Interim Results

Baydonhill PLC
20 December 2007



                 Baydonhill plc ('Baydonhill' or 'the Company')

        Interim results for the six month period ended 30 September 2007

Key Points

   •Continued investment in the product offering resulted in a net loss for
    the period of £845,967 which was in line with expectations (2006: loss
    £219,915).

   •Corporate sales team recruited and operational.

   •Baydonhill Online (the newly designed corporate online trading system)
    became active in late November.


Contacts

Baydonhill plc                                     Tel: [phone]
Eric Peacock, Chairman
Wayne Mitchell, Chief Executive

John East & Partners Limited                       Tel: [phone]
Simon Fox / Bidhi Bhoma

Rostrum Communications                             Tel: [phone]
Mark Houlding



Chairman's Statement

Interim Results

For the six months ended 30 September 2007 the Company made a loss before tax of
£845,967 (2006: loss £219,915) on a turnover of £131,669,000 (2006 :
£128,273,000).

The major shareholder has continued to support the Company during the period,
with the result that the directors believe cash resources to be adequate to
cover the year ahead to 30 September 2008.


Review

The Company's turnover slightly increased over the same period last year,
despite strong competition in the market place which has, however, negatively
affected our margins.

The 'Private Client' division generates the majority of the Company's revenue,
although both turnover and margins have declined against the same period last
year. Competition remains very strong in this division, and there is continuing
uncertainty in the market place over house prices and interest rates, both
factors having a significant impact on the business. Our marketing activities
continue to focus on the formation of relationships with multi-introducers
within the property and financial services sectors. The 'International
Mortgages' division grew its turnover by 9 per cent under difficult market
conditions.

The 'Corporate' division started trading in February 2007 with the recruitment
of an experienced external sales team, the first transactions taking place in
May 2007. At the same time an internal sales division was established to support
the external activity. The development of our online trading platform continued
throughout the period, and became active at the end of November 2007. The online
platform provides a complete payment solution to corporate clients and the
benefits of this platform are already apparent, although the full revenue impact
will not be realised until the fiscal year 2008 / 2009.


Board

The composition of the Board remains unchanged with the exception of Tim
Sullivan, who resigned to pursue other interests on 8 June 2007.


Nominated Adviser

John East & Partners Limited became the Company's nominated adviser with effect
from 24 August 2007.


Outlook

In the period ahead we will focus on increasing our market share in the private
client sector coupled with achieving the growth of the 'Corporate' division
required to cover its cost base and in time, make a positive contribution to the
Company. The board is confident of achieving both these objectives with the aim
of achieving a break-even position month on month.



Eric Peacock
Chairman


20 December 2007




PROFIT AND LOSS ACCOUNT
                          Six months           Six months        Twelve months
                               ended                ended                ended
                        30 September         30 September             31 March
                                2007                 2006                 2007
                         (unaudited)          (unaudited)            (audited)
                                            (as restated)

TURNOVER                 131,668,803          128,273,134          239,767,768

Cost of sales           (130,665,663)        (127,095,306)        (237,559,748)
                          ------------         ------------           ----------

GROSS PROFIT               1,003,140            1,177,828            2,208,020

Administrative
expenses                  (1,935,982)          (1,486,606)          (3,269,712)
                          ------------         ------------           ----------

OPERATING LOSS              (932,842)            (308,778)          (1,061,692)

Interest
receivable and
similar income                97,364               90,417              184,541

Interest payable
and similar
charges                      (10,489)              (1,554)              (1,082)
                          ------------         ------------           ----------

(LOSS) / PROFIT
BEFORE TAX                  (845,967)            (219,915)            (878,233)

TAXATION                           -                    -                    -
                          ------------         ------------           ----------

(LOSS) / PROFIT
FOR THE PERIOD              (845,967)            (219,915)            (878,233)
                          ============         ============           ==========

(Loss) / Earnings
per share - basic              (3.79p)              (1.52p)              (6.06p)

          - diluted            (3.00p)              (1.50p)              (6.06p)


The results for the six months ended 30 September 2006 have been restated to
accommodate adjustments required under FRS20.


BALANCE SHEET
                                         At    At 30 September             At
                                                          2006
                               30 September         (unaudited)      31 March
                                       2007       (as restated)          2007
                                (unaudited)                          (audited)

FIXED ASSETS
Tangible                            421,398            104,795         343,182

CURRENT ASSETS
Debtors                          12,915,384         13,206,582       9,246,673
Cash at Bank                      3,466,754          5,621,706       4,106,425
                                  -----------        -----------      ----------

                                 16,382,138         18,828,288      13,353,098

CREDITORS: Amounts falling due
within one year                 (16,413,341)       (17,592,950))   (12,953,699)
                                  -----------        -----------      ----------

