Final Results - Year Ended 31 December 1999

Transense Technologies PLC
16 March 2000


PRELIMINARY RESULTS FOR THE YEAR ENDED 31 DECEMBER 1999

Chairman's Statement

I am pleased to present your Company's audited financial
results for the year ended 31 December 1999.  You will
see that the operating loss rose from the previous year
by £267,000 to £458,000.  This increase is attributable
to the expansion of your Company's commercial and
development activities, and to the consequential rise in
personnel costs.  The balance sheet however reflects the
equity fund raising which occurred concurrently with the
flotation in December on the Alternative Investment
Market ('AIM').

Recent Milestones

Before discussing some of the exciting projects on which
your Company is presently working, and looking forward to
its future prospects, I should like to review the key
events of the past financial year:

Application Licence

In September, your Company signed its first application
licence agreement, for the use of its sensor technology
in tyre monitoring.  Transense's contractual partner is
SmarTire Systems, Inc., a North American public company
which is a world leader in tyre pressure monitoring
systems.  SmarTire recognised that your Company's surface
acoustic wave ('SAW') pressure monitoring system, which
dispenses with the need for an independent power source,
could replace conventional technology in the next
generation of SmarTire systems.

Your Company is now working with SmarTire to produce a
prototype in-car system, with the objective of mass
production by 2002.

The safety and fuel economy gains of a low-cost, real-
time tyre pressure monitoring system, with dashboard
display, should become self-evident, and should assist
early market acceptance.

Board Additions

I was pleased last December to welcome two new directors
to your Company's Board.  Howard Pearl, F.C.A., joined as
Finance Director and Tony Baldry, M.P., became a non-
executive Director.

Roland Rowe and Bryan Lonsdale both retired from the
Board, although Mr Lonsdale, a co-founder, remains
associated with your Company as Research Manager.

I wish to thank them both for their contributions while
in office.

AIM Flotation and Fundraising

Your Company's shares were introduced in December to AIM
pursuant to a Placing and Open Offer.  The Open Offer was
oversubscribed by a factor of twenty.  I should like to
thank long-term shareholders for the support, which
enabled the Open Offer to be so successful, and to take
the opportunity of welcoming the many new shareholders
who have become owners of Transense since the flotation.

Current Developments

Steering Technology

Some shareholders will be familiar with Transense's
ongoing work on electric power assisted steering ('EPAS')
systems.  Your Company is engaged jointly with several
large, multinational companies on the development of
EPAS.

The Company's TorqsenseTM torque transducer has
successfully completed a ten million cycle test,
conducted by Instron Schenck.  This equates to the life
of a car.  In addition, your Company's own Peugeot 106,
fitted our technology, has driven 40,000km with no
troubles attributable to the torque transducer.

Dura Automotive's Elektr-a-SteerTM, incorporating the
TorqsenseTM transducer is also being vigorously tested on
'in car' systems.  Other tests carried out with Oxford
University validate the durability and performance of our
TorqsenseTM  transducer.

EPAS is safety-critical, and draws together mechanical
and electronic technologies from multiple sources.  It is
therefore understandable that the lead time between
development and acceptance by the automotive
manufacturers will be extended.

Interest, however, in column-mounted power steering
sensors is increasing.  Valeo, a large automotive
electronic and control systems supplier based in France,
is now working closely with us to develop a sensor which
will incorporate Transense's technology into its steering
systems.  Valeo delivers electronic components to most
major automobile producers.

Tyre Monitoring

I referred to your Company's work on tyre pressure
sensing when discussing the licence with SmarTire.  A
system for monitoring tyre tread wear, which will be able
to be incorporated into the pressure monitoring system,
is currently under development.

Traction Control

Developments incorporating your Company's sensor
technology into traction control systems are progressing
well.  I am pleased to inform you that your Company has
been working with a major international engineering
company with a view to that company acquiring a licence
to incorporate Transense's technology into its drive
shafts.  The development programme with this company has
taken upwards of a year and the first generation of
'intelligent' drive shafts could be in production in two
years' time.  Each unit would require two SAW devices and
an application-specific integrated circuit ('ASIC').

The prospective licensee currently produces many
millions of drive shafts a year and, under licensing
arrangements in place between them and their own
manufacturing partners, the number of units incorporating
the Transense technology could be substantial.

