Interim Results

Ross Group PLC
24 September 2003

Ross Group PLC



24 September 2003



INTERIM RESULTS

FOR THE SIX MONTHS ENDED 30 JUNE 2003



Chairman's statement



The result of the group for the six months ended 30 June 2003 was a loss of
£120,000 before tax (June 2002 loss £382,000). Whilst the management are
disappointed in not being able to record a profit the result does show an
improvement in the trading position.



The turnover for the group increased by £450,000 compared to the same period in
the preceding year. The figures also reflect the benefit from the tight control
of overheads. The successful raising of additional funds of £1,340,941 (net) by
way of an Open Offer in February 2003 to replace short term debt has resulted in
the strengthening of the financial position and a reduction in the amount of
interest payable. The Grande Group has replaced the existing short term inter
company debt by a long term inter company loan, as stated in the Open Offer
documentation.





Business review



The results demonstrate the benefit of the group's aggressive commercial policy
which produced an increase in sales orders for GEL Engineering during the later
part of 2002 and early 2003. To maintain this initiative the GEL sales team has
been supplemented by the addition of a Director of Business Development. Tadmod,
the distributor of battery chargers and electrical adaptors, has looked at
broadening its product range and effort has been directed at expanding the
business into growing and emerging markets.





Business Outlook



Top management are investigating the opportunities to increase the business
activities of the group which would secure a lasting return to profitability.
The engineering business is being moved forward with the proposed establishment
of a trading partnership to establish joint ventures for major contracts.





Dividend



No ordinary interim dividend is proposed considering the result for the first
half of the year (2002 - £Nil).



.

Board Changes

Trevor Wilkinson was appointed a Director on 9 July 2003 and Deputy Managing
Director on 12 August 2003. Alain Eman resigned as a Director and Deputy
Managing Director on 31 July 2003.





A C C  Ma

Chairman



24 September 2003







CONSOLIDATED PROFIT AND LOSS ACCOUNT






                                                                   6 Months      6 Months           Year
                                                                      Ended         Ended          Ended
                                                                   30  June      30  June    31 December
                                                                       2003          2002           2002
                                                                      £'000         £'000          £'000
Turnover
Continuing Operations                                                 1,663          1,213         2,449

Operating (Loss)/Profit
Continuing Operations                                                   (30)          (250)         (502)
Termination of Discontinued Activities                                    0                          (26)

Loss On Ordinary Activities Before Interest                             (30)           (250)        (528)

Net Interest Payable                                                    (90)           (132)        (280)

Loss On Ordinary Activities Before Taxation                            (120)           (382)        (808)

Taxation                                                                  0               0            0

Loss On Ordinary Activities After Taxation                             (120)           (382)        (808)

Retained Loss For The Period                                           (120)           (382)        (808)

Loss Per Share                                                        (0.07)p         (0.57)p       (1.21)p

Adjusted Loss Per Share                                               (0.07)p         (0.57)p       (1.17)p








    CONSOLIDATED BALANCE SHEET


                                                                       30 June     30 June     31 December
                                                                          2003        2002            2002
                                                                         £'000       £'000           £'000

Tangible Fixed Assets                                                     53           71              63

Stock                                                                    560          715             833
Debtors                                                                  577          674             274
Creditors                                                             (2,357)      (2,231)         (2,315)

Net Borrowings                                                        (1,335)      (2,551)         (2,601)

Net Liabilities                                                       (2,502)      (3,322)         (3,746)


Shareholder's Funds

Share Capital                                                         11,135       10,444          10,444
Share Premium Account                                                  2,512        1,647           1,647
Other Reserves                                                        15,214       15,410          15,406
Profit and Loss Account                                              (31,363)     (30,823)        (31,243)
                                                                      (2,502)      (3,322)         (3,746)





CONSOLIDATED CASH FLOW STATEMENT


                                                                     6 Months      6 Months           Year
                                                                        Ended         Ended          Ended
                                                                      30 June       30 June    31 December
                                                                         2003          2002           2002
                                                                        £'000         £'000          £'000
                                                                                                     

Net Cash Inflow/(outflow) From Operating Activities                        75          190             228

Servicing Of Finance

Interest Received                                                           0            0               2
Interest Paid                                                             (90)        (132)           (218)
Finance Lease Interest Paid                                                 0            0               0

                                                                          (15)        (132)           (216)

Taxation                                                                    0            0               0


Capital Expenditure And Financial Investment

Purchase Of Fixed Assets                                                    0           (4)             (7)
Sale Of Tangible Assets                                                     0            0               0

                                                                          (15)          (4)             (7)

Financing

Cash Inflow from Issue of Share Capital                                 1,364            0               0
Cash (Outflow) From Financing                                          (1,383)           0               0
Capital Element Of Finance Lease Rentals                                   (2)           0              (1)

Net Cash Flow From Financing                                              (21)           0              (1)


Increase In Cash Flow                                                     (36)          54               4





Notes to the accounts



(1)       The interim financial statements have been prepared on the basis of
the accounting policies set out in the audited statutory accounts for the year
ended 31 December 2002.
The financial information contained in these statements for the six months ended
30 June 2003 and 30 June 2002 is unaudited and does not constitute statutory
accounts as defined in section 240 of the Companies Act 1985.

(2)       An adjusted loss per share has been shown to highlight the effect of
excluding the loss on sale/termination of discontinued business from the
earnings per share calculation.

(3)       No ordinary interim dividend is proposed (2002-£nil).

(4)       Net Cash Inflow

Operating Loss On Continuing Activities                                    (30)         (250)         (502)

Depreciation And Loss On Revaluation                                         7            11            33

Decrease/(Increase) In Stocks                                              273           (85)         (203)
                                                                 
(Increase)/Decrease In Debtors                                            (217)           395          795

Increase In Creditors                                                       42            119          131
Net Cash Inflow/(Outflow) From Continued Operating                          75            190          254
Activities

Net Cash Inflow/(Outflow) In Respect Of                                      0              0          (26)
Discontinued Activities And Termination Costs                

Net Cash Inflow/(Outflow) From Operating                                     75           190          228
Activities



(5)       The comparative cash flow for the year ended 31 December 2002 has been
extracted from the audited accounts. The cash flows for the six months ended 30
June 2002 and 30 June 2003 are unaudited.

(6)       The Interim Report will be sent by mail to all registered shareholders
and copies will be available from the Company's head office at Ross Group PLC,
Brunel Road, Totton, Hampshire, SO40 3YS.

(7)       Statement Of Recognised Gains and Losses

Share premium Account - Brought Forward                                  1,647          1,647        1,647
                                                          
                        Movement                                           865              0            0          
                                                        
                        Carried Forward                                  2,512          1,647        1,647

Other Reserves - Brought Forward                                        15,406         15,412       15,412
               
                 (Depreciation)                                             (3)            (2)          (6)
                                                              
                 Open Offer Costs                                         (189)             0            0

                 Carried Forward                                        15,214         15,410       15,406



Ross Group PLC
Registered Office
35 Paul Street           Contact - Trevor Wilkinson,  Deputy Managing Director
London  EC2A 4UQ         Tel. No. - 02380 675500          Fax No. - 02380 675555






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