NET CURRENT (LIABILITIES) /
ASSETS                              (31,203)         1,235,338         399,399

TOTAL ASSETS LESS CURRENT
LIABILITIES                         390,195          1,340,133         742,581
                                  ===========        ===========      ==========

NET ASSETS                          390,195          1,340,133         742,581
                                  -----------        -----------      ----------

CAPITAL AND RESERVES
Called up share capital             243,841            144,987         144,987
Share premium account             3,005,551          2,600,623       2,600,623
Profit and loss account          (2,859,197)        (1,405,477)     (2,003,029)
                                  -----------        -----------      ----------

EQUITY SHAREHOLDERS FUNDS           390,195          1,340,133         742,581
                                  ===========        ===========      ==========


The Balance Sheet at 30 September 2006 has been restated to show debtors and
creditors gross.



CASH FLOW STATEMENT
                                       Six months     Six months Twelve months
                                            ended          ended         ended
                                     30 September   30 September      31 March
                                             2007           2006
                                      (unaudited)    (unaudited)          2007
                                                   (as restated)     (audited)

Reconciliation of operating loss to
net cash (outflow) from operating
activities

Operating loss                           (932,842)      (308,778)   (1,061,692)
Depreciation of
tangible fixed
assets                                     35,224         73,970       131,648
(Increase) in debtors                 (3,668,711)    (9,364,495)   (5,408,283)
Increase in creditors                  3,459,642     10,042,764     5,403,513
Share-based payment 
(credit) / expense                       (10,201)        60,768       121,537
                                        -----------    -----------   -----------

Net cash (outflow)/ 
inflow from operating
activities                             (1,116,888)       504,229      (813,277)

CASH FLOW STATEMENT
Net cash (outflow)/ 
inflow from operating
activities                             (1,116,888)       504,229      (813,277)
Returns of
investment &
servicing of
finance                                    86,875         88,863       183,459
Taxation                                        -              -         3,697
Capital
expenditure                              (113,440)       (58,874)     (354,942)
                                        -----------    -----------   -----------

Cash (outflow) /
inflow (before
use of liquid
resources                              (1,143,453)       534,218      (981,063)
Management of liquid resources                  -              -             -
Financing:
Proceeds of placing                       531,723              -             -
Less associated
costs of share
issue                                     (27,941)             -             -
Management of
liquid resources                                -              -       300,000
                                        -----------    -----------   -----------

(Decrease) /
Increase in cash
for the period                           (639,671)       534,218      (681,063)

Reconciliation of net cash flow to
movement in net funds
(Decrease) /
Increase in cash
in the year                              (639,671)       534,218      (681,063)
Cash inflow from
decrease in liquid
resources                                       -              -      (300,000)
                                        -----------    -----------   -----------

Change in net
funds resulting
from cash flows                          (639,671)       534,218      (981,063)
Net funds at 1
April 2006                              4,106,425      5,087,488     5,087,488
                                        -----------    -----------   -----------

Net funds at 30
September 2007                          3,466,754      5,621,706     4,106,425




1. Nature of Information

The interim accounts for the six months ended 30 September 2007 and the
comparative figures for the six months ended 30 September 2006 are unaudited.
The interim accounts for the six months ended 30 September 2006 were reviewed by
the Company's auditors, but those to September 2007 were not. The comparative
figures for the twelve months ended 31 March 2007 are not the Company's
statutory accounts within the meaning of section 240 of the Companies Act 1985
but are abridged from such accounts which have been reported on by the Company's
auditors and delivered to the Registrar of Companies. The report of the auditors
on such accounts was unqualified and did not contain any statement under Section
237(2) or 237(3) of the Companies Act 1985.

The interim accounts and the comparative figures are prepared on the basis of
the accounting policies set out in the accounts of the Company for the twelve
months ended 31 March 2007.

With effect from 31 March 2007 the two wholly-owned trading subsidiaries,
Baydonhill International Mortgages Limited and FLG Insurance Brokers Limited,
became dormant and their assets and liabilities were transferred to the parent
company, Baydonhill plc. The comparative figures for 31 March 2007 and 30
September 2006 have continued to reflect the consolidated position as the impact
of the hiving-off is not regarded as material.


2.              Principal Activities

The principal activities of the Company continue to be the provision of foreign
currency exchange and related financial products and the arrangement of overseas
mortgages.


3. Taxation

Based on the results of the period, the Company believe that no provision for
taxation is required.


4. Dividends

The Directors do not recommend the payment of a dividend.


5. Loss per Share

The loss per share is calculated on the loss for the period of £845,967 based on
the weighted average number of shares in issue at 30 September 2007 of
22,331,328. The fully diluted share capital at 30 September 2007 amounted to
28,141,070.


6. Copies of this interim announcement will be available from the Company's
website at www.baydonhill.com and at registered office, 160 Brompton Road,
London, SW3 1HW.

www.baydonhill.com


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