Interim Results

NMT Group PLC
22 August 2005


                                                                  22 August 2005

                                 NMT GROUP PLC

             Interim Results for the six months ended 30 June 2005

NMT Group PLC, the provider of drug delivery solutions to prevent needlestick
injury, announces its interim results for the six months ended 30 June 2005.

Key points
     
     •    Prospective licensing contract for 2-G safety syringes in Far East -
          progressing to government-regulated bidding process for associated 
          capital equipment.

     •    Marketing trial for Safety Needle Unit with US pharmaceutical company
          underway

     •    Company continuing to evaluate various strategic options

     •    Loss before tax of £0.5m (June 2004: £1.2m)

     •    Cash balances of £6.5m (December 2004 - £7.0m) in line with 
          expectations.

Commenting on the results, Tony Fletcher, Chairman, said:

'The Company is continuing its twin strategy of seeking to secure licensing
agreements for its existing products and of evaluating strategic options for the
business.

The move to the bidding process, for associated capital equipment in the
prospective Far East licensing contract for the 2-G safety syringes, represents
a significant step forward in concluding pre-contractual requirements.

Significant work is taking place in evaluating various strategic options for the
business and we will revert to shareholders as soon as we have viable proposals
to put forward.'

Enquiries:

  NMT Group PLC
  Tony Fletcher - Chairman                                  •  Tel: [phone]

  Gordon Beattie - Beattie Communications                   •  Tel: [phone]

Trading Update

In the trading update issued by the Company on 11 July 2005, I reported that the
Company had not at that time signed a legally-binding contract with its
prospective licensing partner in the Far East for the Company's 2nd Generation
retractable safety syringes; and that the Company had not received any licence
fee payments from that prospective licensing partner.

Although no formal contract has been signed and no licence fee payments have
been received to date, I can report that, following further negotiations, the
Company received written confirmation on 18 August 2005 from the prospective
licensing partner re-affirming its intention to enter into a legally-binding
contract for the manufacture and distribution of the Company's 2nd Generation
safety syringes in high volume; this being subject to a successful outcome in a
formal, government-regulated bidding process in that party's jurisdiction (which
is the next stage of the project process) and a resulting agreement between all
parties on that outcome.

The Board understands that the formal bidding process, once initiated, is likely
to take approximately two months and addresses a major requirement in
facilitating the signature of a formal contact. We believe that this development
represents a significant step forward.

In addition, I can report that talks are continuing with a major US-based
pharmaceutical and medical devices company to license the manufacture and
distribution of the Company's Safety Needle Unit. Market evaluation trials have
commenced with the pharmaceutical company.

Results

An operating loss of £0.7m (2004:£0.7m) was incurred on continuing activities.
This was offset by interest income of £0.2m, which resulted in an overall loss
before tax of £0.5m (2004:£1.2m).

Net cash outflow from operating activities for the half year was £0.7m and
compared with £3.3m in the same period last year, which included a cash outflow
of £2.8m relating to discontinued activities.

Cash at 30 June 2005 was £6.5m (2004:£9.8m), reduced from £7.0m at 31 December
2004.

Outlook

The Company is continuing to evaluate various options with a view of seeking to
identify the best way to maximise the value of the Company's assets for
shareholders. Discussions are being held with a number of companies in the
medical devices sector, which have expressed interest in the integration of the
Company's technology and intellectual property into their own respective product
portfolios. The Board will revert to shareholders as soon as it has viable
proposals to be put forward.

