Interim Results

Northern Venture Trust PLC
22 May 2002


22 MAY 2002

NORTHERN VENTURE TRUST PLC

UNAUDITED INTERIM RESULTS
FOR THE SIX MONTHS ENDED 31 MARCH 2002



Northern Venture Trust PLC is a Venture Capital Trust (VCT) managed by Northern
Venture Managers.  The trust was one of the first VCTs launched on the London
Stock Exchange and has to date raised a total of £43 million from private
investors.  It invests mainly in unquoted venture capital situations and aims to
provide high long-term returns to shareholders through a combination of dividend
yield and capital growth.



Financial highlights (comparative figures as at 31 March 2001 in brackets):

•      Net assets                    £38,511,000       (£44,382,000)

•      Net asset value per share            93.9p           (109.0p)

•      Investment income                £659,000          (£878,000)

•      Profit before tax                £423,000          (£143,000)

•      Earnings per share                    1.0p             (0.4p)

•      Interim dividend per share            1.0p             (2.5p)



For further information, please contact:



Michael Denny, Chairman
Alastair Conn, Managing Director
Northern Venture Managers                       0191 244 6000


Lucy Copeman/Marlene Scott
Polhill Communications                          020 7655 0540


NORTHERN VENTURE TRUST PLC

CHAIRMAN'S STATEMENT



The Chairman of Northern Venture Trust PLC, Professor Sir Frederick Holliday
CBE, included the following points in his statement to shareholders:


The half year to March 2002 has seen the continuation of difficult conditions in
the stock markets and the UK economy.  Technology companies in particular have
faced a slowdown in revenues, with customers deferring or cancelling planned
expenditures.  Against this background our company has achieved a modest
increase in net asset value per share and has maintained the interim revenue
dividend at the same level as last year.  Although there have been few
opportunities to achieve investment realisations on acceptable terms, we have
added a number of promising new companies to the portfolio and have again felt
the benefit of holding a range of investments encompassing different industry
sectors and stages of maturity.



Balance sheet

The net asset value per share as at 31 March 2002 was 93.9p, after providing for
the proposed interim dividend of 1.0p per share.  This represents an increase of
3.2% over the past six months but a fall of 13.9% from the level of 12 months
ago, when we had not yet felt the full effect of the downturn in the quoted
technology sector.  The following table shows the movements in net asset value
and share price compared with the relevant stock market indices.


                                 Movement to 31 March 2002 over:         Last 6 months        Last 12 months
Northern Venture Trust PLC net asset value                                       +3.2%                -13.9%
Northern Venture Trust PLC share price                                       No change                -15.8%
FT-SE All-Share index                                                            +9.3%                 -5.7%
FT-SE Small Cap index (excl investment trusts)                                  +18.3%                -11.6%
FT-SE TechMARK index                                                             -5.5%                -32.3%



Earnings and dividend

Total earnings per share in the half year were 1.0p, compared with 0.4p in the
corresponding period to 31 March 2001 and a loss of 4.9p in the year to 30
September 2001.  As before, the fluctuations are due mainly to the fact that
realised gains (net of any previously unrealised revaluation adjustments) are
included in the earnings figures under the accounting rules which we are obliged
to follow now that our company is no longer an 'investment company' as defined
by the Companies Act 1985.



An interim revenue dividend of 1.0p per share, the same as last year, will be
paid on 6 June 2002 to shareholders on the register on 31 May 2002.  Last year
we were also able to declare an interim capital dividend of 1.5p out of gains
realised on investment sales, but so far this year market conditions have not
been conducive to disposals.  Your board continues to give high priority to the
generation of gains from the portfolio for distribution to shareholders and our
managers are continually on the look-out for suitable exit opportunities.



