Interim Results

Mountview Estates PLC
02 December 2004


MOUNTVIEW ESTATES PLC

INTERIM RESULTS

CHAIRMAN'S STATEMENT

I have much pleasure in presenting the unaudited accounts for the six months
ended on 30 September 2004. Profit on ordinary activities before taxation and
earnings per share are virtually unchanged despite net interest payable rising
by nearly £500,000.

Activity in the residential housing market has slowed appreciably since the
beginning of our financial year and statistical evidence has shown that house
prices have actually fallen back a little, especially in the South East, our
main area of operations.

There has also been a trend of rising interest rates. During the period from1
April 2003 to 30 September 2003 base rate fell from 3.75% to 3.5% but during the
period under review base rate has risen from 4% to 4.75%. At 30 September 2003,
our total creditors (principally borrowings) amounted to less than £60 million
whereas at 30 September 2004 they were more than £70 million. During this period
our stock has risen by more than £27 million. Most of the increase occurred in
the second half of the last financial year.

We have nonetheless been able to maintain gross profits from property sales and
marginally improved our net rental income, and our administration costs have
been virtually unchanged. Overall, I believe this to be a very creditable
performance given the background circumstances.

In this statement last year I said that the future prosperity of the Company
lies in its ability to continue making the right purchases in sufficient
quantity and I think that the above figures demonstrate that ability which,
allied to our firm financial control, give the Company a very solid base on
which to continue its growth. Various market indicators seem to differ in their
assessment of the movement in house prices but it is generally accepted that
sales are taking longer to complete against a flat market for prices.

We expect slower conditions to persist during the second half of our financial
year which may mean that our second half turnover is not maintained at the
levels of October 2003 - March 2004. It may not therefore be possible to
maintain overall the levels achieved during the full year ended 31 March 2004.
However, the Company continues to be in fine financial fettle and we certainly
expect that our turnover and profits will be sustained at the higher levels
first achieved in our year ending 31 March 2001.

The interim dividend is being kept at 44 pence per share. Any change in the
final dividend will be decided upon when the Board has assessed the final
results for the year ending 31 March 2005. The interim dividend of 44 pence per
share will be payable on 29 March 2005 to shareholders on the register on 25
February 2005.


CONSOLIDATED PROFIT AND LOSS ACCOUNT (UNAUDITED)
The Directors report the following results of the Group for the six months ended
30 September 2004

                                             Half year   Half year   Full Year
                                                 Ended       Ended       ended
                                             30.0.2004   30.9.2003   31.3.2004
                                     Notes        £000        £000        £000
Turnover                               1,2      25,063      25,019      55,087

Cost of Sales                                   (8,815)     (8,724)    (19,952)
                                               _______     _______     _______
Gross Profit                                    16,248      16,295      35,135
Administrative expenses                         (1,690)     (1,647)     (3,336)
                                               _______     _______     _______
Operating Profit                                14,558      14,648      31,799
Profit on sale of investment             6         325           -           -
properties                                     _______     _______     _______
Profit on ordinary activities before
interest                                        14,883      14,648      31,799
Net interest payable                            (1,880)     (1,408)     (3,207)
                                               _______     _______     _______
Profit on ordinary activities before
taxation                                        13,003      13,240      28,592
Taxation                                 3      (3,900)     (3,985)     (8,584)
                                               _______     _______     _______
Profit on ordinary activities after
taxation                                         9,103       9,255      20,008
Dividends                                4      (1,716)     (1,716)     (4,757)
                                               _______     _______     _______
Retained Profit for the period                   7,387       7,539      15,251
                                                ======      ======      ======
Earnings per share
Basic and fully diluted                  5       233.5p      237.4p      513.2p

The results stated above relate to the continuing activities of the Group.

