Interim Results

James Halstead PLC
28 March 2001


28 March 2001
                              JAMES HALSTEAD plc

           INTERIM RESULTS FOR THE HALF-YEAR ENDED 31 DECEMBER 2000


                                 KEY FIGURES


James Halstead, manufacturer and international distributor of flooring:


*           Pre-tax profit up to £5.098 million

*           Net dividend per ordinary share up to 4.4p

*           Earnings per ordinary share up to 12.17p

*           Net assets per ordinary share up to 175.77p


Geoffrey Halstead, Chairman, said 'There are a number of new products coming
on stream in our flooring companies from which we will benefit given the
strength of our distribution network.   We remain focused on margin
improvement and the group looks forward to continued growth.'


Enquiries:          Mark Halstead, Chief Operating Officer
                    Gordon Oliver, Financial Director
Telephone:          [phone] on Wednesday, 28 March 2001



                                 INTERIM STATEMENT


Trading Results

It is pleasing to again report an increase in profits with pre-tax profit of £
5.1 million,  4.9% ahead of last year.  This growth has been achieved in
difficult market conditions, with the flooring companies performing
particularly well both in the UK and overseas.  We continue to see the
benefits of investment over the last few years.

Our small subsidiary Conway Products Limited suffered from a significant fire
on 4 November 2000 which prevented further production for the remainder of the
half-year.  Since 31 December 2000 this business has been disposed of.


Balance Sheet

Our balance sheet continues to strengthen.  Stock and debtor levels have
reduced despite an increase in sales, and consequently, our cash position
remains strong.


Earnings per share and dividend

The earnings per share growth of 9.4% partly reflects the effect of the
purchase by the company of its own shares during the previous financial year.

We are increasing the dividend by 8.6% to 4.4p per ordinary share.  This will
be paid on 31 May 2001 to shareholders on the register as at 6 April 2001.

Once again, we will offer to shareholders the opportunity of choosing to take
new fully paid ordinary shares in lieu of cash.


Board Changes

On 12 March 2001 Mr Anthony Wild was appointed a director of the Company.  Mr
Wild is a chartered accountant and prominent local businessman.  As senior
non-executive director, Mr Wild will chair the Audit and Remuneration
Committees of the Board.

I welcome his appointment to our Board and am confident that his experience
will add strength to the group.


Outlook

There are a number of new products coming on stream in our flooring companies
from which we will benefit given the strength of our distribution network.
We remain focused on margin improvement and the group looks forward to
continued growth.

G Halstead                                        28 March 2001
Chairman



                              JAMES HALSTEAD plc

                                INTERIM REPORT

                   FOR THE HALF-YEAR ENDED 31 DECEMBER 2000

                           PROFIT AND LOSS ACCOUNT


                                                   Half-year  Half-year    Year
                                                        ended     ended   ended
                                                     31.12.00  31.12.99 30.6.00
                                                        £'000     £'000   £'000

Turnover                                              45,288    44,057  92,821

Group profit on ordinary activities   (before
taxation)                                              5,098     4,862   9,946
                                                       
Taxation                                              (1,529)   (1,459) (3,033)
Group profit on ordinary activities (after
taxation)
                                                       3,569     3,403   6,913

Dividends:
Preference (5.5%) - non-equity                            (6)       (6)    (11)
Ordinary - equity                                     (1,314)   (1,263) (3,526)
Retained profit                                        2,249     2,134   3,376

Earnings per ordinary share of 10p:
- headline                                             12.17p    11.12p  22.75p
- basic and fully diluted                              11.93p    10.89p  22.26p
Net dividends per ordinary share                         4.4p     4.05p  11.75p
Net assets per ordinary share                         175.77p   165.88p 169.61p


                              JAMES HALSTEAD plc

                          CONSOLIDATED BALANCE SHEET

                            AS AT 31 DECEMBER 2000


                                                 Half-year    Half-year    Year
                                                      ended       ended   ended
                                                   31.12.00    31.12.99 30.6.00
                                                      £'000       £'000   £'000

Fixed assets
Tangible assets                                     23,868      21,706  22,950
Intangible assets                                    2,636       2,667   2,710
                                                    26,504      24,373  25,660
Current assets
Stocks                                              18,195       18,372 20,915

Debtors                                             17,954      16,528  20,055
Cash at bank and short-term deposits                 8,918      10,979   6,104
                                                     45,067     45,879  47,074
Creditors - amounts falling due within one year

                                                   (18,684)    (18,078) (21,674)
Net current assets                                  26,383      27,801  25,400
Total assets less current liabilities               52,887      52,174  51,060

Creditors - amounts falling due after more than
one year                                              (181)       (214)   (195)
                                                      
Provisions for liabilities and charges                   -         (11)      -
                                                    52,706      51,949  50,865
Capital and reserves
Equity share capital                                 2,987       3,120   2,987
Non-equity share capital                              200          200     200
Called up share capital                              3,187       3,320   3,187
Share premium account                                3,317       2,933   3,317
Revaluation reserve                                   3,670      3,670   3,670

