Final Results

Auxinet PLC
16 April 2002




AUXINET GROUP plc

CHAIRMAN'S STATEMENT

2001 was a year of change, ending with the Group focused purely on payments
processing, having exited the recruitment business during the year. The group is
now comprised of the DataCash and Platima payments businesses.

In the period under review, DataCash confirmed its position as the UK's leading
PSP (Payment-Services-Provider), processing over 9m transactions, compared with
3.6m in 2000 and this growth is expected to continue. Datacash revenues grew
from £1.2 million in 2000 to £2.1 million in 2001.

The underlying operating loss for the continuing business for 2001 was £1.3m,
although the headline group operating loss before tax was £6.6m which includes
the cost of all group development expenditure incurred in the year (£0.93m), the
annual amortisation of goodwill which arose on the DataCash acquisition
(£1.98m), losses due to discontinued operations (£0.43m) and other non-recurring
costs (£1.96m).

First and second half revenues were similar, however first half results were
inflated by a high value fixed price contract which, when predicted transaction
volumes did not materialise, was cancelled. Underlying revenue growth in the
second half was in excess of 20%.

Although the service has its base in the e-commerce world, an increasing amount
of our business is coming from customers' call centre based transactions and
other more traditional markets. New products have been introduced to complement
the core Datacash product, including fraud-screening and the first on-line
Direct Debit service in the UK.

Platima, our Business-to-Business payments solution that was launched last year,
has still to generate any transaction volumes. Having initially marketed the
solution towards online exchanges, the disappointing performance of these has
resulted in the re-positioning of Platima towards the established procurement
processing market and we are currently in discussion with several blue-chip
companies. However, we do not expect any significant Platima revenues in the
short term.

We have therefore decided, as matter of prudence and in line with best practice
accounting policies, to expense all group development costs, including those
associated with Platima, although we remain optimistic with regard to the
potential for this product.

As part of our strategy of becoming a pure payments processing group the
recruitment businesses were sold during the year. Unfortunately a collapse in
demand for senior IT executives which was their core business, resulted in the
businesses being sold for only a nominal sum in August 2001.

The Board reiterates its expectations that we will achieve both profitability
(before goodwill amortisation) and positive cash generation in the course of
2002.

There have been a number of board changes during and since the year end. Julian
Compton and Marc Wood both left the business at the end of December and Keith
Butcher joined as Finance Director in March 2002 .

I would like to take this opportunity to thank the staff of Auxinet plc for
their commitment during what has been a year of considerable change.

Your company has been re-structured to be totally focused upon payments
solutions, and we remain excited about the prospects and future growth. We stand
on the cusp of profitability, have a market leading position and world-class
products. We look forward to reporting on further progress.



David Bailey

Chairman


Auxinet plc

Consolidated Profit and Loss Account
For the year ended 31 December 2001

                                                              Continuing     Discontinued
                                                              Operations       Operations           Total       Restated
                                                              Year ended       Year ended      Year ended     Year ended
                                                Note         31 December      31 December     31 December    31 December
                                                                    2001             2001            2001           2000
                                                                    £000             £000            £000           £000

                                    Turnover      3                2,073              971           3,044          5,085

Administrative expenses
- exceptional items
Amortisation of Goodwill                          4              (1,975)                -         (1,975)        (1,537)
National insurance
on share option credit/(charge)                 4,17                 157                -             157           (39)
Severance payments                                4                (112)                            (112)              -
Share Scheme Credit                               4                    -                -               -              -
Legal Claims                                      4                    -                -               -              -
Aborted Acquisition Costs                         4                    -                                -

                    Other operating expenses                     (6,313)          (1,401)         (7,714)        (8,816)
                      -allocated group costs
Total administrative expenses                                    (8,243)          (1,401)         (9,644)       (10,392)

  Operating (loss)/profit before exceptional                     (4,240)            (430)         (4,670)        (3,731)
                                       items
                           Exceptional items                     (1,930)                -         (1,930)        (1,576)
Operating loss                                    5              (6,170)            (430)         (6,600)        (5,307)

Interest receivable and similar income            8                                                    65            231

Amounts written off investments                  13                                                 (310)           (30)

Interest payable and similar charges              8                                                   (3)           (15)

Loss on ordinary activities before taxation                                                       (6,848)        (5,121)

Tax on loss on ordinary activities                9                                                     -              -

Loss on ordinary activities after taxation                                                        (6,848)        (5,121)

                                   Dividends                                                            -              -

Loss for the financial year                                                                       (6,848)        (5,121)

Basic and diluted loss per share                 10                                               (16.96) p      (15.56)

Diluted Earnings per Share                       10                                               (16.96) p      (15.56)


Adjusted basic and diluted loss per share        10                                               (12.18) p      (10.77)



The comparative figures have been restated
to reflect a prior year adjustment details
of which can be found in note 2.

There are no differences between historical
cost profits and losses and those shown
above.

The notes on pages 24 to 37 form part of
these financial statements.


