Final Results

Polar Capital Technology Trust PLC
13 June 2003





                       POLAR CAPITAL TECHNOLOGY TRUST PLC

         Unaudited Preliminary Results for the year ended 30 April 2003


                                                                    13 JUNE 2003

HIGHLIGHTS


• Net assets fell 23% but outperformed our benchmark by 10%.


• 2002 completed the deflation of the technology bubble.


• Strengthening corporate and consumer confidence should deliver a
  cyclical upturn in the economy later this year.


• Improving demand and much reduced costs bases imply a leveraged
  earnings recovery for technology companies.


• Portfolio positioning reflects our confidence in a continuation of the
  cyclical bull trend.


• Net assets have risen 11% since 30 April 2003.


FINANCIAL                  30 April 2003         30 April 2002        Change %


Total net assets            £221,022,000          £287,229,000          -23.0%

Net assets per share

Undiluted                          148.3p                192.8p         -23.1%
Fully diluted                      141.3p                178.5p         -20.8%

Price

per ordinary share                 120.5p                165.0p         -27.0%
per warrant                        27.25p                 66.5p         -59.0%




For further information please contact:
Brian Ashford-Russell                         Jacqui Graves / Peter Binns
Polar Capital Technology Trust PLC            Binns & Co. PR Ltd.
Director and fund manager                     Tel: [phone]
Tel: [phone]                            E.mail: [e-mail]
www.polarcapitaltechnologytrust.co.uk         [e-mail]






Chairman's Statement:


Equity investors have experienced another very difficult year with the FTSE
World Index declining by 22% on top of its 15% fall the previous year.
Technology shares suffered even more severely with our benchmark index
plummeting 30%. Our own assets fell by 23%, a good performance in relative terms
but still a very disappointing outcome.


Our good relative performance over the year was largely the consequence of
successful cash management, strong outperformance in Europe, and much improved
performance in both the United States and Japan. We also benefited from
maintaining the lowest weighting we have ever held in the year's worst
performing technology market, Europe. Our currency hedges made a modest positive
contribution to results and we continue to be fully hedged on our Yen exposure
and approximately 50% hedged on our dollar exposure.


Investors have been confronted by a seemingly endless series of problems, some
the inevitable consequence of the deflation of the stock market bubble of 2000,
others less easy to predict. The economic environment has proved difficult
notwithstanding the efforts of the Federal Reserve to reduce interest rates and
the rather more tentative steps taken elsewhere in the world. Confidence has
been sadly lacking on the part of companies while that of consumers has been
eroded by concerns about terrorism and geopolitical issues. Investor confidence
was battered further by a succession of financial scandals of which Enron and
Worldcom were perhaps the most prominent examples.


Although the global economy has proved more resilient than was predicted by
many, both consumers and corporates have been guarded in their spending.
Earnings have disappointed, the consequence not only of fragile end-demand but
also a more rigorous application of accounting standards. Valuations have eroded
most conspicuously in Europe and Asia where markets were particularly hard hit
by structural selling by pension funds, banks and insurers.


The technology sector continued to suffer from weak capital spending by its
customers and the overhang of excess capacity installed during the boom years.
Earnings visibility has been negligible and, with companies in every industry
rationalising their supplier lists, smaller companies were especially hard hit.
Intense competition pressured margins while customers' focus on rebuilding their
own balance sheets impacted volumes. Demand is now showing signs of
stabilisation, inventories are relatively lean, cost bases have been
aggressively pruned and management teams are becoming more realistic. Moreover,
there have been some developments which encourage optimism about the future
growth of the technology industry, perhaps most notably, the continuing dramatic
growth in electronic commerce.


The bubble in technology shares that burst in 2000 seems now to be fully
deflated. While valuations for larger capitalisation companies are still not
cheap, they are no longer so detached from reality. Amongst the smaller
companies, value is not difficult to find although stock specific risk has been
high.


The analogy that we have drawn over the last two years with the period in the
1980s that followed the bursting of the PC bubble still seems apt. While the
industry is a long way from returning to a secular bull market, we believe that
its period of relative underperformance is largely behind us and that the next
few years will see it rotate into and out of popularity in much the same way as
other stock market sectors. Our strategy both over the last year and going
forward will continue to be influenced by the experiences of that time. We
anticipate an extended 'bottoming' period marked by cyclical trading moves and a
growing polarisation between the well positioned companies and those that
represent little more than the residue of an IPO vintage of lamentable quality.


SHAREHOLDER RETURNS AND BENCHMARK

As a Board we are very conscious that whereas our relative performance in the
current poor technology markets has been good, the absolute outcome for
shareholders has been very disappointing. We believe that shareholders would
welcome a more absolute return style approach and we are considering with our
investment manager modest steps in this direction.


