Final Results

Intec Telecom Systems PLC
Tuesday 24 November 2009

Results for the year ended 30 September 2009

Intec Telecom Systems PLC (ITL.L/ITL LN, 'Intec', the 'Company' or
the 'Group'), a leading supplier of billing and operations support
systems to the global telecoms industry, announces audited results
for the year ended 30 September 2009.


                             2009     2008   Growth     2008   Growth
                         Reported Reported Reported Constant Constant
                                                    Currency Currency

Revenue (£m)                167.9    135.8    23.6%    158.7     5.8%
Adjusted EBITDA (£m)         31.2     19.3    61.7%     26.9    16.0%
Adjusted profit before       27.1     14.2    90.8%     21.5    26.0%
tax (£m)
Profit before tax (£m)       24.7     13.7    80.0%     20.9    18.2%
Basic EPS (p)                12.5      3.4   267.6%      5.7   119.3%
Adjusted diluted EPS (p)      7.5      3.5   114.2%      5.7    31.6%
Cash (£m)                    74.8     28.9   158.8%     32.5   130.2%


For definition of constant currency, adjusted EBITDA, adjusted profit
before tax and adjusted diluted EPS, please see notes to the
highlights.

Highlights (at constant currency)

  * Organic revenue growth of 5.8%
  * Improved profitability with adjusted EBITDA margins of 18.6%
  * Inaugural full year dividend of 1p per share proposed
  * Cash increased to £74.8m
  * Contracted revenue backlog at 30 September 2009 over 20 % higher
    than in 2008
  * Continued focus on sustainable growth

Commenting on today's results, Andrew Taylor, CEO, said:

"Intec has built upon the very strong performance in 2008 and
delivered an excellent performance in 2009 across all key metrics. We
have made substantial progress in executing against each of our
strategic priorities and have focused on excellence by continuing to
build and develop a world class team.

Notwithstanding the challenging economic and market conditions, we
believe that with Intec's established and growing customer base,
robust financial position and market relevance, we are well placed to
continue to deliver against our strategic objectives during 2010 and
beyond."

John Hughes, Non-executive Chairman, said:

"The last year has seen Intec transform itself as a business. In
addition to our strong revenue and profit performance it was
particularly pleasing to deliver excellent cash generation.  This
puts the Company on a solid footing for the future, as well as
enabling us to invest in our internal infrastructure and systems to
support further growth.  The strength of the business has led the
Board to propose the introduction of a dividend for the first time,
with an inaugural proposed full year dividend of 1p per share."

A presentation to analysts will be held at 9:30 on 24 November 2009
at the offices of Financial Dynamics, please contact [e-mail] for
further details. The presentation will be available on the website:
www.intecbilling.com

Enquiries:

Intec Telecom Systems PLC                        www.intecbilling.com
Andrew Taylor, Chief Executive Officer           [phone]
Robin Taylor, Group Finance Director

Financial Dynamics                               [phone]
Giles Sanderson/Juliet Clarke/Haya Herbert-Burns


About Intec Telecom Systems PLC
Intec supplies solutions to over 70 of the world's top 100 telecoms
carriers and is one of the world's fastest growing major BSS/OSS
(business and operations support systems) vendors. Intec's 400
customers include AT&T, Cable & Wireless, The Carphone Warehouse
(UK), China Unicom, Deutsche Telekom, Eircom (Ireland), France
Telecom, Hutchison 3G, O2, Orange, T-Mobile, Telefonica, Vodafone,
Virgin Mobile, Vivo and Verizon. Intec works closely with customers,
many of whom have been with Intec since its inception, to provide the
highest standards of performance, flexibility and robustness to help
carriers service their customers effectively and profitably.

Founded in 1997, Intec is listed on the London Stock Exchange (ITL.L)
and has over 1,700 staff and 31 offices in 24 countries. For more
information visit www.intecbilling.com

NOTES TO THE HIGHLIGHTS
Profit before tax is reconciled to adjusted profit before tax,
adjusted EBITDA and adjusted profit after tax in the table below:


                                                                 2008
                                         2009       2008     Constant
                                     Reported   Reported     Currency
                                           £m         £m           £m

Profit before tax                        24.7       13.7         20.9
Exceptional items                         1.6      (0.3)        (0.2)
Amortisation of acquired
intangible assets                         0.8        0.8          0.8

Adjusted profit before tax         1     27.1       14.2         21.5
Net finance income                      (0.6)      (0.4)        (0.5)
Depreciation                              3.0        3.1          3.4
Amortisation of other intangible
assets                                    1.7        2.4          2.5

Adjusted EBITDA                    2     31.2       19.3         26.9


Profit after tax                         38.4       10.5         17.5
Amortisation of acquired
intangible assets                         0.8        0.8         0.8
After tax impact of exceptional    3
items                                  (15.1)      (0.3)        (0.2)

Adjusted profit after tax          4     24.1       11.0         17.3



Throughout this report:
1 Adjusted profit before tax is stated before exceptional items and
amortisation of acquired intangible assets.
2 Adjusted EBITDA is earnings before interest, tax, depreciation,
amortisation (including acquired intangibles but excluding
amortisation of intangibles included in cost of sales) and
exceptional items.
3 Exceptional items are detailed in note 3 to the financial
information.
4 Adjusted profit after tax, which excludes the amortisation of
acquired intangibles and the after tax effect of exceptional items
from reported profit after tax, is used as the basis for calculating
adjusted diluted earnings per share.
5 The constant currency comparatives have been calculated by
translating the 2008 results at 2009 exchange rates. This disclosure
has been provided as a guide to the underlying growth in the business
before the effect of the change in exchange rates.

This press release and preliminary financial information (press
release) have only been prepared for the shareholders of the Company,
as a whole, and their sole purpose and use is to assist shareholders
to exercise their governance rights and are not audited annual
financial statements. The Company and its directors and employees are
not responsible for any other purpose or use, or to any other person,
in relation to this press release.

This press release contains indications of likely future developments
and other forward looking statements that are subject to risk factors
associated with, among other things, the economic and business
circumstances occurring from time to time in the countries, sectors
and business segments in which the Group operates. These and other
factors could adversely affect the Group's results, strategy and
prospects. Forward looking statements involve risks, uncertainties
and assumptions. They relate to events and/or depend on circumstances
in the future which could cause actual results and outcomes to
differ. No obligation is assumed to update any forward looking
statements, whether as a result of new information, future events or
otherwise.

CHIEF EXECUTIVE OFFICER'S STATEMENT

Intec has reported an excellent performance in 2009, delivering
growth in revenues, profitability and cash. We have strengthened
management across our organisation and have sharpened execution with
a focus on sales, delivery and operational optimisation. We have
improved our targeting of opportunities and our ability to both win
and deliver new customer contracts. Cross-selling and up-selling to
existing customers has been an important feature of this performance.

