Interim Results

Flomerics Group PLC
31 July 2000


                      FLOMERICS
                            
               'Excellent Interim Results'
           For the 6 months ended 30 June 2000

Flomerics Group PLC, supplier of analysis software to the
telecommunications,    semiconductor,    and     computer
industries,   and   other  sectors  of  the   electronics
industries, announces its results for the six  months  to
30 June 2000.

Key Points

*  Profit Before Tax of £40,000 after amortisation  of
   goodwill  (1999: loss of £150,000) full year profit  in
   1999 of £807,000.

*  Turnover increased 42% to £4.89m (1999: £3.44m)

*  Well  established thermal products,  FLOTHERM  and
   FLOVENT, accounted for 90% of turnover.

*  The Company is building the necessary infrastructure
   to  support  the new electromagnetic products  business
   arising from the acquisition of KCC.

*  Development of the new FLO/EMC product is on  track
   and will address the important electromagnetic markets of
   the electronics industry.

Commenting  on  the  results, David Mann,  the  Chairman,
said:

'Flomerics is clearly well placed for the second half  of
the  year. However, as in previous years, the results for
the  year  as  a whole will depend significantly  on  the
level  of licence renewals for thermal products  near  to
the year end. Moreover, the second half will be a further
period  of  investment in establishing the infrastructure
for  the  electromagnetic market. The directors' view  of
the  prospects for the year as a whole therefore  remains
positive and in line with current market expectations.'

For further information please contact:

Flomerics:
David Mann, Chairman                    020 8941 8810
David Tatchell, Chief Executive
Chris Ogle, Finance Director

Teather & Greenwood:
Richard Thompson                        020 7426 9073
Alex Davies (analyst)                   020 7426 9540

Buchanan Communications:
Tim Thompson / Nicola Cronk             020 7466 5000

Chairman's Statement


Results
Flomerics  has  achieved excellent results  for  the  six
months  ended 30 June 2000. I am particularly pleased  to
report  that, for the first time as a quoted company,  it
has made a profit in the first half of the year.

Traditionally,  because  of the pattern  of  renewals  of
licences  for  its  software,  the  company  receives   a
disproportionate part of its income in the second half of
the year and has made a loss in the first half. This year
the  profit before tax for the six months ended  30  June
was  £40,000, after the amortisation of intangible assets
arising from the acquisition of KCC in July 1999. In  the
same period last year there was a loss of £150,000.

Turnover  for  six months ended 30 June  2000,  including
that  from  KCC, was £4,890,000, a  42% increase  on  the
same  period  last year. The growth was enhanced  by  the
weakening of Sterling but, at constant exchange rates and
excluding  the  contribution from KCC, turnover  grew  by
33%.

Sales in North America increased by 29% and accounted for
53%  of turnover. In Europe the growth was 41%. There was
also  an  impressive increase in sales in the  Far  East,
with significant contributions from Korea and Japan,  and
the first sale from representation in China.

Flotherm and Flovent
Flomerics'  well  established thermal products,  FLOTHERM
and  FLOVENT, accounted for 90% of turnover. Towards  the
end  of  last  year  there was a  major  new  release  of
FLOTHERM, which has generated growth of 37% in  sales  of
this  product  over the same period last  year.  A  major
upgrade of FLOVENT was released at the same time and  has
received a positive response in the market. At this stage
the  rate of growth of sales is only 10% compared to  the
same  period  last year, but we continue to believe  that
there is good potential for growth for this product.

Electromagnetics
As highlighted in the last Annual Report, the acquisition
of  KCC has enabled the company to address very important
electromagnetic markets. New arrangements have  now  been
made  for  the distribution of KCC's established product,
Microstripes,  outside the UK; these  have  included  the
relocation  of Dr David Johns, the Managing  Director  of
KCC,  to be based at our US headquarters in Massachusetts
from  August.  Development of  the  new  FLO/EMC  product
specifically  for the electronics industry is  on  track;
Version  1  is planned for release this August  and  some
licences   have  already  been  sold  to   some   leading
organisations.  Considerable efforts are  being  made  to
build  the  necessary  infrastructure  to  support  these
products.

Share Placing
With the strong growth of the group, there is naturally a
requirement  for  increased working capital.  On  4  July
137,400 shares were therefore placed at a premium to  the
then   mid-market  price,  realising  approximately  £1.2
million  for the Company. This placing was well  received
by   the   market   and  helped  broaden  the   Company's
institutional shareholder base further.

Prospects
Flomerics is clearly well placed for the second  half  of
the  year. However, as in previous years, the results for
the  year  as  a whole will depend significantly  on  the
level  of licence renewals for thermal products  near  to
the year end. Moreover, the second half will be a further
period  of  investment in establishing the infrastructure
for  the  electromagnetic market. The directors' view  of
the  prospects for the year as a whole therefore  remains
positive and in line with current market expectations.

Looking   to  2001  and  beyond,  the  directors   remain
confident   that   the  electromagnetic   market   offers
significant  opportunities for broadening  the  company's
range  and  level of activity.  Furthermore  the  synergy
between the new FLO/EMC product and the existing FLOTHERM
product  should support the continuing strong  growth  in
the core thermal market.


