Trading Update

Petards Group PLC
07 February 2007
                                                   



                  Petards Group plc ('Petards' or 'the Group')


                 Period-end trading update and Contract award


Petards, the AIM quoted developer of advanced surveillance systems, provides the
following update to progress in respect of the year ended 31 December 2006.


Financials


The Board reports an increasing momentum in the Group's recovery and that it
expects to report a full year operating profit slightly ahead of market
expectations.  It also expects to report both a lower than expected net debt
position and a smaller than expected full year pre-tax loss after charging
exceptional items and interest.


Contract award


The Board is pleased to announce that Petards Limited has won a contract worth
in excess of £3m to provide BAE SYSTEMS with software and hardware as part of a
recently awarded UK Government project.  The contract includes support and
maintenance for a period of 5 years.


For further information:


Petards Group plc                                        Parkgreen Communications

Andy Wonnacott, Finance Director                         Paul McManus
Tel: [phone]                                       Tel: [phone]  or Mob: [phone]
www.petards.com                                          [e-mail]


END


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