Our broad spread of addressable markets has protected us somewhat
from current global economic conditions and we have been successful
in increasing our pipeline and contracted backlog following our
increased focus on sales execution. Mature market operators have
continued to upgrade and renew their legacy systems to improve
efficiency and gain competitive advantage and in emerging markets
growth has come from deregulation and an increase in wireless
subscribers. Although we are pleased with our results, we believe
there is still an opportunity to further enhance our financial
performance. While continuing to monitor closely the economic pulse
of our customers, we will make targeted investments to further
improve our business.

An important event for our employees, customers, partners and other
stakeholders has been the re-launch of Intec both internally and
externally through our "One Intec" vision. This vision for the future
is underpinned by the launch of clearly defined corporate values,
refreshed imagery and a new corporate profile for the Group.

FINANCIAL RESULTS

I am especially pleased not only by our growth in revenue, profit and
cash but also by our ability to build a strong backlog of business
during a period of challenging economic conditions.

During the year, we restructured, consolidated and strengthened our
teams in both the Americas and APAC regions, and delivered 2% and 14%
growth at constant currency respectively. The comparison with the
exceptional performance in 2008 masks the growth in the Americas,
where business in the last quarter of 2009 for North America was
particularly strong with several new strategic customer wins. APAC
benefited from increased management focus as a primary growth area
and in Europe, Middle East and Africa (EMEA) we won business across
the region enabling very good growth of 7%.

Sales and delivery execution has been excellent and our investment in
new systems has substantially improved our pipeline and forecast
management, leading to a higher degree of forecast accuracy and
predictability and a better level of sales performance across our
business. The year has been characterised by high sales conversion
levels and an increase in our 30 September 2009 contracted revenue
backlog by over 20% when compared to the same time last year.  Our
global pipeline cover is significantly higher than it was at the
start of 2009.

CUSTOMER WINS AND PRODUCT DEVELOPMENT

Intec's strong sales results in 2009 arise from a healthy mix of new
customer wins and repeat business from our existing customer base
leading to an increase in market share against our major competitors.
A recent report from Analysys Mason[1], the telecoms industry
analysts, now places Intec as the number three software provider by
revenue of Billing Systems in the world.

Overall, Intec signed twenty four new licence contracts in 2009 of
which fifteen were with new name customers and nine with our existing
customer base. Nine of the twenty four contracts are for
multi-product sales, resulting in thirty eight new product
installations in total.

In addition, strong business growth among our existing licensed
customers meant that thirty eight of them exceeded their licensed
volume thresholds during the year triggering volume-based licence
upgrades.

In our managed services business, we signed a number of small
renewals and three major outsourcing contracts: a five-year deal with
a new customer and two multi-year renewals.

Customer wins came across all product categories and a broad
geographical constituency spanning mature and emerging markets, with
customers ranging from new 'greenfield' operators to long-established
PTTs.

Of particular note was our success in winning eight new contracts for
our Singl.eView retail billing solution, including two strategically
important new customers outside of our traditional telecommunications
service provider market: a global handset manufacturer and a global
electronics retailer.  In each case, Singl.eView will provide
solutions for the commercialisation of content and online services,
demonstrating the flexibility of the Singl.eView solution in
addressing the business needs of the burgeoning Content and New Media
markets.

We have extended our market leadership in the settlement market with
nineteen  new installations of our Wholesale Business Management
Solution (WBMS). As with Singl.eView, these solutions are fully
adapted for the next-generation content market and we were
particularly pleased to win the contract to provide a multi-party
content settlement solution for a Tier 1 'app store'.

We continue to win significant new business in our core service
provider market where we have demonstrated the capability of Intec's
product portfolio by delivering contracts to a range of companies
providing mobile, fixed-line, broadband and cable services. In this
market, we are seeing an increasing requirement for real-time
solutions across mediation, rating, charging and settlement.
Multiple wins in 2009 for our Singl.eView on-line charging solution
and our active mediation solution, IntersessioN, indicate that Intec
is well-positioned to meet these requirements.

We have continued to improve the competitiveness of our core
portfolio and over the last year Intec has brought to market a number
of new releases, offering enhanced functionality across all three
product families. As well as the move to real-time, other common
themes include features to increase scalability, reduce cost of
ownership and provide more flexible reporting. Particularly
significant is our ability to support low-cost commodity hardware,
which will significantly reduce up-front and ongoing costs for our
customer base and open up new potential markets for Intec.

STRATEGY

Intec's vision is to become the most trusted supplier of Business
Support Software (BSS) products and solutions in the world.

Earlier this year, we conducted an in-depth market and company
assessment, resulting in the creation of a clear strategy, vision and
set of business priorities for the future. This exercise included an
evaluation of the relevancy of Intec to our customers and an
examination of ways to improve our overall competitiveness and create
the ability to drive growth and profitability.

We will continue to invest prudently in our leading software products
and solutions and will focus that investment in high value and high
growth markets.

The BSS market offers significant growth potential and, despite the
current economic conditions, continues to attract investment from
telecoms service providers as they seek to adapt their business
practices in search of new revenue streams and improved margins. In
developed markets, investment is focused on support for next
generation value-added services (also known as "Content Services"),
whilst in emerging economies investment is driven by continued rapid
subscriber growth, particularly in wireless.  Intec's recent product
investments have anticipated many of these key market trends,
ensuring that Intec's portfolio remains as relevant as ever to the
needs of our customer base.

In 2010, we will increase our investment in products and skills to
ensure that our products remain world-class and deliver competitive
advantage to our customers. These investments will occur across our
portfolio and include innovative solutions for emerging business
models in the settlement market, support for new technologies that
take Singl.eView to new price-performance levels and investments in
our mediation suite that will enhance our real-time capabilities.

In support of these product investments, we shall also focus on a
number of complementary strategic initiatives across the business:

  * Customer Centricity: Intec takes pride in the depth and quality
    of its customer relationships. Our broad and varied customer base
    is crucial to our future growth. By remaining close to our
    customers, we can learn at first-hand the issues they are facing
    in their markets and make sure that our solutions continue to
    meet their needs.
    In early 2010, we shall be conducting a comprehensive customer
    survey which will be used to drive continued improvements in our
    service levels and strengthen further our customer engagements.

  * Partnering: We will establish strategic alliances and
    partnerships in order to increase our market reach and growth
    prospects, while augmenting our delivery and solutions capability
    and breadth.
    In 2009, we created a dedicated partner team and business plan
    that will ensure that partnerships are at the centre of our
    strategy moving forward. In line with this plan, we have recently
    signed two major new partnership agreements. A number of our new
    business wins were closed in collaboration with partners and we
    anticipate that this will be an important feature of our business
    development going forward.

