Interim Results

ATA Group PLC
03 September 2003


                  ATA GROUP PLC ('ATA Group' or the 'Company')

            INTERIM RESULTS FOR THE SIX MONTH PERIOD TO 30 JUNE 2003


Highlights

   •Turnover £7.5m (2002: £6.2m) an increase of 21 per cent.
   •Profit before tax and before exceptional credit £0.45m (2002: £0.38m) an
    increase of 18 per cent.
   •Profit before tax including exceptional credit £0.50m (2002: £0.64m)
   •Earnings per share before exceptional credit 3.71p (2002: 3.28p) an
    increase of 13 per cent.
   •Dividend per share 2.1p (2002: 2.0p)
   •Positive cash generation of £0.4m since 31 December 2002



Bill Douie, Chairman commented:

'In spite of many comments that recovery has commenced, economic conditions
continue to create tough trading conditions, particularly in recruitment.
Nonetheless I am pleased to be able to report another year on year improvement
across the Group as a whole. Group turnover in the six months to 30 June 2003
increased 21% to £7.5m (2002 £6.2m). Profit before tax and before exceptional
credit rose 18% to £0.45m (2002 £0.38m).

ATA Group continues to demonstrate significant underlying strengths and
resilience during trying conditions. We have used the recent period to good
effect in continuing to improve efficiency and to make substantial investments
in IT and other infrastructure for the future.

To this end Andrew Bailey joined the Group Board on 24th April 2003 as
Commercial Director adding further top level skills and providing more time for
both the Chairman and Chief Executive to address Corporate Development matters.
'




Enquiries:

Bill Douie, Chairman

Clive Chapman, Chief Executive


ATA Group Plc

Head Office,

Telephone [phone]





CHAIRMAN'S STATEMENT

I am pleased to present the interim report of the Company for the six months to
30 June 2003.

Progress

In spite of many comments that economic recovery has commenced, made more in
hope than on the basis of hard evidence, there are no tangible signs that
activity in general is on an increasing trend. Nonetheless I am pleased to be
able to report another year on year improvement across the Group as a whole.

Trading

General

Economic conditions continue to create tough trading conditions, particularly in
recruitment. Nonetheless, Group turnover in the six months to 30 June 2003
increased 21% to £7.5m (2002 £6.2m). Profit before tax and before exceptional
credit rose 18% to £0.45m (2002 £0.38m). Taking into account the exceptional
credit relating to the disposal of the Fairbourne Hotel profit before tax was
£0.50m (2002 £0.64m including exceptional credit of £0.26m relating to
resolution of disputes over the rateable value of our Derby premises). EPS
excluding the exceptional credit rose 13% to 3.71p.

Recruitment

Recruitment turnover in the period was £3.09m (2002 £2.42m), a rise of 28%.
Operating results fell to a loss of (£0.106m) (2002 profit £0.02m)

During the period a fallback from the buoyant conditions enjoyed by Rail in 2002
occurred, offset by an improvement from Sales and Engineering Technology.
Nonetheless overall the Recruitment Division broadly maintained it's position,
prior to re-organisation costs at Ganymede, compared with the first half of
2002.

The re-organisation of Ganymede Tracklayers Limited, acquired for £1 in October
2002, is largely complete and historic concerns over liabilities to HM Customs
and Excise and to the Inland Revenue are now fully agreed and resolved. Trading
in this formative period has been difficult and has not been helped by the
decision by Network Rail to form it's own Infrastructure Maintenance Company and
to replace the incumbent supplier with whom the Company has a good trading
relationship, in the Reading and Heathrow Express areas. In aggregate these
factors have adversely affected results in the period by in excess of £100,000.




Training

Training turnover in the period was £4.39m (2002 £3.83m) a rise of 14.6%.
Operating profit was £0.59m (2002 £ 0.39m)

Trading has been fully up to expectations in the period and profitability
exceeds that in the same period in 2002. The business of Sloan Shrago has been
subsumed into Catalis Rail Training and has continued to make a useful
contribution.

Steady development at Rail Training Audit Services continues with trading at
above budgeted levels. The additional opportunities for business identified at
the mid point of 2002 are now fully operational and trading results for the
period are satisfactory.

Insurance

All industries, but none more so than the Railway Industry, have been adversely
affected by swingeing increases in premiums and this factor has materially
affected the forward momentum of profitability, particularly in the Training
Division.

Exceptional item

As forecast in the recent Annual Report and Accounts, The Fairbourne Hotel has
now been sold and, as a consequence, the trading results for that Company are
treated as discontinued. The disposal of the freehold gave rise to an
exceptional profit which more than offset the trading losses in the final period
before disposal.