Consolidated Statement of Total Recognised
Gains and Losses
For the year ended 31 December 2001                                              Restated
                                                             Year ended        Year ended
                                                            31 December       31 December
                                                                   2001              2000
                                                                   £000              £000

Loss for the financial year                                      (6,848)          (5,121)
Prior year adjustment                             2              (1,750)

Total Recognised gains and losses since last                     (8,598)
annual report


Consolidated Balance Sheet
As at 31 December 2001                                                           Restated
                                                             31 December      31 December
                                                                    2001             2000

                                                                    £000             £000

                                Fixed assets
                           Intangible assets     11               16,237           18,212
                             Tangible assets     12                  312              587
                                 Investments     13                  210              470
                                                                  16,759           19,269

                              Current assets
                                     Debtors     14                  728            1,905
Cash at bank and in hand                                             951            3,080

                                                                   1,679            4,985

                                   Creditors
Amounts falling due within one year              15              (1,466)          (2,831)

                          Net current assets                         213            2,154

Total assets less current liabilities                             16,972           21,423

Provisions for liabilities and charges           17                (525)            (172)

                                                                  16,447           21,251

Capital and reserves
Called up share capital                          19                  432              378
Share premium account                            20                9,442            7,452
Share scheme reserve                             20                   19               19
                              Merger reserve     20                (124)            (124)
                               Other reserve     20               18,889           18,889
                     Profit and loss account     20             (12,211)          (5,363)

Equity shareholders' funds                                        16,447           21,251

The comparative figures have been restated
to reflect a prior year adjustment details
of which can be found in Note 2

The notes on pages 24 to 37 form part of
these financial statements.

                                                                       -                -
   The financial statements were approved by
     the Board of Directors on 15 April 2002

                                David Bailey
                                    Director


Company Balance Sheet
As at 31 December 2001
                                                             31 December       31 December
                                                                    2001             2000
                                                                    £000             £000

                                Fixed assets
                             Tangible assets     12                   20               60
                                 Investments     13                  597              597
                                                                     617              657

                              Current Assets
                                     Debtors     14                9,072            5,108
Cash at bank and in hand                                             918            2,745

                                                                   9,990            7,853

                                   Creditors
Amounts falling due within one year              15                (304)            (349)

                          Net current assets                       9,686            7,504

Total Assets Less Current Liabilities                             10,303            8,161

                                   Creditors
Amounts falling due after more than one year

Provisions for liabilities and charges           17                    -                -


                                                                  10,303            8,161

Capital and Reserves
Called up share capital                          19                  432              378
                       Share premium account     20                9,442            7,452
Share scheme reserve                             20                   19               19
                     Profit and loss account     20                  410              312

Equity shareholders' funds                                        10,303            8,161

The notes on pages 24 to 37 form part of
these financial statements.

The financial statements were approved by
the Board of Directors on 15 April 2002



                                David Bailey
                                    Director

Consolidated Cash Flow Statement
For the year ended 31 December 2001
                                                              Year ended                       Year ended
                                                             31 December                      31 December
                                                Note                2001                             2000
                                                                    £000                             £000

Net cash outflow from operating activities       22              (3,885)                          (1,752)

     Returns on investments and servicing of
                                     finance
Interest received                                                     65                              231
                               Interest paid                         (3)                              (2)
Interest element of finance lease rental                               -                             (13)
payments

Net cash inflow from returns on investments
and servicing of finance                                              62                              216

                                    Taxation
        Corporation tax paid (including ACT)                           -                                -

                                    Tax paid                           -                                -

Capital expenditure and financial investment
           Purchase of tangible fixed assets                       (277)                          (1,894)
               Sale of tangible fixed assets                          35                               16
                           Development costs                           -                                -
                Increase in investment loans                        (50)                            (370)
      Acquisition of fixed asset investments                           -                            (100)

Net cash outflow from capital expenditure                          (292)                          (2,348)
and financial Investments

Acquisitions and disposals
Investments in subsidiary undertakings                                 -                            (315)
Cash acquired with subsidiaries                                        -                               63

Net cash outflow from acquisitions and                                 -                            (252)
disposals

Net cash outflow before management
           of liquid resources and financing                     (4,115)                          (4,136)

              Management of liquid resources
Decrease/(Increase) in short term bank                             1,837                          (2,500)
deposits

Net cash Inflow/(Outflow) from management of                       1,837                          (2,500)
liquid resources

                                   Financing
     Capital element of finance lease rental                        (58)                             (68)
                                    payments
   Issue of ordinary share capital including                       2,027                            6,757
                   premium (net of expenses)
                   Exercise of share options                          18                                6

Net cash inflow from financing                                     1,987                            6,695

(Decrease)/increase in cash in the year          23                (291)                               59

Reconciliation of Net Cash Flow to Movement
in Net Funds (note 23)
For the year ended 31 December 2001
                                                             Year ended                        Year ended
                                                            31 December                       31 December
                                                                   2001                              2000
                                                                   £000                              £000

(Decrease)/increase in cash in the year                            (291)                               59

Cash outflow from lease financing                                     58                               68

Cash (outflow)/inflow from management of                         (1,837)                            2,500
liquid resources

                       Movement in net funds                     (2,071)                            2,627

                           Opening net funds                       3,022                              395

                           Closing net funds                         951                            3,022











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