  * People: We will strive to attract and retain the very best staff
    as we increase our shift to a performance-driven culture.
    During 2009, we worked with our employee base to develop a shared
    set of corporate values. These values, which are tightly aligned
    with our overall strategic goals, are now firmly embedded across
    all of our activities and play an important role in our internal
    performance management programme. A recent employee survey shows
    a very high level of employee engagement and has provided
    excellent feedback which we will use to drive further
    improvements across the business.

  * Business Optimisation: We will take steps to improve the
    efficiency and effectiveness of our operations, while continuing
    to simplify our business, making it easier to understand and do
    business with.
    We have continued to invest in our Professional Services centre
    in India (Bangalore) and have increased staffing at our
    Professional Services centres in Malaysia (Kuala Lumpur) and
    Brazil (Sao Paulo). This emphasis will continue throughout 2010
    as we develop further our off- and near-shore capabilities, while
    also enhancing our customer-facing capabilities across all
    regions. We have strengthened our management team with senior
    hires to run our Customer Services, Managed Services and Global
    IT activities and identified a number of key initiatives that
    will enable us to further optimise our future performance. We
    will continue to develop our service delivery and product-support
    capabilities, ensuring that we strengthen our reputation for
    delivering high quality software products on time and to
    excellent levels of customer satisfaction.

SUMMARY AND OUTLOOK

Following on from a very strong performance in 2008, Intec has
delivered an excellent performance in 2009. We have made substantial
progress in executing against each of our strategic priorities and
have focused on excellence by continuing to build and develop a world
class team.

We strengthened our regional business leadership, which, coupled with
the implementation of global sales management, has enabled us to
strengthen the quality of our new business pipeline. Our sales
performance has been very strong with high win rates, which has
enabled us to build a strong contracted revenue back-log for 2010.

We have continued to focus on efficiency by managing our costs more
effectively and improving our delivery execution, ensuring that
contracts are delivered on time and to a high level of customer
satisfaction. We have continued to expand our geographical footprint
in emerging growth markets.

Looking forward, Intec enters the 2010 financial year as a stronger
and more mature business with an increased level of focus on
executing our strategy and building a truly world class software
company. We continue to invest in organic growth as well as
considering earnings accretive acquisitions. We will continue to
concentrate on delivering excellence across our business and through
targeted investments in 2010 we will continue to optimise our
operations, strengthen our global delivery model, improve our
competitiveness and deliver long term sustainable revenue growth.
This continued focus on enhancing our financial performance further
will be balanced by our efforts to create a great place to work and a
great company to work with and to deliver against our "One Intec"
vision and values.

We enter 2010 with a strong pipe-line of prospects and contracted
revenue 20% higher than we entered 2009.
Notwithstanding the challenging economic and market conditions, we
believe that with Intec's established and growing customer base,
robust financial position and market relevance we are well placed to
continue to deliver against our strategic objectives during 2010 and
beyond.

ANDREW TAYLOR
CHIEF EXECUTIVE OFFICER
23 NOVEMBER 2009



CHIEF FINANCE OFFICER'S STATEMENT

GROUP PERFORMANCE
The financial results represent another year of growth in revenue,
profit and cash.


Table 1 (£m)                2009     2008    Growth     2008   Growth
                        Reported Reported  Reported Constant Constant
                                                    Currency Currency

Revenue                    167.9    135.8     23.6%    158.7     5.8%
Adjusted EBITDA             31.2     19.3     61.7%     26.9    16.0%
Adjusted profit before      27.1     14.2     90.8%     21.5    26.0%
tax
Profit before tax           24.7     13.7     80.0%     20.9    18.2%
Basic EPS (pence)          12.5p     3.4p    267.6%     5.7p   119.3%
Adjusted diluted EPS        7.5p     3.5p    114.2%     5.7p    31.6%
(pence)
Cash                        74.8     28.9    158.8%     32.5   130.2%


In delivering these results, we have increased investment in sales
and marketing, strengthened the team and made operational
improvements to the business.  We continue to improve profit margins
and adjusted EBITDA (defined in Table 2) has increased to 18.6% of
revenue (2008: 14.2%).

Foreign exchange
The Group operates across multiple geographies and therefore has
substantial transactions in currencies other than UK Pounds Sterling
(GBP).

Approximately 80% of the Group's revenues and 40% of costs are Euro
or US Dollar denominated. Over 10% of costs are incurred in
Australian Dollars and between 5% and 10% are incurred in each of
Canadian Dollars, Indian Rupees and South African Rand.

In view of the very high proportion of the Group's revenues and costs
denominated in currencies other than GBP, it is not considered
practical to attempt to hedge translation exposure.  Steps taken to
mitigate identified transaction exposures include matching the
currency of current assets and liabilities and the use of forward
contracts and swaps.

During 2009, revenue benefited from translation gains of £22.9m when
compared to 2008. The estimated translation benefit in profit for the
year attributable to equity shareholders amounted to £7.0m which
equates to a benefit of 2.3p in adjusted EPS.

Where applicable, subsequent commentary in this report is with
reference to the 2008 constant currency comparatives (designated 2008
CC) which have been calculated by translating the 2008 results at
2009 exchange rates.

Income statement

The following table is a presentation of the income statement
incorporating non-statutory measures that the Board considers to be
appropriate key performance indicators together with a constant
currency restatement of the 2008 results.



Table 2 (£m)                       Note     2009  2008 CC   Growth CC

Revenue                             KPI   167.9    158.7        +5.8%
Cost of sales                        A    (76.0)   (76.1)       -0.1%
Amortisation of intangibles in             (0.9)    (0.3)
cost of sales
Gross profit                               91.0     82.3       +10.6%
Operating expenses                   A    (59.4)   (56.3)       +5.5%
Foreign exchange (loss)/gain               (0.4)     0.9
Adjusted EBITDA                     KPI    31.2     26.9       +16.0%
Depreciation and amortisation        B     (4.7)    (5.9)
Net finance income                          0.6      0.5
Adjusted profit before tax                 27.1     21.5       +26.0%
Tax on adjusted profit before tax          (3.0)    (3.4)
Adjusted profit after tax                  24.1     18.1       +33.1%
Amortisation of acquired                   (0.8)    (0.8)
intangibles
Exceptional items                          (1.6)     0.2
Profit before exceptional                 21.7      17.5       +24.0%
taxation
Exceptional taxation                      16.7         -
Profit for the year                       38.4       17.5     +119.4%

Adjusted diluted EPS              C,  KPI   7.5p     5.7p      +31.6%

Gross margin                               54.2%    51.9% +2.3 points
 Adjusted EBITDA as % of Revenue    KPI    18.6%    17.0% +1.6 points


Notes:
KPI   financial metrics considered to be key performance indicators
A       excluding depreciation, amortisation, foreign exchange
differences and exceptional items
B       excluding acquired intangibles
C       calculated with reference to adjusted profit after tax

Revenue

Revenue by region

                                                    Growth
Table 3 (£m)                           2009 2008 CC     CC

Americas                               73.3    71.8  +2.0%
Europe Middle East and Africa (EMEA)   64.4    60.3  +6.8%
Asia Pacific (APAC)                    30.2    26.6 +13.5%
Total revenue                         167.9   158.7  +5.8%


Revenue for the Group increased to £167.9m (2008 CC: £158.7m) with
growth in all three Regions.

