Final Results 31 Dec 2005

McInerney Holdings PLC
23 February 2006


Thursday, 23rd February 2006


               McINERNEY HOLDINGS PLC PRELIMINARY ANNOUNCEMENT

            Financial Results for the Year ended 31 December 2005


The McInerney Group achieved solid growth in the year to end December 2005.

Key highlights include:

  • Pre tax profits increased by 26%
  • Earnings per share increased by 16%
  • Dividend increased by 33%
  • UK unit output increased by 32%


Financial Highlights

The year under review has shown further solid progress. The Directors are
pleased to report an increase in basic earnings per share of 16% to 124.01 cent,
as compared to 106.50 cent in 2004. Pre-tax profits increased by 26% to €50.06m
compared to the 2004 result of €39.59m.  Profit after tax for the year was
€41.10m compared with €35.03m for the full year in 2004, an increase of 17%.


Dividend

The Board proposes to pay a final dividend of 15 cent gross per share. Subject
to confirmation at the Annual General Meeting on 10th May 2006, this final
dividend will be paid to shareholders on 12th May 2006. Combined with the
interim dividend of 9 cent gross, this provides a total of 24 cent per share for
the year.  The dividend cover is now circa 5 times relative to basic earnings
per share.


Operational Highlights

Favourable performances were reported across the Group's three core regions of
Ireland, the UK and Spain. The Group completed a total of 1,831 private homes in
2005.  This compares to 1,614 in 2004 and is an increase of 13%.  In particular,
the UK's operations recorded a 32% volume increase in a market that was
generally slow in 2005. This leaves us operationally well positioned for 2006. 
In Ireland, the owner-occupier market continued to demonstrate strong product
demand.  Volume in our commercial business was 15,339 sq m an increase of 85% on
the 8,289 sq m achieved in 2004.

The Directors are particularly pleased with the significant momentum that has
been achieved in the scale of the Group's operations in terms of geographic
spread and output since our ambitious expansion plans began a number of years
ago.  From a start up in 1999, the Group has established a strong regional
presence across the North of England.

Ireland:  The Irish house building operation delivered strong volumes.  There
were 1,138 private home completions in 2005, compared to 1,101 in 2004. Market
indications, demographics and predicted inward migration all suggest that the
current buoyancy of the housing market is set to continue. The Group is
comfortable that the level of output from this business will be sustained going
forward. To support this level of output, the Group currently has 4,700 plots in
its Irish land bank, of which 50% have planning permission and the balance are
residentially zoned.  In addition, the Group holds land with potential for circa
1,600 longer term plots.

The Group's commercial division, Hillview Securities, recorded an excellent year
in 2005 completing 14,217 sq m of industrial units in Ireland as compared to
4,666 sq m in 2004.

In addition, the Irish contracting business demonstrated strong uplift in 2005.
The order book on hand is €129 million compared to €23 million a year ago
providing an order book extending into 2007.  Some 66% of this is housing
related.

UK: Significant progress was accomplished in the Group's UK growth plan in 2005.
Housing output increased by 32% with 658 private home completions in 2005,
compared with 500 in 2004.

In addition, strategic regional expansions were undertaken. The Yorkshire base,
established in 2005, will contribute to 2006 earnings with output planned of
some 90 units.  A West Midlands Director was appointed at the start of 2006, as
part of the Group's strategy for further growth in 2007.

In tandem, progressive land bank enlargement has taken place with 2,350 plots
now controlled and a further 450 plots close to finalisation.

The Group now has a strong presence across the North of England and a growth
strategy is being put in place to develop a presence in the Midlands.  The
acquisition of Augusta Developments, a niche player based in Milton Keynes,
opens up the opportunity for further expansion and product diversification.  The
division is well placed to achieve further growth going forward.

The commercial operations also delivered a solid performance with the completion
of 1,122 sq m of industrial/business units in its UK operations compared to
3,623 sq m in 2004.   Based on reservations on hand, output levels should rise
significantly in 2006.

Spain:  The Spanish business delivered 35 units in 2005 compared to 13 units in
2004. A new site with planning consent at El Cortesin golf urbanisation near
Estepona, was recently secured.  It has planning consent for up to 45 private
units. The Spanish business has a significant and valuable land bank to provide
strong growth potential in the medium term.