Investments

During the half year six new venture capital investments totalling £2.7 million
were completed.  A further £0.8 million was invested in new financing rounds for
existing portfolio companies.  The new investments were:



•    Stainton Metal Company (£250,000) - manufacturer of metal lamp
     posts and lighting columns, Stockton-on-Tees

•    John Fredericks Plastics (£782,000) - manufacturer of uPVC
     windows, doors and conservatories, Huddersfield

•    WM Engineering (£330,000) - asset and plant management support
     services, Manchester

•    West's Engineering Design (£495,000) - project management and
     engineering design for process industries, Darlington

•    IRIS Technology (£165,000) - remote telemetry data transmission
     systems, Aberdeen

•    Keith Prowse (£500,000) - provider of corporate hospitality
     services, London

Although opportunities for exiting from portfolio investments have been limited,
the flow of new opportunities has continued to be healthy.  In order to avoid
being unduly constricted in the acquisition of new holdings, we have arranged a
£2 million unsecured bank overdraft facility with Bank of Scotland and will use
this to help us balance the flows of cash to and from the unquoted portfolio.



The prevailing market conditions have inevitably affected the progress made by
our investee companies.  One company, Avel Lindberg, went into receivership
during the half year, although full provision for the loss had already been made
in last year's accounts.  A number of businesses in the information technology
sector have suffered delays in sales growth and we have written valuations down
where appropriate.  However there have been encouraging results from other
sectors and among our larger investments CGI International and T J Brent have
done particularly well.  In the quoted venture capital portfolio Alizyme,
BioFocus and IndigoVision Group all achieved an improvement in share price from
the depressed levels of September 2001.



Share price

The company's own mid-market share price remained steady at 80p throughout the
half year but has subsequently fallen to 65p, a discount of approximately 30% to
the current net asset value.  During the period a total of 224,500 shares were
purchased for cancellation at prices between 75p and 80p, and we are ready to
make further use of our buy-back powers with a view to keeping the discount
within acceptable parameters in future.  The recent weakness in the share price
may be partly due to the fact that the company is not allowed to purchase its
own shares during the 'close period' between the balance sheet date and the
announcement of results.



VCT qualifying status

Your board and its advisers continue to monitor carefully the company's
compliance with the VCT qualifying investment conditions laid down by the Inland
Revenue and we are satisfied that the company continues to meet the relevant
requirements.



Prospects

There are some signs that the UK economy is beginning to recover from the global
economic downturn of 2000 and 2001.  The outlook for inflation and interest
rates appears to be stable, and exports should pick up if the expected
improvement in world trade activity occurs.  These factors will have a direct or
indirect bearing on the performance of many of our investments, and we are
therefore cautiously optimistic about our company's prospects for the next 12
months.



The unaudited interim financial statements for the six months ended 31 March
2002 are set out below.


PROFIT AND LOSS ACCOUNT
for the six months ended 31 March 2002
                                            Six months ended 31 March 2002      Six months ended 31 March 2001
                                          Revenue     Capital    Total       Revenue    Capital    Total
                                          £000        £000       £000        £000       £000       £000
Net profit on realisation
  of investments                          -           (59)       (59)        -          2,992      2,992
Revaluation (gains)/losses previously
  recognised                              -           375        375         -          (2,949)    (2,949)
                                          ------      ------     ------      ------     ------     ------
Profits on realisation of investments
  recognised in the period                -           316        316         -          43         43
Income                                    659         -          659         878        -          878
Investment management fee                 (110)       (330)      (440)       (254)      (381)      (635)
Other expenses                            (112)       -          (112)       (143)      -          (143)
                                          ------      ------     ------      ------     ------     ------
Profit/(loss) on ordinary activities
  before tax                              437         (14)       423         481        (338)      143
Tax on profit/(loss) on
  ordinary activities                     (77)        77         -           (105)      115        10
                                          ------      ------     ------      ------     ------     ------
Profit/(loss) on ordinary activities
  after tax                               360         63         423         376        (223)      153
Dividends                                 (410)       -          (410)       (407)      (611)      (1,018)
                                          ------      ------     ------      ------     ------     ------
Retained profit/(loss) for the period     (50)        63         13          (31)       (834)      (865)
                                          ------      ------     ------      ------     ------     ------
Earnings/(loss) per share                        0.9p       0.1p        1.0p       0.9p     (0.5)p        0.4p
Dividend per share                               1.0p          -        1.0p       1.0p       1.5p        2.5p


