Interim Results

London Securities PLC
28 September 2001

London Securities Plc


Interim Statement


CHAIRMAN'S STATEMENT


I am pleased to be able to report that our Group has achieved excellent
results for the first half of the 2001 financial year.  The highlights of the
results for the six months ended 30 June 2001 compared with the first half of
2000 are as follows.


Turnover increased by 17% to                               £22,297,000


Earnings before interest, tax, depreciation
and amortisation (EBITDA) increased by 39% to               £6,319,000



Adjusted earnings per share increased by 71% to                  23.7p



Net gearing reduced from 39.6% at 31 December 2000 to            25.8%



Trading review


The above financial highlights confirm the success of the business review
performed during the budgeting process as outlined in last years annual
report.


Corporate initiatives applied throughout the Group together with improvements
specific to individual operations have contributed towards this excellent
improvement.


New product developments have proved popular with customers in all countries
and have contributed to increased sales.  The Group has invested in training
of personnel and re-focussed them in both core and ancillary activities.


The Group's Nu-Swift UK operations have shown improved profits.  Costs have
been stringently controlled with inefficiencies being reduced.  However, due
to economic and employment conditions, it has been difficult to recruit an
appropriate level of representatives whose priority activity is to obtain new
customers.


In Belgium, re-training and re-organisation of the sales and service teams has
increased profits.


Dutch operations have benefited from improved management which has led to a
better service being offered to customers and in turn has increased sales.  In
addition, sales have benefited from increased customer awareness of the
importance of fire protection, following the serious fire that occurred in
Voldendam on New Year's Eve last year.


Profits in Austria and Switzerland are marginally improved from 2000 due to
the strengthening of the management team.




Dividends


An interim dividend of 1.5p (2000: Nil) per ordinary share is proposed,
payable on 12 November 2001 to shareholders on the register on 12 October
2001.



Prospects


The outlook for the second half of 2001 continues to be optimistic.  However,
we remain cautious in light of the current economic climate.



J.G. Murray

Chairman



27th September 2001



LONDON SECURITIES PLC
Consolidated Profit and Loss Account

                                             Unaudited    Unaudited     Audited
                                           6 months to  6 months to  year ended
                                          30 June 2001 30 June 2000 31 December
                                                                           2000
                                               £'000's      £'000's     £'000's
Turnover                                        22,297       19,046      37,729
Cost of sales                                  (3,605)      (3,134)     (5,518)

Gross profit                                    18,692       15,912      32,211

Distribution costs                             (8,545)      (7,842)    (15,782)
Administrative expenses                        (5,934)      (5,686)    (11,097)

Operating profit                                 4,213        2,384       5,332

EBITDA**                                         6,319        4,551       9,545

Depreciation                                     (792)        (848)     (1,573)
Amortisation of goodwill                       (1,314)      (1,319)     (2,640)

Operating profit                                 4,213        2,384       5,332

Income from fixed asset investments                 91           96          96
Net interest payable                             (564)        (740)     (1,508)
Exchange gain/(loss) on foreign currency           112            -        (56)

Profit on ordinary activities                    3,852        1,740       3,864
        before taxation

Taxation                                       (1,715)      (1,021)       (608)

Profit on ordinary activities                    2,137          719       3,256
        after taxation

Dividends                                        (217)            -       (435)

Retained profit                                  1,920          719       2,821

Basic earnings per ordinary share                14.7p         4.9p       22.3p

Adjusted earnings per ordinary share(note        23.7p        13.9p       29.2p
2)

Dividend per ordinary share                       1.5p          Nil        3.0p




All of the above results
arose from continuing operations

**Earnings Before Interest, Taxation, Depreciation and Amortisation




LONDON SECURITIES PLC
Consolidated Balance Sheet
                                         Unaudited     Unaudited     Audited as
                                     as at 30 June as at 30 June at 31 December
                                              2001          2000           2000
                                           £'000's       £'000's        £'000's

Fixed assets
Intangible assets                           48,616        51,427         50,101
Tangible assets                              5,680         6,016          5,838
Investments                                     70            70             70
                                            54,366        57,513         56,009

Current assets
Stocks                                       2,842         2,851          2,620
Debtors                                      9,694         8,414          9,672
Cash at bank and in hand                     7,037         3,236          3,310
                                            19,573        14,501         15,602

Creditors: due within one year
Finance debt                               (3,097)       (3,235)        (3,126)
Other creditors                           (13,100)      (10,349)       (10,218)
                                          (16,197)      (13,584)       (13,344)

Net current assets                           3,376           917          2,258

Total assets less current                   57,742        58,430         58,267
liabilities

