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Crossword (CCP)

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Monday 25 April, 2016


Final Results - Year ended 31 December 2015

Press Release                                                                            25 April 2016

                                          Crossword Cybersecurity plc

                                      ("Crossword" or the "Company")

                                                 Final Results

Crossword Cybersecurity Plc (ISDX: CCS), the technology commercialisation company focusing exclusively  on  the
cyber security sector, today announces its Final Results for the year ended 31 December 2015.


*     identified over 500 cyber security research projects from over 50 UK and European universities

*     commercialisation relationships formed with University of Warwick, Bristol University, City University
      London and Coventry University

*     launched our first product, Rizikon, a cyber risk assessment product based on research carried out  by
      City University, London

*     became  a founding member of CyberInvest, the GBP6.5m GCHQ and Department of Culture, Media and  Sport
      initiative to boost world class UK cyber security

*     raised GBP1.5m in a placing to pursue cyber security intellectual property transfer deals

*     admitted to trading on the ISDX Growth Market

Commenting on the final results, Tom Ilube, Chairman of Crossword Cybersecurity PLC, said "We are delighted  to
report  excellent progress in establishing the UK's only specialist cyber security technology transfer company.
The  response from research focused universities has been very positive towards working with us and there is  a
tremendous  pipeline of leading edge cyber security research projects to explore. Our first  product,  Rizikon,
launched and we are excited about its commercial potential.

                                                   - Ends -

Further information, please contact:

Tom Ilube                                         ISDX Corporate Advisor
CEO                                               Nick  Michaels  and  Jon Isaacs,  Alfred  Henry
Crossword Cybersecurity                           Corporate Finance Limited
Tel: +44 (0) 208 973 2350               
Email: [email protected]       Tel: +44 207 251 3762

About Crossword Cybersecurity

Crossword  Cybersecurity is a technology commercialisation company focusing exclusively on the  cyber  security
sector.  Crossword  works  with research intensive European university partners  to  identify  promising  cyber
security  intellectual property (IP) from research that our industry partners tell us meet emerging  real-world

Our  specialist  cyber  security software engineering team work with our university  partners  to  develop  the
research concept into a fully fledged commercial product that we then take to market.


I  am  pleased  to  report  a strong year of progress as we continue to develop Crossword  Cybersecurity  PLC's
specialist cyber security technology transfer business.

The  challenges of cyber security continued to grow throughout 2015. TalkTalk in the UK suffered a high profile
cyber  breech  resulting  in 157,000 customer's personal details being accessed. The  European  Central  Bank's
website was compromised. Ashley Madison, the online dating site, lost 32 million client's data. In the USA, the
Office of Personnel Management suffered a huge data breech resulting in the loss of 22m Federal employees' data
and more recently Mossack Fonseca had 11.5m very sensitive documents stolen.

To  help address these challenges, Crossword works with universities to identify leading edge research in cyber
security  and  establish  intellectual  property (IP) and technology transfer  deals  with  the  university  to
commercialise their research.

We  started the year by launching CLUE, a comprehensive database of cyber security projects taking place across
UK  universities,  working with the Partnership for Conflict, Crime & Security (PaCCS), a Research  Council  UK
(RCUK)  initiative.  CLUE  covers  over 500 cyber security research projects  from  over  50  UK  and  European
universities. CLUE provides us with a comprehensive view of the cyber security academic research landscape  and
enables us to identify the universities with the most compelling cyber security projects.

During  the  year  Crossword  established  relationships  with  a  number  of  major  cyber  security  research
universities.  In  January  we signed a commercialisation agreement with Bristol  University  in  the  area  of
cryptography.  This  was  followed in February with an initiative with the University  of  Warwick  to  jointly
explore  commercial  opportunities in the security aspects of blockchain technologies. April  resulted  in  the
signing  of  a  licence  agreement with City University, London for their cyber  risk  assessment  intellectual
property.  In  November  we  agreed to work with Coventry University to commercialise  their  advanced  network
monitoring research aimed at the Internet of Things and Smart Cities.

By  mid-year  we  started  to  see the fruits of these relationships. Our first IP  based  commercial  product,
Rizikon, a cyber risk assessment tool based on City University's research, was announced in 2015 and we started
the process of seeking large scale distribution partners for this product.

Given  Crossword's  leadership role in the industry to drive forwards commercialisation of  UK  cyber  security
research,  in November we became a founding member of CyberInvest, the GBP6.5m GCHQ and Department of  Culture,
Media and Sport initiative to boost world class UK cyber security.

On  the  corporate front, in June we raised GBP1.5m in a placing to pursue cyber security intellectual property
transfer  deals and in September Crossword's ordinary share capital was admitted to trading on the ISDX  Growth
Market in London.

We  have  ambitious plans for the year ahead and Crossword is well positioned. We believe that we have  quickly
established a strong reputation and carved out a distinct cyber security niche in the wider technology transfer
sector. We are building up a network of commercial partners to distribute our IPR based products as they emerge
from  our development pipeline and we expect to see revenue growth through 2016 and beyond. We aim to  add  new
university partnerships both in the UK and in Europe and we will start to raise our profile amongst  the  cyber
security  community  in  the USA too. We intend to continue to strengthen the Crossword  team  with  additional
industry  leading security professionals to further reinforce our position as the experts in the cyber security
technology transfer sector.