We are also planning some changes in our performance fee benchmark. This has
become necessary because one of its constituents, the German Neuer Markt has
closed and another, the Japanese JASDAQ Index, now has a much reduced technology
exposure. These factors will lead to a number of minor adjustments in the
composition of the benchmark.



OUTLOOK

With the Iraq crisis now off the front pages, it seems reasonable to anticipate
some restoration of confidence amongst both consumers and the corporate sector.
This, together with further reductions in interest rates, the gradual repair of
corporate balance sheets and a modest level of inventory rebuilding should allow
a cyclical recovery to get underway later this year. While we remain of the view
expressed a year ago that any economic recovery will be muted, we may see a
stock market reaction out of proportion to the underlying improvement in the
economic fundamentals. We do not believe that this will be the start of a major
new bull market but nevertheless, we think that this cyclical upturn will be
well worth playing.


Technology shares should be major beneficiaries of any loosening of capital
spending purse strings and of a healthier stock market environment. However, we
would not expect any such rally to develop into a new secular bull market as
there are, as yet, insufficient new drivers for technology spending. Moreover,
the imbalance between the supply of technology shares and demand for them may
exert a downward pressure on valuations over the medium term. Nevertheless,
value and opportunity are more prevalent than at any time in the last four
years. We are hopeful that better times lie ahead for our shareholders and have
positioned our portfolio accordingly.


R K A Wakeling
                                    12 June 2003






GROUP STATEMENT OF TOTAL RETURN for the year ended 30 April 2003

(INCORPORATING THE REVENUE ACCOUNT)



                         Unaudited                          Audited
                  Year ended 30 April 2003          Year ended 30 April 2002
                Revenue    Capital      Total    Revenue     Capital       Total
                  £'000      £'000      £'000      £'000       £'000       £'000

Total capital         
losses from
investments           -    (65,865)   (65,865)         -    (113,975)   (113,975)

Repurchase of         
warrants              -         71         71          -           -           -

Income from       
fixed asset
investments       2,092          -      2,092      2,252           -       2,252

Other interest
receivable and
similar
income              891          -        891        879           -         879

Gross revenue     
and capital
losses            2,983    (65,794)   (62,811)     3,131    (113,975)   (110,844)

Management       
fee              (1,611)         -     (1,611)    (2,494)          -      (2,494)

Other             
administrative
expenses           (601)         -       (601)      (597)          -        (597)

Net return/
(loss) on
ordinary
activities
before
interest
payable and
taxation            771    (65,794)   (65,023)        40    (113,975)   (113,935)

Interest           
payable and
similar
charges            (567)         -       (567)      (513)          -        (513)

Net return/
(loss) on
ordinary
activities
before
taxation            204    (65,794)   (65,590)      (473)   (113,975)   (114,448)

Taxation on        
ordinary
activities         (134)         -       (134)      (135)          -        (135)

Net return/
(loss) on
ordinary
activities
after
taxation             70    (65,794)   (65,724)      (608)   (113,975)   (114,583)

Return/(loss)
per ordinary
share

Basic              0.05p    (44.16p)   (44.11p)    (0.41p)    (76.61p)    (77.02p)

Fully              0.05p    (42.71p)   (42.66p)        -      (70.03p)    (70.40p)
diluted

The revenue columns of this statement represent the revenue accounts of the
Group.



GROUP BALANCE SHEET at 30 April 2003

                                                    Unaudited          Audited
                                                30 April 2003    30 April 2002
                                                        £'000            £'000
Fixed asset investments

Listed at market value:

United Kingdom                                         21,738           30,684
Overseas                                              194,672          243,653
                                                      216,410          274,337

Unlisted at directors' valuation:
United Kingdom                                            444              345
Overseas                                                    -               10
                                                      216,854          274,692

Current assets
Debtors                                                51,761            8,664
Cash                                                   36,760           37,689
                                                       88,521           46,353

Creditors: amounts falling due within one             (73,336)          (1,163)
year

Net current assets                                     15,185           45,190

Total assets less current liabilities                 232,039          319,882
Creditors: amounts falling due after more than       
one year                                              (11,017)         (32,653)

Total net assets                                      221,022          287,229

Capital and reserves
Called up share capital                                37,250           37,249
Share premium                                          87,959           87,955
Warrant reserve                                         8,070            8,560
Warrant exercise reserve                                  568              566
Other capital reserves                                140,837          206,631
Revenue reserve                                       (53,662)         (53,732)
Equity shareholders' funds                            221,022          287,229

