Final Results - Year Ended 31 March 2000, Part 2

Workspace Group PLC
26 June 2000

Part 2

CONSOLIDATED PROFIT AND LOSS ACCOUNT
for the year ended 31 March 2000

                                           2000                   1999
                        Notes   Trading   Other          Trading Other
                             Operations   Items Total Operations Items  Total
                                   £000    £000  £000       £000  £000   £000
Turnover - 
 continuing operations    2     229,317      - 29,317     22,741    -  22,741

Rent payable and 
 direct costs             2      (7,609)     - (7,609)    (6,071)   -  (6,071)
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Gross profit                     21,708      - 21,708     16,670    -  16,670
Administrative expenses          (4,255)     - (4,255)    (3,426)   -  (3,426)
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Operating profit                 17,453      - 17,453     13,244    -  13,244
Surplus on disposal
of investment
 properties               3           -  1,429  1,429          - 1,352  1,352
Interest receivable       4         245      -    245        135     -    135
Interest payable          5      (9,373) (993)(10,366)    (6,415)    - (6,415)
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Profit on ordinary
 activities before
 taxation                         8,325   436   8,761      6,964 1,352  8,316

Taxation on profit
 on ordinary activities   6      (2,019) (219) (2,238)    (1,659) (121)(1,780)
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Profit on ordinary
activities after taxation         6,306   217   6,523      5,305 1,231  6,536
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Profit attributable
 to shareholders                  6,306   217   6,523      5,305 1,231  6,536

Dividends               7        (3,298)    -  (3,298)    (2,989)    - (2,989)
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Retained for the year             3,008   217   3,225      2,316 1,231  3,547
==============================================================================

Basic earnings 
per share               8         40.2p  1.4p   41.6p      33.4p  7.8p  41.2p

Diluted earnings
 per share              8         39.7p  1.3p   41.0p      33.6p  7.3p  40.9p

Statement of total
recognised gains and losses                                       2000   1999
                                                                  £000   £000

Profit for the
financial period                                                 6,523  6,536

Unrealised surplus
on revaluation 
of investment properties                                        31,209 21,843
                                                                ------ ------
 
Total recognised gains relating to the financial period         37,732 28,379
                                                                ====== ======
Note of historical cost profits and losses                        1999   2000 
                                                                  £000   £000
Reported profits on ordinary activities
before taxation                                                  8,761  8,316

Realisation of property revaluation gains/
(losses) of previous years                                         840    109
                                                                   ---    ---
Historical cost profit on ordinary
activities before taxation                                       9,601  8,425
                                                                 =====  =====
Historical cost profit for the year
retained after taxation and dividends                            4,065  3,656
                                                                 =====  =====

  BALANCE SHEETS
  As at 31 March 2000
  
                                         Group   Group      Company    Company
                                          2000    1999         2000      1999
                                 Notes    £000    £000         £000      £000
  
  Fixed assets
  Tangible assets
  Investment properties            9   304,248 185,978       42,795     9,521
  Other fixed assets                     1,117   1,179          246       423
  Shares in subsidiary undertakings          -       -           23        23
  Investment in own shares               1,015   1,024        1,015     1,024
  ----------------------------------------------------------------------------
                                       306,380 188,181       44,079    70,991
                                                              -----     -----
  Current assets
  Debtors                           10   5,236   2,514      119,711    51,814
  Investments                       11  11,424   2,332        1,991       750
  Cash at bank and in hand                 201       2            -         -
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                                        16,861   4,848      121,702    52,564
  Creditors: amounts falling due
   within one year                  12 (25,378)(18,709)     (48,644)  (20,439)
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  Net current (liabilities)/assets      (8,517)(13,861)      73,058    32,125
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  Total assets less
  current liabilities                  297,863 174,320      117,137   103,116
  
  Creditors:  amounts falling
   due after more than one year
   (including Convertible
   Loan Stock)                 13/14  (154,845)(65,866)     (35,806)  (26,128)
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                                       143,018 108,454       81,331    76,988
                                       ======= =======       ======    ====== 
 Capital and reserves
  Called up share capital                1,591   1,588        1,591     1,588
  Share premium account                 39,795  39,668       39,795    39,668
  Revaluation reserve                   86,412  56,043       11,792    23,097
  Profit and loss account               15,220  11,155       28,153    12,635
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  Shareholders' funds -                
   equity interests                    143,018 108,454       81,331    76,988
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  Net asset value per share      8       £9.04   £6.83
  
  
  
  CASH FLOW STATEMENT
  for the year ended 31 March 2000
                                                    Notes      2000      1999
                                              To Cashflow      £000      £000
  
  Net cash inflow from operating activities  1               20,183    14,924
  Returns  on  investments  and 
   servicing of  finance                     2              (11,655)   (7,102)
  Taxation                                                   (2,778)   (1,257)
  Capital expenditure                        2              (85,025)   (1,831)
  Equity Dividends paid                                      (3,057)   (2,777)
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  Net cash (outflow)/inflow before                           
  use of liquid
  resources and financing                                   (82,332)    1,957
  Management of liquid resources             2               (9,092)    1,896
  Financing                                  2               93,027    (6,589)
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  Net cash inflow/(outflow)                  3                1,603    (2,736)
                                                             ======    ====== 
  Reconciliation of net cash flow to
   movement in net debt
  Increase/(Decrease)in cash                                 1,603    (2,736)

  Increase/(Decrease) in liquid resources                    9,092    (1,896)
  (Outflow)/Inflow from movements
   in debt financing                                       (90,969)    6,611
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 Changes in net debt resulting
  from cash flows                            3              (80,274)    1,979
  Net debt at 1 April 1999                                  (68,457)  (70,436)
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  Net debt at 31 March 2000                                (148,731)  (68,457)
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