The key risks to the group are as follows:

*       failure to develop an appropriate commercial application for its developing products;

*       failure to obtain sufficient financial support to enable such products to be adequately delivered;

*       failure to establish commercialisation partnerships with leading research universities

*       competition from existing IP transfer businesses seeking to engage in cyber security commercialisation

*       failure to commercialise the products that it develops.

At  present  the  directors  are  pleased with progress in both of these areas and  consider  these  risks  are
sufficiently mitigated.

The directors consider the key financial performance indicator to be cash 'burn rate'. At present they consider
that this is within reasonable parameters and will continue to monitor this is the future.

At  this stage in its development, the directors do not consider that there are any relevant non-financial  key
performance indicators.

T Ilube
25 April 2016

Consolidated Statement of Comprehensive Income for the year ended 30 April 2015

                                                             Year ended 31 December       6 March 2014 to 31
                                                                      2015                  December 2014
                                                                       GBP                       GBP

TURNOVER                                                                                           -

Cost of sales                                                     (247,630)                  (54,142)
                                                                 ---------                  --------

GROSS LOSS                                                        (227,017)                  (54,142)

Administrative expenses                                           (530,414)                 (184,538)
Interest receivable                                                  2,181                         -
                                                                 ---------                  --------
LOSS BEFORE TAXATION                                              (755,250)                 (238,680)

Tax expense                                                              -                         -
                                                                 ---------                  --------
LOSS FOR THE YEAR/PERIOD                                          (755,250)                 (238,680)

Other comprehensive income                                       ---------                  --------

Total other comprehensive expenditure                               (1,659)                   (1,282)
                                                                 ---------                  --------
TOTAL COMPREHENSIVE LOSS                                          (756,909)                 (239,962)
                                                                 =========                  ========


Basic loss per share                                             (GBP0.38)                  (GBP0.15)

Consolidated Statement of Financial position at 30 April 2015

                                                                     Group                    Group
                                                                       GBP                      GBP
                                                                      2015                     2014

NON-CURRENT ASSETS                                                                        
Property, plant and equipment                                        3,635                    5,486
Intangible assets                                                      816                        -
Investment in subsidiaries                                               -                        -
                                                                 ---------                 --------
Total non-current assets                                             4,451                    5,486
                                                                 ---------                 --------

CURRENT ASSETS                                                                                          
Trade and other receivables                                         43,464                   44,112
Cash and cash equivalents                                        1,227,481                  445,163
Total current assets                                             1,270,945                  489,275
                                                                 ---------                 --------
TOTAL ASSETS                                                     1,275,396                  494,761
                                                                 ---------                 --------

Attributable to the owners of the company                                                               
Share capital                                                      119,173                   79,697
Share premium account                                            2,080,827                  620,303
Retained earnings                                                 (993,930)                (238,680)
Translation of foreign operations                                   (2,941)                  (1,282)
                                                                 ---------                 --------
Total equity                                                     1,203,129                  460,038
                                                                 ---------                 --------


CURRENT LIABILITIES                                                                                    
Trade and other payables                                            72,267                   34,723
                                                                 ---------                 --------
Total current liabilities                                           72,267                   34,723
                                                                 ---------                 --------

                                                                 ---------                 --------
TOTAL LIABILITIES                                                   72,267                   34,723
                                                                 ---------                 --------                                       
                                                                 ---------                 --------
TOTAL EQUITY AND LIABILITIES                                     1,275,396                  494,761
                                                                 ---------                 --------

Consolidated Cash Flow Statement for the year ended 30 April 2015

                                                                      2015                     2014
                                                                       GBP                      GBP

CASH FLOWS FROM OPERATING ACTIVITIES                                                                   

Cash generated from operations                                    (715,170)                (247,966)
                                                                 ---------                 --------

                                                                 ---------                 --------
NET CASH OUTFLOW FROM OPERATING ACTIVITIES                        (715,170)                (247,966)
                                                                 ---------                 --------

CASH FLOWS FROM INVESTING ACTIVITIES                                                                    

Purchase of non-current assets                                        (853)                  (5,589)
                                                                 ---------                 --------
NET CASH OUTFLOW FROM INVESTING ACTIVITIES                            (853)                  (5,589)
                                                                 ---------                 --------                                       
CASH FLOWS FROM FINANCING ACTIVITIES                                                                    

Proceeds from issue of shares                                    1,500,000                  700,000
                                                                 ---------                 --------
NET CASH INFLOW FROM INVESTING ACTIVITIES                        1,500,000                  700,000
                                                                 ---------                 --------

NET INCREASE IN CASH AND CASH EQUIVALENTS                          783,977                  446,445

FOREIGN CURRENCY TRANSLATION DIFFERENCE                             (1,659)                  (1,282)

CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE PERIOD           445,163                        -
                                                                 ---------                 --------
CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD               1,227,481                  445,163
                                                                 =========                 ========


1.    The financial information set out above does not constitute statutory accounts for the purpose of Section
434  of  the Companies Act 2006.   The financial information has been extracted from the statutory accounts  of
Crossword Cybersecurity Plc and is presented using the same accounting policies, which have not yet been  filed
with the Registrar of companies, but on which the auditors gave an unqualified report on 25th April 2016.

The  preliminary announcement of the results for the year ended 31 December 2016 was approved by the  board  of
directors on 25th April 2016.

Crossword Cybersecurity plc

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