Net asset value per ordinary share
Undiluted                                              148.34p          192.78p

Diluted                                                141.25p          178.48p




GROUP CASH FLOW STATEMENT for the year ended 30 April 2003


                                  Unaudited   Unaudited     Audited    Audited
                                       2003        2003        2002       2002
                                      £'000       £'000       £'000      £'000
Net cash inflow from operating                      
activities                                           32                    986

Servicing of finance

Bank and loan interest paid            (478)                   (336)

Net cash outflow from servicing                    
of finance                                         (478)                  (336)

Taxation
UK tax recovered                          -                       -
Overseas withholding tax                 
recovered                                10                       -

Net tax recovered                                    10                      -

Financial investment
Purchase of investments            (267,145)               (369,032)
Sale of investments                 265,702                 362,169
Gain from forward foreign            
currency contracts                    2,333                       -

Net cash inflow/(outflow) from
financial investment                                890                 (6,863)

Net cash inflow/(outflow) before                    
financing                                           454                 (6,213)

Financing
Proceeds from exercise of                 5                     475
warrants
Repurchase of warrants                 (418)                      -
Loans taken out                           -                  33,860
Loan matured                              -                 (29,505)

Net cash (outflow)/inflow from                     
financing                                          (413)                 4,830

Increase/(decrease) in cash                          41                 (1,383)



Reconciliation of net cash flow to movement in net funds

Increase/(decrease) in cash as above                           41       (1,383)
Movement in long term loans                                     -       (4,355)
Change in net funds resulting from cash flows                  41       (5,738)
Exchange movements                                           (372)         298
Net movement in the year                                     (331)      (5,440)
Net funds at 1 May                                          5,036       10,476
Net funds at 30 April                                       4,705        5,036








Notes:



1.                    Return / (loss) per ordinary share

Return per ordinary share is based on the net return after taxation attributable
to the ordinary shares of £70,000 (2002:net loss after taxation of £608,000) and
on 148,998,143 (2002:148,773,940) ordinary shares, being the weighted average
number of shares in issue during the year.


Basic capital return per ordinary share is based on net capital losses of
£65,794,000 (2002:net capital losses:£113,975,000) and the weighted average
number of shares in issue during the year as shown above.


The calculations of the fully diluted revenue and capital returns per ordinary
share are carried out in accordance with Financial Reporting Standard No.14,
Earnings per Share. For the purposes of calculating diluted revenue and capital
returns per share, the number of shares is the weighted average used in the
basic calculation plus the number of shares deemed to be issued for no
consideration on exercise of all warrants, by reference to the average price of
the ordinary shares during the year. The calculations indicate that the exercise
of warrants would result in an additional weighted average number of shares of
5,032,510 (2002:13,980,989) resulting in a total weighted average number of
shares of 154,030,653 (2002:162,754,929).


2.                    2002 Accounts

The figures and financial information for the period ended 30 April 2002 are an
extract of the latest published accounts of the Group and do not constitute the
statutory accounts for that year. Those accounts have been delivered to the
Registrar of Companies and included the report of the auditors which was
unqualified and did not contain a statement under either section 237(2) or
section 237(3) of the Companies Act 1985.


3.                    2003 Accounts

The preliminary figures for the year ended 30 April 2003 are an extract from the
Group's accounts for that period and do not constitute the statutory accounts
for that year. These accounts have not yet been delivered to the Registrar of
Companies, nor have the Auditors yet reported on them.


4.                    Reconciliation of operating revenue to net cash inflow
from operating activities

                                                    Unaudited          Audited
                                                30 April 2003    30 April 2002
                                                        £'000            £'000

Net result before interest payable and                    
taxation                                                  771               40
Decrease in accrued income                                101               84
(Increase)/decrease in other debtors                      (48)           1,009
Increase/(decrease) in other creditors                    158              (28)
Overseas withholding tax suffered                        (129)            (119)
Script dividends included in investment                   
income                                                    (59)               -
Interest accumulations included in investment            
income                                                   (762)               -
Net cash inflow from operating activities                  32              986



5.                    Basis of consolidation

The Group accounts consolidate the accounts of the Company and its wholly owned
subsidiary undertaking, PCT Finance Limited.


6.                    Copies of Report and Accounts

The full annual report and accounts will be posted to shareholders in late June
2003 and copies will be available thereafter from the Company Secretary at the
Company's Registered Office, Cayzer House, 30 Buckingham Gate, London SW1E 6NN
(020 7592 1500).


7.                    Annual General Meeting

The Annual General Meeting will be held at 12.30 pm on Wednesday 23 July 2003 at
The Offices of UBS Warburg, Finsbury Avenue, London EC2M 2PP.



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