Capital reserve                                        156           -     156
Profit and loss account                             42,376      42,026  40,535
                                                    52,706      51,949  50,865



                              JAMES HALSTEAD plc

                       CONSOLIDATED CASH FLOW STATEMENT

                   FOR THE HALF-YEAR ENDED 31 DECEMBER 2000


                                                    Half-year Half-year    Year
                                                        ended     ended   ended
                                                     31.12.00  31.12.99 30.6.00
                                                        £'000     £'000   £'000

Net cash inflow from operating activities              8,229     6,402  10,910
Returns on investments and servicing of finance           80       102     223
Taxation paid                                         (1,002)      (14) (3,566)
Capital expenditure                                   (2,208)   (1,284) (4,097)
Acquisitions and disposals                               187     1,437   1,665
Equity dividends paid                                 (2,300)   (2,223) (3,041)

Cash inflow before use of liquid resources and
financing
                                                       2,986     4,420   2,094
Management of liquid resources                          (181)   (8,288) (2,535)
Financing:
Purchase of own shares                                     -         -  (2,536)
Repayment of loans                                         -      (511)   (518)
Increase/(decrease) in cash                            2,805    (4,379) (3,495)

Reconciliation of net cash flow to movement in net
funds

Increase/(decrease) in cash                            2,805    (4,379) (3,495)
Cash flow from decrease in debt                            -       511     518
Cash flow from change in liquid resources                181     8,288   2,535

Change in net funds resulting from cash flows          2,986     4,420    (442)
Effect of exchange differences                          (172)      (41)    (54)

Movement in net funds for the period                   2,814     4,379    (496)
Net funds at 30 June 2000                              6,104     6,600   6,600
Net funds at 31 December 2000                          8,918    10,979   6,104




                STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES

                   FOR THE HALF-YEAR ENDED 31 DECEMBER 2000


                                                       Half-year Half-year  Year
                                                          ended    ended   ended
                                                       31.12.00 31.12.99 30.6.00
                                                          £'000    £'000  £'000

Profit for the financial period                          3,569    3,403  6,913
Currency translation differences on foreign currency
net investments                                           (408)    (222)  (419)

Total recognised gains relating to the financial
period                                                   3,161    3,181  6,494



              RECONCILIATION OF MOVEMENTS IN SHAREHOLDERS' FUNDS

                   FOR THE HALF-YEAR ENDED 31 DECEMBER 2000




                                                       Half-year Half-year  Year
                                                          ended    ended   ended
                                                       31.12.00 31.12.99 30.6.00
                                                          £'000    £'000  £'000

Profit for the financial period                          3,569    3,403  6,913
Dividends                                               (1,320)  (1,269) (3,537)
                                                         2,249    2,134  3,376
Other recognised gains and losses relating to the
financial period
                                                          (408)    (222)  (419)
Purchase of own shares                                       -        -  (2,536)
New share capital subscribed                                 -        -    407

Net increase in shareholders' funds for the financial
period                                                   1,841    1,912    828
                                                         
Opening shareholders' funds                             50,865   50,037  50,037

Closing shareholders' funds                             52,706   51,949  50,865

Equity shareholders' funds                              52,506   51,749  50,665

Non-equity shareholders' funds                             200      200    200
                                                        52,706   51,949  50,865



NOTES TO THE ACCOUNTS



1.    Basis of preparation

The interim results to 31 December 2000 and 31 December 1999 which are
unaudited have been prepared on the basis of accounting policies as set out in
the annual report and accounts for the year ended 30 June 2000.


2.    Taxation

Taxation has been provided at the rate of 30% (1999: 30%).



3.    Dividends

The interim dividend is payable on 31 May 2001 to those shareholders on the
register at the close of business on 6 April 2001.  The preference dividend,
which was paid on 31 December 2000, is in respect of 5.5% cumulative
preference shares.  The next preference dividend is payable on 30 June 2001 to
those preference shareholders on the register at the close of business on 4
June 2001.


4.         Calculation of earnings per ordinary share


                                                Half-year  Half-year       Year
                                                    ended      ended      ended
                                                 31.12.00   31.12.99    30.6.00
                                                    £'000      £'000      £'000

Profit on ordinary activities after taxation       3,569      3,403      6,913
Preference dividend                                   (6)        (6)       (11)

Basic earnings                                     3,563      3,397      6,902
Goodwill amortisation charge                          74         71        151
Headline earnings                                  3,637      3,468      7,053

Weighted average number of ordinary shares in
issue                                         29,872,443  31,196,149  30,999,695
                                              


Headline earnings per ordinary share               12.17p     11.12p     22.75p
Basic and fully diluted earnings per  ordinary
share                                              11.93p     10.89p     22.26p
                                                   


5.         Statutory accounts

The figures for the year ended 30 June 2000 are an abridged statement of the
group audited accounts for that year.  The audited accounts, containing an
unqualified audit report have been delivered to the registrar of companies.



6.         Copies of the interim results

Copies of the interim results have been sent to shareholders.  Further copies
can be obtained from the company's registered office, Beechfield, Hollinhurst
Road, Radcliffe, Manchester, M26 1JN.