Interim Results

Transense Technologies PLC
29 September 2005


Transense Technologies plc


Interim Results


In the six months to June 2005 the Company made a loss of £624,000 (2004:
£629,000). Costs over the period at £686,000 have been maintained at a similar
level to the prior year (2004: £681,000) while cash at bank has reduced to
£908,000 (December 2004: £1,161,000).

At our AGM four months ago we described in detail the strength and number of
projects in our tyre pressure monitoring system ('TPMS'), electronic power
assisted steering ('EPAS') and powertrain product streams which gave us
increasing confidence over future shareholder returns. All three product streams
continue to strengthen.

Our funded projects are progressing well and a small increase in income was
registered as a result. Royalties from the sale and manufacture of our
technology are still small but are expected to continue to increase next year.

The Company's TPMS now remains focused as previously on the earliest possible
in-service date in the North American truck market. Road test and in-house test
programmes are continuing and Transense has completed its engineering support
tasks for TPMS in this market.

The Company also continues to progress well with the development of TPMS for
passenger cars. I am able to reveal that one of the major Tier 1 suppliers we
are in discussions with has recently successfully demonstrated our TPMS
technology to two leading American automobile manufacturers. In addition, a
number of other demonstrations are planned which will further strengthen these
developments and demonstrate the viability of our TPMS product. In summary, a
total of seven major automobile manufacturers are now showing a strong interest
in our battery-less TPMS technology.

I am pleased to report that on the torque side we have finished the first part
of an engine programme we had been working on with another large American
automobile manufacturer and that this project has now been extended. Another
division of this major company has also started a programme to explore
additional applications of our technology.

On EPAS we continue our dialogue and development with three USA/EU Tier 1
suppliers for rack and column mounted steering systems.

As I have emphasised previously, our licensees control launch timing on products
incorporating our technology. This approach significantly reduces our costs as
well as avoiding potential product liability.

We constantly monitor our current and forecast working capital needs. The
Company expects to receive upfront payments from new licensees in the short
term, and we continue to carefully review the position.

Given the expected expansion of Transense in the future we have decided to
broaden the broking responsibility of the Company by appointing KBC Peel Hunt to
act as joint brokers alongside Bridgewell. We believe that this will enable us
to widen further the institutional shareholder base of the Company. Bridgewell
will continue to act as our Nominated Adviser.

We continue to approach our annual market of 1.2 billion tyres and 65 million
new vehicles with confidence, vigour and comprehensive project and market
development.


Peter Woods
Chairman
29 September 2005



                             PROFIT & LOSS ACCOUNT

                       For the six months to 30 June 2005



                                                                       6 months to         6 months to
                                                                      30 June 2005        30 June 2004
                                                                              £000                £000
Turnover                                                                        52                  48
Cost of Sales                                                                 (15)                (25)
Gross profit                                                                    37                  23

Administration expenses                                                      (686)               (681)
Operating Loss                                                               (649)               (658)

Interest income                                                                 25                  29
Loss on ordinary activities before taxation                                  (624)               (629)

Taxation                                                                         0                   0
Loss on ordinary activities after taxation                                   (624)               (629)


Dividends                                                                      ---                 ---


Loss per share:                                                             (1.2)p              (1.2)p



                                 BALANCE SHEET

                                At 30 June 2005



                                                           30 June 2005              31 December 2004
                                                                   £000                          £000
Fixed Assets                                                      1,656                         1,579

Current assets:      Debtors etc                   48                         590
                     Cash                         908                       1,161
                                                  956                       1,751

Current liabilities: Creditors                    129                         161
                     Accruals                      19                          81
                                                  148                         242
Net Current assets                                                  808                         1,509

Net assets                                                        2,464                         3,088



Capital & reserves:  Share capital                                5,376                         5,376
                     Share premium                                3,473                         3,473
                     Profit & Loss account                      (6,385)                       (5,761)

Shareholders' funds                                               2,464                         3,088



Notes

1    The comparatives for the full financial year ended 31 December 2004 are not
     the Company's full statutory accounts for the year. A copy of the statutory
     accounts for that year has been delivered to the Registrar of Companies. 
     The auditors' report on those accounts was unqualified and did not contain 
     a statement under Section 237 (2)-(3) of the Companies Act 1985.

