Trading Statement

IDOX PLC
05 May 2006


IDOX Trading Update


for release May 5th 2006
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IDOX plc ('IDOX'), the information and knowledge management group, announces
that revenues for the first six months to 30 April 2006 will be around the same
level as the corresponding period of 2005. This is due to a somewhat slower than
expected growth rate and the fact that the larger contracts that IDOX is now
attracting are more complex and taking longer to secure. While the Company
expects trading during the second half to be strong due to the higher levels of
work in progress, the shortfall from the first half will not be recovered in the
second half. Profitability will also be affected, however the group remains
strongly cash positive. The cost base remains well within budget.


The first half has seen a number of significant contract wins with new and
existing customers, illustrating IDOX's ability to attract larger assignments.
IDOX has secured contracts in its traditional area of expertise of planning
systems, such as Leeds City Council, Glasgow City Council, Aylesbury Vale
District Council and the New Forest Park Authority amounting to more than
£800,000 for these four contracts alone. The Company is also increasingly
extending its contracts into other Council departments. It is therefore
progressively being recognised as a corporate-wide solutions provider, securing
contracts with Kings Lynn & West Norfolk Borough Council, Oadby & Wigston
Borough Council, as well as an important contract extension for its new Records
Management System with Colchester Borough Council. The initial implementations
total more than £400,000.


As mentioned above, the revenues for the software division during the first half
are expected to be similar for the same period last year due to the increased
sales cycle, thereby pushing revenue into the second half. IDOX continues to
expect revenue growth for the year to remain above the industry growth forecasts
for Local Authority IT spend.


The information solutions division has continued to grow with contracts in both
the wider public and the private sector, which is reducing the Company's overall
dependence on the local authority market - down from 81% in 2003 to under 50% in
2005. The local authority market will remain a primary market for IDOX in the
foreseeable future, while the Company broadens its presence in the wider public
sector.


The recruitment business has shown continued progress. Some clients are moving
to direct engagement, and together with a significant recovery in permanent
appointments has had a positive impact on margins.


Overall the sales pipeline has continued to grow across all divisions but most
notably in the government sector. Our clients continue to invest following the
expiry of the government's 2005 e-government deadline. The outlook for the
second half remains encouraging with a continued inflow of opportunities across
all divisions.



                                    - ENDS -





For further information please contact:

Martin Brooks, Chairman                      0870 333 7101
Andrew Fraser, CEO                           0870 333 7101
Richard Kellett-Clarke, CFO                  0870 333 7101
Nadja Vetter / Emma Consett, Cardew Group    020 7930 0777



Notes to editors


IDOX plc is a fast-growing information and knowledge management company,
specialising in the development and delivery of software products, services and
people for information management and knowledge sharing for both the public and
private sectors. The Group's focus is on managing the world of structured and
unstructured information for, and on behalf of, its clients.

The TFPL Advisory team specialises in devising creative and innovative solutions
to problems associated with records, information, knowledge and content
management. Where a skills gap is identified, the Recruitment teams place
candidates of all levels into permanent, contract, and interim management
positions. Training is also a core offering and is delivered in a variety of
formats using experienced facilitators and leading industry practitioners.

IDOX Software is one of the leading players in the local government market for
managing paper and electronic records. IDOX Software has several modules
designed to capture, manage, store, preserve and deliver information for use
within an organisation, and for access externally - by the public or other
partners.

The Group maintains a comprehensive database of bibliographic abstracts,
supported by the largest collection of information in the UK, on all aspects of
best practice and governance in the public sector. Expert information
professionals identify, summarise and manage a vast resource of information from
all sectors to save member organisations time and money. This outsourced library
service is available via annual subscription.

The Group has a leading position in putting the Local Government Planning
process online (its flagship Managed Services solution) and has developed the
first true end-to-end e-Planning solution for Local Authorities and their
citizens - UKPlanning.



                      This information is provided by RNS
            The company news service from the London Stock Exchange