Interim Results

Holders Technology PLC
18 July 2006


                             HOLDERS TECHNOLOGY PLC

                        ANNOUNCEMENT OF INTERIM RESULTS
                    FOR THE SIX MONTH PERIOD TO 31 May 2006


CHAIRMAN'S STATEMENT


Results

Turnover for the six month period to 31 May 2006 was £9,030,000 as compared with
£7,190,000 for the similar period in the preceding year.  Pre-tax profit
increased to £403,000 (2005: £182,000).  Earnings per share amounted to 5.81p
(2005: 2.56p) and net assets totalled £5,157,000 (2005: £4,775,000).


Dividend

A net interim dividend of 2.0p per share (2005: 2.0p) will be paid on 19
September to shareholders on the Register of Members at the close of business on
25 August 2006.  The shares will go ex-dividend on 23 August 2006.


Activities

I am pleased to be able to report a recovery in profitability across the Group
with our subsidiaries in Holland and Sweden showing particularly marked
improvements on the preceding year.

While UK operations experienced only a modest increase in turnover, all of our
other European activities achieved significant growth in sales, despite supply
limitations at times in respect of a number of products.  The price of oil,
aluminium and copper, all of which impact the prices of the products we supply
to customers, increased in the period, but generally we have been able to
maintain our margins.  Exchange rate movements had a negligible effect on the
results.

Due to the restructuring which we undertook last year, we have been able to
contain overheads despite higher volumes and significant cost increases in some
areas such as energy costs.

The growth in turnover in the half year caused an increase in the group's
working capital, with notably higher debtors and prepayments.  This resulted in
a reduction in net cash balances of £409,000 since the end of the last financial
year, however, the Group has a strong balance sheet and at 31 May 2006 net debt
was £34,000 (2005: £110,000).

After a number of delays our Chinese WOFE (Wholly Owned Foreign Enterprise) was
successfully registered in May 2006 and we are now able to look to expand our
operations in China. As I have said in earlier statements, we believe there are
significant opportunities open to us in this market but we will be taking a
prudent approach. If we are successful the results will take time to show
through and the impact on the current year will necessarily be modest.

We believe that the sound performance in the first half of the current year
leaves us well placed to achieve a satisfactory result for the year as a whole.

The interim financial statements were approved by the Board on 18 July 2006 and
signed on its behalf by:

Rudolf W. Weinreich                                       Holders Technology plc
Chairman and Chief Executive                              Devonshire House
                                                          Manor way
                                                          Borehamwood
                                                          Hertfordshire WD6 1QQ
18 July 2006


GROUP PROFIT AND LOSS ACCOUNT
for the half-year ended 31 May 2006

                                                  Unaudited           Unaudited             Audited
                                                  half-year           half-year           full-year
                                                   ended 31            ended 31            ended 30
                                                   May 2006            May 2005            Nov 2005
                                   Notes              £'000               £'000               £'000
Turnover
          Continuing operations           1           9,030               7,190              14,740
Operating profit
          Continuing operations                         417                 202                 509
Share of associates operating (loss)/profit            (25)                   -                (25)
Total operating profit                                  392                 202                 484
Cost of fundamental restructuring                         -                   -               (215)
Deferred consideration arising on
sale of former subsidiary                                 6                  12                  24
Profit on ordinary activities
before interest and tax                                 398                 214                 293
Net interest receivable/(payable)
and similar charges                                       5                (32)                (19)
Profit before taxation                                  403                 182                 274
Taxation                                  2           (162)                (72)                  88
Profit after taxation                                   241                 110                 362
Minority interests - equity                               -                 (4)                 (7)
Profit for the period                                   241                 106                 355
Dividends                                 3           (114)               (114)               (197)
Transfer to/(from) reserves                             127                 (8)                 158

Earnings per share                        4           5.81p               2.56p               8.57p
Diluted earnings per share                4           5.61p               2.52p               8.38p


STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES

Profit for the financial year                           241                 106                 355
Currency translation differences                       (40)                (41)                (32)
Total recognised gains and losses                       201                  65                 323



GROUP BALANCE SHEET AT 31 MAY 2006
                                                        Unaudited            Unaudited              Audited
                                                        half-year            half-year            full-year
                                                         ended 31             ended 31             ended 30
                                                         May 2006             May 2005             Nov 2005
                                                            £'000                £'000                £'000
Fixed assets

    Intangible assets                                         393                  404                  410
    Tangible assets                                           502                  596                  509
    Investment in associated undertaking                       65                  121                  103
                                                              960                1,121                1,022

Current assets
    Stocks                                                  2,643                2,737                2,624
    Debtors                                                 4,218                3,276                2,970
    Cash at bank and in hand                                  376                  377                  734
                                                            6,390                6,390                6,328
Creditors
    Amounts falling due within one year                   (2,854)              (2,631)              (2,202)

Net current assets                                          4,383                3,759                4,126

Total assets less current liabilities                       5,343                4,880                5,148

Creditors:  amounts falling due after one year                (1)                  (1)                  (6)

Provision for liabilities and charges                       (186)                (104)                (186)

                                                            5,157                4,775                4,956
Capital and reserves
    Called up share capital                                   414                  414                  414
    Share premium account                                   1,525                1,525                1,525
    Capital redemption reserve                                  1                    1                    1
    Profit and loss account                                 2,970                2,708                2,769
Equity shareholders' funds                                  4,910                4,648                4,709

Minority interests - equity                                   247                  127                  247