                                                                                Year ended 30 September 2001
                                                                     Revenue       Capital       Total
                                                                     £000          £000          £000
Net profit on realisation
  of investments                                                     -             980           980
Revaluation (gains)/losses previously
  recognised                                                         -             (3,202)       (3,202)
                                                                     ------        ------        ------
Profits on realisation of investments
  recognised in the period                                           -             (2,222)       (2,222)
Income                                                               1,643         -             1,643
Investment management fee                                            (289)         (868)         (1,157)
Other expenses                                                       (249)         -             (249)
                                                                     ------        ------        ------
Profit/(loss) on ordinary activities
  before tax                                                         1,105         (3,090)       (1,985)
Tax on profit/(loss) on
  ordinary activities                                                (252)         227           (25)
                                                                     ------        ------        ------
Profit/(loss) on ordinary activities
  after tax                                                          853           (2,863)       (2,010)
Dividends                                                            (819)         (611)         (1,430)
                                                                     ------        ------        ------
Retained profit/(loss) for the period                                34            (3,474)       (3,440)
                                                                     ------        ------        ------
Earnings/(loss) per share                                                     2.1p        (7.0)p      (4.9)p
Dividend per share                                                            2.0p          1.5p        3.5p





STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES
for the six months ended 31 March 2002

                                      Six months ended 31 March 2002           Six months ended 31 March 2001
                                    Revenue     Capital     Total       Revenue      Capital      Total
                                    £000        £000        £000        £000         £000         £000
Profit/(loss) on ordinary
activities                          360         63          423         376          (223)        153
  after tax
Unrealised gains/(losses) on        -           1,154       1,154       -            (8,487)      (8,487)
  revaluation of investments        ------      ------      ------      ------       ------       ------
Total recognised gains/(losses)
  for the period                    360         1,217       1,577       376          (8,710)      (8,334)
                                    ------      ------      ------      ------       ------       ------


                                                                                Year ended 30 September 2001
                                                                        Revenue      Capital      Total
                                                                        £000         £000         £000
Profit/(loss) on ordinary activities
  after tax                                                             853          (2,863)      (2,010)
Unrealised gains/(losses) on
  revaluation of investments                                            -            (13,373)     (13,373)
                                                                        ------       ------       ------
Total recognised gains/(losses)
  for the period                                                        853          (16,236)     (15,383)
                                                                        ------       ------       ------



BALANCE SHEET
as at 31 March 2002

                                          31 March 2002   31 March 2001 30 September 2001
                                                   £000            £000              £000
Fixed asset investments:
Venture capital investments - unlisted       24,837         24,482            23,535
                            - listed          6,435          9,971             4,501
                                            -------        -------           -------
Total venture capital investments            31,272         34,453            28,036
Listed fixed-interest investments            2,952          5,296             2,985
Other listed investments                     4,426          2,597             3,283
                                             -------        -------           -------
Total fixed assets investments               38,650         42,346            34,304
Net current assets/(liabilities)             (139)          2,036             3,186
                                             -------        -------           -------
Net assets                                   38,511         44,382            37,490
                                             -------        -------           -------
Capital and reserves:
Called-up equity share capital               10,251         10,177            10,300
Share premium                                14,286         13,668            14,263
Capital redemption reserve                   195            78                139
Revaluation reserve                          (846)          2,764             (2,375)
Profit and loss account                      14,625         17,695            15,163
                                             -------        -------           -------
Total equity shareholders' funds             38,511         44,382            37,490
                                             -------        -------           -------
Net asset value per share                             93.9p            109.0p             91.0p



