Interim Results

Interregnum PLC
31 March 2006

31st March 2006

Interregnum plc

Financial Results for the 6 months ended 31 December 2005

Interim results summary

  • Turnover - £6,592,000 (2004 - £3,349,000)

  • Operating loss on ordinary activities - £1,593,000 (2004 - £719,000)

  • Retained loss - £3,347,000 (2004 - £468,000)

  • Loss per share - 3.62p (2004 - 0.51p)

Significant events

  • £10million share placing

  • Major changes to the board of directors including new Chairman and Chief
    Executive

  • Acquisition of Quayside Corporate Services

The reported operating loss of £1,593,000 includes one off charges totalling
£1,704,000. These charges relate to provisions against doubtful debts, a
reduction in the carrying value of goodwill and certain provisions for
restructuring costs. These charges are as a result of material activity both at
the end of the reporting period and subsequent to it.

A further provision of £1,623,000 was made against the carrying value of the
portfolio, resulting in a retained loss of just over £3.3 million.

Interregnum Chairman, Colin Goodall said, 'Interregnum is a much changed
business over recent months. We now have a strong platform upon which to build
value for our shareholders based on our three areas of operation, business
turnaround, principal finance and corporate finance activities.'

Niall Doran, Interregnum Chief Executive said, 'Following my appointment to the
board in November 2005, a major review of the business was undertaken. This
resulted in major changes which have completely transformed the business of
Interregnum plc both operationally and financially. This will enable the company
to undertake a wider and more profitable spectrum of work.'

Ends

Enquiries

Interregnum plc                                     020 7494 3080
Niall Doran (Chief Executive)

Madano Partnership (PR to Interregnum)              020 7593 4000
Matthew Moth/Mark Way


Consolidated
profit and loss
account
Six months ended
31 December 2005
                  Note   Six months       
                              to 31
                           December
                               2005       Six months to 31 December 2004          Twelve months to 30 June 2005
                         Continuing     Continuing Discontinued       Total     Continuing Discontinued       Total
                        (unaudited)    (unaudited)  (unaudited) (unaudited)    (unaudited)  (unaudited)   (audited)
                               £000           £000         £000        £000           £000         £000        £000

Turnover             2        6,592          1,112        2,237       3,349          4,153        3,829       7,982

Cost of sales               (2,040)                       (756)       (756)        (1,090)      (1,201)     (2,292)

Gross profit                  4,552          1,112        1,481       2,593          3,063        2,627       5,690

Administrative              (6,197)        (1,946)      (1,419)     (3,365)        (4,787)      (2,564)     (7,352)
expenses
Other operating                  
income                           52             53                       53            108                      108

Operating loss              (1,593)          (781)           62       (719)        (1,617)           63     (1,554)

Profit on sale of                 
investment                        -                                       3                                       4
Provisions                  
released/(made)
against
investments in
period                      (1,623)                                     194                                   1,272
Amounts written                   
off investments                   -                                       -                                    (99)
Net Interest                   
receivable                     (64)                                       7                                    (58)

Loss on ordinary            
activities before
taxation                    (3,280)                                   (515)                                   (435)

Taxation                          -                                       -                                      30

Loss on ordinary            
activities after
taxation                    (3,280)                                   (515)                                   (405)

Minority interest              (67)                                      47                                      49

Retained loss for           
the period                  (3,347)                                   (468)                                   (356)

Loss per share -     3      (3.62p)                                 (0.51p)                                 (0.38p)
basic and diluted



Consolidated
statement of
total recognised
gains and losses
                         Six months                              Six months                              Year to 30
                              to 31                                   to 31                                    June
                           December                                December
                               2005                                    2004                                    2005
                        (unaudited)                             (unaudited)                               (audited)
                               £000                                    £000                                    £000

Profit/(loss) for           
financial period            (3,347)                                   (468)                                   (356)
Unrealised                        
surplus on
revaluation of
fixed asset
investments                       -                                      27                                     953
Write down of                 
previous
revaluation of
fixed asset
investments                   (212)                                       -                                   (257)
Unrealised profit               
on partial
disposal of
subsidary                       326
Temporary                         
diminution in
value of fixed
asset investments                 -                                       -                                   (360)

Total recognised            
losses for the
financial period            (3,233)                                   (441)                                    (20)


