Preliminary Results

McInerney Holdings PLC
4 April 2001


Wednesday 4th April 2001



PRELIMINARY ANNOUNCEMENT

Financial Results for Year ended 31 December 2000

McInerney Holdings plc experienced another year of successful progress in
2000, with further increases in profitability being recorded across all
divisions.


Financial Highlights

The Directors are pleased to report a pre-tax profit of Euro19.103m (IR£
15.045m), an increase of 35% on the 1999 result of Euro14.155m (IR£11.148m).
Basic earnings per share in 2000 were Euro46.32cents (IR36.48p) as compared to
Euro35.31 cents (IR27.81p) in 1999.


Profit after tax for the year was Euro14.671m (IR£11.554m). This is an
increase of 37% on the result of Euro10.732m (IR£8.452m) in 1999. Group
turnover rose from Euro109.666m (IR£86.37m) in 1999 to Euro174.336m (IR£
137.301m) in 2000.


These trading results reflect a strong performance from all the operating
divisions of the Group. Irish housebuilding was again the major contributor to
Group profitability, completing 652 housing units in 2000 as against 600 in
1999. Good trading conditions were experienced in all our main markets. The
Group's Irish contracting operation and its commercial and leisure divisions
also increased their contribution to the results.


Dividend

Based on these results, the Group is proposing to pay an interim gross
dividend of 3.5 cents (IR2.76p) in lieu of a final dividend. This will be paid
on 27th April 2001, to shareholders registered at 17th April 2001.


Operational Highlights

The results constitute a strong performance by the Group's operating
divisions, with the housing, commercial and leisure activities each increasing
their respective contribution to overall Group profitability.




Residential

The number of Irish house completions during the year was 652, of which 586
were in private housing and 66 were in contract housing.


A substantial number of planning permissions were finalised in the last
quarter of the year. Planning permissions on hand at year-end were 3,294
compared with 1,970 a year earlier. These permissions are primarily secured on
sites aimed at our target market of first and second time buyers, where demand
is strongest. Construction on a number of these new sites commenced in the
first quarter of 2001.


The Group has control of a geographically well spread, and strategically
purchased land bank. Our ongoing land bank management policy, has resulted in
a quality asset being available to meet the business plans of our Irish
housing division in the medium term. During the year, a number of disposals of
sites and land parcels achieved a good result for the Group. In line with the
above policy, further land sale revenues are already contracted for 2001.


In recent years our contracting operations have been generating greater
returns. We were particularly pleased with the increased profit in this area
in 2000.


Commercial

Hillview Securities continues to generate solid returns due to strong demand
for light industrial units, particularly in the greater Dublin area. During
the year Hillview commenced development of the Millennium Business Park, a 40
acre site at Ballycoolin in north west Dublin. This project of 56,000
sq.metres of industrial space will be developed in four phases. The first
phase of 12,000 sq.metres of industrial units will be substantially complete
in 2001 and at the initial launch 4,700 sq.metres were reserved. The company
has also commenced a development of 6,000 sq.metres of industrial units at
Euro Business Park, Little Island, Cork.


Leisure

The Four Seasons Country Club at Marbella performed well in 2000. The focus on
rentals continues to yield a good return. Rental demand is strong and good
prices are being achieved. A further 28 rental apartments in three blocks are
under construction. The first phase of 12 units will be completed in time for
this year's Summer season.


Construction of the 72 freehold apartments at Carib Playa is progressing well.
24 sales closed during the year, with the balance of closings targeted for
2001. Only a small number of units remain unsold at this point. A replacement
freehold project has been identified and will be launched later this year when
all necessary permissions have been secured.


UK Activities

William Hargreaves, our small developer based in Bolton, continued to make
progress in its first full year under McInerney guidance, resulting in a
modest profit for the Group. We have an ongoing development programme for this
division. Three small housing projects were secured and further new sites have
been identified. A Group Regional Director has recently been appointed.




The Future

The current year should be one of further progress for the Group. Economic
growth remains positive favouring all divisions. Our strategy to diversify our
earnings base continues to prove successful and increase returns.


The Government's social housing programme offers growing opportunities in the
contracting area over the period of the National Development Plan. Demographic
forecasts are advantageous for our house building division. The Group's
experience and knowledge of the market is a strong asset going forward. Good
sales have been recorded since the selling season commenced in February.
However, house price escalation in 2001 is expected to be lower than in 2000.
Cost increases in the economy must be contained, as the level of construction
cost inflation remains in excess of general inflation.