David Mann
Chairman
 £

FLOMERICS GROUP PLC                                         
Interim Results for the six
months to 30 June 2000
Group Profit and Loss Account
                            6 Months     6 Months      12 months
                            ended 30     ended 30       ended 31
                           June 2000    June 1999   December 1999 
                          (Unaudited)  (Unaudited)     (Audited)
                            £'000        £'000          £'000  

Turnover                    4,890        3,443          8,713  
Cost of Sales                (246)        (216)          (525)  
                           -------       ------         ------                 
                    
Gross profit                4,644        3,227          8,188  
Administrative Expenses    (4,549)      (3,378)        (7,328)  
                           -------      -------        -------
Operating profit before
amortisation of goodwill       95         (151)           860
Amortisation of goodwill      (41)          -             (34)  
                           -------      -------        -------                 
                    
Operating Profit               54         (151)           826  
Other interest receivable 
and other income                7           23             30  

Interest payable and 
similar charges               (20)         (21)           (49)  
                           -------      -------        -------
Profit on ordinary 
activities before taxation     41         (149)           807
                                                                
Tax on profit on ordinary
activities                    (16)          -            (313)  
                           -------       -------       -------
Profit on ordinary
activities after taxation      25         (149)           494
                           -------      -------        -------
Dividends                       -            -           (110)  
                           -------      -------        -------                 
                   
Transferred to reserves        25         (149)           384  
                           -------      --------       ------- 
Earnings per share           1.4p        (5.8p)          18.7p  

Diluted earnings per share   1.4p        (5.8p)          18.6p  

STATEMENT OF TOTAL REALISED GAINS AND LOSSES

The  profit  and  loss account reserve includes  a  movement  of
£57,000  relating to unrealised gains on translation of  foreign
currency investments.


Group Balance Sheet                                            
                               30           30          31
                              June         June      December
                              2000         1999        1999
                          (Unaudited)   (Unaudited)  (Audited)
                            £'000          £'000      £'000 

Fixed assets                                                   
Intangible assets             745            -          786 
Tangible assets             1,076          755          815 
Investments                    19            -           19 
                            ------       -------       ----
                            1,840          755        1,620 

Current assets                                                 
Debtors                     3,285        2,893        3,860 
Cash at bank and in hand      537          420          506 
                            ------       -------      -----
                            3,822        3,313        4,366 
Creditors: amounts falling                                     
due within one year        (2,083)      (1,557)      (2,497)
                            ------       -------     -------
Net current assets          1,739        1,756        1,869 
                            ------       -------     -------
Total assets less current
liabilities                 3,579        2,511        3,489 
                                                               
Creditors: amounts falling
due after one year           (155)        (120)        (109)

Deferred income              (898)        (964)        (992) 
                           -------       -------     -------
Net Assets                  2,526        1,427        2,388 
                           -------       -------     -------
Capital and reserves                                           
Called up share capital        28           26           27 
Share premium account         579           49          524 
Other reserves                759          759          759 
Profit and loss account     1,160          593        1,078 
                          -------        -------     -------                   
                      
Equity shareholders'
                  funds     2,526        1,427        2,388 
                          -------        -------     -------                   
                  

Group Cashflow Statement                                        
                         6 Months     6 Months       12 months
                         ended 30     ended 30        ended 31
                        June 2000    June 1999        December
                                                          1999
                       (Unaudited)    (Unaudited)    (Audited)
                            £'000        £'000          £'000 
Operating activities 
Operating profit               54         (151)           826 
Depreciation and  
amortisation charges          262          199            457 
(Increase)/decrease in     
debtors                       633          365           (452) 
Increase/ (decrease) in  
creditors                    (200)         (46)           (79) 
                           -------       -------       --------
Net cash inflow from 
operating activities          749          367            752 
                                                                
Net cashflow from returns
on investments and
servicing of finance          (13)           2            (18) 
Taxation                      (63)           -           (121) 
Net cashflow from capital                                      
expenditure and financial 
investment                   (482)        (232)          (280)
Net cashflow from  
acquisitions                     -           -           (164) 
Equity Dividend paid         (110)         (85)           (85) 
                            -------      -------       -------
Net cashflow before
financing                      81           52             84 

Net cashflow from financing    46           49           (234) 

Increase/ (Decrease) in  
cash in the period            127          101           (150) 

NOTES

1.   ACCOUNTING  POLICIES

The financial information contained in this interim
report does not constitute statutory accounts. The
interim results, which have not been audited, have been
prepared using accounting policies consistent with those
used in the preparation of the Annual Report and Accounts
for the Year ended 31 December 1999. Those accounts have
been filed with the Registrar of Companies and received
an unqualified audit report.

2.   TAXATION

Taxation to the six months to 30 June 2000 is based on
the effective rate of taxation which is estimated to
apply to the year ending 31 December 2000.

3.   EARNINGS PER SHARE

Basic earnings per share have been calculated by dividing
the profit on ordinary activities after taxation in the
period by the weighted average number of shares in issue
in the period 2,770,616 (six months to June 1999
2,560,676). The diluted earnings per share calculation
has been based on a fair value of 726p per share (30 June
1999 212p). The weighted average number of dilutive
shares is 2,788,358 (30 June 1999 2,581,513).

4.   SEGMENTAL INFORMATION

The group's turnover for each geographic area of
operation is:

                        30 June 00    30 June 99   31 Dec 99          
                           £'000         £'000        £'000

United States of America   2,601         2,010        4,690
Europe                     2,289         1,433        4,023
                           -----         ------      ------
                           4,890         3,443        8,713

The sales for the Far East are invoiced from the UK and
are included in the totals for Europe.