Interim Results

Solid State Supplies PLC
14 November 2000



SOLID STATE SUPPLIES PLC

Unaudited Interim Results for the six months ended 30 September 2000


Chairman's Statement

Results
The unaudited pre tax profit of the Company for the six months ended 30
September 2000 was £440,000 (6 months ended 30 September 1999: £185,000) on a
turnover of £3,981,000 (6 months ended 30 September 1999: £3,057,000).

Trading Review
The past six months have seen a continuation of the improvement that started
in the latter half of the previous financial year.  Our turnover has risen
from £3.057m to £3.981m for the comparable period, an increase of 30.2% and as
our gross profit margins were maintained, our net profit before tax has
improved to £440,000, an increase of 137% which means we have made more profit
in the first six months of the year than in the whole of the previous year. 
We anticipate a good performance for the rest of the year since our book to
bill ratio, which is generally accepted as the industry barometer, has been a
healthy 1.4 to 1 for the first half of the year.

The expansion of the Company will continue with the promotion of our new
franchises Dense-Pac, LEA, Linfinity, Mitsubishi Electric and NetSilicon.  In
addition we have formed a new division of the Company to be called SSS Highway
Technologies which will develop our already expanding telecom market.

Another major development for the Company is our opening of operations in
France, also under the name of SSS Highway Technologies, where we have
consolidated agreements to act as a stocking representative for six of our
existing principals.

We are further pleased to announce that we have concluded an agreement with
Ramtron International Corporation to distribute their memory products
throughout the UK and the Republic of Ireland, which will contribute towards
the continued expansion of the Company.

From the foregoing, it will be seen that there has been a significant level of
activity in this period which we are confident will result in medium and long
term growth for the Company.

Dividends
The Directors are recommending an interim dividend of 1.5p per share compared
with an interim of 1p per share last year.  The interim dividend will be paid
on 10 January 2001 to shareholders on the register on 15 December 2000.

Conclusion
It is pleasing to see the Company's continued progress and increased
profitability which reflects well on the efforts put in by everyone in the
Company.

Proposal to establish an All Employee Share Ownership Plan
Your Directors have decided to take advantage of recent Government legislation
and implement an All Employee Share Ownership Plan.  The plan will allow the
Company, through a trust to be established for the purpose, to grant shares in
the Company to all employees including eligible executive Directors, who have
been employed by the Company for the qualifying period of one year.  There are
certain tax benefits to both the Company and the employees from implementing
such a scheme and your Directors believe it will be an effective way of
motivating and retaining the loyalty of the employees.  The shares will be
acquired by the Trustees by means of purchases in the market and will be
awarded free to all eligible employees up to an annual limit of £3,000.

Your Directors can report that an Enterprise Management Incentives Scheme in
accordance with the provisions of the Finance Act 2000 has been instigated
whereby share options have been granted to three of the executive Directors.

The establishment of the All Employee Share Ownership Plan requires Ordinary
shareholders' approval as does the authority to issue the shares which will be
needed to cover shares which are subject to the Enterprise Management
Incentives options and your attention is drawn to the notice convening an
Extraordinary General Meeting and the resolutions contained therein.

Your Directors consider that the resolutions to be proposed at the meeting are
in the best interests of the Company and its shareholders.  They unanimously
recommend all Ordinary shareholders to vote in favour of the resolutions at
the Extraordinary General Meeting as they intend to do in respect of their
beneficial holdings amounting to 4,721,356 Ordinary shares representing 75.5%
of the issued ordinary share capital of the Company.

Gordon L Comben
Chairman
14 November 2000
 


Unaudited Interim Profit and Loss Account
for the six months ended 30th September 2000


                                          Unaudited       Unaudited   Audited
                                      Six months to   Six months to   Year to
                                       30 September    30 September  31 March 
                                               2000            1999      2000
                                              £'000           £'000     £'000


Turnover                                      3,981           3,057     6,327
Cost of sales                                (2,732)         (2,157)   (4,446)
                                             ______          ______    ______
Gross profit                                  1,249             900     1,881
                     
Selling expenses and distribution costs        (524)           (495)     (960)
Administrative expenses                         (298)           (229)    (507)
                                             ______          ______    ______
                                               (822)           (724)   (1,467)
                                             ______          ______    ______
                     
Operating profit                                427             176       414
Other income                                     13              10        18
Interest payable                                  -              (1)       (2)
                                             ______          ______    ______
                     
Profit on ordinary activities before taxation   440             185       430
Tax on profit on ordinary activities           (132)            (47)     (111)
                                             ______          ______    ______
                     