As referred to earlier a substantial number of planning permissions were
secured in the last quarter of 2000. The Autumn selling season was slower than
normal and as a result, proportionately more of our house completions in 2001,
will be achieved in the second half, rather than in the first half of the
year. The first quarter of this year has been shown good demand with 236 sales
recorded, as compared to 139 for the same period last year. Deposits on hand
are also favourable with 325 deposits recorded at the end of March 2001,
compared with 288 at the end of March 2000.


The Group's strategy in Spain to expand activities in the market is generating
good returns. The generally improved European economic environment is expected
to further benefit the Group's Spanish operations. In the UK marketplace, we
will continue to seek additional investment opportunities. Our commercial
division has a solid base with two industrial parks and is seeking further
follow on projects.


Our impressive profit performance in recent years, solid capital base and
strong management team will provide a platform for the further growth and
geographic diversification of our business.


R.B.Ferris

Chairman







MC INERNEY HOLDINGS PLC
CONSOLIDATED PROFIT AND LOSS ACCOUNT
For the year ended 31 December 2000
                                                   2000         1999
                                                 Euro'000     Euro'000
TURNOVER INCLUDING GROUP SHARE OF
JOINT VENTURE                                      178,120      111,185
Less: Share of Joint Venture Turnover              (3,784)     (1,519)
GROUP TURNOVER                                     174,336      109,666
COST OF SALES                                    (141,176)     (86,655)
GROSS PROFIT                                        33,160       23,011
Administrative Expenses                           (12,525)      (8,519)
GROUP OPERATING PROFIT                              20,635       14,492
Share of Operating Profits in Joint Ventures         1,210          250
TOTAL OPERATING PROFITS INCLUDING JOINT             21,845       14,742
VENTURES
Surplus on disposal of Investment Properties           277        1,580
Interest Payable and Similar Charges               (3,019)      (2,167)
PROFIT ON ORDINARY ACTIVITIES BEFORE TAXATION       19,103       14,155
Taxation Charge arising on Ordinary                (4,432)      (3,423)
Activities
PROFIT ON ORDINARY ACTIVITIES AFTER TAXATION        14,671       10,732
Proposed Dividend                                  (1,110)        (804)
PROFIT RETAINED FOR THE YEAR                        13,561        9,928
BASIC EARNINGS PER SHARE                             46.32 c      35.31 c
FULLY DILUTED EARNINGS PER SHARE                     43.98 c      33.39 c

The Auditors have confirmed that they will be issuing an unqualified
opinion on the accounts from which the
financial information set out on pages 4 to 8 for the year ended 31
December 2000 has been extracted. The
Financial information for the year ended 31 December 1999 has been
extracted from audited accounts on which
the Auditors issued an unqualified opinion and which have been delivered
to the Registrar of Companies.





MC INERNEY HOLDINGS PLC
CONSOLIDATED BALANCE SHEET
As at 31 December 2000
                                                             2000      1999
                                                           Euro'000  Euro'000
FIXED ASSETS
Intangible Assets                                             5,733      6,042
Tangible Assets                                               7,007      4,934
Financial Assets
Joint Ventures:            Share of Gross Assets             12,353      9,004
                           Share of Gross Liabilities      (12,111)    (9,020)
                           Loans to Joint Ventures            1,858      2,383
                                                              2,100      2,367
TOTAL FIXED ASSETS                                           14,840     13,343
CURRENT ASSETS
Stocks                                                      105,710     64,995
Debtors                                                      13,405     12,613
Cash at Bank and in Hand                                     11,582     11,793
                                                            130,697     89,401
CREDITORS (Amounts falling due within one year)
Bank Loans and Overdrafts                                    13,925     19,444
Trade and Other Creditors                                    54,830     43,356
                                                             68,755     62,800
NET CURRENT ASSETS                                           61,942     26,601
TOTAL ASSETS LESS CURRENT LIABILITIES                        76,782     39,944
CREDITORS (Amounts falling due after more than one year)
Bank Loans                                                   29,817      6,287
Other Creditors                                               1,786      1,818
                                                             31,603      8,105
PROVISIONS FOR LIABILITIES AND CHARGES
Deferred Taxation                                               651        921
                                                             44,528     30,918
FINANCED BY :
CAPITAL AND RESERVES
Called up Share Capital                                       3,964      3,955
Capital Conversion Reserve Fund                                  62         62
Share Premium Account                                        16,294     16,271
Revaluation Reserve                                             171        371
Profit and Loss Account                                      24,037     10,259
TOTAL SHAREHOLDERS' FUNDS - ALL EQUITY                       44,528     30,918