Tony Fletcher
Chairman
22 August 2005


CONSOLIDATED PROFIT AND LOSS ACCOUNT
For the six months ended 30 June 2005


                       6 months to
                      30 June 2005            6 months to 30 June 2004                12 months to 31 December 2004
                           Interim
                        Continuing    Continuing    Discontinued     Interim    Continuing Discontinued      Full year
                            £'000          £'000           £'000       £'000         £'000        £'000          £'000

Turnover                                                              
Distribution                 (153)          (119)              -       (119)          (252)           -           (252)
costs

Administration               (526)          (577)           (148)      (725)        (1,177)        (148)        (1,325)
expenses

Exceptional                     -              -            (720)      (720)             -         (696)          (696)
administration
expenses

Group operating              (679)          (696)           (868)    (1,564)        (1,429)        (844)        (2,273)
loss

Exceptional items               -              -              73         73              -           73             73

Loss before                  (679)          (696)           (795)    (1,491)        (1,429)        (771)        (2,200)
interest

Interest                      153            223               -        223            391            -            391
receivable

Loss on ordinary             (526)          (473)           (795)    (1,268)        (1,038)        (771)        (1,809)
activities before
taxation
Taxation                       28             38               -         38             71            -             71

Loss for the                 (498)          (435)           (795)    (1,230)          (967)        (771)        (1,738)
financial period

Loss per ordinary            (5.7)p         (5.0)p          (9.1)p    (14.1)p        (11.1)p       (8.9)p        (20.0)p
share basic and
diluted

Loss per share               (5.7)p         (5.0)p          (2.0)p     (7.0)p        (11.1)p       (2.0)p        (13.1)p
before
exceptional items

     
     NOTES

1.   Basis of preparation

     The financial information in this report does not comprise statutory 
     accounts for the purposes of Section 240 of the Companies Act 1985.

     The interim accounts are unaudited but have been formally reviewed by the 
     auditors and their report is set out on page 5. These interims have been 
     prepared on the basis of accounting policies consistent with those set out 
     in the Company's full accounts for the year ended 31 December 2004.  The 
     accounts for the year ended 31 December 2004 presented in this report are 
     an abridged version of the full accounts which carried an unqualified 
     auditors' report, did not contain a statement under either Section 237(2) 
     or Section 237(3) of the Companies Act 1985 and have been filed with the 
     Registrar of Companies.

     There is no difference between the loss on ordinary activities before 
     taxation and the retained loss for the period stated above and their 
     historical cost equivalents.  The company has no recognised gains or losses 
     other than its losses for the respective financial periods.

2.   Taxation

     As a result of losses brought forward there is anticipated to be no tax 
     charge in the current year.  The tax credit reflects a research and 
     development tax credit for the period. 

3.   Loss per share

     The calculation of loss per share is based on the loss for the period 
     attributable to ordinary shareholders and on the average number of ordinary 
     shares in issue during the period, which totalled 8,711,317 shares (2004 
     interim - 8,711,317: full year - 8,711,317). As a loss has been incurred 
     during the six months ended 30 June 2005, there is no dilutive effect of 
     unexercised share options.


CONSOLIDATED BALANCE SHEET
As at 30 June 2005
                                                    Interim              Interim              Full year
                                                    30 June              30 June            31 December
                                                       2005                 2004                   2004
                                                      £'000                £'000                  £'000
Fixed assets
Tangible assets                                         261                  338                    301

Current assets
                                                    
Debtors                                                 179                  638                    232
Cash at bank and in hand                              6,514                9,753                  7,005

                                                      6,693               10,391                  7,237

Creditors: amounts falling due within one              (193)                (452)                  (279)
year

Net current assets                                    6,500                9,939                  6,958

Total assets less current liabilities                 6,761               10,277                  7,259


Provisions for liabilities and charges                                    (2,510)                     -


Net assets                                            6,761                7,767                  7,259


Capital and reserves
Called up share capital                              37,187               37,187                 37,187
Share premium account                                38,639               38,639                 38,639
Profit and loss account                             (69,065)             (68,059)               (68,567)

Total  shareholders' equity funds                     6,761                7,767                  7,259



CONSOLIDATED CASH FLOW
For the six months ended 30 June 2005

                                                                     Interim        Interim         Full year
                                                                        2005           2004              2004
                                                                       £'000          £'000             £'000



Net cash (outflow)/inflow - continuing operations                       (671)           (537)             249
Net cash outflow - discontinued business                                   -          (2,751)          (6,237)          
                                                                          