Consolidated
balance sheet
31 December 2005
                           As at 31                                As at 31                                As at 30
                           December                                December                               June 2005
                               2005                                    2004
                        (unaudited)                             (unaudited)                               (audited)
                               £000                                    £000                                    £000
Fixed assets
Intangible assets             1,989                                   1,628                                     863
Tangible assets                 510                                     334                                     618
Investments          4        3,757                                   2,957                                   5,648
                              6,256                                   4,919                                   7,129

Current assets
Stock                           178                                       -                                     161
Debtors              5        2,699                                   2,198                                   2,039
Cash at bank and                535                                   1,915                                     886
in hand
                              3,412                                   4,113                                   3,086

Creditors:           
Amounts falling
due in one year      6      (5,610)                                 (1,849)                                 (3,297)

Net current                 
liabilities                 (2,198)                                   2,264                                   (211)

Total assets less             
current
liabilities                   4,058                                   7,183                                   6,918

Creditors
Amounts falling
due after more
than one year
(including
convertible debt)              (688)                                 (1,549)                                   (825)

Provision for                                                             
revenue and
charges                                                                   -                                     (4)

Net assets                    3,370                                   5,634                                   6,089

Capital and
reserves
Called up share               
capital                       4,620                                   4,620                                   4,621
Share premium                19,430                                  19,430                                  19,430
Revaluation                     
reserve                         882                                     428                                     789
Merger reserve              (2,407)                                 (2,407)                                 (2,407)
Profit and loss            (19,501)                                (16,220)                                (16,159)
account

Equity                        
shareholders'
funds                         3,024                                   5,851                                   6,274

Minority                        
shareholders'
funds                           346                                   (217)                                   (185)

                              3,370                                   5,634                                   6,089


Consolidated cash
flow statement
Six months ended
31 December 2005
                  Note   Six months                              Six months                              Year to 30
                              to 31                                   to 31                                    June
                           December                                December
                               2005                                    2004                                    2005
                        (unaudited)                             (unaudited)                               (audited)
                               £000                                    £000                                    £000

Net cash flows       
from operating
activities           7        (265)                                   (534)                                 (1,087)

Returns on                       
investments and
servicing of
finance                          47                                      12                                     236

Taxation                          -                                       -                                      97

Capital                       
expenditure and
financial
investment                    (108)                                   (584)                                   (863)

Acquisition                    (72)                                       -                                   (472)

Cash outflow                  
before use of
liquid resources
and financing                 (398)                                 (1,106)                                 (2,089)

Financing                         -                                     139                                   (111)

Decrease in cash              (398)                                   (967)                                 (2,200)


Reconciliation of        Six months                              Six months                              Year to 30
net cash flow to              to 31                                   to 31                                    June
movement in net            December                                December
debt
                               2005                                    2004                                    2005
                        (unaudited)                             (unaudited)                               (audited)
                               £000                                    £000                                    £000

(Decrease)/                   
increase in cash
in the period                 (398)                                   (967)                                 (2,200)
Increase in debt                  
financing and
lease financing                   -                                   (127)                                     111
Loans and finance                 
leases acquired
with subsidiary                   -                                       -                                   (163)
Loan stock issued                 
on acquisition of
subsidiary                        -                                       -                                   (300)

Change in net                 
debt                          (398)                                 (1,094)                                 (2,552)

Net funds at 1              
July 2005                   (1,599)                                     953                                     953
Net funds at 31             
December 2005               (1,997)                                   (141)                                 (1,599)



Notes to the Interim financial statements
For the six months to 31 December 2005

1. Basis of preparation

The interim financial statements have been prepared on the basis of the accounting policies set out in the Group's
statutory accounts for the year ended 30 June 2005, and are unaudited. The interim financial statements do not
constitute statutory financial statements within the meaning of section 240 of the Companies Act 1985.
Comparative figures for the year ended 30 June 2005 are an abridged version of the Group's full accounts which
carry an unqualified audit report.

Going concern

A cash flow forecast has been prepared for the next 12 months which shows that the company is anticipated to remain
within its available cash resources and is able to settle its liabilities as they fall due. This forecast includes
the benefits of placing,   which is further explained in note 8. Accordingly, the accounts are prepared on a going
concern basis.

