Preliminary Results

Solid State Supplies PLC
13 June 2000


Preliminary announcement of results for the year ended 31st March 2000

Chairman's Statement

Results
The audited profit before tax of the Company was £430,000 (1999: £303,000) on
a turnover of £6,327,000 (1999: £6,100,000).

Trading Review
In this, my last Chairman's statement, I am pleased to report that
notwithstanding the well documented difficult market conditions, the Company
performed extremely well during the year under review.  The turnover was
increased by 3.7% in spite of the substantial revenue deficit due to the loss
of the Arizona Microchip franchise.

As I stated in the interim report, steps were taken to protect the
profitability of the Company and I am delighted to announce a 42% increase in
the net profit before taxation.

It is also very pleasing to report that the founder of the Company, Gordon
Comben, having resigned as Chairman in 1999 for health reasons is now able to
resume his role and I will revert to my previous position of Deputy Chairman.

After considerable period of market contraction, the improvements noted in my
interim report continued through the second half of the year.  The major
erosion caused by the imbalance between supply and demand appears at least to
have slowed down and in certain areas where manufacturers have reduced
capacity long lead times are now being experienced with even some product on
allocation.

Evidence of customers recognising this situation can be seen in increases in
scheduled orders being placed.  This has resulted in the book to bill ratio of
the Company changing from 0.93 in the first six months to 1.14 in the second
half of the year.  During this period great attention has been placed on stock
control and this will continue to be monitored very closely.

As a specialist distributor we will continue to work very closely with our
customers and suppliers in order to cover the transitional phase from over
supply to allocation whilst maintaining a high service level.

This year has also seen changes in the supply chain brought about to a large
extent by acquisitions and mergers.  This had led to changes in franchise
arrangements which have been to both the detriment and advantage of the
Company.  The debit side has been the previously reported loss of the Unitrode
franchise because this company was bought by Texas Instruments.  The credit
side has been the acquisition of the Synergy franchise because this company
has been purchased by Micrel and we will now handle both lines as is the case
with the announcement of the Linfinity franchise due to its acquisition by
Microsemi.  We are fortunate also that there is a considerable overlap in the
Unitrode and Linfinity product range which means that given time, we should be
able to replace a portion of that lost business.

The Company has been active in looking at both new franchises and
acquisitions.  On the franchise front, we are continuing with our focus on a
specialist role and therefore avoiding major overlaps of products.  We are
please to announce that we have concluded agreement for a franchise with
Mitsubishi on their microcontrollers and memory products.  In addition we have
agreements with two niche manufacturers that should provide the opportunity of
expanding our distribution and agency business.

In spite of a number of negotiations entered into over the past year, the
Directors have not found an acquisition that we felt should be undertaken. 
However, this will continue to be an area which will be kept under
consideration.

Dividends
The Directors are recommending a final dividend of 2p per share which,
together with the interim dividend makes a total for the year of 3p per share.
This compares with 2p per share last year.  The final dividend will be paid
on 13th July 2000 to shareholders on the register at the close of business on
23rd June 2000.

Conclusions
There are signs that the market is recovering, that some stabilising of prices
combined with continued volume requirements bode well for the coming year.  It
is now looking likely that some economic growth in the market will create
opportunities from which the Company is well placed to benefit.

Finally, I would like to take this opportunity of thanking my co-Directors and
all the staff for the total co-operation and effort they have put in to
achieve the results on which I have reported.  The Company enters into the new
fiscal year with the confidence and expectations that continued growth will be
achieved.

William G Marsh
Chairman
13th June 2000

Profit and Loss Account
For the year ended 31st March 2000

                                         2000                    1999
                                   £              £          £          £
                            
Turnover                                      6,327,010             6,099,790
Cost of sales                                (4,446,012)           (4,333,227)
                                             ----------            ----------
GROSS PROFIT                                  1,880,998             1,766,563
Selling expenses and
distribution costs             (960,070)               (1,006,815)       
Administrative expenses        (507,361)                 (451,789)
                             ----------                ----------
                                             (1,467,431)           (1,458,604)
                                             ----------            ---------- 
                         
OPERATING PROFIT                                413,567               307,959
Other income                                     18,139                17,117
Interest payable                                 (1,989)              (21,707)
                                             ----------            ---------- 
                          
PROFIT ON ORDINARY ACTIVITIES BEFORE TAXATION   429,717               303,369
Tax on profit on ordinary activities           (111,348)              (77,712)
                                             ----------            ---------- 
                          

PROFIT ON ORDINARY ACTIVITIES AFTER TAXATION    318,369               225,657
Dividends - Equity                             (187,500)             (125,000)
                                             ----------            ---------- 
                          
RETAINED PROFIT FOR THE YEAR                    130,869               100,657
                                             ----------            ---------- 
                          
EARNINGS PER SHARE                            
Basic                                               5.1p                  3.6p

All amounts relate to continuing activities.
There were no recognised gains or losses other than the profit for the year as
stated above.


Balance Sheet
For the year ended 31st March 2000


   
                            
FIXED ASSETS                            
Tangible assets                                  299,108              273,561
Investments                                       76,694               76,694
                                              ----------            ----------
                                                 375,802              350,255
                            
CURRENT ASSETS                            
Stocks                             1,323,310              1,300,241       
Debtors                            1,377,460              1,379,313       
Cash at bank and in hand             389,857                111,258       
                                  ----------             ----------
                                   3,090,627              2,790,812       
                            
CREDITORS: amounts falling due
within one year                    1,384,732              1,190,239
                                  ----------             ----------      
                            
NET CURRENT ASSETS                             1,705,895            1,600,573
                                              ----------           ----------
                                               2,081,697            1,950,828
                                              ----------           ---------- 
                          
CAPITAL AND RESERVES                            
Called up share premium                          312,500              312,500
Share premium account                            756,980              756,980
Profit and loss account                        1,012,217              881,348
                                              ----------           ----------
SHAREHOLDERS' FUNDS-EQUITY                     2,081,697            1,950,828
                                              ----------           ----------

The financial statements were approved by the Board on 13th June 2000.


W G Marsh
Director

Notes

1. The financial information is derived from the Company's audited statutory
accounts for the years ended 31st March 2000 and 31st March 1999.  The
auditors' reports were unqualified and did not contain a statement under
Section 237(2) or (3) of the Companies Act 1985.  The statutory accounts for
1999 have been filed with the Registrar of Companies and the 2000 accounts
will be filed following the Annual General Meeting.

2. Earnings per share for each year have been based on the profit on ordinary
activities after taxation divided by the weighted average number of ordinary
shares in issue during the year of 6,250,000 (1999: 6,250,000).

3. The Report and Accounts for the year ended 31st March 2000 are being sent
to shareholders shortly.