MC INERNEY HOLDINGS PLC
CONSOLIDATED CASH FLOW STATEMENT
For the year ended 31 December 2000
                                                         2000       1999
                                                       Euro'000   Euro'000
Net Cash (Outflow) / Inflow from operating               (8,039)      2,159
activities
DIVIDENDS RECEIVED FROM JOINT VENTURES                        76         38
RETURNS ON INVESTMENTS AND
SERVICING OF FINANCE
Interest Received                                            124        165
Interest Paid                                            (2,969)    (2,072)
Interest element of Finance Lease payments                   (6)       (13)
                                                         (2,851)    (1,920)
TAXATION                                                 (4,479)    (1,836)
CAPITAL EXPENDITURE AND FINANCIAL INVESTMENT
Purchase of Tangible assets                              (3,458)      (960)
Sale of Tangible Assets                                      940      4,520
Investment in Financial Assets                               530        188
                                                         (1,988)      3,748
ACQUISITION OF SUBSIDIARY UNDERTAKING                      -        (5,953)
EQUITY DIVIDENDS PAID                                      (804)      (542)
Net Cash Outflow before Financing                       (18,085)    (4,306)
FINANCING
Share Capital Subscribed                                      30      9,114
Repayment of Loans                                      (17,373)   (15,044)
Proceeds from Borrowings                                  35,358     18,307
Capital Element of Finance Lease payments                  (167)      (143)
                                                          17,848     12,234
(Decrease) / Increase in cash in year                      (237)      7,928


MC INERNEY HOLDINGS PLC
RECONCILIATION OF NET CASH FLOW TO MOVEMENT IN NET DEBT
For the year ended 31 December 2000
                                                         2000        1999
                                                       Euro'000    Euro'000
(Decrease) / Increase in cash in year                      (237)       7,928
Cash inflow from increase in debt and lease             (17,820)     (5,531)
financing
Changes in net debt resulting from cashflows            (18,057)       2,397
Loans acquired with subsidiary undertaking                 -         (6,801)
New finance leases                                         (416)       (106)
Movement in net debt for the year                       (18,473)     (4,510)
Net debt as at 1 January 2000                           (14,176)     (9,666)
Net debt as at 31 December 2000                         (32,649)    (14,176)


MC INERNEY HOLDINGS PLC
NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 December 2000
 SEGMENTAL INFORMATION
 Segmental Analysis of Turnover and Profit
                                              2000          1999
                                            Euro'000      Euro'000
 Turnover
 Private Housing                               90,756          77,647
 Land & Sites                                  13,526           1,614
 Contracts                                     19,650          13,086
 Leisure                                        7,304           2,762
 Commercial                                    10,631           4,679
 UK Construction                               32,469           9,878
 Total Turnover                               174,336         109,666
 Profit before Interest & Taxation
 Private Housing                               14,453          13,767
 Land & Sites                                   2,662             140
 Contracts                                      2,398           1,307
 Leisure                                        2,089           1,172
 Commercial                                     2,341           2,062
 UK Construction                                  767           (207)
 Segment Profits                               24,710          18,241
 Common Costs                                 (2,088)         (1,569)
 Costs incurred in on-going Development /
 Acquisition
 Activities                                     (500)           (350)
 Net Interest Payable                         (3,019)         (2,167)
 Profit Before Taxation                        19,103          14,155
 Segmental Analysis of Net Assets
                                              2000          1999
 Business Sectors                           Euro'000      Euro'000
 Continuing Activities
 Private Housing                               48,388          25,410
 Leisure                                        9,482           6,808
 Commercial                                    10,305           5,410
 UK Construction                               10,375           9,667
 Net Operating Assets                          78,550          47,295
 Unallocated Liabilities                      (1,862)         (2,439)
                                               76,688          44,856
 Net Borrowings                              (32,160)        (13,938)
 Total Net Assets                              44,528          30,918
 
All activities are located in Ireland with the exception of Leisure,
which is located in Spain, and UK  Construction, which is located in the North
of England. Segment profits  include the profit on disposal  of Investment
Properties where applicable.