Interim Results - Replacement

Ideal Shopping Direct PLC
06 September 2005

The following replaces the Interim Results announcement released today at 7.00am
under RNS number 8560Q.  The interim dividend in the column for June 2005 under
the headline 'First half profits reflect major scale benefits from 53% sales
rise' was stated as 10.p in error. The correct figure is 1.0p.  The rest of the
announcement remains unchanged and is reproduced in full below.


Ideal Shopping Direct Plc (the "Company")


6th September 2005


Interim results for the 26 weeks to 30 June 2005


First half profits reflect major scale benefits from 53% sales rise



                                       June 2005        June 2004        % Change               FY 2004
Turnover                                £36.977m         £24.067m            +53%              £60.382m

Operating Profit                        £ 3.467m         £ 0.771m           +350%              £ 4.109m
Profit before tax                       £ 3.660m         £ 0.684m           +435%              £ 4.105m

EPS                                         8.8p             1.6p                                  9.4p
Net cash                                £17.078m         £ 9.324m                              £14.517m
Interim dividend                            1.0p                              Nil                  1.0p



• First half trading has continued to show a strong improvement against last 
  year

• Turnover up 53.6%, again benefiting from first-time Freeview contribution

• Sales since the Freeview anniversary (April 23rd) also up on like-for-like 
  basis

• Company continues to show improvements in its operational gearing

• Net profits therefore reflect significant scale benefits of higher turnover

• First half pre-tax profits at £3.7m compare with last year's £0.7m

• Company is strongly cash generative: end June net cash £17.0m vs.Dec 04 
  £14.5m.

• Interim net dividend of 1.0 pence

• Paul Wright moves to Deputy Chairman to concentrate on new business
  development

• Andrew Fryatt appointed Chief Executive with immediate effect.

• Mike Camp joins as Finance Director.

• Fourth TV shopping channel - Jewellery Vault - launched on July 1st



Jim Hodkinson, Chairman, commented:


"This excellent performance underlines the considerable benefits of the
significant growth generated over the last year, but it also reflects our
efforts to improve the business and its management at every level. Trading in
the first eight weeks of the second half to date has continued strongly, despite
a challenging and highly competitive trading environment. While we remain alert
to the possibility of a slowing pattern of spending, the Board looks forward to
reporting further good progress for the full year."

Enquiries:

Ideal Shopping Direct Plc:                            Tel:  [phone]
Jim Hodkinson                    Chairman
Andrew Fryatt                    Chief Executive

Reputation Inc:                                       Tel:  [phone]
Tom Wyatt






CHAIRMAN'S STATEMENT



I am delighted to report that trading has continued to show a strong improvement
in the six months to 30 June 2005. Sales have again benefited from a first-time
contribution from our Freeview channel, and from further year-on-year growth
from other activities, including our core Ideal World channel. Whilst the
business has continued to grow rapidly, costs have been managed such that
profitability has increased significantly over the equivalent period of 2004.



The first half of 2005 saw a total profit of £3.7 million compared with a profit
of £0.7 million in the corresponding period of 2004. This profit performance has
had a strong impact on the balance sheet, which shows an improved cash and short
term deposit position. We ended the half year with net funds of £13.4 million,
compared with £10.3 million at the end of 2004, and £4.6 million at the end of
June 2004.



This excellent performance underlines the continuing improvements over the last
year in every area of the business, and the substantial progress made in
developing promising new areas of activity. At the same time, we have invested
in the strengthening of systems and management.



Review of Trading



Turnover was £37.0 million - an increase of 53.6% when compared to the £24.1
million achieved in the same period last year. A significant element of this
increase reflects the additional contribution from our Freeview channel, which
launched on 23 April 2004. The continuing growth in the number of households
with access to Freeview has outstripped the growth of Sky, and helped us
maintain further year-on-year growth in the period following the anniversary of
the Freeview launch.



Our main channel, Ideal World, grew by 47.0% in the half year, including a
substantial increase in web sales as a result of relaunching the Ideal World
website in April 2005.