Manufacturing Agreements

Your Company intends to manufacture only to the stage of
acceptable working prototypes.  Transense will continue
to develop its technology and new applications for that
technology, while granting end users and manufacturers
the licences needed to customise and apply the technology
and to produce in volume.

Significant progress has been made over the past year to
convert the electronic circuit boards, which are the
'intelligence units' of the sensors into single ASICs.  I
am now able to report that your Company is at an advanced
stage of negotiating a full manufacturing licence with
Thomson-CSF, whereby Thomson will fund the ongoing
engineering costs and provide a volume manufacturing
facility to supply ASICs to Transense's applications
licensees.  The advantage of this arrangement to the
applications licensees is that Thomson will also be able
to 'customise' the ASICs to meet licensees' special
performance requirements.

A manufacturing licence agreement with Sawtek, Inc. is
currently under negotiation.  Sawtek is one of the
fastest growing companies in North America and currently
produces 1.5 million SAW devices a week.  In exchange for
your Company granting Sawtek a licence to manufacture SAW
devices for use in applications of Transense technology,
and to sell these to application licensees in sufficient
volume to satisfy their requirements, Sawtek will meet
all necessary tooling costs and will pay a royalty on all
SAW devices sold.


Intellectual Property

Your Company's core patent, taken out nine years ago, has
been surrounded by fourteen further patent applications,
and I anticipate that additional patents will be applied
for from time to time.  A leading firm of patent agents
is being retained by your Company to advise and protect
its intellectual property rights.

Future Prospects

Commercial opportunities for your Company's technology
continue to increase and I am gratified at the extent to
which your Company has been able to position itself in
readiness for volume demand.  I look forward to informing
shareholders of further positive developments over the
remainder of this year, and I view the future with
considerable optimism.

Conclusion

It remains only for me to thank all my Board colleagues,
and your Company's small but growing team of dedicated
and highly-skilled staff, for keeping your Company at the
forefront of its particular technological field and for
rising to the additional demands imposed by the AIM
flotation towards the end of last year.


Graham Jarrett
Chairman
March 2000


               TRANSENSE TECHNOLOGIES PLC
 PRELIMINARY RESULTS FOR THE YEAR ENDED 31 DECEMBER 1999

PROFIT & LOSS ACCOUNT
                                   1999           1998
                                     £             £
                                                    
Turnover                          75,834         71,685
                                                    
Cost of sales                    (22,451)       (36,789)
                                                    
Gross Profit                      53,383         34,896
                                                    
Administration expenses         (511,442)      (301,938)
                                                   
                                                    
Operating loss                  (458,059)      (267,042)
                                                   
                                                    
Interest receivable and similar    5,028          9,745
income
                                                    
Interest payable and similar     (30,967)        (2,449)
charges
                                                    
Loss on ordinary activities     (483,998)      (259,746)
before taxation                                    
                                                    
Taxation                               -              -
                                                    
Loss on ordinary activities                     
after taxation attributable to  (483,998)      (259,746)
shareholders                                       
                                                    
Dividends                              -              -
                                                    
Loss retained for the year      (483,998)      (259,746)
                                                   
                                                    
Loss per share                                      
Basic                              (6.2p)         (3.6p)
                                                    
Diluted                            (4.6p)         (3.3p)
                                                    

The  turnover  and operating loss above are derived  from
continuing operations.

Statement of Total Recognised gains and losses

There  are no recognised gains or losses other  than  the
loss for the year.



               TRANSENSE TECHNOLOGIES PLC
 PRELIMINARY RESULTS FOR THE YEAR ENDED 31 DECEMBER 1999

BALANCE SHEET
As at 31 December 1999
                                     1999         1998
                                      £            £
Fixed Assets                                        
Intangible assets                  666,467      502,220
Tangible assets                     27,456       31,332
Investment                          19,631            -
                                                    
                                   713,554      533,552
Current Assets                                      
Stocks and work in progress              -        2,021
Debtors                             53,780       69,885
Cash at bank and in hand         1,927,733        3,793
                                      
                                                    
                                 1,981,513       75,699
                                      

Creditors: Amounts falling due                      
within one year
Trade creditors                    194,803      121,714
Other  taxes and social  security   29,220        5,239
costs
Accruals                           189,850       22,043
Short term loan                       -          87,408
Directors loan account                -           3,134
                                                     
