Trading Statement

Z Group PLC
30 January 2007

30th January 2007

Z GROUP plc ('Z GROUP' or 'the Company')

Trading Update


Z GROUP plc, the provider and developer of leading consumer internet
technologies, announces that trading has been below expectations over the final
quarter of the year and this is anticipated to have a significant impact on the
results of Z GROUP for the year ending 28 February 2007.

OnShare revenue will not commence in the current financial year due to the
decision to focus in the short-term on growing the customer-base and improving
the product's functionality.  To date, OnShare has had approximately 10,000
downloads and current monthly growth in downloads stands at 60%. The number of
downloads is anticipated to increase significantly following the issue on 2
February 2007 of a full release of OnShare (version 1.0), the point at which the
service comes out of beta release.

Turnover for ONSPEED Mobile has been significantly below management's
expectations in the final quarter of this financial year.  Revenue generation
has been affected by timing delays to the closing of contracts with global
partners.  However the sales pipeline remains strong and substantial MOUs have
been signed with partners in emerging markets, which the Company expects will
convert into revenue in the next financial year.

During the fourth quarter, the Company has also commenced a cost reduction
programme to streamline the business in line with current trading.

A further update on trading will be issued after the year-end.




For further information please contact:

Alex Mackey, Catullus Consulting
+ 44 7773 787 458
Jack Bekhor & Jamie True (joint CEOs), Duncan Neale (CFO)
+ 44 870 011 1173


About Z GROUP

Founded in 2002, Z GROUP is a successful, publicly listed London-based 
technology company which acquires, licences and develops technologies and 
profitably commercialises them through proven branded marketing techniques, 
offering cutting edge, easy to use and affordable software.


With over half a million customers to date, Z GROUP has six software business
lines:


  • OnShare: proprietary and revolutionary file sharing software enabling
    highly secure communication between small or large groups of users
  • ONSPEED Mobile: unique mobile phone acceleration software, which speeds up
    and optimises slow Internet connections and helps users control associated
    costs
  • ONSPEED: the fastest Internet acceleration software on the market, which
    instantly enables any PC, Mac and Pocket PC user to browse and email at near
    Broadband speeds by using a 9-patented compression technology
  • Net2Roam and NetAway: services that allow individuals and SMEs to obtain
    local Dial-up access numbers worldwide at rates below normal international
    rates
  • Onbidder: a service that integrates into eBay, making a user's bid at the
    last second of an auction - giving the user the best chance to win their 
    item at the best possible price



For more information on the Group, visit www.zgroupplc.com





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