CASH FLOW STATEMENT
for the six months ended 31 March 2002
                                                  Six months ended          Six months ended                  Year ended
                                                     31 March 2002             31 March 2001           30 September 2001
                                                £000          £000         £000         £000          £000          £000
Operating activities:
Profit on ordinary activities
  before tax                                         423                        143                        (1,985)
Decrease in debtors                                  28                         194                        732
(Increase)/decrease in creditors                     (40)                       15                         (163)
(Profit)/loss on disposal
  of investments                                     (298)                      (43)                       2,222
                                                     ------                     ------                     ------
Net cash inflow from
  operating activities                               113                        309                        806
Taxation:
Corporation tax recovered                            25                         200                        408
Financial investment:
Purchase of investments               (5,411)                      (11,961)                  (15,107)
Sale/repayment of investments         2,517                        10,299                    14,336
                                      ------                       ------                    ------
Net cash outflow
  from financial investment                          (2,894)                    (1,662)                    (771)
Equity dividends paid                                (412)                      (2,871)                    (3,889)
                                                     ------                     ------                     ------
Net cash outflow before financing                    (3,168)                    (4,024)                    (3,446)
Financing:
Issue of ordinary shares              30                           -                         809
Share issue expenses                  -                            -                         (30)
Purchase of ordinary shares for
  cancellation                        (176)                        (310)                     (520)
                                      ------                       ------                    ------
Net cash (outflow)/inflow
  from financing                                     (146)                      (310)                      259
                                                     ------                     ------                     ------
Decrease in cash at bank                             (3,314)                    (4,334)                    (3,187)
                                                     ------                     ------                     ------
Analysis of movement in net funds:
                                                    1 October 2001                 Cash flow               31 March 2002
Cash at bank                                       3,299                        (2,757)                    542
Bank overdraft                                     -                            (557)                      (557)
                                                   ------                       ------                     ------
                                                   3,299                        (3,314)                    (15)
                                                   ------                       ------                     ------


INVESTMENT PORTFOLIO SUMMARY
as at 31 March 2002
                                                                       Valuation           % of net assets
                                                                            £000              by valuation
Fifteen largest venture capital investments:
CGI International                                                          2,658                       6.9
Alizyme*                                                                   2,107                       5.5
IndigoVision Group*                                                        1,610                       4.2
BioFocus**                                                                 1,528                       4.0
T J Brent                                                                  1,390                       3.6
Weldex (International) Offshore                                            1,137                       3.0
Tolwood                                                                    1,000                       2.6
TFB Group                                                                  1,000                       2.6
Alaric Systems                                                               978                       2.5
Cyclacel                                                                     904                       2.4
T&D Packaging                                                                900                       2.3
John Fredericks Plastics                                                     782                       2.0
Chorus Application Software                                                  735                       1.9
Prospect & Peachgate                                                         667                       1.7
Interlube Systems                                                            660                       1.7
                                                                         -------                    ------
                                                                          18,056                      46.9
Other venture capital investments                                         13,216                      34.3
                                                                         -------                    ------
Total venture capital investments                                         31,272                      81.2
Listed fixed interest investments                                          2,952                       7.7
Other listed investments                                                   4,426                      11.5
                                                                         -------                    ------
Total fixed asset investments                                             38,650                     100.4
Net current liabilities                                                    (139)                     (0.4)
                                                                         -------                    ------
Net assets                                                                38,511                     100.0
                                                                         -------                    ------
* Listed on London Stock Exchange
**Listed on Alternative Investment Market



The above summary of results for the six months ended 31 March 2002 does not
constitute statutory financial statements within the meaning of Section 240 of
the Companies Act 1985 and has not been delivered to the Registrar of Companies.

The proposed interim dividend for the year ending 30 September 2002 will be paid
on 6 June 2002 to shareholders on the register at the close of business on 31
May 2002.

A copy of the interim report is expected to be posted to shareholders on 31 May
2002 and will be available to the public at the registered office of the company
at Northumberland House, Princess Square, Newcastle upon Tyne NE1 8ER.

ENDS


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