2    The interim financial information has been prepared on a going concern 
     basis, which assumes that the Company will have adequate resources to 
     continue in operational existence for the foreseeable future. In arriving 
     at their decision to prepare the accounts on this basis, the directors have
     had regard to trading and cash forecasts and the ability to secure further 
     funding if necessary by issuing a limited number of new shares for cash as 
     agreed by shareholders at the last AGM.



                              CASH FLOW STATEMENT

                       For the six months to 30 June 2005



                                                                 6 months to                6 months to
                                                                30 June 2005               30 June 2004
                                                                        £000                       £000
Net cash outflow from operating activities                             (157)                      (554)

Returns on investments and servicing of finance                           25                         29

Corporation tax received                                                   0                          0

Capital expenditure and financial investment                           (121)                       (61)

Cash outflow before financing                                          (253)                      (586)


Management of liquid resources                                           215                        550

Decrease in cash in the period                                          (38)                       (36)


Reconciliation of operating loss to net cash outflow from
operating activities
         Operating loss                                                (649)                      (658)
         Depreciation & amortisation                                      44                         46
         Decrease in debtors                                             542                         12
         (Decrease) / increase in creditors and accruals                (94)                         46
                                                                       (157)                      (554)


Reconciliation of net cash flow to movement in net debt
         Decrease in cash in the period                                 (38)                       (36)
         Cash inflow from changes in liquid                            (215)                      (550)
         resources
         Movement in net funds in the period                           (253)                      (586)
         Net funds at 1 January                                        1,161                      2,071
         Net funds at 30 June                                            908                      1,485


Analysis of net funds
                                                                      Liquid     Cash             Total
                                                                   resources
                                                                        £000     £000              £000
         At 1 January 2005                                             1,100       61             1,161
         Cash flow                                                     (215)     (38)             (253)
         At 30 June 2005                                                 885       23               908



                           INDEPENDENT REVIEW REPORT

                         to Transense Technologies plc


Introduction

We have been instructed by the Company to review the financial information for
the six months ended 30 June 2005 on pages 3 and 4. We have read the other
information contained in the interim report and considered whether it contains
any apparent misstatements or material inconsistencies with the financial
information.

Our report has been prepared in accordance with the terms of our engagement to
assist the company in meeting the requirements of the rules of the London Stock
Exchange for companies trading securities on the Alternative Investment Market
and for no other purpose. No person is entitled to rely on this report unless
such a person is a person entitled to rely upon this report by virtue of and for
the purpose of our terms of engagement or has been expressly authorized to do so
by our prior written consent. Save as above, we do not accept responsibility for
this report to any other person or for any other purpose and we hereby expressly
disclaim any and all such liability.

Directors' responsibilities

The interim report, including the financial information contained therein, is
the responsibility of, and has been approved by the directors.  The directors
are responsible for preparing the interim report in accordance with the rules of
the London Stock Exchange for companies trading securities on the Alternative
Investment Market. These rules require that the half yearly report be presented
and prepared in a form consistent with that adopted in the Company's annual
accounts having regard to the accounting standards applicable to such annual
accounts.

Review work performed

We conducted our review in accordance with guidance contained in Bulletin 1999/4
issued by the Auditing Practices Board for use in the United Kingdom by auditors
of fully listed companies. A review consists principally of making enquiries of
management and applying analytical procedures to the financial information and
underlying financial data and based thereon, assessing whether the accounting
policies and presentation have been consistently applied unless otherwise
disclosed. A review excludes audit procedures such as tests of controls and
verification of assets, liabilities and transactions. It is substantially less
in scope than an audit performed in accordance with United Kingdom Auditing
Standards and therefore provides a lower level of assurance than an audit.
Accordingly we do not express an audit opinion on the financial information.

Going concern

In arriving at our review conclusion, we have considered the adequacy of the
disclosures made in the financial information concerning the adequacy of future
funding of the Company. Due to the significance of the fact that the preparation
of the financial information on the going concern basis assumes the successful
conclusion of this matter, we consider these disclosures should be brought to
your attention.

Review conclusion

On the basis of our review we are not aware of any material modifications that
should be made to the financial information as presented for the six months
ended 30 June 2005.


BOD Stoy Hayward LLP
Registered Auditors
Chartered Accountants
Bromley, Kent BR1 3WA                              29 September 2005



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