Trading Statement

GB Group PLC 12 April 2007 Embargoed until 07.00 12 April 2007 GB GROUP PLC ('GB' or the 'Group' or 'GB Group') TRADING UPDATE The Group today announces a trading up-date for the year ending 31 March 2007. GB Group has substantially improved its future prospects over the course of this year. The Directors are pleased to report that revenues for the year are expected to show good growth, up 17 per cent. at £15.0 million compared to the previous year. In addition, the Group has enhanced its DataAuthentication offering to its clients. Due to delayed recognition of revenues within the DataAuthentication business and other factors, the Group expects to report a loss before tax of £1.2 million, approximately £0.8 million greater than the current estimates, for the year ending 31 March 2007. Cash balances at 31 March 2007 are, however, ahead of market estimates at £5.2 million, principally as a result of non-refundable cash receipts in respect of deferred DataAuthentication revenue. Trading in GB's DataAuthentication business is strong and revenues for the year are expected to have more than doubled to £4.8 million (2006: £1.9 million). The experience during the second half of the year was that lead times for closing contracts, together with the time taken for clients to integrate GB's services, increased as new businesses of increased size, particularly in the Financial Services sector, became customers. As a result, contracts were closed later than expected and a greater amount of non-refundable, prepaid revenue has been carried forward for recognition in future periods in accordance with International Accounting Standards. Contracted prepaid revenue deferred to future periods at 31 March 2007 was £1.2 million and revenue recognised in the year is below market expectations by a similar amount. In GB's traditional businesses of DataIntegrity and DataSolutions, markets became increasingly mature with greater than expected competitive pressure on turnover and profitability. To counter this trend, and following further investment during the year, GB has recently made a high proportion of these services available online. This innovation successfully differentiates GB from its competition and has been well received in the market. DataAuthentication DataAuthentication has enjoyed strong growth and has excellent prospects. From its inception in 2004, revenue has grown to a current monthly rate of approximately £0.5 million and contracted clients now number 154 including many of the leading businesses in Financial Services, Mobile Telecommunications and Gaming. It is now also acquiring significant clients in the Retail sector. In March 2007, GB entered into a five year agreement with Europe's leading electrical retailer, DSG international plc ('DSGi'), to provide and host a customer verification and registration processing system to all of DSGi's stores in the UK. The DataAuthentication business has the opportunity to become the dominant provider of online verification solutions of individuals in the UK. To exploit this opportunity, further appropriate financial investment is being made, particularly in the areas of sales and marketing. During the financial year to 31 March 2007, GB expanded its verification business into international markets as planned. Replicating the successful UK model, GB now offers electronic services to authenticate individuals in 21 countries. During the second half of the financial year, significant international contracts were signed and it is anticipated that this international business will demonstrate substantial future growth. DataIntegrity and DataSolutions The Directors believe these markets, essentially the capture, processing and analysis of address data, will move from the present periodic supply of data to clients on disk to the real time on-line availability of data to clients through a web-based delivery solution. GB has, therefore, developed such an online solution and, since its introduction in January, this solution has successfully displaced competing 'off line' products provided by GB's competitors. The improvement in the offering gives GB the opportunity to increase its revenue and market share and, to this end, GB will continue to invest in new product development and in sales and marketing in the year to 31 March 2008. Infrastructure and Technology As planned, GB invested £1 million in infrastructure and technology in December 2006 when it moved to larger offices and simultaneously renewed its computer systems giving the business significant capacity for growth. Cash and Dividend Cash balances at 31 March 2007 of £5.2 million were ahead of expectations. GB has sufficient resources to invest in both technology and personnel for the benefit of the Company and its shareholders. In line with this strong liquidity and GB's future prospects, the Directors intend to recommend a maintained final ordinary dividend of 0.75 pence per share in respect of the year to 31 March 2007 at the AGM on 19th July 2007. Summary This continues to be a business with real and substantial prospects and the Directors are excited by the present opportunities. - Ends - For further information, please contact: GB Group plc Richard Law, Chief Executive 01244 657 333 Mona Navin-Mealey, Finance Director KBC Peel Hunt Ltd 0207 418 8900 David Davies Nicholas Marren Weber Shandwick Financial 0207 067 0700 Richard Hews Helen Thomas Website www.gb.co.uk Notes to Editors About URU(TM) URU is an online identity verification service which was developed jointly with BT and is DataAuthentication's principle offering. URU, which is powered by GB's ID3TM search engine and decision making technology, provides access to GB's comprehensive range of identity data and BT's high capacity web delivery. It helps organisations to protect themselves from the growing problem of identity theft and fraud, which is estimated to cost the UK economy over £1.7 billion per