Americas continues to grow and the 16.5% constant currency growth in
2008 was followed by a further 2.0% growth to £73.3m revenue in
2009.  The majority of the Group's non-Telco revenue in the year has
been in this region which also accounts for most of the Group's
Managed Services revenue.

Revenue from the EMEA region grew by 6.8% with particularly strong
growth in the Middle East and Africa where consumer demand for mobile
and broadband connections continued to expand rapidly.  Licence
revenue, from both new clients and increases in existing clients'
subscriber volumes, accounted for just under one third of this
region's revenue.

A strong second half resulted in APAC recording a 13.5% increase in
revenue to £30.2m.  Growth has been driven by new business in India
which accounted for three of the region's five largest deals.

Revenue by type


                                       Growth
Table 4 (£m)              2009 2008 CC     CC

Licence                   32.0    34.7  -7.8%
Professional Services     76.5    62.3 +22.8%
Managed Services          16.0    15.7  +1.9%
Support and maintenance   39.9    39.1  +2.0%
Hardware                   3.5     6.9 -49.3%
Total revenue            167.9   158.7  +5.8%


There was strong growth in Professional Services revenue due to a
higher number of transactions involving the sale of integrated
solutions.  Professional services accounted for 45.6% of the Group's
revenue (2008 CC: 39.3%).
Good growth in Licence revenue in EMEA and APAC was not quite
sufficient to compensate for a decline in the Americas which had
benefited from a very large non-Telco licence deal in 2008.  As a
result, the proportion of the Group's 2009 revenue derived from
Licence sales reduced to 19.1% (2008 CC: 21.9%).

Hardware revenue is considered incidental and the decline was
expected as a major integrated project, secured in 2008, progressed
to the next phase.

Gross profit
Gross profit, as set out in Table 2, increased by 10.6% to £91.0m
reflecting the increase in revenue and  improvement in gross margin
rate to 54.2% (2008 CC: 51.9%).  Estimated margin dilution of 2.2
points, arising from the change in revenue mix by category, was more
than compensated for by efficiency improvements.  These improvements
have arisen primarily in our Professional Services business where:

  * utilisation (i.e. the proportion of time chargeable to customer
    projects) has been significantly higher than in the prior year;
    and
  * there has been an increase in the proportion of work carried out
    in lower cost locations, under our Global Delivery Model.

Operating expenses
We remain focused on optimising our cost base and, although we have
achieved further efficiencies in a number of areas, we made
investments in sales and marketing which resulted in our net
operating expenses, before depreciation, amortisation, foreign
exchange differences and exceptional items increasing by 5.5% to
£59.4m.

The commentary, which follows, discusses changes in net operating
expenses before incentive plan (IP), share based payments (SBP),
exceptional items and depreciation and amortisation.


Table 5 (£m)             2009               2008 CC
                   Net  IP/SBP Total   Net  IP/SBP Total

Development        15.1    1.3  16.4   15.2    0.9  16.1
Distribution       22.7    1.3  24.0   20.4    1.0  21.4
Administration     17.0    2.0  19.0   17.3    1.5  18.8
Operating expenses 54.8    4.6  59.4   52.9    3.4  56.3


Development costs were consistent with the prior year, although
investment increased in the second half and is planned to increase
further in 2010.

Distribution costs increased to 13.5% of revenue (2008 CC: 12.9%)
reflecting the creation of our partner programme and the full-year
impact of the investment in new systems and people which was
commenced in 2008.

Administrative expenses showed a net decrease of £0.3m as the benefit
of cost reduction initiatives was partially offset by an increase in
vacant property provision and related costs of £0.5m and
non-recurrence of the 2008 net reduction in provision for doubtful
debts of £1.2m.

Incentive plan costs increased to £6.0m (2008 CC: £4.3m), reflecting
the record results, and share based payments rose to £2.0m (2008 CC:
£1.5m) due to additional participants and a higher cost in the
context of the recent share price performance.  £4.6m (2008 CC:
£3.4m) of these costs are included in Operating expenses (see Table
5) with the balance of £3.4m (2008 CC: £2.4m) recorded under Cost of
sales.

Depreciation and amortisation
Depreciation and amortisation, excluding amortisation of acquired
intangibles and amortisation included in cost of sales, as set out in
Table 2, reduced to £4.7m (2008 CC: £5.9m) reflecting the lower
levels of capital expenditure on computer equipment and software in
recent years, following the significant investment in group systems
in 2005.  Capital expenditure has increased to £3.8m in 2009 (2008:
£2.3m) and is planned to increase further in 2010.

Exceptional items
During the first half-year we incurred exceptional costs of £2.2m in
a cost-reduction exercise.  This was partly offset by gains totalling
£0.6m which relate to deferred consideration received on the business
sold to Volubill SA in 2008 and the recovery of previously written
off balances relating to a former associate company.

To aid comparability within the 2008 results presented in this
report, we have reclassified the one-time costs of £1.1m for the
closure of the Mechanicsburg facility, which were previously included
in cost of sales, to exceptional items (see note 3 to the accounts).

Taxation
The overall tax credit for the year is £13.7m (2008: charge £3.3m).
This represents a current tax charge of £4.8m (2008: £1.9m) and a
deferred tax credit of £18.5m (2008: charge £1.4m).  £16.7m (2008:
£nil) of the total tax credit has been included in exceptional
items.  The pre-exceptional tax charge is thus £3.0m or 11.5% of
pre-exceptional profit before tax (2008: £3.3m and 26.6%).

The current tax charge comprises £2.2m (2008: £1.0m) of taxes on
local profits in a number of group companies across the world and
£2.6m (2008: £0.8m) of withholding taxes for which full credit relief
is not available. There were no significant prior year charges (2008:
£0.1m).

The deferred tax credit includes first time recognition of tax losses
in the UK, Ireland and the USA and also the future benefit of annual
goodwill allowances available to the US operations reflecting the
continuing forecast profitability of the group entities in those
countries.  These amounts have been included in exceptional items and
total £16.7m (2008: £nil).  The remaining deferred tax credit of
£1.8m (2008: charge £1.4m) relates to other temporary differences
and, for the first time, share options.