Our niche market channels, Create and Craft and Ideal Vitality, have also
benefited from our continuing investment and innovative new developments. In
particular, our transactional websites have ensured that our web-based business
for both channels has grown significantly, and we are continuing to promote the
internet as a valuable complementary sales vehicle.



Create and Craft has shown particularly good progress, doubling sales compared
with the same period last year. In April 2005 we launched the Create and Craft
Club, which features an online interactive magazine and promotes our wider
catalogue of speciality craft merchandise. Ideal Vitality has a new dedicated
management team and, with the benefit of our experience of selling health and
beauty products via our main Ideal World channel, we are making good progress in
determining what sells well to this specialised audience.



Administration and distribution costs as a proportion of sales have fallen from
41.6% to 33.5%, showing the benefits of our rapid growth in scale over the last
eighteen months. Total operating costs increased from £10.0 million to £12.4
million - the increase of 23.9% reflecting the costs of Freeview and increased
staffing levels to support the continued growth in order levels and the
strengthening of our buying team.



Our reported gross margin performance has been affected by the reclassification
of royalty costs payable to Freeview.  Underlying product margin improved by
0.5% points in the period, but after including royalty charges and other income,
reported gross margin was 42.9% compared with 44.8% in 2004.



Operating profit was £3.5 million, compared with £0.8 million in 2004. Profit
before tax for the six months to 30 June 2005 was £3.7 million, against 2004's
£0.7 million. Basic earnings per share increased from 1.6p to 8.8p in 2005.



We are continuing with our progressive dividend policy and announcing an interim
dividend of 1.0 pence per share. This will be paid on 12th October 2005 to
shareholders on the register as at 16 September 2005.



Management Changes



I am pleased to announce that Andrew Fryatt has been appointed Chief Executive
of the company with immediate effect. Andrew joined us as Chief Operating
Officer almost a year ago, allowing Paul Wright to focus more fully on the
future and on the specific task of developing our exciting new business
opportunities.



Andrew has demonstrated excellent leadership qualities over the last year and
has shown that he has the ability to continue to manage a fast growing business
as we face new challenges in the years ahead.



Paul will become Deputy Chairman and will remain an executive director, with
specific responsibility for developing our new business initiatives. Over the
last few months, Paul has already been able to strengthen our position as one of
the most innovative operators in the sector. His entrepreneurial flair and
intuitive understanding of the TV shopping market are a vital asset which has
kept us at the leading edge of the industry since he founded the business more
than twenty years ago.



I am also pleased to announce the appointment of Mike Camp as Finance Director,
with effect from September 19th.  Mike joins us from the RAC, where he was
Finance Director of the Consumer Division, following a number of years at Booker
Plc.  I am confident that Mike will play a vital role in managing the business
through the next stage of its growth.



On the 4th May 2005 Valerie Kaye stood down as an executive director to become a
non-executive member of the Board, and I would like to thank Val for her
dedication and commitment through the last few years, in particular in bringing
Ideal Shopping Direct back from the fire of 2001. We look forward to her
continuing strategic input in her new non executive role.



Current Trading and Future Prospects



The UK retail sector remains challenging and highly competitive. Against this
background, it would be prudent to expect that the retail market will remain
difficult, with significant discounting continuing to be the norm.  Although TV
shopping is slightly removed from the High Street, we should not assume that we
are immune from the general economic situation.



Nonetheless, trading in the first eight weeks of the second half has continued
strongly, with sales in line with our expectations.



On 1 July 2005 we opened a fourth TV shopping channel- Jewellery Vault. The
channel is dedicated to the sale of jewellery via an auction. The channel
broadcasts 8 hours live per day on Sky Digital Satellite Channel 638.  Although
the channel has only been operating for a few weeks, we are confident of its
success.



We have an excellent multi channel business, an extremely able senior management
team, strong finances and a robust strategy. This gives me great confidence in
the ability of Ideal Shopping Direct Plc to continue to deliver excellent
results and I look forward to reporting further good progress for the full year.