Dividends

Whilst this remains a time for prudence your Directors have concluded that cash
generation within the businesses continues to remain at satisfactory levels and
therefore your Board has decided to declare an interim dividend of 2.1p (2002 :
2.0p), payable on 15 December 2003 to shareholders on the register on 21
November 2003.

Outlook

ATA Group continues to demonstrate significant underlying strengths and
resilience during trying conditions. We have used the recent period to good
effect in continuing to improve efficiency and to make substantial investments
in IT and other infrastructure for the future.

To this end Andrew Bailey joined the Group Board on 24th April 2003 as
Commercial Director adding further top level skills and providing more time for
both the Chairman and Chief Executive to address Corporate Development matters.

The strong performance by the Training Division is expected to continue.
Recruitment remains difficult but is poised to participate in general economic
recovery assisted by a move into contract recruitment in both Engineering
Technology and Rail.


W.J.C.Douie, Chairman.



ATA GROUP PLC

CONSOLIDATED PROFIT AND LOSS ACCOUNT

                        6 months to 30      6 months to 30      12 months to 31
                        June 2003           June 2002           Dec 2002
                       (unaudited)          (unaudited)        (audited)
                       ______________________________________________________

                Notes   £'000   £'000       £'000    £'000    £'000     £'000

Turnover



Continuing              7,377               5,953             12,572
Operations

Discontinued              106                291                558
Operations             ______________________________________________________

                   2             7,483            6,244                13,130
                       ______________________________________________________

Operating
Profit

Continuing                534                438               1,162
Operations

Discontinued              (46)               (22)                (49)
Operations             ______________________________________________________
                    2               488             416                 1,113


Exceptional         3      53                260                 352
item

Net interest              (35)               (32)                (41)
payable
                       ______________________________________________________
                                     18             228                   311

Profit on                           506             644                 1,424
ordinary
activities
before
taxation

Tax on profit       4              (152)            (200)                (500)
on ordinary             ______________________________________________________
activities

Profit on                           354              444                  924
ordinary
activities
after
taxation


Dividends           5              (170)            (162)                (471)
                        ______________________________________________________
 
Retained                            184              282                  453
profit for the
financial
period
                       ______________________________________________________

Earnings per        6              4.36             5.49                 11.41
share (pence)

Earnings per        6              3.71             3.28                  8.64
share (pence)          ______________________________________________________
before
exceptionals



ATA GROUP PLC

CONSOLIDATED BALANCE SHEET



                                    As at          As at          As at
                                30 Jun 03         30 Jun         31 Dec
                                     2003           2002           2002
                              (unaudited)    (unaudited)      (audited)
                                    £'000          £'000          £'000


FIXED ASSETS

Intangible assets                  1,123          1,185          1,181

Tangible assets                    2,174          2,154          2,375

                                _______________________________________

                                   3,297          3,339          3,556
                                _______________________________________

CURRENT ASSETS

Stock                                 12             26             20

Debtors falling due after            834            860            843
more than one year

Debtors falling due within         3,897          2,996          4,391
one year

Cash at bank (net of                 531            654            131
overdraft)

                                _______________________________________

                                   5,274          4,536          5,385

CREDITORS: Due within one         (4,460)        (3,987)        (4,850)
year
                                _______________________________________


NET CURRENT ASSETS                   814            549            535
                                _______________________________________


TOTAL ASSETS LESS CURRENT          4,111          3,888          4,091
LIABILITIES

CREDITORS: Due after more           (405)          (538)          (569)
than one year


PROVISIONS FOR LIABILITIES          (201)          (231)          (201)
AND CHARGES 
                                _______________________________________


NET ASSETS                         3,505          3,119          3,321
                                _______________________________________

CAPITAL AND RESERVES


Called up share capital               81             81             81

Share premium account              1,763          1,732          1,763

Capital redemption                    50             50             50
reserve

Profit and loss account            1,611          1,256          1,427
                                _______________________________________



SHAREHOLDERS' FUNDS                3,505          3,119          3,321
                                _______________________________________




ATA GROUP PLC

CONSOLIDATED CASHFLOW STATEMENT



                                  6 Months       6 Months    12 Months
                                        to             to           to
                               30 Jun 2003    30 Jun 2002  31 Dec 2002    
                               (unaudited)    (unaudited)    (audited)

                     Notes          £'000          £'000         £'000



CASH INFLOW /
(OUTFLOW) FROM
OPERATING                 7            801           (203)         569
ACTIVITIES


Returns on                             (35)           (32)         (41)
investments and
servicing of
finance