2. Turnover

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

United Kingdom                6,227                                   3,063                                   7,342
Other European                   
countries                        85                                      53                                      72
USA and Canada                  215                                     135                                     445
Other                            65                                      98                                     123

                              6,592                                   3,349                                   7,982


3. Loss per share

The calculation of basic earnings per share is calculated on a Group loss of £3,347,000 (6 months to 31 December
2004 loss of £468,000 and year to 30 June 2005 loss of £355,552) and a weighted average ordinary 5p shares in issue
during the period of 92,425,254 (6 months to 31 December 2004 92,425,254 and year to 30 June 2005 92,425,254).
Due to the loss of £3,347,000 (6 months to 31 December 2004 loss of £468,000 and 30 year to June 2005 loss of
£355,552) there is no further dilution of the earnings or the number of shares 92,425,254 (6 months to 31 December
2002 92,425,254 and  year to 30 June 2005 92,425,254)

4. Investments


1 July 2005                                                                                                   5,648
Additions                                                                                                        90
Disposals                                                                                                     (144)
Provided during                                                                                             
the period                                                                                                  (1,887)
Revaluation                                                                                                      50

31 December 2006                                                                                              3,757


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

Trade debtors                 2,150                                   1,353                                   1,443
Amounts                                                                   
recoverable on                  
contracts                       263                                       -                                      65
Others debtors                   27                                     595                                     315
                                 
Prepayments &                                                           
accrued income                  259                                     250                                     196

                              2,699                                   2,198                                   2,019
Due in more than                  
one year                          -                                       -                                      20

                              2,699                                   2,198                                   2,039


6. Creditors:
Amounts falling
due within one
year
                         Six months                              Six months                              Year to 30
                              to 31                                   to 31                                    June
                           December                                December
                               2005                                    2004                                    2005
                        (unaudited)                             (unaudited)                               (audited)
                               £000                                    £000                                    £000

Bank overdraft                  174                                       -                                     227
Short-term loans              1,525                                     400                                   1,433
Trade creditors               1,255                                     648                                     591
Corporation tax                  17                                       -                                      10
Other taxes and                 
social security
cost                            580                                     305                                     310
Other creditors                 453                                     305                                     337
Accruals and                  
deferred income               1,606                                     191                                     389

                              5,610                                   1,849                                   3,297



7. Cash flows
                         Six months                              Six months                              Year to 30
                              to 31                                   to 31                                    June
                           December                                December
                               2005                                    2004                                    2005
                        (unaudited)                             (unaudited)                               (audited)
                               £000                                    £000                                    £000
Reconciliation of
operating loss to
net cash flow
from operating
activities

Operating loss              (1,593)                                   (719)                                 (1,554)
Depreciation                    145                                     129                                     218
Amortisation of                 
intangible fixed
assets                          369                                      72                                     178
Movement in                   
stocks                        (233)                                       -                                     116
Movement in                   
debtors                       (228)                                      19                                   (448)
Movement in                   
creditors                     1,275                                    (35)                                     399
Loss on sale of                   
tangible fixed
assets                            0                                       0                                       4

Net cash flow                 
from operating
activities                    (265)                                   (534)                                 (1,087)


8. Post balance sheet events

On 21 February 2006 151,515,152 ordinary shares with an aggregate nominal value of £7,575,758 were issued at 6.6p
each as part of a placing. Also on 21 February 2006 90,909,091 ordinary shares with an aggregate nominal value of
£4,545,455 were issued at 6.6p each as the consideration for the acquisition of the issued share capital of
Quayside Corporate Services Limited.  The goodwill on acquisition is estimated to be £6m.   On 1 March 2006 the
company accepted an offer from a fund of Greenpark Capital to purchase the portfolio of investments for a
consideration of £5m prior to expenses. As this is considered to be indicative of the fair value of the portfolio
at 31 December 2005, the portfolio has been reflected at this value in these interim accounts. The transaction also
gives Interregnum potential deferred consideration in the form of a share in profits generated from the sale of the
companies in the future.   On 21 February the company received approval in general meeting to apply to the courts
for the share premium account to be reduced by £17,600,000.

Interim Statement

Copies of the Interim statement will be available to the public free of charge from the Company's registered
office:
22/23 Old Burlington St, London W1S 2JJ





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