Jim Hodkinson
Chairman



6 September 2005




Consolidated Profit and Loss Accounts


                                         Six months     Six months       Year to
                                                 to             to   31 December  
                                       30 June 2005   30 June 2004          2004
                                              £'000          £'000         £'000
                                        (unaudited)    (unaudited)     (audited)


Turnover                                     36,977         24,067        60,382
Cost of sales                              (21,114)       (13,290)      (34,113)


Gross profit                                 15,863         10,777        26,269
Administration and distribution costs      (12,396)       (10,006)      (22,160)


Operating profit                              3,467            771         4,109


Net interest                                    193           (87)           (4)


Profit on ordinary activities                 3,660            684         4,105
Tax on profit on ordinary activities        (1,098)          (204)       (1,349)



Profit for the financial period               2,562            480         2,756

Dividends                                     (292)              -         (292)


Retained profit                               2,562            480         2,464

Basic profit per share                         8.8p           1.6p          9.4p
Diluted profit per share                       8.6p           1.6p          9.3p




There were no recognised gains or losses other than the profits of the six
months ended 30 June 2005






Consolidated Balance Sheets


                                                         30 June 2005           30 June 2004          31 December 2004
                                                                £'000                  £'000                     £'000
                                                          (Unaudited)            (Unaudited)                 (Audited)

Fixed assets

Tangible assets                                                 7,784                  8,387                     7,908

Current assets

Stocks                                                          6,051                  4,470                     3,829
Debtors: amounts falling
      due within one year                                       1,184                  1,253                     1,354
Debtors: amounts falling
      due after more than one year                                  -                  1,394                         -
Current asset investment - Treasury Deposit                    10,000                      -                         -
Cash                                                            7,078                  9,324                    14,517
                                                               24,313                 16,441                    19,700

Creditors: amounts falling due within one year               (16,454)               (12,731)                  (13,941)

Net current assets                                              7,859                  3,710                     5,759

Total assets less current liabilities                          15,643                 12,097                    13,667

Creditors: amounts falling due after more than
one year                                                      (3,038)                (3,797)                   (3,367)

Provisions for liabilities and charges                          (773)                  (799)                     (794)

Net assets                                                     11,832                  7,501                     9,506



Capital and reserves


Called up share capital                                           883                    881                       882
Share premium account                                             139                     64                        84
Special reserve                                                     -                  5,709                         -
Profit and loss account                                        10,810                    847                     8,540

Shareholders' funds                                            11,832                  7,501                     9,506





Consolidated Cash Flow Statements

                                                        Six months to            Six months to                  Year to 
                                                         30 June 2005             30 June 2004         31 December 2004
                                                                £'000                    £'000                    £'000
                                                          (Unaudited)              (Unaudited)                (Audited)

Net cash inflow from operating activities                       3,495                    3,394                    9,225

Returns on investments and servicing of finance

Interest received                                                 245                       81                      236
Interest paid                                                    (22)                    (103)                    (103)
Finance lease interest paid                                      (30)                     (65)                    (137)

Net cash inflow/(outflow) from returns on
investments and servicing of finance                              193                     (87)                      (4)

Capital expenditure

Purchase of tangible fixed assets                               (372)                    (132)                    (231)

Net cash outflow from capital expenditure                       (372)                    (132)                    (231)

Financing

New finance lease                                                   -                      119                        -
Issue of shares                                                    56                        -                       21
Receipts from borrowings                                            -                      212                      212
Repayment of borrowings                                         (169)                     (66)                    (235)
Capital element of finance lease payments                       (350)                    (463)                    (818)

Net cash outflow from financing                                 (463)                    (198)                    (820)


Equity Dividend Paid                                            (292)


Management of liquid resources


Purchase of short term deposits                              (10,000)                        -                        -

(Decrease)/Increase in cash                                   (7,439)                    2,977                    8,170



The Company generated £2.56 million (2004 £2.98 million) of cash during the six
month period to 30 June 2005. At the period end this is represented by cash of
£7.08 million (2004 £9.32 million) and short term treasury deposits of £10
million (2004 Nil). Short term treasury deposits are classified separately as
per Financial Reporting Standard 1.




Notes to the Interim Information
for the six months ended 30 June 2005



1.   Basis of preparation

The interim financial information has been prepared on the basis of the
accounting policies set out in the company's 2004 statutory financial
statements.