Intec has operations in numerous countries and with a worldwide
customer base, there is a natural level of complexity in our tax
affairs meaning that future levels of tax will be dependent on a
number of factors.  Following the recognition of the deferred tax
assets in respect of tax losses, other than those in the US, the
benefit to the tax charge in the accounts will be less in future
years.

EPS
Basic earnings per share increased to 12.5p (2008: 3.4p) and is
materially impacted by the deferred tax credit as discussed in the
taxation section above.

Adjusted diluted earnings per share, which the directors consider
provides a useful measure of underlying trading, increased by 114.2%
to 7.5p (2008: 3.5p and 2008 CC: 5.7p).

The weighted average number of shares used to calculate basic
earnings per share is 306.1m (2008: 305.6m) and for the fully diluted
equivalent 320.5m (2008: 314.1m).  The significant increase in the
latter has arisen due to this year's rise in the share price
increasing the number of dilutive share options included in the
calculation.

GROUP FINANCIAL POSITION

Balance sheet review
The Group's balance sheet has strengthened considerably during the
year and net assets have increased to £204.7m.  Table 6 is a
presentation of net assets, with 2008 balances restated to 2009
exchange rates, to aid discussion of material changes.


                             2009   2008 CC  Change   2008
Table 6 (£m)                                     CC

Property plant and equipment 6.5    6.1       +6.6%   5.5
Goodwill                     93.0   93.0         -   93.0
Other intangible assets      5.7    8.1      -29.6%   7.4
Deferred tax asset           21.8   2.1      938.1%   1.8
Trade and other receivables  63.9   75.4     -15.3%  66.5
Cash and cash equivalents    74.8   32.5    +130.2%  28.9
Trade and other payables     (53.0) (47.0)   +12.8% (42.1)
Other liabilities            (8.0)  (9.0)    -11.1%  (8.1)
Net assets                   204.7  161.2    +27.0% 152.9


Other intangible assets
Amortisation in the year exceeded additions leading to a decrease of
29.6% in the carrying value of other intangible assets, principally
purchased software, capitalised development and project costs, to
£5.7m.

Deferred tax asset
The Group's improved trading performance has resulted in the
recognition of a number of assets including tax losses in the UK and
Ireland and the future benefit of annual goodwill allowances
available in the USA (as further described under the Taxation heading
above).  This has led to a near tenfold increase in the deferred tax
asset on the balance sheet to £21.8m.

Cash and cash equivalents
Cash generation has been very strong and we have ended the year with
record cash balances of £74.8m (2008 CC: £32.5m), an increase of
£42.3m.   Key components of the increase were adjusted EBITDA of
£31.2m and a net reduction in working capital of £14.4m, part of
which is expected to reverse in the first quarter of 2010 as a number
of annual payments are made.

Trade and other receivables
Trade and other receivables decreased to £63.9m (2008 CC: £75.4m), an
improvement of £11.5m. Trade debtors, where the average credit period
based on invoice date has reduced from 64 days to 57 days, decreased
by £11.4m and various other receivables decreased by £1.7m.  These
were partially offset by an increase of £1.6m in accrued income to
£19.0m, reflecting the usual effect of billing on projects accounted
for under the percentage of completion method, and contractual
negotiations concluded in September but invoiced during October.

Trade and other payables
Trade and other payables increased to £53.0m (2008 CC: £47.0m), an
increase of £6.0m. Accruals accounted for £3.6m of the increase and
deferred revenue, representing amounts invoiced to customers but not
yet recognised as revenue, increased by £1.6m to a total of £25.8m.

Other liabilities
This is an amalgamation of borrowings, provisions and other liability
headings, each of which has moved by £0.5m or less.

Shareholders' equity
There have been material changes in the components of shareholders'
equity during 2009 as summarised in the table below.



Table 7 (£m)            2009   2008  Change

Share capital           3.1    3.0     0.1
Share premium account   0.1  162.0  (161.9)
Other reserves        135.4    0.2   135.2
Translation reserve     7.9   (2.2)   10.1
Retained earnings      58.2  (10.1)   69.1
Shareholders' equity  205.7  152.9    53.7



Share premium account and Other reserves
On 29 April 2009, the High Court of Justice consented to the
cancellation of the Company's share premium account of £162.0m
approved by shareholders at a general meeting on 14 April 2009. The
resulting capital reconstruction led to an increase of £135.2m in
other reserves and elimination of the deficit in retained earnings.
Shares issued since April 2009 in satisfaction of option exercises
has resulted in an increase of £0.1m in the share premium account.

Translation reserve
The functional currencies of many Group companies have strengthened
since 30 September 2008 resulting in a gain in the year of £10.1m on
the translation of non-UK net assets.

Retained earnings
The profit for the year accounts for £38.4m of the £68.3m increase in
the Group's retained earnings.   A further £26.9m arose on the April
2009 cancellation of the share premium account, as described above,
with a further £3.1m arising on the recognition of share-based
payments and related deferred tax.

Going Concern
The Group has a strong balance sheet and an established customer base
across different geographic areas. Consequently, the Board believes
that the Group is well placed to manage business risks successfully
despite the current uncertain economic outlook.  The Board therefore
has a reasonable expectation that the Group has adequate resources to
continue to operate for the foreseeable future and that it is
appropriate to continue to adopt the going concern basis in the
financial information.

Dividend
The capital reconstruction in April 2009 extinguished the deficit in
the distributable reserves of Intec Telecom Systems PLC which had
arisen from the previous impairment in the carrying value of certain
investments.  Distributable profits earned by the Company from April
2009 to 30 September 2009 were in excess of £4.0m and the Company is
in a position to add substantially to this balance throughout the
coming year.

In view of this and taking into account the Group's performance and
strong balance sheet, the Board are pleased to propose an inaugural
full-year dividend of 1.0p per ordinary share amounting to £3.1m
which, subject to approval at the Annual General Meeting on 4
February 2010, will be paid on 18 February 2010 to shareholders on
the register at 15 January 2010.




