Interim Results

Lok'n Store Group PLC
30 April 2001

                             LOK'NSTORE GROUP PLC

                               INTERIM RESULTS

                    FOR THE SIX MONTHS TO 31 JANUARY 2001

                                  Highlights

  * Turnover increased by 41% to £1.91 million (2000: £1.355 million)
  * Annualised revenues now £4 million
  * Profit before tax of £127,457 (2000: £213,817) despite start-up costs
    associated with the three new centre openings
  * Expansion programme progressing very well:


         -     Three new storage centres added during period - at Milton
               Keynes, Northampton and Swindon

         -     Site at Sunbury acquired post period end - to open in the summer

         -     Ashford store to open in the autumn

  * Total portfolio of stores now stands at 16, providing 725,666 sq ft of
    lettable space
  * April 2001, Steven Hourston, from Boots The Chemist, joined as Managing
    Director

Simon Thomas, chairman, commented,

'I am delighted to report that Lok'nStore continues to make excellent
progress. Over the six month period, we have added three new properties to our
fast expanding portfolio of centres. These have already come on stream and we
expect a further two sites to open for business in due course.

We have further strengthened our Board with the appointment of Steven Hourston
who joins from Boots The Chemists, where he was Regional General Manager of
South East England.

Prospects for our continuing expansion are excellent and the Board remains
confident of reporting further healthy progress at the full year.'



Press enquiries:
Lok'nStore Group plc  Simon Thomas, chairman                 Tel: [phone]
                      Andrew Jacobs, chief executive
Biddicks              Katie Tzouliadis                       Tel: [phone]



CHAIRMAN'S STATEMENT

Results

I am delighted to report that Lok'nStore continues to make excellent progress.

Turnover for the six months to 31 January 2001 increased by 41% to £1.91
million (2000: £1.35 million) and on an annualised basis, is currently in
excess of £4.0 million. Profit before tax for the period was £127,457 compared
to £213,818 last year, reflecting our stated policy of re-investing any
surpluses into the development of new storage centres. Cash flow from
operating activities, a guide to the growth in our underlying business,
increased dramatically to £503,783 for the six months to 31 January 2001 as
compared to £455,554 for the full year to 31 July 2000.

Expansion

During the period under review, Lok'nStore added three further storage centres
to its portfolio of properties. These acquisitions in aggregate add
approximately 202,000 sq ft of lettable space, an increase of 38% over our
year end total in July 2000. The centres, at Northampton, Swindon (a second
centre for us in this town) and Milton Keynes, are in prime locations and were
fitted and fully operational by March. In February, we acquired a leasehold
property in Sunbury on Thames. Offering 56,000 sq ft of lettable storage
space, it will become a flagship store for us and we expect to open for
business in the early Summer. The site should also benefit from referrals from
our nearby stores at Kingston, Woking and Staines.

During the course of the Summer, we will also be gaining vacant possession of
our building at Ashford, which we purchased in June last year. It will then be
refurbished and opened as a storage centre in the Autumn.

In addition to acquiring new sites, we purchased the freehold at our existing
Swindon store in September.

The Sunbury acquisition takes the group's total number of self-storage centres
to 16. When fully fitted, the portfolio will provide approximately 725,666
sq.ft. of lettable storage space, and when mature, the stores are expected to
generate sales of around £10 million per annum.

Board Appointment

In March, we were delighted to announce the appointment of Steven Hourston to
the Board as Managing Director. Steven's appointment, which took effect on 2
April, supports the dramatic increase in the scale of Lok'nStore's business.
He joins from Boots The Chemists, where he was Regional General Manager for
South East England and where he worked for the past fifteen years. He brings
with him a wealth of experience having been in operational control of over 150
stores employing 7,500 people. His appointment further emphasises our
commitment to provide the highest levels of customer service in order to
maintain our record of impressive sales growth.

Steven's primary task is to ensure that our stores fill up at the fastest
possible rate since this has a direct impact on the number of new centres we
can open. The main drivers behind the fill-up rate are location, presentation,
marketing and perhaps most importantly, staff motivation. These are all areas
where Steven has considerable expertise.

Prospects

Our confidence in the U.K. self-storage market remains very high. The
combination of predictable returns and high growth rates provides an
opportunity that we are determined to seize. As these results show, Lok'n
Store is making excellent progress towards its aim of operating 50 storage
centres. I look forward to updating shareholders on our continuing expansion
at the full year.



CONSOLIDATED PROFIT AND LOSS ACCOUNT

For the period ended 31 January 2001

                                  Notes         Unaudited              Audited
                                          31 January   31 January      31 July

                                                2001         2000         2000

                                                  £            £            £

TURNOVER
Continuing operations                     1,906,900    1,354,909    2,879,192
Acquisitions                                      -            -       26,517


                                          1,906,900    1,354,909    2,905,709

Operating expenses                       (1,641,506)  (1,080,027)  (2,418,952)


OPERATING PROFIT/(LOSS)
Continuing operations                       265,394      274,882      549,311
Acquisitions                                      -            -      (62,554)


                                            265,394      274,882      486,757

Exceptional item (re AIM                          -            -     (194,453)
admission)

Interest receivable                             664       32,311       36,914
Interest payable                           (138,601)     (93,375)    (110,143)