The financial information set out above does not constitute the company's
financial statements for the year ended 31 December 2004.  The statutory
financial statements for the year ended 31 December 2004 have been delivered to
the Registrar of Companies and the auditors' report on those financial
statements was unqualified and did not contain statements under Section 240 of
the Companies Act 1985.  The financial statements for the six months ended 30
June 2005 and 30 June 2004 are unaudited.

2.   Earnings per ordinary share

The calculation of the basic earnings per share is based on the profits
attributable to ordinary shareholders divided by the weighted average number of
shares in issue during the period.


                       Profits attributable to ordinary   Weighted average number of   Basic earnings per share amount
                                           shareholders                       shares                          in pence

  Six months ended 30
       June 2005                             £2,562,000                   29,276,043                              8.8p

  Six months ended 30
       June 2004                               £480,000                   29,200,570                              1.6p

  Year ended 31 December
         2004                                £2,756,000                   29,203,449                              9.4p



During the period ended 30 June 2005, options existed which had the dilutive
effect of increasing the weighted average number of shares by 667,103 to
29,943,146. The diluted profit per share for the period ended 30 June 2005 was
8.6p.

During the year ended 30 June 2004, options existed which had the dilutive
effect of increasing the weighted average number of shares by 428,847 to
29,629,417.  The diluted profit per share for the period ended 30 June 2003 was
1.6p.

During the period ended 31 December 2004 options existed which had the dilutive
effect of increasing the weighted average number of shares by 379,884 to
29,583,333.  The diluted profit per share for the year ended 31 December 2004
was 9.3p.


3.   Reconciliation of movements in shareholders funds


                                                             Six months to   Six months to    Year to 31
                                                              30 June 2005    30 June 2004 December 2004
                                                                     £'000           £'000         £'000

Profit in the period                                                 2,562             480         2,756
Dividends                                                            (292)               -         (292)
                                                                     2,270             480         2,464
Issue of shares in the period                                           56               -            21
Net increase in shareholders' funds                                  2,326             480         2,485
Shareholders' funds at start of period                               9,506           7,021         7,021
Shareholders' funds at end of period                                11,832           7,501         9,506



4.   Net cash inflow from operating activities


                                                              Six months to    Six months to    Year to 31
                                                                    30 June          30 June      December
                                                                       2005             2004          2004
                                                                      £'000            £'000         £'000

Operating profit                                                      3,467              771         4,109
Depreciation                                                            496              627         1,326
(Increase)/decrease in stocks                                       (2,222)            (170)           581
(Increase)/decrease in debtors                                        (108)              (4)            43
Increase in creditors                                                 1,862            2,170         3,166
Net cash inflow from operating activities                             3,495            3,394         9,225



5.   Reconciliation of net cash flow to movement in net funds


                                                          Six months to 30   Six months to    Year to 31
                                                                 June 2005    30 June 2004 December 2004
                                                                     £'000           £'000         £'000

(Decrease)/Increase in cash in the period                          (7,439)           2,977         8,170
Cash outflow/(inflow) from financing                                   169           (146)            23
Cash outflow from finance leases                                       350             463           818
Cash outflow from Treasury Deposits                                 10,000               -             -
Change in net funds resulting from cash flows                        3,080           3,294         9,011
Inception of finance leases                                              -           (119)         (119)
Movement in net funds in the period                                  3,080           3,175         8,892
Net funds at start of period                                        10,324           1,432         1,432
Net funds at end of period                                          13,404           4,607        10,324



6.   Analysis of changes in net funds


                                                              At 1 January          Cash    At 30 June
                                                                      2005          flow          2005
                                                                     £'000         £'000         £'000

Cash in hand and at bank                                            14,517       (7,439)         7,078
Debt                                                               (3,218)           169       (3,049)
Finance leases                                                       (975)           350         (625)
Treasury Deposits                                                        -        10,000        10,000
                                                                    10,324         3,080        13,404



7.   Distribution

This statement will be sent to all shareholders and can be obtained from the
company's registered office: Ideal Home House, Newark Road, Peterborough PE1
5WG.





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            The company news service from the London Stock Exchange