                                   413,873      239,538
                                                    
Net Current Assets/(Liabilities) 1,567,640     (163,839)
                                      
                                                    
Total Assets less Current        2,281,194      369,713
Liabilities                           
                                                    
Capital and Reserves                                
Called up share capital            1,037,752      71,038
                                      
Share premium account              2,487,070   1,058,305
                                                  
Other capital reserve               5,000          5,000
Profit and loss account           (1,248,628)   (764,630)
                                                
                                                    
Equity Shareholders' Funds         2,281,194     369,713
                                      
                                                    

               TRANSENSE TECHNOLOGIES PLC
 PRELIMINARY RESULTS FOR THE YEAR ENDED 31 DECEMBER 1999

CASHFLOW STATEMENT
For the year 31 December 1999

                    Notes    1999    1999      1998   1998
                                £      £          £      £ 
                                                       
Net cash outflow from           (159,360)        (149,515)
operating activities    A                              
                                                       
Returns on investments                                 
and servicing of finance
Interest received          5,028              9,745     
Interest paid            (30,967)           (2,449)    
                                             
                                                       
Net cash outflow/(inflow)                              
from returns on                    (25,939)            7,296
investments and servicing            
of finance
                                                       
Taxation                                               
UK Corporation tax                   -                 -
                                                       
Capital expenditure                                    
Payments to acquire        (174,654)            (187,050)    
intangible fixed assets                    
Payments to acquire          (4,547)             (26,019)    
tangible fixed assets                         
Payment to acquire          (19,631)                   -       
investments                  
                                                       
                                   (198,832)        (213,069)
                                    
                                                       
                                   (384,131)         (355,288)
                                                   
                                                       
Equity dividends paid                     -                 -
                                                       
Cash outflow before                (384,131)        (355,288)
financing                           
                                                       
Financing                                              
Issue of new ordinary     2,395,479             -       
shares                      
                                                       
Short term loans           (87,408) 2,308,071  57,408 57,408
                            
                                                       
Increase/(decrease) in             1,923,940       (297,880)
cash in the year                    


NOTES TO THE CASHFLOW STATEMENT

A.   Reconciliation of operating loss to net cash outflow
from operating activities
                                     1999         1998
                                        £            £
Operating loss                   (458,059)    (267,042)
                                     
Depreciation and amortisation      18,830       16,142
Decrease in debtors                16,105          928
Increase in creditors             261,743       87,661
Decrease in work in progress        2,021       12,796
                                                    
Net cash outflow from operating (159,360)     (149,515)
activities                           


B.   Reconciliation of net cash flow in movement in net
debt
                                     1999         1998
                                        £            £
Increase/(decrease) in cash in  1,923,940     (297,880)
the year                              
Cashflow from change in debt       87,408      (57,408)
                                                   
                                                    
Change in net debt              2,011,348     (335,288)
                                     
                                                    
Net (debt)/cash at 1 January     (83,615)       271,673
                                                    
Net cash/(debt) at 31 December  1,927,733      (83,615)
                                     
                                                    
C.   Analysis of changes in net cash/(debt)

                                   At    Cashflows           At
                            1 January                31December
                                 1999                      1999
                                    £            £            £
Cash at hand, at bank           3,793    1,923,940    1,927,733
                                         
Short term loan               (87,408)      87,408            -
                                   
                                                    
                              (83,615)   2,011,348    1,927,733
                                  

D.   ACCOUNTS

The  summary  of results for the year ended  31  December
1999  does  not constitute statutory accounts within  the
meaning  of  s240 of the Companies Act  1985.   The  full
statutory   accounts   which   will   be   available   to
shareholders  have not been reported on  by
the Company's auditors and have not been delivered to the
Registrar of Companies.  Full accounts in respect of  the
year  ended 31 December 1998 have been delivered  to  the
Registrar  of  Companies and the Audit  Report  on  those
accounts was unqualified.

E.   TAXATION

The charge for taxation is based on the estimated
effective rate for the financial year as a whole.


F.   REPORT & ACCOUNTS

The report and accounts will be posted to shareholders in
April 2000 and the Annual General Meeting will be held on
16 June 2000.

G.   REGISTERED OFFICE

The registered office is at 36 Elder Street, London, E1
6BT.

H.   DIVIDEND

No ordinary dividend is proposed.