PROFIT ON ORDINARY ACTIVITIES               127,457      213,818      219,075
BEFORE TAXATION

Taxation                             2            -            -            -


PROFIT ON ORDINARY ACTIVITIES               127,457      213,818      219,075
AFTER TAXATION


EARNINGS PER SHARE

Basic                                 3       0.59p        1.13p        1.11p
Fully diluted                         3       0.56p        1.07p        1.04p




CONSOLIDATED BALANCE SHEET

31 January 2001
                                                  Unaudited            Audited
                                            31 January  31 January     31 July
                                                  2001        2000        2000
                                                     £           £           £
FIXED ASSETS
Intangible assets                             468,214           -     474,278
Tangible assets                             9,474,366   5,417,439   7,196,453
Investments                                   172,917           -     172,917


                                           10,115,497   5,417,439   7,843,648



CURRENT ASSETS
Stock                                          37,063      12,773      21,764
Debtors                                     1,116,710     448,120     757,160
Cash at bank and in hand                    1,767,316   4,146,585   2,367,653


                                            2,921,089   4,607,478   3,146,577

CREDITORS: Amounts falling due             (1,312,603) (1,447,171) (1,702,926)
within one year


NET CURRENT ASSETS                          1,608,486   3,160,307   1,443,651


TOTAL ASSETS LESS CURRENT                  11,723,983   8,577,746   9,287,299
LIABILITIES

CREDITORS: Amounts falling due after       (5,553,134) (2,659,612) (3,243,907)
more than one year


                                            6,170,849   5,918,134   6,043,392


CAPITAL AND RESERVES
Called up share capital                       214,563     213,472     214,563
Merger reserve                              6,295,295   6,176,385   6,295,295
Profit and loss account                      (339,009)   (471,723)   (466,966)


SHAREHOLDERS' FUNDS                         6,170,849   5,918,134   6,043,392



CONSOLIDATED CASH FLOW STATEMENT

For the period ended 31 January 2001
                                   Notes         Unaudited              Audited
                                           31 January   31 January      31 July

                                                 2001         2000         2000

                                                   £            £            £

Cash flow from operating              4      503,783      390,968      455,554
activities

Returns on investments and                  (137,937)     (61,064)     (73,229)
servicing of finance

Taxation                                           -            -            -

Capital expenditure and financial         (2,485,289)    (337,306)  (2,289,852)
investment

Acquisitions and disposals                         -            -     (537,985)


CASH OUTFLOW BEFORE FINANCING             (2,119,443)      (7,402)  (2,445,512)

Financing                                  1,519,106    3,632,962    4,292,140


(DECREASE)/INCREASE IN CASH IN THE          (600,337)   3,625,560    1,846,628
PERIOD



RECONCILIATION OF NET CASH FLOW TO MOVEMENT IN DEBT
                                                      

                                        31 January    31 January       31 July  
     
                                              2001          2000          2000 
                                                 £             £             £


(Decrease)/increase in cash in the        (600,337)    3,625,560     1,846,628
year

Change in net debt resulting from       (1,479,256)       58,051      (590,851)
cash flows

Net finance leases                               -             -       (10,285)


MOVEMENT IN NET DEBT IN PERIOD          (2,079,593)    3,683,611     1,245,492

NET DEBT BROUGHT FORWARD                (1,397,881)   (2,643,373)   (2,643,373)


NET DEBT CARRIED FORWARD                (3,477,474)    1,040,238    (1,397,881)



NOTES TO THE INTERIM ACCOUNTS

1.     BASIS OF PREPARATION


        The interim financial statements have been prepared on the basis of
        the accounting policies as set out in the statutory financial
        statements for the year ended 31 July 2000. The interim financial
        statements, which were approved by the Directors on 25 April 2001, are
        unaudited.

2.     TAXATION


        There is no charge to corporation tax for the group due to the
        availability of brought forward trading losses.

3.     EARNINGS PER ORDINARY SHARE


        The calculation of earnings per ordinary share is based on the profit
        for the period of £127,457 (year to 31 July 2000 - profit of £219,075,
        period to 31 January 2000 - profit of £213,818) and on the weighted
        average number of shares in issue during the period of 21,456,303
        shares (31 July 2000- 19,800,018 shares; 31 January 2000- 18,847,212).

        Fully diluted earnings per share includes shares held under the
        directors' option scheme (note 5) and is based on a profit for the
        period of £127,457 (year to 31 July 2000 - profit of £219,075; period
        to 31 January 2000 - profit of £213,818) and on a weighted average
        number of shares during the period of 22,928,987 shares (31 July 2000
        - 21,052,294 shares; 31 January 2000 - 19,919,608 shares).


4.    CASH FLOWS                                          Unaudited     Audited

                                                         31        31        31
                                                    January   January      July 
 
                                                       2001      2000      2000 


                                                         £         £         £
      Reconciliation of operating profit to net
      cash inflow from operating activities

      Operating profit                             265,394   274,882   486,757
      Depreciation                                 207,376   112,693   257,538
      Amortisation                                   6,064         -    10,815
      Decrease/(increase) in stocks                (15,299)    4,425    (4,566)
      Decrease/(increase) in debtors              (359,550)   36,727  (228,162)
      (Decrease)/increase in creditors             399,798   (37,759)  127,625
      Exceptional item                                   -         -  (194,453)


      Net cash inflow from operating activities    503,783   390,968   455,554