CONSOLIDATED BALANCE SHEET (UNAUDITED)

                                     Notes       As at       As at       As at
                                             30.9.2004   30.9.2003   31.3.2004
                                                  £000        £000        £000
Fixed Assets
Intangible assets                                    -          44           -
Tangible assets                          6      24,817      23,633      24,675
                                               _______     _______     _______
                                                24,817      23,677      24,675
                                               _______     _______     _______
Current Assets
Stock                                    7     174,683     147,480     170,116
Debtors                                            426       1,319         177
Cash at bank and in hand                           154         129         455
                                               _______     _______     _______
                                               175,263     148,928     170,748
                                               _______     _______     _______

Creditors: amounts falling due
within                                         (34,806)    (35,887)    (35,343)
one year
                                               _______     _______     _______
Net Current Assets                             140,457     113,041     135,405
                                               _______     _______     _______

Total Assets less Current                      165,274     136,718     160,080
Liabilities

Creditors: amounts falling due after
more than one year                             (35,945)    (23,535)    (38,138)
                                               _______     _______     _______
                                               129,329     113,183     121,942
                                                ======      ======      ======

Capital and Reserves
Called up share capital                    195             195             195
Revaluation reserve                      6,427           5,380           6,427
Capital redemption reserve                  55              55              55
Capital reserve                             25              25              25
Other reserve                               56              56              56
Profit and loss account                122,571         107,472         115,184
                                       _______         _______         _______
Equity Shareholders Funds              129,329         113,183         121,942
                                        ======          ======          ======

CONSOLIDATED CASH FLOW STATEMENT

                                             Half Year   Half Year   Half Year
                                                 Ended       Ended       ended
                                             30.9.2004   30.9.2003   31.3.2004
                                                  £000        £000        £000

Net cash inflow from operating activities        9,521       7,788       3,968
Returns on investments and servicing of
finance
Interest Paid                                   (1,894)     (1,421)     (3,191)
                                               _______     _______     _______

Taxation
UK Corporation tax paid                         (4,669)     (4,045)     (8,645)
                                               _______     _______     _______
Capital expenditure and financial
investment
Purchase of tangible fixed assets                 (264)        (61)       (145)
Sale of tangible fixed assets                        -           -          20
Sale of fixed asset investment                     385           -           -
                                               _______     _______     _______
Equity dividends paid                           (3,043)     (2,030)     (3,743)
                                               _______     _______     _______
Cash inflow/(outflow) before financing              36         231     (11,736)
Financing
New loans raised                                 1,580           -      20,000
Repayment of loans                              (3,773)     (3,330)     (6,727)
                                               _______     _______     _______
(Decrease)/Increase in cash in the period       (2,157)     (3,099)      1,537
                                                ======      ======      ======

Reconciliation of net cash flow to movement
in net debt

(Decrease)/Increase in cash in the period       (2,157)     (3,099)      1,537
Net cash outflow/(inflow) from bank loans        3,773       2,780     (13,923)
Net cash (inflow)/outflow from other loans      (1,580)        550         650
                                               _______     _______     _______

Change in net debt                                  36         231     (11,736)
                                               _______     _______     _______
Net debt at the beginning of period            (63,902)    (52,166)    (52,166)
                                               _______     _______     _______
Net debt at the end of period                  (63,866)    (51,935)    (63,902)
                                                ======      ======      ======

CONSOLIDATED CASH FLOW STATEMENT

                                          Half Year      Half Year       Full Year
                                              Ended          Ended           Ended
                                          30.9.2004      30.9.2003       30.3.2004
                                               £000           £000            £000
Reconciliation of operating profit
to net cash inflow from operating
Activities

Operating profit                             14,558         14,648          31,799
Goodwill amortisation                             0             44              89
Depreciation                                     57             50             110
Loss on disposal of fixed assets                  5              0               9
Increase in stocks                           (4,567)        (5,480)        (28,118)
(Increase)/Decrease in debtors                 (249)          (765)            377
Increase in creditors                          (283)          (709)           (298)
                                           ________       ________        ________
Net cash inflow from operating                9,521          7,788           3,968
activities
                                            =======        =======         =======
Analysis of changes in net debt
                                              As at       Cash Flow          As at
                                           1.4.2004           As at      30.9.2004
                                                          30.9.2004
                                               £000           £000            £000
Cash at bank and in hand                        455           (301)            154
Overdrafts                                  (13,791)        (1,856)        (15,647)
                                            _______        _______         _______
                                            (13,336)        (2,157)        (15,493)
                                            _______        _______         _______
Debt due within one year                    (12,428)             -         (12,428)
Debt due after one year                     (38,138)         2,193         (35,945)
                                            _______        _______         _______
                                            (50,566)         2,193         (48,373)
                                            _______        _______         _______
Net debt                                    (63,902)            36         (63,866)
                                             ======         ======          ======

NOTES TO THE INTERIM ACCOUNTS

1. Basis of preparation of interim financial information

The interim financial report has been prepared on the basis of the accounting
policies set out in the Group's 2004 annual report and accounts.