Net cash outflow from operating activities                              (671)         (3,288)          (5,988)
Returns on investments & servicing of finance
Interest received (net)                                                  181             231              418
Taxation                                                                   -             195              195           
           
Capital expenditure                                                       (1)              -               (5)
                                                                                      
Cash outflow before management of liquid resources
and financing                                                           (491)         (2,862)          (5,380)

Management of liquid resources                                           439           2,251            5,003
Cash outflow before financing                                            (52)           (611)            (377)          
        
Financing
Finance lease - repayment of principal                                     -            (227)            (457)
Net cash outflow from financing                                            -            (227)            (457)

Decrease in cash in the period                                           (52)           (838)            (834)


Reconciliation of net cashflow to movement in net funds
Decrease in cash in the period                                           (52)           (838)            (834)
Cashflow from finance leases-repayments of principle                       -             227              457
Cash outflow from decrease in liquid resources                          (439)         (2,251)          (5,003)
Decrease in net funds in period                                         (491)         (2,862)          (5,380)
Net funds at beginning of period                                       7,005          12,385           12,385

Net funds at end of period                                             6,514           9,523            7,005

Net funds are analysed as:
Cash                                                                   6,514           9,753            7,005
Finance lease liability                                                    -            (230)               -
Net funds at end of period                                             6,514           9,523            7,005

RECONCILIATION OF SHAREHOLDERS' FUNDS
For the six months ended 30 June 2005


                                                                 Interim          Interim          Full year
                                                                    2005             2004               2004
                                                                   £'000            £'000              £'000

Total movements during the period                                   (498)          (1,230)            (1,738)
Shareholders' funds at start of period                             7,259            8,997              8,997
Total shareholders' funds at end of period                         6,761            7,767              7,259


INDEPENDENT REVIEW REPORT

Introduction

We have been instructed by the company to review the financial information for
the six months ended 30 June 2005 which comprises the Group Profit and Loss
Account, the Reconciliation of Movements in Shareholders' Funds, the Group Cash
Flow Statement and the related notes. We have read the other information
contained in the interim report and considered whether it contains any apparent
misstatements or material inconsistencies with the financial information.

Directors' responsibilities

The interim report, including the financial information contained therein, is
the responsibility of, and has been approved by the directors. The directors are
responsible for preparing the interim report in accordance with the Listing
Rules of the Financial Services Authority which require that the accounting
policies and presentation applied to the interim figures should be consistent
with those applied in preparing the preceding annual accounts except where any
changes, and the reasons for them, are disclosed.

Review work performed

We conducted our review in accordance with guidance contained in Bulletin 1999/4
issued by the Auditing Practices Board for use in the United Kingdom. A review
consists principally of making enquiries of management and applying analytical
procedures to the financial information and underlying financial data and, based
thereon, assessing whether the disclosed accounting policies have been applied.
A review excludes audit procedures such as tests of controls and verification of
assets, liabilities and transactions. It is substantially less in scope than an
audit performed in accordance with United Kingdom Auditing Standards and
therefore provides a lower level of assurance than an audit. Accordingly we do
not express an audit opinion on the financial information. This report,
including the conclusion, has been prepared for and only for the company for the
purpose of the Listing Rules of the Financial Services Authority and for no
other purpose. We do not, in producing this report, accept or assume
responsibility for any other purpose or to any other person to whom this report
is shown or into whose hands it may come save where expressly agreed by our
prior consent in writing.

Review conclusion

On the basis of our review we are not aware of any material modifications that
should be made to the financial information as presented for the six months
ended 30 June 2005.

PricewaterhouseCoopers LLP
Chartered Accountants and Registered Auditors
Glasgow
19 August 2005

Notes:
     
(a)  The maintenance and integrity of the NMT Group plc web site is the 
     responsibility of the directors; the work carried out by the auditors does 
     not involve consideration of these matters and, accordingly, the auditors 
     accept no responsibility for any changes that may have occurred to the 
     interim report since it was initially presented on the web site.

(b)  Legislation in the United Kingdom governing the preparation and 
     dissemination of financial information may differ from legislation in other
     jurisdictions.



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