                                                            5,157                4,775                4,956



GROUP CASH FLOW
for the half-year ended 31 May 2006
                                                         Unaudited            Unaudited              Audited
                                                         half-year            half-year            full-year
                                                          ended 31             ended 31             ended 30
                                                          May 2006             May 2005             Nov 2005
                                                             £'000                £'000                £'000

Net cash (outflow)/inflow from operating activities(1)       (309)                  144                  753

Returns on investment and servicing of finance
   Interest received                                             3                    2                    5
   Interest paid                                               (4)                  (5)                 (21)
   Finance lease interest                                      (1)                  (2)                  (3)
Net cash flow from returns on investment and
servicing of finance                                           (2)                  (5)                 (19)

Taxation                                                        64                (193)                (264)

Capital expenditure

   Payments to acquire tangible fixed assets                  (65)                 (61)                (116)
   Receipts from sales of tangible fixed assets                 18                   14                   58
                                                              (47)                 (47)                 (58)

Acquisitions and disposals
   Net cash acquired with subsidiary undertaking                 -                    -                    9
   Investment in associated undertaking                          -                 (24)                 (31)
   Deferred consideration arising on sale of former
   subsidiary                                                    6                   12                   24
                                                                 6                 (12)                    2

Equity dividends paid                                        (114)                (114)                (197)

Cash flow before financing                                   (402)                (227)                  217

Financing
   Capital element of finance leases                           (7)                 (25)                 (42)

(Decrease)/increase in cash  2                               (409)                (252)                  175



     
1.   Reconciliation of operating profit to net cash inflow from operating 
     activities

                                                     Unaudited            Unaudited              Audited
                                                     half-year            half-year            full-year
                                                      ended 31             ended 31             ended 30
                                                      May 2006             May 2005             Nov 2005
                                                         £'000                £'000                £'000

   Operating profit                                        417                  202                  509
   Depreciation                                             69                   86                (187)
   Amortisation of goodwill                                 16                   17                   30
   Currency translation                                   (26)                 (28)                  (4)
   Cost of fundamental restructuring                         -                    -                (215)
   Loss on sale of tangible fixed assets                  (15)                  (5)                  (7)
   Change in stocks                                       (19)                (130)                 (17)
   Change in debtors                                   (1,366)                (478)                  215
   Change in creditors                                     615                  480                   55

   Net cash inflow from operating activities             (309)                  144                  753

     
2.   Reconciliation of net cash flow to movement in net (debt) / funds

(Decrease)/increase in cash                              (409)                (252)                  175
Cash flow from change in debt and lease
finance                                                      7                   25                   42

                                                         (402)                (227)                  217

Exchange gains/(losses) on currency balances                 7                 (27)                    -
                                                         (395)                (254)                  217

Opening net funds                                          361                  144                  144

Closing net (debt) / funds                                (34)                (110)                  361



Notes:
     
1.   The interim results are prepared on the basis of accounting policies set 
     out in the financial statements for the year ended 30 November 2005, except 
     that FRS21 (Events after the Balance Sheet Date) has been adopted.  The 
     effect of this is that dividends paid by the company are accounted for in 
     the period in which the company is liable to pay them.  Previously, the 
     company accrued dividends in the period in which the net profit, to which 
     those dividends related, was accounted for.  The unaudited comparative 
     figures for May 2005 have been restated in accordance with the new policy;
     however the audited figures for 30 November 2005, which have not been 
     restated, will be restated in the audited accounts for the year ending 30 
     November 2006.

2.   The tax charge for the six months ended 31 May 2006 is calculated based on 
     the tax rates applicable in the country in which each company operates.  
     The effective rate of tax is 40.2% (2005: 39.6%). Taxation includes a 
     charge of £129,000 (2005: £42,000) relating to overseas operations.

3.   The dividend expense represents the final dividend of 4.75p per share on 
     the total issued share capital of 4,144,551 10p ordinary shares, which was 
     paid on 23 May 2006 in respect of the year ended 30 November 2005.

     An interim dividend payment of 2.0p per share will be payable on 19 
     September 2006.  The interim dividend was not approved by the board at 31 
     May 2006 and accordingly, has not been included as a liability as that 
     date.

4.   The earnings per ordinary share (basic and diluted) for the six months 
     ended 31 May 2006 have been calculated using Financial Reporting Standard 
     14.  The calculation of basic earnings per share, for the six months, is 
     based on the profit attributable to equity shareholders of £241,000 (2005:
     £106,000) and on 4,144,551 ordinary shares (2005: 4,144,551) being the 
     weighted average number of shares in issue during the period.  Diluted 
     earnings per share is based on 4,299,551 ordinary shares (2005: 4,209,551), 
     being the weighted average number of ordinary shares after an adjustment of
     155,000 shares (2005: 65,000) in relation to share options.

5.   The results for the half year to 31 May 2006 are unaudited.  The results 
     for the year ended 30 November 2005 are taken from the full accounts filed 
     with the Registrar of Companies, which contained an unqualified audit 
     report and did not contain statements under s237 (2) or (3).

6.   A copy of this interim report is being sent to shareholders and is 
     available for inspection at the Company's registered office, Devonshire 
     House, Manor Way Borehamwood, Herts WD6 1QQ.


For further information please contact:

Mr Rudi Weinreich, Chairman and Chief Executive, Holders Technology plc,
on 020 8731 4336

Mr Jim Shawyer, Group Finance Director, Holders Technology plc,
On 020 8731 4336

Mr Barrie Newton, Director, Rowan Dartington and Company Limited,
on 0117 933 0020.


Website:          http://www.holders.co.uk



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