Final Results

Comland Commercial PLC
09 August 2004

Comland Commercial PLC ('Comland' or the 'Company')

Preliminary results for the year ended 31 March 2004



Chairman's Statement

I have pleasure in reporting to you on the year ended 31 March 2004.


Results

In the year to 31 March 2004, other operating income, which is primarily rental
income, has increased by 27% to £6.86 million (2003: £5.41 million). Operating
profit has increased by 61% to £4.75 million (2003: £2.95 million). Pre-tax
profits are £2.35 million (2003: £0.08 million) after finance costs of £2.41
million (2003: £2.85 million). No dividend will be paid.


Acquisitions

During the year ended 31 March 2004 Comland has acquired a further £10 million
of property suitable for development and future trading.


Developments

We have just one development project in progress, a retail scheme in Marlow High
Street, where completion is imminent and the letting of the retail unit is in
solicitors' hands. The remainder of our development activity is currently
confined to progressing scheme proposals and the planning process. These
include:


Parade Court, Bourne End                A planning application for a mixed use residential and office scheme is
                                        awaiting determination.


Market House, Wokingham                 A planning application has been submitted for 33 residential units to the
                                        rear of and over the existing units.


Prospect House, Farnham Common          An application has been lodged for additional retail units and flats.


Premium House, Farnham Common           An application is awaiting determination for demolition of the existing
                                        building and construction of a larger replacement retail unit with
                                        offices and residential space above.


Red Lion House, High Wycombe            Pre application meetings and discussions are in hand with the Local
                                        Planning Authority and initial discussions are taking place with a
                                        potential end user for the site above the existing Woolworth's retail
                                        outlet.


Wethered House, Marlow                  Pre application discussions and submissions are being progressed for
                                        alternative office and residential proposals on the surplus of the car
                                        park.
                                        

Holtspur Lane, Wooburn Green            The terms of a Section 106 Agreement are being negotiated in relation to
                                        a proposed 50,000 sq ft office scheme.


Plover House, Basingstoke               A resolution to grant planning permission for a new office building has
                                        been obtained. The permission is subject to a Section 106 Agreement being
                                        concluded.


Jacksons Industrial Estate, Bourne End  A planning application is awaiting determination for an additional
                                        industrial unit.


Wye Estate, High Wycombe                An application has been submitted to extend the time limit for the
                                        implementation of an office scheme.


Wessex Road, Bourne End                 An application is being prepared for the extension of the time limit in
                                        respect of a planning permission for an office scheme.



Mercury Park

Since reporting on the interim results in December 2003 we have secured a
further tenant for a 3,433 sq ft first floor unit on a five year lease at £23.91
per sq ft. This is an increase in rent of 14% on the previous letting at Mercury
Park last summer and reflects the improvement in the general market. We now have
a single first floor unit of approximately 3,000 sq ft which remains vacant.

The development is now almost completely let with good covenants and rental
deposits and/or bank guarantees for up to 18 months.


Disposals

Shortly after the year end we completed the sale of two properties. We sold
Vantage Point in Hemel Hempstead for £2,500,000. This reflected a yield of
approximately 9%. The property had been marketed for some time and as we had
just over 3 years remaining of the lease the sale price was attractive. We also
sold Unit 1, Thomas Road, Wooburn Green for £3,444,782. This reflected a yield
of 7%. We had secured a rental increase of 26% at the previous rent review and
felt it was the appropriate time to crystallise our return on the property.


DOCTORnow

This business has now been operating for over a year and revenues continue to
grow month on month. The income from the practice is approaching the point where
it covers direct operating overheads. In addition to DOCTORnow's business, we
have recently marketed the additional space in The Clinic to alternative medical
service providers. We have received initial interest from a number of parties
and hope to increase income in order to support the viability of the practice.


Post Year End

In April 2004 we completed the acquisition of The Hollywood Arms public house
for £2,500,000 in Fulham. We have installed new management and have grown
revenues since acquisition. The property, which had undergone a recent major
refurbishment, is approximately 6,000 sq ft, including basement and residential
flat above and dates back to the 1860's. The strength of the local residential
market underpins the value of the premises and we hope, with active management,
to increase revenues and profitability further.

I am delighted to announce that we have recently recruited a new property
development manager. Peter Lowe will join us in October from Taylor Woodrow
where he spent 3 years as Commercial Development Manager specialising in the
acquisition and project management of commercial developments in and around
London. This addition to our team should allow us to broaden our experience and
contacts to create and exploit an increasing number of opportunities.


The Future

We will continue to focus on acquisitions which have refurbishment and/or
development potential in the medium term where the shorter term position is
covered by existing buildings generating rental income.