Creditors: due after more than one
year
Finance debt                              (14,608)      (18,244)       (16,225)
Other creditors                              (140)         (356)          (146)
Provisions for liabilities & charges       (1,650)       (1,442)        (1,421)
                                          (16,398)      (20,042)       (17,792)

Net assets                                  41,344        38,388         40,475

Capital and reserves
Called up share capital                      1,450         1,457          1,455
Share premium                               27,476        27,476         27,476
Capital redemption reserve                     114           107            109
Merger reserve                               2,033         2,033          2,033
Profit and loss account                     10,271         7,315          9,402

Total equity shareholders' funds            41,344        38,388         40,475




LONDON SECURITIES PLC
Consolidated Cashflow Statement

                                              Unaudited    Unaudited    Audited
                                            6 months to  6 months to year ended
                                           30 June 2001 30 June 2000 31 December
                                                                           2000
                                                £'000's      £'000's    £'000's


Net cash inflow from operating activities         6,430        3,118      7,900

Return on investments and servicing
   of finance
  Interest received                                 210           45        114
  Interest paid                                   (774)        (785)    (1,486)
  Dividends received                                 91           96         96
Net cash outflow from return on                   (473)        (644)    (1,276)
     investments and servicing of finance

Taxation
  Corporation tax received/(paid)                   929        (451)    (1,845)

Capital expenditure
 Payments to acquire tangible fixed assets        (866)       (1022)    (1,776)
 Receipts from sales of tangible fixed               83          197        258
assets
Net cash outflow for capital expenditure          (783)        (825)    (1,518)


Acquisitions and disposals
 Payments to acquire subsidiary                       -        (256)      (307)
 undertakings
Net cash outflow for acquisitions                     -        (256)      (307)
      and disposals

Equity dividends paid to shareholders                 -            -      (102)

Net cash inflow before use of
 liquid resources and financing                   6,103          942      2,852

Financing
 Purchase of own shares                           (286)         (62)      (214)
 New long term loans                                  -          181        184
 Repayment of long term loans                    (2090)       (1458)    (3,145)
Net cash outflow from financing                 (2,376)       (1339)    (3,175)


Increase/(decrease) in cash and                   3,727        (397)      (323)
equivalents



NOTES



1.                   NATURE OF INFORMATION



The financial information contained in this interim statement does not
constitute     statutory accounts within the meaning of section 240 of the
Companies Act  1985.  The financial information for the six months ended 30
June 2001 is  unaudited and has been prepared on the basis of the accounting
policies set out  in the Group's 2000 Report and Accounts.  Statutory accounts
for the period ended 31 December 2000 have been delivered to the Registrar of
Companies.  The report of the auditors on those accounts was unqualified and
did not contain a statement under sections 237(2) or 237(3) of the Companies
Act 1985.



2.                   EARNINGS PER SHARE



The calculation of basic earnings per ordinary share is based on the profit on
ordinary activities after taxation of £2,137,000 (2000: £719,000) and on
14,516,040 (2000: 14,591,162) ordinary shares, being the weighted average
number of ordinary shares in issue during the period.



The calculation of adjusted earnings per ordinary share is based on the above
weighted average and on adjusted earnings which comprise:


                                Six months to     Six months to      Year ended
                                      30 June           30 June     31 December
                                         2001              2000            2000
                                        £'000             £'000           £'000

Profit on ordinary activities
   after taxation                       2,137               719           3,256
Eliminate effect of:
   Exceptional tax credit
   in respect of prior years                -                 -         (1,633)
Amortisation of goodwill                1,314             1,319           2,640

Adjusted earnings                       3,451             1,319           2,640

Basic earnings per share
   ordinary share                       14.7p              4.9p           22.3p
Adjusted earnings
   per ordinary share                   23.7p             13.9p           29.2p





3          TAXATION



The taxation charge for the period (45%) appears high due to the
non-deductibility for taxation purposes of the amortisation of goodwill.



4          RESERVES


                                          Capital       Merger       Profit and
                                       Redemption      Reserve             Loss
                                          Reserve                       Account
                                            £'000        £'000            £'000

As at 1 January 2001                          109        2,033            9,402
Purchase of own shares and
   maintenance of capital                       5            -            (286)
Retained profit for the period                  -            -            1,920
Exchange adjustments                            -            -            (765)
As at 30 June 2001                            114        2,033           10,271





Copies of this statement are being sent to all shareholders and are available
to the public from the company's registered office at Wistons Lane, Elland,
West Yorkshire HX5 9DS.


Enquiries :



Richard Pollard                         01422  372 852
Company Secretary



ENDS.