ROBIN TAYLOR
CHIEF FINANCIAL OFFICER
23 NOVEMBER 2009

CONSOLIDATED INCOME STATEMENT
Year ended 30 September 2009


                          Before Exceptional                 Before Exceptional
                     exceptional       items            exceptional       items
                           items    (Note 3)    Total         items    (Note 3)    Total
                            2009        2009     2009          2008        2008     2008
               Note         £000        £000     £000          £000        £000     £000
Revenue
Continuing      2
operations               167,891           -  167,891       135,786           -  135,786

Cost of sales           (76,897)       (889) (77,786)      (66,140)     (1,098) (67,238)

Gross profit              90,994       (889)   90,105        69,646     (1,098)   68,548

Distribution
costs                   (23,986)       (152) (24,138)      (18,819)           - (18,819)

Development
expenditure             (16,437)       (416) (16,853)      (14,880)           - (14,880)

Depreciation
and
amortisation             (5,513)           -  (5,513)       (6,237)           -  (6,237)
Other
administrative
expenses                (19,413)       (719) (20,132)      (16,643)           - (16,643)
Total
administrative
expenses                (24,926)       (719) (25,645)      (22,880)           - (22,880)

Operating
profit/ (loss)            25,645     (2,176)   23,469        13,067     (1,098)   11,969

Other gains
and losses                     -         596      596             -       1,350    1,350
Finance income               710           -      710           752           -      752
Finance costs               (82)           -     (82)         (321)           -    (321)

Profit/ (loss)
before tax                26,273     (1,580)   24,693        13,498         252   13,750
Income tax      4
credit/
(expense)                (3,026)      16,701   13,675       (3,298)           -  (3,298)

Profit for the
year
attributable
to equity
shareholders              23,247      15,121   38,368        10,200         252   10,452


                                                 2009                               2008
Earnings per
share                                           Pence                              Pence
 - basic        5                               12.53                               3.42
- diluted       5                               11.97                               3.32




All the results above relate to continuing operations.


CONSOLIDATED BALANCE SHEET
30 September 2009


                                                        2009     2008
                                              Note      £000     £000
Non-current assets
Goodwill                                              93,022   93,022
Other intangible assets                                5,723    7,443
Property, plant and equipment                          6,543    5,455
Trade and other receivables                    6       2,659    2,258
Deferred tax asset                                    21,767    1,791

                                                     129,714  109,969

Current assets
Trade and other receivables                    6      61,205   64,192
Cash and cash equivalents                             74,832   28,927

                                                     136,037   93,119

Total assets                                         265,751  203,088

Equity and liabilities
Equity attributable to equity holders of the
parent
Share capital                                  9       3,077    3,060
Share premium account                          9         129  162,044
Other reserves                                 9     135,362      249
Own shares                                     9        (95)     (95)
Translation reserve                            9       7,938  (2,187)
Retained earnings                              9      58,243 (10,192)

Total equity                                         204,654  152,879

Non-current liabilities
Other payables                                 7       3,048    2,948
Deferred tax liabilities                                  50      601
Borrowings                                               336      194
Provisions                                     8       2,311    2,592

                                                       5,745    6,335

Current liabilities
Trade and other payables                       7      53,050   42,086
Current tax liabilities                                  996      770
Borrowings                                               220      396
Provisions                                     8       1,086      622

                                                      55,352   43,874

Total liabilities                                     61,097   50,209

Total equity and liabilities                         265,751  203,088



CONDENSED CONSOLIDATED CASH FLOW STATEMENT
Year ended 30 September 2009



                                                        2009     2008
                                                Note    £000     £000

Operating profit                                      23,469   11,969
Adjustments for:
Depreciation of property, plant and equipment          3,049    3,076
Amortisation of intangible assets                      2,201    2,741
Amortisation of capitalised development
expenditure                                              263      420
Amortisation of capitalised project costs                928      296
Loss on disposal of property, plant and
equipment                                                 38       28
Share-based payment expense                            2,043    1,458
Increase in provisions                                    92       40

Operating cash flows before movements in
working capital                                       32,083   20,028
Decrease/ (increase) in receivables                    9,994 (11,171)
Increase in payables                                   4,356    3,511

Cash generated by operations                          46,433   12,368
Income taxes paid (net)                              (2,935)  (2,462)

Net cash from operating activities                    43,498    9,906

Investing activities
Interest received                                        710      751
Purchase of property, plant, and equipment           (3,210)  (1,783)
Purchase of intangible assets                          (139)    (259)
Expenditure on capitalised project costs               (640)  (2,842)
Proceeds on disposal of property, plant and
equipment                                                 21      136
Net proceeds on disposal of business             3       591      538

Net cash used in investing activities                (2,667)  (3,459)

Financing activities
Interest paid                                            (3)     (34)
Interest element of finance lease rental
payments                                                (27)     (98)
Proceeds on issue of shares                              147       57
Repayments of obligations under finance leases         (362)    (427)

Net cash used in financing activities                  (245)    (502)

Net increase in cash and cash equivalents             40,586    5,945

Cash and cash equivalents at beginning of year        28,927   22,580

Effect of foreign exchange rates                       5,319      402

Cash and cash equivalents at end of year              74,832   28,927





NOTES TO THE FINANCIAL INFORMATION
Year ended 30 September 2009

1.             BASIS OF PREPARATION

The financial information set out in this preliminary announcement
does not constitute the company's financial statements for the years
ended 30 September 2009 or 2008 but is derived from those financial
statements.  The financial statements for 2008 have been delivered to
the Registrar of Companies and those for 2009 will be delivered
following the company's annual general meeting.  The auditors have
reported on those accounts; their report was unqualified and did not
contain statements under Section 498(2) or 498(3) of the Companies
Act 2006.

Whilst the financial information included in this preliminary
announcement had been prepared in accordance with International
Financial Reporting Standards (IFRS) as adopted for use in the
European Union, this announcement does not in itself contain
sufficient information to comply with IFRS.

The preliminary announcement was approved by the Board of Directors
on 23 November 2009.

The financial information has been prepared on a basis consistent
with the accounting policies set out in the 2008 annual accounts,
with the exceptions disclosed below:

The 2008 results have been expanded to disclose separately the
one-time charge for the closure of the Mechanicsburg facility in
order to provide additional clarity of the underlying results for the
comparative period; and

From 1 October 2008, two of the Group's key geographical regions
comprising North America and Caribbean and Latin America (CALA) have
been combined for operational reasons.  As a consequence the
segmental analysis disclosed in Note 2 now comprises three key
geographical segments comprising Americas, Europe, Middle East and
Africa (EMEA), and Asia-Pacific (APAC) and product operations.   The
geographical segments are based on customer location.  Product
operations comprise our development, product management and offshore
operations. The 2008 numbers have been restated to provide comparable
information.


2.    SEGMENTAL INFORMATION

The Directors consider that the Group operates in one continuing
class of business, namely that of the development, sale,
implementation and support of business support software solutions.