Profit on ordinary activities after taxation    308             138       319
Dividends                                       (94)            (63)     (188)
                                             ______          ______    ______
RETAINED PROFIT FOR THE PERIOD                  214              75       131
                                             ______          ______    ______
                     
Earnings per share (see below)                  4.9p            2.2p      5.1p
                     
                     
All amounts relate to continuing activities                     
 


Unaudited Balance Sheet
as at 30 September 2000


                                          Unaudited       Unaudited   Audited 
                                              As at           As at     As at
                                       30 September    30 September  31 March
                                               2000            1999      2000
                                              £'000           £'000     £'000

FIXED ASSETS                     
Tangible assets                                 336             292       299
Investment property                              77              77        77
                                             ______          ______    ______
                                                413             369       376
                                             ______          ______    ______
                     
CURRENT ASSETS                     
Stock                                         1,604           1,229     1,323
Debtors                                       1,817           1,425     1,378
Cash at bank and in hand                        119              41       390
                                             ______          ______    ______
                                              3,540           2,695     3,091
                                             ______          ______    ______
                     
CREDITORS                     
Amounts falling due within one year          (1,525)           (991)   (1,385)
                                             ______          ______    ______
                                              2,015           1,704     1,706
                                             ______          ______    ______
TOTAL ASSETS LESS CURRENT LIABILITIES         2,428           2,073     2,082
                     
CREDITORS                     
Amounts falling due after more than one year   (132)            (47)        -
                                             ______          ______    ______
                                              2,296           2,026     2,082
                                             ______          ______    ______
                     
CAPITAL AND RESERVES                     
Share capital                                   313             313       313
Share premium account                           757             757       757
Profit and loss account                       1,226             956     1,012
                                             ______          ______    ______
SHAREHOLDERS' FUNDS - EQUITY                  2,296           2,026     2,082
                                             ______          ______    ______
                     

Notes:

1. The unaudited profit and loss account and balance sheet do not constitute
statutory accounts within the meaning of Section 240 of the Companies Act
1985.  Statutory accounts for the year ended 31 March 2000 have been filed
with the Registrar of Companies.  The Auditors' Report on these accounts was
unqualified.

2. The earnings per share figures are based on the profit on ordinary
activities after taxation as stated in the unaudited profit and loss account
and on the weighted average number of shares in issue during each period of
6,250,000.

3. Further copies of this document are available from the offices of English
Trust Company Limited, 12a Charterhouse Square, London EC1M 6NA.
 


Notice of Extraordinary General Meeting

Notice is hereby given that an Extraordinary General Meeting of Solid State
Supplies plc will be held at Eastlands Lane, Paddock Wood, Kent TN12 6BU on
Tuesday 12 December 2000 at 10.30am for the purpose of considering and, if
thought fit, passing the following resolutions which will be proposed as
special resolutions:-

1. That the Directors be authorised to adopt the Solid State Supplies plc All
Employee Share Ownership Plan, summarised in the explanatory notes within the
Chairman's Statement and to do all such acts and things that may be necessary
to implement it.

2. That the Directors be and are hereby empowered to allot, issue or grant
options over equity securities (as defined in Section 94(2) of the Companies
Act 1985) pursuant to the implementation of  Enterprise Management Incentives
in accordance with Section 62 and Schedule 14 of the Finance Act 2000 as if
section 89(1) of the Companies Act 1985 did not apply to any such allotment,
issue or grant, and that the grant of options under the Enterprise Management
Incentives Scheme for an aggregate nominal value of £17,850 be and is hereby
approved.

BY ORDER OF THE BOARD
Peter Haining FCA
Secretary

14 November 2000
Registered Office:
Eastlands Lane
Paddock Wood
Kent
TN12 6BU

NOTES:

Proxies:
1. Only holders of Ordinary shares are entitled to attend and vote at this
meeting.  A member entitled to attend and vote may appoint a proxy or proxies
who need not be a member of the Company to attend (and on a poll to vote)
instead of him or her.  Forms of proxy need to be deposited with the Company's
registrar, Independent Registrars Group Limited at Balfour House, 390-398 High
Road, Ilford, Essex IG1 1NQ not later than 48 hours before the time of the
meeting.  Completion of a form of proxy will not preclude a member attending
and voting in person at the meeting.

Documents on Display
2. The register of Directors' interests in the share capital and debentures of
the Company, together with copies of the service agreements under which
Directors of the Company are employed, are available for inspection at the
Company's registered office during normal business hours from the date of this
notice until the date of the annual general meeting and will be available for
inspection at the place of the Extraordinary General Meeting for at least 15
minutes prior to and during the meeting.