The comparative figures for the year ended 31 March 2004 does not constitute
statutory accounts. A copy of the statutory accounts for that year, has been
delivered to the Registrar of Companies.

The auditors have reported on those accounts; their report was unqualified and
did not contain any statement under Section 237 (2) or (3) of the Companies Act
1985.

2. Analysis of Turnover and Cost of Sales

                                 Half Year         Half Year         Full Year
                                     Ended             Ended             Ended
                                 30.9.2004         30.9.2003         30.3.2004
                                      £000              £000              £000
Turnover
Gross sale of properties            19,371            19,493            43,665
Gross rental income                  5,692             5,526            11,422
                                   _______           _______           _______
                                    25,063            25,019            55,087
                                   =======           =======           =======
Cost of Sales
Cost of properties sold              6,946             6,738            15,289
Property expenses                    1,869             1,986             4,663
                                   _______           _______           _______
                                     8,815             8,724            19,952
                                   =======           =======           =======
Gross Profit
Sales of properties                 12,425            12,755            28,376
Net rental income                    3,823             3,540             6,759
                                   _______           _______           _______
                                    16,248            16,295            35,135
                                   =======           =======           =======

3. Taxation

Corporation tax payable is provided on taxable profits at the current rate of
30%.

4. Dividends

                                           Half Year    Half Year    Full Year
                                               Ended        Ended        Ended
                                           30.9.2004    30.9.2003    30.3.2004
                                                £000         £000         £000
Dividends on ordinary shares
Interim payable 44p per share (2003: 44p)      1,716        1,716        1,716
Final paid 78p per share                                                 3,041
                                                                        ______
                                                                         4,757
                                                                       =======

5. Earnings per share

                                             Half Year   Half Year   Full Year
                                                 Ended       Ended       Ended
                                             30.9.2004   30.9.2003   30.3.2004
                                                  £000        £000        £000
The calculation of earnings per share is
based on the following profits and
number of shares
Profit for the period after taxation             9,103       9,255      20,008
                                               _______     _______     _______
Weighted average number of shares                3,899       3,899       3,899
for basic and fully diluted earnings per       _______     _______     _______
share

Earnings per share                               233.5p      237.4p      513.2p
                                               =======     =======     =======

6. Fixed Assets

The fixed assets in the consolidated balance sheet consist of investment
properties held by two wholly owned subsidiaries Louise Goodwin Limited and
A.L.G. Properties Limited, a freehold office building partly occupied by the
Company and partly let, motor vehicles, office and computer equipment.

The disposal of three garage units held in Louise Goodwin Limited resulted in a
profit of £325,000.

7. Stocks

These comprise residential properties all of which are held for sale, and are
valued at the lower of cost and estimated net realisable value. Any
non-residential parts are incidental to the residential properties. All the
properties are situation in England and Wales with large majority in the area of
London its suburbs.

SHAREHOLDERS' INFORMATION

FINANCIAL CALENDAR 2005

Interim dividend record date                               25 February
Interim dividend payment                                   29 March
Preliminary announcement                                   23 June
of the results for the year
Annual Reports and Accounts posted                         22 July
Annual General Meeting                                     17 August

Copies of this statement are being sent to the shareholders. Copies may be
obtained from the Company's registered office, Mountview House, 151 High Street,
Southgate, London N14 6EW.

All administrative enquiries relating to the shareholders should be addressed to
the Company's registrars:

Capital Registrars
Bourne House
34 Beckenham House
Beckenham
Kent BR3 4TU



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