Outlook

The fundamentals and dynamics affecting both the Irish and UK housing markets
offer good potential for the Group. Each subsidiary is strategically positioned
geographically, with an appropriate product portfolio to provide continued
revenue growth going forward.

We expect our focused strategy to continue to deliver growth in 2006.


Ned Sullivan
Chairman


                                     ENDS

FOR PRESS INFORMATION:

Siobhan Molloy                            Tel: [phone] or (086) 817 50 66
Weber Shandwick FCC




 MC INERNEY HOLDINGS PLC
 CONSOLIDATED INCOME STATEMENT
 For the year ended 31 December 2005


                                                    Year ended                              Year ended
                                                    31/12/2005                              31/12/2004
                                                       €'000                                   €'000
                                                                                            (Restated)
    Continuing Operations
    Revenue                                             489,098                               373,359
    Cost of Sales                                      (394,478)                             (302,272)
    Gross Profit                                         94,620                                71,087

    Administrative Expenses                             (33,458)                              (28,437)
    Share of Results from Joint Ventures                    (21)                                5,754

    Profit from Operations                               61,141                                48,404

    Investment Income                                       421                                   437
    Finance Costs                                       (11,502)                               (9,253)

    Profit before Tax                                    50,060                                39,588
    Tax                                                  (8,963)                               (4,560)
    Profit for the Year from Continuing Operations       41,097                                35,028
    Dividends                                            (6,629)                               (4,273)
    Retained Profit for the Year                         34,468                                30,755

    Profit attributable to Equity Holders of the         41,097                                35,028
   Parent


    Earnings Per Share

    From Continuing Operations:
    Basic                                                124.01                                106.50
    Diluted                                              118.66                                101.55





 MC INERNEY HOLDINGS PLC
 CONSOLIDATED BALANCE SHEET
 As at 31 December 2005


                                                    31/12/2005                               31/12/2004
                                                       €'000                                    €'000
                                                                                             (Restated)
    Non-Current Assets
    Goodwill                                              22,390                                  21,744
    Property, Plant & Equipment                            6,188                                   6,241
    Investment Property                                      183                                   5,509
    Interests in Joint Ventures                            4,660                                   6,854
    Deferred Tax Assets                                      318                                   1,170
    Assets Classified as held for Sale                     2,750                                       -
                                                          36,489                                  41,518

    Current Assets
    Inventories                                          333,241                                 266,058
    Trade & Other Receivables                             52,044                                  44,118
    Cash & Cash Equivalents                               62,056                                  26,670
                                                         447,341                                 336,846

    Total Assets                                         483,830                                 378,364


    Current Liabilities
    Trade & Other Payables                               131,633                                 127,872
    Retirement Benefit Obligation                            422                                     421
    Tax Liabilities                                       15,795                                   9,116
    Obligations under Finance Leases                         395                                     316
    Bank Loans & Overdrafts                              106,058                                  58,433
                                                         254,303                                 196,158

    Net Current Assets                                   193,038                                 140,688

    Non-Current Liabilities
    Bank Loans                                            66,990                                  57,043
    Retirement Benefit Obligation                          1,358                                   1,676
    Deferred Tax Liabilities                               2,303                                   2,284
    Other Payables                                         3,649                                   1,814
    Obligations under Finance Leases                         412                                     408
                                                          74,712                                  63,225

    Total Liabilities                                    329,015                                 259,383

    Net Assets                                           154,815                                 118,981


    EQUITY
    Share Capital                                          4,145                                   4,140
    Capital Conversion Reserve Fund                           62                                      62
    Share Premium Account                                 17,180                                  17,113
    Equity Reserve                                           674                                     298
    Hedging & Translation Reserves                        (1,524)                                 (2,269)
    Retained Earnings                                    134,278                                  99,637

                                                         154,815                                 118,981

    Total Equity and Liabilities                         483,830                                 378,364


 MC INERNEY HOLDINGS PLC
 CONSOLIDATED CASH FLOW STATEMENT
 For the year ended 31 December 2005


                                                    Year ended                               Year ended
                                                    31/12/2005                               31/12/2004
                                                       €'000                                    €'000
                                                                                             (Restated)

    Profit from Operations                               61,141                                  48,404

    Adjustments for:
      Depreciation of Property, Plant & Equipment         1,952                                   2,411
      Share of Results from Joint Ventures                   21                                  (5,754)
      Provision for Fair Value of Share Based               376                                     298
   Payments
      Profit on disposal of Tangible Assets                 (48)                                   (205)
      Pension Service Costs                                 281                                     468

