaS Copenhagen 100 %

Emseas Teknik AB (Emediate Sweden) Cxense SaaS Sweden 100 %

Emediate Norway NUF Cxense SaaS Norway 100 %

Premium Audience Network, s.l.u. PCAN Spain 51 %

On 16th December 2014, Emseas Norway NUF was liquidated.

In Q4 2014 Cxense Group sold 5% of its holdings in PAN Spain to PAN Spain Management for EUR 5 thousand.

The transaction fulfils the original intention that Cxense should hold 51% and management 49%.

Before the transaction Cxense held 56% of the shares as temporary solution following changes to the PAN Management.

Principal activity

according to segment

On 1st November 2013 100% of the shares in Emediate Aps and its subsidiaries were purchased.

Note 14 Contingent liabilities

Note 15 Events after the reporting period

On January 19, 2015 Cxense completed a successfull private placement raising NOK 55

million in gross proceed through the issue of 550 000 shares, each share at a subscription

price of NOK 100. At the date of this report Cxense has an ongoing subsequent offering,

directed towards the existing shareholders that were not invited to participate in the

private placement, of up to 150 000 offer shares, offered at a subscription price of NOK

100 per share.

For further stock exchange notices please see www.cxense.com

The Group has not been involved in any legal or financial disputes in Q4 2014 or Q4 2013,

where an adverse outcome is considered more likely than remote, except for the

following case see note 15

Since December 31, 2014 and until the date of these financial statements, the Board of

directors is not aware of any matter or circumstance not otherwise dealt with in this

report, that has significantly or may significantly affect the operations of the

Consolidated Entity with the exception of the following: