Final Results

Northamber PLC
26 September 2002


                                 Northamber plc


             Preliminary results for the year ended 30th June 2002


Results

Given the extreme depression in the IT Hardware Sector, which in our case was
exacerbated by the Hewlett-Packard (HP)/ Compaq merger, I believe that
shareholders will be comforted by our results.  These show that we returned
profits, albeit small, in both the first and second half of the year.

Reduced sales of £250 million  (30th June 2001 £299 million) resulted in a
Pre-Tax profit of  £456,000 compared with the £5,508,000 a year ago. The
earnings per share dropped to 0.91p against the 11.3p as at 30th June 2001.

We generated a significant cash balance of £8,587,000 and despite the decline in
profits, we have no core debt. This allows us to pay significant dividends,
although subject to the AGM, reduced from last year's level.


Trading

The year opened with unusually low demand levels in volume I.T. hardware sales
serving to drive further price erosion.  The key corporate-user sector demand
was further interrupted by both the aftermath of 11th September and the
subsequent economic downturn.

As Hewlett-Packard is our largest supplier, the long drawn HP/Compaq merger
caused us significant additional problems. During the merger process, demand
levels dropped, fuelling still further price erosion. Then, as a result of the
merger, the previous ranges of HP branded computers were announced as being
replaced as new, combined HP/Compaq, models are released.

As our shareholders are aware, we take a very conservative attitude to business
and avoid whenever possible low and potentially negative margin business.  This
attitude, together with high levels of price erosion, led to a fall of
approximately £46m in our comparative H-P sales, which accounts for virtually
all of our year on year decline in sales.

On a positive note; as a result of the HP/Compaq merger, I can report that we
will shortly be adding distribution of the Compaq brand to our existing
offerings.  A market leading brand from which we have until now been excluded.

The reason for the relatively strong performance in the rest of our business was
the introduction of new products and services.

At the half-year, I advised we had taken steps to significantly reduce costs and
these were successful.  Including the newer activities, staff numbers at
year-end were 350 against 415 a year ago.  We also achieved improved
efficiencies from fewer operational facilities.

Our skills based activities have since been re-focused on new and incremental
trading activities within the convergence and digital communications arena.
These have far stronger margins and more stable product life cycles. The
intention being to reduce future exposure to the volatile trends of the I.T.
hardware sector.

Whilst taking actions to avoid loss, the ongoing extent of the downturn and
trading difficulties, negated the anticipated gains.  That also included masking
the stronger and growing contributions from our other and newer, higher value
and more specialised activities.


The Balance Sheet

Our balance sheet remains very strong, with £8.6 million of cash at year-end.
Net Assets of £32.7 million compare with £33.97 million a year ago, or 100.7p
per share, are after dividend payments over the year of £2.02 million and the
re-purchase of 305,000 shares for cancellation at a cost of £214,000.

Within the generally depressed trading environment of the sector, there was
necessary close focus on minimising our bad-debt exposure.  This fell to very
slightly over 0.13% of sales.

The preserved financial strength benefited from appropriate, pre-emptive
management actions a year ago.  Although the further sales downturn largely
dissipated the benefits.  The close focus on key ratios, avoided a worse outcome
within the limited, viable trading opportunities available to ourselves


The Board

We are pleased to advise that Michael Ayrton has agreed to join the Board as a
non-executive director.  Michael has very many years experience in the
commercial banking sector, with emphasis on corporate credit risks

An Associate of the Chartered Institute of Bankers, he has held various very
senior executive positions, including time spent with AIB Group (UK) plc, with
periods spent as Head of Corporate Banking and also as Head of Risk Management.


Dividend

When considering dividend policy, it is always pleasing to translate an upturn
into an increased payment.   However, in adverse conditions, that same
objectivity sometimes needs to be applied in reverse.  In balancing the wishes
of our shareholders, it is important to ensure our healthy balance sheet is not
compromised, pending a return to the cash demands of more normal trading levels

Having generated £7.18 million net cash in the period, we are recommending a
reduced final dividend of 2p making at total of 4.2p for the full year compared
with the 6.2p last year

The proposed dividend will be payable on 10th January 2003 to members on the
Register as at 20th December 2002


OUTLOOK

Any short-term market recovery remains unlikely.  The extensive consolidations
of the past year should provide the I.T. hardware sector the opportunity to
commercially mature from a revenue growth focus, to one based on the value of
the working capital employed

The Compaq opportunity will shortly be available to us, on equal terms, and with
the cost realignment actions being already taken, should also allow more of the
contribution from the newer, higher margin activities to come through.

Your Board is confident in a satisfactory outcome for the current trading year,
if understandably cautious as to the extent of any recovery.


D.M. Phillips
Chairman
26th September 2002


NOTE:-   These preliminary results were approved by the Board of Directors on
26th September 2002.  A copy of these preliminary results is being sent to all
shareholders and is available to the public from the Company's trading offices
at 1 Lion Park Avenue, Chessington,  Surrey KT9 1ST.

Please call the shareholder support line on 0208 296 7205 with any enquiries



Consolidated Profit And Loss Account

                                               Notes         Year ended               Year ended
                                                           30 June 2002             30 June 2001
                                                                  £'000                    £'000

Turnover                                                        250,410                  299,170
Cost of sales                                                 (231,093)                (274,808)
                                                           ------------             ------------
Gross profit                                                     19,317                   24,362

Distribution costs                                             (11,150)                 (11,250)
Administrative expenses                                         (8,610)                  (7,821)
Other operating income                                              472                      486
                                                           ------------             ------------
Operating profit                                                     29                    5,777

Exceptional profit on sale of fixed assets
in continuing operations                                            321                        -
                                                                   

Profit on Ordinary Activities before                                350                    5,777
interest

Interest receivable                                                 142                       80
Interest payable                                                   (36)                    (349)

Profit on ordinary activities before                                456                    5,508
taxation

Tax on profit on ordinary activities                              (160)                  (1,762)
                                                           ------------             ------------
Profit on ordinary activities after                                 296                    3,746
taxation
Equity dividends                                 3              (1,353)                  (2,000)
                                                           ------------             ------------
Retained profit for year                                        (1,057)                    1,746
                                                                  =====                    =====

Earnings per ordinary share                      2                0.91p                    11.3p
Diluted earnings per share                       2                0.90p                    11.2p


Consolidated Balance Sheet
                                                                   30 June 2002        30 June 2001
                                                                          £'000           Restated*
                                                                                              £'000
Fixed assets

Tangible assets                                                           6,289               7,320
Investments                                                               2,837               2,837
                                                                     ----------          ----------
                                                                          9,126              10,157
                                                                     ----------          ----------

Current assets

Stocks                                                                   14,590              14,944
Debtors - amounts falling due within one year                            27,023              33,025
Cash at bank and in hand                                                  8,587               1,403
                                                                     ----------          ----------
                                                                         50,200              49,372
Current liabilities

Creditors - amounts falling due within one year                        (25,743)            (23,922)
                                                                     ----------          ----------
Net current assets                                                       24,457              25,450

                                                                     ----------          ----------
Total assets less current liabilities                                    33,583              35,607


Creditors - amounts falling due after more
than one year                                                                 -               (831)
Provisions for liabilities and charges                                    (882)               (804)
                                                                     ----------          ----------
Net assets                                                               32,701              33,972

                                                                         ======              ======
Capital and reserves

Called up share capital                                                   1,623               1,638
Share premium account                                                     5,711               5,711
Capital redemption reserve                                                  148                 133
Profit and loss account                                                  25,219              26,490
                                                                     ----------          ----------
Equity shareholders' funds                                               32,701              33,972

                                                                         ======              ======

*The consolidated balance sheet as 30 June 2001 has been restated for the
adaption of FRS 19.


Consolidated Cash Flow Statement

                                                             Notes           Year ended        Year ended
                                                                           30 June 2002      30 June 2001
                                                                                  £'000             £'000

Cash inflow from continuing operating activities               4                 10,525            12,847
                                                                             ----------         ---------
Returns on investments and servicing of finance
Interest received                                                                   142                80
Interest paid                                                                      (36)             (428)
Income from fixed asset investments                                                 255               196
                                                                             ----------         ---------
Net cash outflow from returns on investments and
servicing of finance                                                                361             (152)
                                                                              ---------         ---------
                                                                                

Taxation
UK corporation tax paid                                                           (913)           (2,639)
                                                                             ----------         ---------
Capital expenditure and financial investment
Purchase of tangible fixed assets                                               (1,090)           (5,435)
Purchase of other investments                                                         -               (4)
Sale of tangible fixed assets                                                     1,361               292
                                                                             ----------         ---------
Net cash outflow from capital expenditure and financial
investment                                                                          271           (5,147)
                                                                             ----------         ---------

Equity dividends paid                                                           (2,015)           (2,049)
                                                                             ----------         ---------
Cash inflow/(outflow) before financing                                            8,229             2,860

                                                                             ----------         ---------
Financing

Purchase of shares                                                                (214)           (1,440)
Issue of ordinary share capital                                                       -                 -
Debt due beyond a year:
Repayment of a secured loan                                                       (831)             (113)
                                                                             ----------         ---------
Net cash outflow from financing                                                 (1,045)           (1,553)


Increase/ (decrease) in cash in the period                     4                  7,184             1,307
                                                                                 ======            ======

NOTES

1. Accounting policies

The Financial information set out above does not constitute the Group's
statutory accounts for the years ended 30th June 2001 or 30th June 2002, but it
is derived from those accounts. The Statutory Accounts for 30th June 2001 have
been delivered to the Registrar of Companies and those for 2002 will be
delivered following the Group's Annual General Meeting. The Auditors have
reported on these accounts, their reports were unqualified and did not contain
statements under S237(2) or (3) of the Companies Act 1985. The information
contained in this statement does not constitute statutory accounts within the
meaning of section 240 of the Companies Act 1985.


2. Earnings per ordinary share

The calculation of earnings per ordinary share is based on the profit after
taxation of  £296,000  (2001: £3,746,500) and on 32,524,260 ordinary shares
(2001: 33,198,096). The number of ordinary shares in issue during the years
ended 30th June 2002 and 30th June 2001 were the weighted average in issue
during each year.


Computation of Earnings per share for 2002

                                      Per share       Earnings           Shares 
                                        
Net profit for year                                   £296,000
Weighted average shares                                   
outstanding during year                                              32,524,260
Basic earnings per share                  0.91p
Dilutive effect of options                                              253,823
Diluted earnings per share                0.90p       £296,000       32,778,083


3.Dividend

An interim dividend has been paid during the year of 2.2p per share. A final
dividend of 2.0p will be paid on 10th January 2003 to those members on the 
register at close of business on 20th December 2002. The ex-dividend date for 
the shares will be 18th December 2002.


4. Cash flow

a) Reconciliation of operating profit to operating cash flows                                                           
                                    
                                                                 Group 
                                                             2002       2001 
                                                            £'000      £'000 
Continuing operations                                                        
Operating profit                                               29     5,777 
Income from fixed assets investments                         (255)     (196) 
Depreciation of tangible fixed assets                       1,054       749 
Loss/(profit) on sale of tangible fixed assets                 27       (76) 
(Increase)/decrease in stocks                                 354    (3,682) 
Decrease/(increase) in trade debtors                        6,119     8,074
(Increase)/decrease in other debtors                           (1)       18
Decrease/(increase) in prepayments and accrued income        (116)      177
Increase/(decrease) in trade creditors                      3,467     2,395 
(Decrease/increase in other taxation and social security     (205)     (168)
Increase/(decrease) in accruals and deferred income            54      (221)
(Decrease)/increase in other creditors                         (2)        - 
Net cash inflow from continuing operating activities       10,525    12,847
                                                           ======    ====== 
Reconciliation of net cash flow to movement in net funds                     
Increase in cash in the period                              7,184     1,307
Cash outflow from changes in debt                             831       113
Change in net funds resulting from cash flows and the                        
movement in net debt in the period                          8,015     1,420
Net funds/(debt) brought forward                              572      (848)
Net funds carried forward                                   8,587       572
                                                            =====      ===== 
                                                                                                       
c)Analysis of net debt               At 1st July 2001    Cashflow   At 30th June 2002
                                                £'000       £'000               £'000

Cash at bank and in hand                       1,403       7,184                8,587
Debt due after more than one year               (831)        831                    -
                                             -------      -------             -------
Total                                            572       8,015                8,587
                                             =======      =======             =======

A copy of this report is being sent to all Shareholders.

Copies are available to the public on request from the Company's offices

1 Lion Park Avenue
Chessington
Surrey
KT9 1ST

Total number of shares in issue..........                32,464,000

Weighted average number of shares.....                   32,524,260

Date of AGM...............................               15th November 2002

Ex Dividend Date...........................              18th December 2002

Dividend Date...............................             10th January 2003


The Company's registered office is 1-3 Union Street, Kingston-upon-Thames,
Surrey KT1 1RP


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