Taxation                              (200)             -         (249)

Payments to acquire                   (470)           (97)        (602)
tangible fixed
assets

Receipts on disposal                   447              -           72
of tangible fixed
assets

Net debt acquired                        -              -          (26)
with subsidiary

Equity dividends                         -              -         (438)
paid

                                  _____________________________________

Net cash inflow /
(outflow) before use
of
liquid resources and                   543           (332)        (715)
financing

Decrease in medium                    (129)          (188)        (266)
term loans

Capital element of                     (14)            (3)         (32)
finance lease rental
payments
                                  _____________________________________

INCREASE /                             400           (523)      (1,013)
(DECREASE) IN CASH                _____________________________________
BALANCES




ATA GROUP PLC

NOTES TO THE INTERIM STATEMENT

FOR THE SIX MONTHS ENDED 30 JUNE 2003

1. ACCOUNTING POLICIES

The accounting policies used in the preparation of the interim accounts are
consistent with those used in the preparation of the audited annual accounts for
the year ended 31 December 2002. The Group financial information consolidates
the accounts of ATA Group Plc and all its material subsidiary undertakings using
the acquisition method.

The comparative figures for the year ended 31 December 2002 do not constitute
statutory accounts within the meaning of S.240 of the Companies Act 1995, but
they have been derived from the audited financial statements for that year,
which have been filed with the Registrar of Companies. The report of the
auditors was unqualified and did not contain a statement under section 237 (2)
or (3) of the Companies Act 1985.


2. SEGMENTAL ANALYSIS

                           6 Months to     6 Months to    12 Months to
                           30 Jun 2003   30 Jun 2002       31 Dec 2002
                           (Unaudited)     (Unaudited)       (Audited)
                                 £'000           £'000           £'000

TURNOVER



Recruitment                      3,092           2,416           5,250

Training and                     4,392           3,828           7,880
consultancy
                         ______________________________________________
                                 7,483           6,244          13,130
                         ______________________________________________
                                                     
OPERATING PROFIT



Recruitment                       (106)             21             246

Training and                       594             395             867
consultancy
                         ______________________________________________
                                                     
                                   488             416           1,113
                         ==============================================

Operating profit is stated after amortisation of goodwill of £36,000 in the
period (2002: £39,000).

Discontinued operations relate to Fairbourne Hotel Ltd and Fairbourne Adventure
Ltd.

3. EXCEPTIONAL ITEM

A profit of £53,000 arose on the disposal of the Fairbourne Hotel on 10 June
2003. The 2002 exceptional item relates to the release of an overprovision for
rates previously provided

4. TAX ON PROFIT ON ORDINARY ACTIVITIES

The tax on profit on ordinary activities for the period to 30 June 2003 has been
provided at the estimated rate applicable to the group for the period.

5. DIVIDENDS

An interim dividend of 2.1p per ordinary share net will be paid on 15 December
2003 to shareholders on the register of members at 21 November 2003.

6. EARNINGS PER SHARE

The earnings per share have been calculated on the profit on ordinary activities
after taxation, both before and after exceptional items, and on the number of
shares in issue (8,122,812) during the period. The fully diluted earnings per
share is not materially different from the basic earnings per share and has not
been disclosed.

7. CASH FLOW

RECONCILIATION OF OPERATING PROFIT TO NET CASH INFLOW FROM OPERATING ACTIVITIES

                                                                      2003

                                                                         £

    Operating profit                                               488,000

    Amortisation                                                    36,000

    Depreciation                                                   298,000

    Decrease in stocks                                               8,000

    Decrease in debtors                                            498,000

    Decrease in creditors                                         (527,000)

                                                               ___________
                                  
Net cash inflow from operating activities                          801,000
                                                               ===========

ANALYSIS OF CHANGES IN NET DEBT

        At 1 Jan 2003            Cash flows              At 30 Jun 2003

                    £                     £                          £

Net cash:

Cash in hand and at            131,000         400,000         531,000
bank
                         ______________________________________________
                            
Debt:

Debt due within 1 year        (260,000)              -        (260,000)

Debt due after 1 year         (496,000)        129,000        (367,000)

HP and finance leases         (158,000)         14,000        (144,000)
                         ______________________________________________
                             
                              (914,000)        143,000        (771,000)
                         ______________________________________________
                             
Net debt                      (783,000)        543,000        (240,000)
                         ==============================================



ATA GROUP PLC
Registered Office
Kingston House,
Oaklands Business Park,
Armstrong Way,
Yate,
South Gloucestershire BS37 5NA

Approved and authorised for release
for and on behalf of ATA Group Plc




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