The majority of the Group's borrowings are at floating rates and therefore we
continue to review our position with regard to interest rate hedging as interest
rates rise. Our interest cover is, however, strong and we therefore believe any
increase in rates will not have a significant negative effect on our business.
An economy with rising borrowing costs should be one which also provides rental
growth and increased demand for new commercial space. We will continue to watch
the effect of interest rate rises across our portfolio and our market place.



SJ Crossley
Chairman



9 August 2004

Consolidated Profit & Loss Account
                                                                                 Year ended      Year ended
                                                                                 March 31        March 31
                                                                     Notes       2004            2003

                                                                                 £'000           £'000

Turnover                                                                         131             -
Cost of sales                                                                    (539)           (1,005)
                                                                                 --------        --------
Gross loss                                                                       (408)           (1,005)

Administrative expenses                                                          (1,708)         (1,453)
Other operating income                                                           6,864           5,410
                                                                                 --------        --------
Operating profit                                                                 4,748           2,952
Profit/(Loss) on disposal of fixed assets                                        5               (25)
Interest payable and similar charges                                             (2,407)         (2,845)
                                                                                 --------        --------
Profit on ordinary activities before taxation                                    2,346           82
Tax on profit on ordinary activities                                             (747)           (54)
                                                                                 --------        --------
Profit on ordinary activities after tax                                          1,599           28
Ordinary dividend                                                    4           -               -
                                                                                 --------        --------

Retained profit for the year                                                     1,599           28
                                                                                 ========        ========

Basic and fully diluted earnings per share                           5               35.1p            0.6p


All of the above results derive from continuing activities.

Consolidated statement of recognised gains and losses

The Group has no recognised gains or losses other than the results for each
year.


Consolidated Balance Sheet
                                                                                  As at           As at
                                                                                  March 31        March 31
                                                                      Notes       2004            2003
                                                                                  £'000           £'000
Fixed assets
Tangible assets                                                                   356             363
                                                                                  --------               --------
Current assets
Stocks                                                                            68,314          57,830
Debtors                                                                           3,990           3,733
Cash at bank and in hand                                                          24,367          4,995
                                                                                  --------               --------
                                                                                  96,671          66,558
Creditors: amounts falling due within one year                                    (36,112)        (15,511)
                                                                                  --------               --------
Net current assets                                                                60,559          51,047
                                                                                  --------               --------
Total assets less current liabilities                                             60,915          51,410
Creditors: amounts falling due after more than one year                           (50,568)        (42,662)
                                                                                  --------               --------
Net assets                                                                        10,347          8,748
                                                                                  ========               ========

Capital and reserves
Called-up share capital                                                           456             456
Capital redemption reserve                                                        25              25
Other reserve                                                                     2,880           2,880
Profit and loss account                                                           6,986           5,387
                                                                                  --------               --------

Equity shareholders' funds                                            6           10,347          8,748
                                                                                  ========               ========




Consolidated Cashflow Statement
                                                                                  Year ended      Year ended
                                                                                  March 31        March 31
                                                                                  2004            2003
                                                                                  £'000           £'000

Net cash outflow from operating activities                                        (5,413)         (12,364)

Returns on investment and servicing of finance                                    (2,470)         (2,077)

Taxation                                                                          (53)            (223)

Capital expenditure and financial investment                                      (101)           (307)
                                                                                  --------               --------
Net cash outflow before financing                                                 (8,037)         (14,971)
Financing                                                                         8,329           16,465
                                                                                  --------               --------
Increase in cash in the year                                                      292             1,494
                                                                                  ========               ========




Notes

1.   The accounting policies adopted are consistent with those in the most
     recently published set of financial statements for the year ended 31 March 
     2003.


2.   The summarised financial information has been extracted from the unaudited
     accounts of the Group for the year ended 31 March 2004.  The above 
     information does not amount to statutory accounts within the meaning of the 
     Companies Act 1985.  Statutory Accounts for the previous financial year 
     ended 31 March 2003 have been delivered to the Registrar of Companies.  The 
     auditors' report on those accounts was unqualified and did not contain any 
     statement under S237(2) or (3) of the Companies Act 1985.  The auditors 
     have not reported on accounts for the year ended 31 March 2004, nor have 
     any such accounts been delivered to the Registrar of Companies.


3.   Copies of the annual report and accounts will be posted to shareholders in
     September 2004 and will be available from the Company's Head Office at 
     Lunar House, Mercury Park, Wooburn Green, High Wycombe, Bucks, HP10 0HH.


4.   No final dividend will be payable.


5.   Earnings per share have been calculated based on a weighted average of
     4,556,520 ordinary shares being in issue during the period to 31 March 2004
     (4,334,742 ordinary shares during the period to 31 March 2003).


6.   The movement in shareholders' funds is analysed as follows:-

                                                 £'000

Shareholders' funds as at 1 April 2003           8,748
Profit for the period                            1,599

                                                -------

Shareholders' funds as at 31 March 2004         10,347
                                                =======


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