    Operating Cash Flows before movements in             63,723                                  45,622
   Working Capital

      Increase in Inventories                           (63,267)                                (30,320)
      Increase in Receivables                            (3,233)                                 (9,843)
      Increase in Payables                                9,752                                  16,400

    Cash Generated by Operations                          6,975                                  21,859

    Taxation Paid                                        (7,625)                                 (4,536)
    Interest Paid                                       (10,747)                                 (7,643)

    NET CASH FROM OPERATING ACTIVITIES                  (11,397)                                  9,680

    INVESTING ACTIVITIES
    Interest Received                                       134                                     325
    Dividends Received from Joint Ventures                2,000                                   1,900
    Loans advanced to Joint Ventures                     (9,270)                                 (9,202)
    Loans repaid from Joint Ventures                      5,267                                   1,078
    Proceeds on disposal of Property, Plant &               195                                     410
   Equipment
    Purchases of Property, Plant & Equipment             (1,735)                                 (1,773)
    Employer Contributions to Pension Scheme               (421)                                   (438)
    Acquisition of Subsidiary                                 -                                 (10,952)

    NET CASH USED IN INVESTING ACTIVITIES                (3,830)                                (18,652)

    FINANCING ACTIVITIES
    Dividends Paid                                       (6,629)                                 (4,273)
    Share Capital Subscribed                                 72                                     504
    Repayments of Borrowings                            (80,183)                                (26,884)
    Repayments of Obligations under Finance Leases         (460)                                   (360)
    New Bank Loans Raised                               135,894                                  41,047
    Increase / (Decrease) in Bank Overdrafts                258                                  (1,057)

    NET CASH FROM FINANCING ACTIVITIES                   48,952                                   8,977

    NET INCREASE IN CASH AND CASH EQUIVALENTS            33,725                                       5

    CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR       26,670                                  26,435

    Effect of Foreign Exchange Rate Changes               1,661                                     230


    CASH AND CASH EQUIVALENTS AT END OF YEAR
    Bank Balances and Cash                               62,056                                  26,670


 MC INERNEY HOLDINGS PLC
 NOTES TO THE FINANCIAL STATEMENTS (CONT'D)
 For the year ended 31 December 2005


 Business and geographical segments

The Group operates in three countries, Ireland, the UK and Spain. The principal
activities of the Group are Private Housing, Contracting, Commercial and
Leisure. The Leisure activities are divided into Club Management and Freehold
sales.  Land sales are also a part of each business segment. These divisions
are the basis on which the Group reports its primary segment information.


    REVENUE                                        31/12/2005                               31/12/2004
                                        External                    Total        External   Inter-Segment    Total
                                                   Inter-Segment
                                         Sales         Sales       Revenue        Sales         Sales       Revenue
                                         €'000         €'000        €'000         €'000         €'000        €'000
    Ireland:
    Private Housing                      244,575            -      244,575       223,975         -            223,975
    Developed Sites & Land                 1,951            -        1,951         4,889         -              4,889
    Construction Contracts                47,293       16,615       63,908        23,898         -             23,898
    Commercial                            21,134            -       21,134         5,694         -              5,694
    Commercial Land                        2,667            -        2,667         7,916         -              7,916
                                         317,620       16,615      334,235       266,372         -            266,372
    UK:
    Private Housing                      123,087            -      123,087        85,257         -             85,257
    Developed Sites & Land                13,543            -       13,543             -         -                  -
    Construction Contracts                17,596          952       18,548        16,958         -             16,958
    Commercial                             2,026            -        2,026         7,350         -              7,350
                                         156,252          952      157,204       109,565         -            109,565
    Spain:
    Club Management                        3,461            -        3,461         3,618         -              3,618
    Leisure Freehold                      12,446            -       12,446         6,412         -              6,412
    Developed Sites & Land                   751            -          751         2,840         -              2,840
                                          16,658            -       16,658        12,870         -             12,870
    Eliminations                          (1,432)     (17,567)     (18,999)      (15,448)        -            (15,448)
    Total Revenue                        489,098            -      489,098       373,359         -            373,359

Inter-segment sales are tendered for on an arm's length basis to ensure cost 
efficiencies. The contract sum is agreed at cost plus a commercial margin.