annum. URU enables companies subscribing to the service to make an instant decision whether to accept the identity claimed by any given individual and confirm their age in seconds. URU works by cross checking personal information provided by an individual at the point of acquisition against a comprehensive range of datasources to confirm that an individual is who they claim to be, live where they claim to live and meet certain minimum legal age requirements. No personal data is disclosed by the reference databases and as a result URU is compliant with the Data Protection Act. URU also provides a valuable audit trail demonstrating that the necessary checks have taken place, thereby helping companies comply with legislation, including the 2nd European Money Laundering Directive, Proceeds of Crime Act and Minimum Legal Age requirements of certain industry sectors. The addition of data from CallCredit also enables users of URU to incorporate credit reference data. As a result of legislation, new opportunities and social responsibility requirements, the market for online ID verification is significant and growing. Although an estimated 0.5 billion manual ID checks are conducted annually in the UK, less than 6%* of these are currently performed electronically. (* figures as at November 2006) URU has demonstrated that online checks are more effective, less expensive and more robust. The market is moving towards online checks as fraudulent documents become ever more sophisticated, more readily available and more difficult to check manually. It is estimated that by 2010, the market for online ID checks could be 300 million checks per annum. GB works closely with trade and industry associations, such as the Finance and Leasing Association, the Remote Gambling Association and the Financial Technology Research Centre, to advise businesses that more robust processes can prevent financial crime. We have worked closely with the Gaming Industry to address social issues such as underage gambling and addiction and our Social Responsibility Consultancy helps Gaming operators formulate best practice to comply with regulatory requirements and improve profitability. About ID3-Check ID3-Check is an international online identity verification service developed by GB's DataAuthentication business. It is a hybrid international version of the technology underpinning URU, GB's joint project with BT which is now the UK's leading online age and identity verification service. The service helps organisations to protect themselves from the growing global problem of identity theft and fraud. ID3-Check enables organisations subscribing to the service to make an instant decision whether to accept the identity claimed by an individual and confirm their age in seconds. ID3-Check can confirm the age and identity of nearly half a billion people in 21 countries including Australia, Canada, the USA and most Western European countries. ID3-Check works by cross checking personal information provided by an individual at the point of acquisition against a comprehensive range of data sources to confirm that an individual is who they claim to be, live where they claim to live and meet certain minimum legal age requirements. No personal data is disclosed by the reference databases and as a result ID3-Check is compliant with Data Protection laws. ID3-Check also provides a valuable audit trail demonstrating that the necessary checks have taken place, thereby helping companies comply with legislation, including the 2nd European Money Laundering Directive, Proceeds of Crime Act and Minimum Legal Age requirements of certain industry sectors. As a result of legislation, new opportunities and social responsibility requirements, the market for online ID verification across borders is significant and growing. About GB Group plc GB Group plc provides a range of products and services to enable organisations to capitalise on one of their greatest assets - customer data. The Company has expertise across a range of sectors and is able to transform customer data into valuable information, enabling clients to make better, more informed decisions. The development of innovative software and services, through to the provision of the UK's most comprehensive consumer business databases - The National Register (R) and the National Authentication Register - positions GB Group as a widely acknowledged industry leader in its specialist markets. We are constantly improving business processes by building on our core values of Innovation, Quality and Excellence. This is reflected in our customer satisfaction surveys and also through research, carried out by Manchester Business School, which confirms our products are out-performing the competition. GB Group plc has three complementary offerings: • DataAuthentication helps businesses validate personal identity information and provides anti-fraud solutions to fight crime. • DataIntegrity helps companies capture and maintain accurate customer contact data, an essential foundation for any profitable customer relationship. • DataSolutions empowers companies to consolidate and analyse customer data from various sources, enabling them to make better, more informed decisions. Established since 1989, GB's core competencies combined with industry sector knowledge have enabled the company to deliver significant value to organisations helping them derive maximum value from their customer data and sustain real advantage over their competition. GB Group is supported by its key relationships with major organisations with whom it works with on major initiatives (an example being British Telecom), together with a team of highly talented and motivated staff successfully delivering business solutions. GB Group plc is listed on the London Stock Exchange (www.gb.co.uk). This information is provided by RNS The company news service from the London Stock Exchange

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