Inter-segmental revenue and expenses comprise amounts charged to
other regions for resources used on projects outside their home
region. The revenue and expenses are determined on an arms'-length
basis. Segment results include items directly attributable to a
segment as well as those that can be allocated on a reasonable
basis.  Unallocated items comprise corporate assets, liabilities and
expenses.  Segment information under the primary reporting format is
as disclosed in the table below:


                                                   Product
                       Americas    EMEA    APAC operations      Total
                           2009    2009    2009       2009       2009
Continuing operations      £000    £000    £000       £000       £000
Gross revenue            74,717  64,371  30,182     14,914    184,184
Inter-segment revenue   (1,379)       -       -   (14,914)   (16,293)

Revenue                  73,338  64,371  30,182          -    167,891

Gross expenses           56,214  40,024  19,587     30,531    146,356
Inter-segment
expenses                (3,948) (6,318) (6,027)          -   (16,293)

Expenses                 52,266  33,706  13,560     30,531    130,063
Segment profit
/(loss) before
exceptional items        21,072  30,665  16,622   (30,531)     37,828
Exceptional costs       (1,113)   (213)   (196)      (172)    (1,694)

Segment profit/
(loss)                   19,959  30,452  16,426   (30,703)     36,134

Unallocated costs:
- corporate costs                                            (11,740)
- corporate costs -
exceptional                                                     (482)
- foreign exchange
loss                                                            (443)

Operating profit                                               23,469
Other gains and
losses                                                            596
Finance income                                                    710
Finance costs                                                    (82)

Profit before tax                                              24,693
Taxation                                                       13,675

Profit after tax                                               38,368




2.             Revenue and segmental analysis (continued)


                                                   Product
                       Americas    EMEA    APAC operations      Total
                           2008    2008    2008       2008       2008
Continuing operations      £000    £000    £000       £000       £000
Gross revenue            60,399  52,712  24,334      9,967    147,412
Inter-segment revenue   (1,659)       -       -    (9,967)   (11,626)

Revenue                  58,740  52,712  24,334          -    135,786

Gross expenses           45,250  35,990  16,560     27,047    124,847
Inter-segment
expenses                (1,676) (6,333) (3,617)          -   (11,626)

Expenses                 43,574  29,657  12,943     27,047    113,221
Segment profit
/(loss) before
exceptional items        15,166  23,055  11,391   (27,047)     22,565
Exceptional costs       (1,098)       -       -          -    (1,098)

Segment profit/
(loss)                   14,068  23,055  11,391   (27,047)     21,467

Unallocated costs:
- corporate costs                                            (10,303)
- foreign exchange
gain                                                              805

Operating profit                                               11,969
Other gains and
losses                                                          1,350
Finance income                                                    752
Finance costs                                                   (321)

Profit before tax                                              13,750
Taxation                                                      (3,298)

Profit after tax                                               10,452



Revenue by category

Additional disclosures on revenue by category is set out below.


                                2009    2008
                                £000    £000

Licence                       32,009  30,377
Professional services income  76,472  52,988
Managed services              16,083  12,299
Support and maintenance fees  39,857  34,598
Hardware                       3,470   5,524
                             167,891 135,786


3.             EXCEPTIONAL ITEMS


Exceptional items comprise exceptional       2009    2008
costs and gains as set out below:            £000    £000

Deferred tax credit                    a)  16,701       -
Restructuring costs                    b) (2,176) (1,098)
Disposed business                      c)     322   1,182
Other gains                            d)     274     168
                                           15,121     252


a) The deferred tax credit arises due to first time recognition of
deferred tax assets on tax losses in the US, Ireland and the UK.

b) Restructuring costs in 2009 comprise termination pay on staff
redundancies across the group amounting to £2.1 million and £0.1
million for closure costs of the Dallas facility. The restructuring
costs attributable to the closure of the Mechanicsburg facility were
£1.1 million for the year ended 30 September 2008. To aid
comparability, the one-time costs of £1.1m for the closure of the
Mechanicsburg facility, which were previously included in cost of
sales within the 2008 Annual Report, have been reclassified as
exceptional.

c) On 19 November 2007, an asset sale and purchase agreement was
announced with Volubill SA to sell certain assets and liabilities of
Intec Denmark for an initial consideration of £1 million in cash plus
additional consideration based on support and maintenance revenues
and new licence sales recognised by Volubill for a period of two
years from completion. During the year the estimated additional
consideration increased from £451,000 to £916,000. Accordingly an
updated table is set out below.



                                                                 £000
Net liabilities disposed                                        (418)

Initial consideration                                           1,000
Estimated additional consideration                                916
Working capital adjustments                                     (572)

Net consideration                                               1,344

Profit on disposal before adjustments                           1,762
Costs attributable to the disposal                              (217)
Translation differences                                          (41)

Profit on disposal                                              1,504
Split as:
Recognised in the year ended 30 September 2008                  1,182
Recognised in the year ended 30 September 2009                    322

                                                                1,504

Net cash flows in respect of the disposed business are as
follows:
Initial consideration                                           1,000
Additional consideration received                                 701
Working capital payments                                        (572)

Net proceeds on disposal of business                            1,129

Net proceeds in the year ended 30 September 2009                  591
Net proceeds in the year ended 30 September 2008                  538

                                                                1,129



d) Other gains  represent recovery of amounts in relation to an
investment in Poland previously written off in 2002.

4.    INCOME TAX EXPENSE

The charge for the year comprises


                                                         2009    2008
                                                         £000    £000
Current taxation:
UK Corporation tax at 28% (2008: 29%)                   1,165   1,479
Utilisation of previously unrecognised UK tax
losses                                                (1,165) (1,479)
Foreign tax                                             6,072   1,841
Utilisation of previously unrecognised foreign tax
losses                                                (1,286)    (41)

                                                        4,786   1,800
Adjustments in respect of prior years:
UK Corporation tax                                          -    (81)
Foreign tax                                                 6     164

                                                            6      83

Total current tax expense                               4,792   1,883


Deferred taxation:
UK                                                    (3,765)       -
Foreign                                              (14,702)   1,415

Total deferred taxation                              (18,467)   1,415

Total income tax (credit)/expense                    (13,675)   3,298



UK Corporation tax is calculated at 28% (2008: 29%) of the estimated
assessable profit for the year.  Taxation for other jurisdictions is
calculated at the rates prevailing in the respective jurisdictions.

Factors affecting the tax charge for the year:


                                                         2009    2008
                                                         £000    £000

Profit on ordinary activities before tax               24,693  13,750

Tax on Group profit at a weighted average standard
UK Corporation tax rate of 28% (2008 - 29%)             6,914   3,988
Net disallowed expenses and (non-taxable income )     (1,540)   1,451
Tax effect of share based payments                       (90)     413
Utilisation of previously unrecognised tax losses     (2,451) (1,520)
Derecognition of previously recognised tax losses         384   1,158
Utilisation of previously unrecognised other
deferred tax assets                                   (3,307) (3,630)
Current year tax losses not recognised                    979     122
Withholding taxes                                       2,570   2,948
Lower rates of foreign tax                              (439) (1,715)
Adjustments to current tax expense in respect of
previous periods                                            6      83

Total pre-exceptional tax expense                       3,026   3,298

Exceptional increase in previously unrecognised
tax losses                                            (7,636)       -
Exceptional increase in previously unrecognised
deferred tax assets                                   (9,065)       -

Total tax (credit)/expense                           (13,675)   3,298



The standard rate of current tax in the UK (being the country of
residence of the parent company) for the year is 28% (2008 - 29%).
The tax reconciliation is based on this rate due to the difficulty in
selecting a weighted average rate given the range of tax rates (0% -
39%) and countries in which the Group operates and the range of
profits and losses arising in those countries.  The amount of the
future tax charge will depend primarily on the level of profits
together with the jurisdiction in which they are achieved and the
ability to use available tax losses.