    SEGMENT RESULTS                                 31/12/2005                               31/12/2004
                                          Group         Joint        Total          Group        Joint        Total
                                      Subsidiaries     Ventures     Segment     Subsidiaries    Ventures     Segment
                                          €'000         €'000        €'000          €'000        €'000        €'000
    Ireland:
    Private Housing                         37,686         (21)         37,665        25,785         3,701     29,486
    Developed Sites & Land                     749           -             749           921             -        921
    Construction Contracts                   1,564           -           1,564         3,406             -      3,406
    Commercial                               4,572           -           4,572         1,200         2,053      3,253
    Commercial Land                            275           -             275         1,081             -      1,081
                                            44,846         (21)         44,825        32,393         5,754     38,147
    UK:
    Private Housing                         12,447           -          12,447        12,176             -     12,176
    Developed Sites & Land                   4,135           -           4,135             -             -          -
    Construction Contracts                     361           -             361           125             -        125
    Commercial                                 153           -             153           377             -        377
                                            17,096           -          17,096        12,678             -     12,678
    Spain:
    Club Management                          1,295           -           1,295           823             -        823
    Leisure Freehold                         3,500           -           3,500           267             -        267
    Developed Sites & Land                     260           -             260         1,218             -      1,218
                                             5,055           -           5,055         2,308             -      2,308
    Total Segment Results                   66,997         (21)         66,976        47,379         5,754     53,133

    A summary of the above results by activity is as follows:

    Private Housing                         50,133         (21)         50,112        37,961         3,701     41,662
    Developed Sites & Land                   5,419           -           5,419         3,220             -      3,220
    Construction Contracts                   1,925           -           1,925         3,531             -      3,531
    Commercial                               4,725           -           4,725         1,577         2,053      3,630
    Club Management                          1,295           -           1,295           823             -        823
                                                   
    Leisure Freehold                         3,500           -           3,500           267             -        267
                                                   
    Total Segment Results                   66,997         (21)         66,976        47,379         5,754     53,133

    Common Costs                                                        (5,835)                                (4,729)
    Profit from Operations                                              61,141                                 48,404
    Investment Income                                                      421                                    437
    Finance Costs                                                      (11,502)                                (9,253)
    Profit Before Tax                                                   50,060                                 39,588
    Tax                                                                 (8,963)                                (4,560)
    Profit After Tax                                                    41,097                                 35,028





    BALANCE SHEET                                   31/12/2005                               31/12/2004
                                          Assets     Liabilities     Nett         Assets     Liabilities     Nett
                                                                    Assets                                  Assets
                                          €'000         €'000        €'000         €'000        €'000        €'000
    Ireland:
    Private Housing                       173,004       (89,689)     83,315        148,153        (79,222)     68,931
    Commercial                              9,397          (857)      8,540         18,038         (1,165)     16,873
                                          182,401       (90,546)     91,855        166,191        (80,387)     85,804
    UK:
    Private Housing                       161,287       (32,071)    129,216        110,279        (26,348)     83,931
    Commercial                             24,899          (523)     24,376         10,245           (744)      9,501
                                          186,186       (32,594)    153,592        120,524        (27,092)     93,432
    Spain:
    Club Management                         8,741        (4,022)      4,719         19,581         (4,453)     15,128
    Leisure Freehold                       43,045       (19,112)     23,933         43,675        (27,230)     16,445
                                           51,786       (23,134)     28,652         63,256        (31,683)     31,573
    Total Operating Assets /              420,373      (146,274)    274,099        349,971       (139,162)    210,809
   (Liabilities)

    Total Cash / (Bank Borrowings)         62,056      (173,048)   (110,992)        26,670       (115,476)    (88,806)

    Unallocated Assets /                    1,401        (9,693)     (8,292)         1,723         (4,745)     (3,022)
   (Liabilities)
                                          483,830      (329,015)    154,815        378,364       (259,383)    118,981
                                                               


These preliminary results do not constitute statutory accounts. The Auditors
have reviewed the financial information set out on pages 3 to 8 for the year
ended 31 December 2005 as part of their year end audit process and have agreed
the information as presented. The 2005 financial results have been prepared in
accordance with the Group's accounting policies under International Financial
Reporting Standards (IFRS). The comparative figures for 2004 have been restated
to reflect the Group's adoption of IFRS.


This announcement has been issued through the Companies Announcement Service of
                            The Irish Stock Exchange


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