5.   EARNINGS PER SHARE


Continuing operations                                    2009    2008
                                                         £000    £000
Profit for the year - basic and diluted                38,368  10,452
-
Reconciliation:
Profit for the year - basic and diluted                38,368  10,452
First time recognition of deferred tax asset shown
in
exceptional items                                    (16,701)       -
After tax effect of exceptional items                   1,580   (252)
Amortisation of acquired intangibles                      770     767

Adjusted profit for the year                           24,017  10,967
                                                       Number  Number
                                                         '000    '000
Weighted average number of shares - basic             306,119 305,552
Effect of dilutive potential ordinary shares           14,344   8,581

Weighted average number of shares - diluted           320,463 314,133
                                                         2009    2008
                                                         £000    £000
Basic earnings per share                                12.53    3.42
First time recognition of deferred tax asset shown
in
exceptional items                                      (5.46)       -
After tax effect of exceptional items                    0.52  (0.08)
Amortisation of acquired intangibles                     0.25    0.25

Adjusted basic earnings per share                        7.84    3.59

Basic earnings per share                                12.53    3.42
Effect of dilutive potential ordinary shares           (0.56)  (0.10)
Diluted earnings per share                              11.97    3.32
First time recognition of deferred tax asset shown
in
exceptional items                                      (5.21)       -
After tax effect of exceptional items                    0.49  (0.08)
Amortisation of acquired intangibles                     0.24    0.24
Adjusted diluted earnings per share                      7.49    3.48


Basic earnings per share is calculated by dividing the earnings
attributable to ordinary shareholders by the weighted average number
of ordinary shares outstanding during the year.  The average number
of shares outstanding excludes those held in trust by the Group,
which are treated as cancelled.

Diluted earnings per share is calculated on the same basis as the
basic earnings per share with a further adjustment to the weighted
average number of ordinary shares outstanding to reflect the effect
of all dilutive potential ordinary shares.  The number of dilutive
potential ordinary shares is derived from the number of share options
granted to employees where the exercise price is less than the
average market price of the Company's ordinary shares during the
year.

Adjusted earnings per share, which is defined as basic earnings per
share before exceptional items, amortisation of acquired intangible
assets and the first time recognition of deferred tax shown in
exceptional items, has been calculated and disclosed above as the
directors consider it provides an additional indication of underlying
trading performance.

6.   TRADE AND OTHER RECEIVABLES


                                           Non-current    Current
                                            2009  2008   2009    2008
                                            £000  £000   £000    £000

Trade receivables                              -     - 36,920  43,241
Provision for impairment of trade
receivables                                    -     -  (895) (1,070)

Net trade receivables                          -     - 36,025  42,171
Corporation tax                                -     -      -      81
Overseas tax                                   -   268    356     931
Other receivables                            386   159  1,328   2,209
Prepayments                                2,273 1,831  4,458   3,737
Accrued income                                 -     - 19,038  15,063

                                           2,659 2,258 61,205  64,192



7.    TRADE AND OTHER PAYABLES



                 Non-current    Current
                  2009  2008   2009   2008
                  £000  £000   £000   £000

Trade payables       -     -  4,231  4,438
Other payables   1,651 1,401  4,082  2,188
Accruals         1,397 1,547 18,939 13,971
Deferred revenue     -     - 25,798 21,489

                 3,048 2,948 53,050 42,086



8.    PROVISIONS


                                Onerous
                                  lease      Other
                            commitments provisions Total
Group                              £000       £000  £000

At 1 October 2008                 2,162      1,052 3,214
Established during the year         502          -   502
Utilised during the year          (565)      (108) (673)
Unwinding of discount                44          4    48
Translation differences             256         50   306

At  30 September 2009             2,399        998 3,397

Analysed as:
Current liabilities                 606        480 1,086
Non-current liabilities           1,793        518 2,311



Onerous lease commitments disclosed above relate to future estimated
losses on sub-let or vacant lease commitments on a number of
properties within the group where the lease commitment is expected to
be greater than any sub-lease income (where applicable).  Amounts
provided brought forward are for the period up to the first option to
break in 2011 on a property lease in Denmark and up to September 2010
for part of the office space at the Group's UK headquarters.  As a
result of the change in the economic outlook related to sub-letting
of properties in the UK, an additional provision of £469,000 was
established during the year which now covers the period to 2012. As a
result of a change in tenancy in the Denmark property, an additional
provision of £33,000 was established during the year.

The other provisions category relates to the estimated restoration
costs of properties, primarily within North America and the UK, and
are expected to be incurred in 2010 in North America and 2015 in the
UK.

9.             Consolidated statement of changes in equity


                         Share
               Share   premium    Other    Own Translation Retained   Total
             capital   account reserves shares     reserve earnings  equity
Group           £000      £000     £000   £000        £000     £000    £000

Balance at 1
October 2007   3,057   161,989      249   (95)     (4,020) (22,102) 139,078
Exchange
differences
arising on
translation
of foreign
operations         -         -        -      -       1,833        -   1,833
Profit for
the year           -         -        -      -           -   10,452  10,452

Total
recognised
income and
expense for
the period         -         -        -      -       1,833   10,452  12,285
Issue of
share
capital net
of share
issue
expenses           3        55        -      -           -        -      58
Recognition
of
share-based
payments           -         -        -      -           -    1,458   1,458

Balance at 1
October 2008   3,060   162,044      249   (95)     (2,187) (10,192) 152,879
Exchange
differences
arising on
translation
of foreign
operations         -         -        -      -      10,125        -  10,125
Deferred tax
on share
based
payments           -         -        -      -           -    1,800   1,800
Profit for
the year           -         -        -      -           -   38,368  38,368

Total
recognised
income and
expense for
the period         -         -        -      -      10,125   40,168  50,293
Issue of
share
capital net
of share
issue
expenses          17       129        -      -           -        -     146
Cancellation
of share
premium
account            - (162,044)  135,113      -           -   26,931       -
Recognition
of
share-based
payments           -         -        -      -           -    1,336   1,336

Balance at
30 September
2009           3,077       129  135,362   (95)       7,938   58,243 204,654


[1] Analysys Mason Billing Multi-client Briefing, 28 October 2009

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