Trading Statement

Intec Telecom Systems PLC
29 March 2001


Intec Telecom Systems PLC ('Intec' or 'the Group')

29 March 2001


                            Intec trading statement


The Board of Intec provides an update on trading for the quarter ending 31
March 2001 and the current outlook for the year ending 30 September 2001.

The Group has leading products that assist telecoms operators with revenue
assurance.  Effective mediation and interconnect solutions enhance operational
efficiencies and provide significant return on investment.  The Board believes
that as capital expenditure decisions are prioritised by operators, sales of
the Group's products will benefit over less compelling investments which do
not contribute directly to operator profitability.  Nevertheless, in the
current environment, we are experiencing longer sales cycles and delays in
procurement decisions.

In this context, as at the close of business on 28 March 2001, revenues for
the quarter ending 31 March 2001 stand at approximately £8.4 million.  The
Board therefore expects that revenues for this quarter will be around 20 per
cent. less than current market expectations and that in the current market
environment a similar percentage reduction will occur in full year revenues.
The Board expects that the Group will be profitable (before goodwill
amortisation) for the quarter ending 31 March 2001 and for the full year.
However, profits will be impacted to a greater extent than the level of
revenue reduction due to the operational gearing of the business.

The order book and prospect list remain at record levels.  Integration of the
recently acquired businesses is proceeding very satisfactorily and performance
of those businesses is in line with the Board's expectations.  The Group's
installed and target customer base primarily comprises PTT's and large
carriers.  Therefore, the Group has low exposure to the emerging operator
market.  The Group has not seen any major variations in the competitive
landscape.  The Group's overall bid conversion ratios remain broadly
consistent with what has been achieved in previous trading periods.

As a consequence of the Board's continued belief in the Group's business model
and the ability of the Group to win business, albeit in a longer sales cycle,
there are no plans to cut current costs in the areas of product development
and geographic expansion.  The Board also believes that integration costs
arising from recent acquisitions will be less than previously expected.
Therefore, overall, the Board remains very positive about the medium and long
term prospects for the business and the Group's sustainable competitive
advantage.


The results for six months ending 31 March 2001 will be released on 10 May
2001.


CONTACTS

Intec Telecom Systems

Mike Frayne, Executive Chairman              01483 745800
Kevin Adams, Chief Executive                 01483 745800


Cubitt Consulting
Fergus Wylie                                                0207 367 5100



ABOUT INTEC TELECOM SYSTEMS PLC

Intec Telecom Systems PLC is a leading provider of Operational Support Systems
('OSS') for telecoms companies, with over 150 customers for its products
worldwide.  It is the leader, by market share, of packaged interconnect
billing and settlement software, with more installations and more telecom
operators, including many PTTs, using its solution than any competitor.  Intec
is also now a leader in 'convergent mediation' with the acquisition of
Computer Generation, Inc.  Intec's billing product, InterconnecT, is a
software platform which allows billing and settlement between
telecommunication operators to occur reliably, accurately and speedily.
Intec's convergent mediation product, Inter-MediatE, allows network event data
for both conventional and unswitched (IP) communications to be collected and
processed for use in billing and other OSS systems.  Intec has also recently
launched Maxi-routE, its new least cost routing and margins analysis system.

Intec's billing customers base includes, amongst others, MCI Worldcom, COLT
Telecommunications, France Telecom, Swisscom, Thus and Telkom South Africa.
Intec's mediation customer base includes, amongst others, Bell South, Telstra,
Cable and Wireless, ITXC, Verizon, US Wireless and Telia.  Other product
offerings include InterconnecT ITU for settlement based on ITU rules and the
InterconnnecT ASP service.  Founded in 1997, Intec, a FTSE 250 and techMARK
100 company, was listed on the London Stock Exchange (code: ITL) in June 2000.


Certain statements made in this announcement may be forward-looking in nature.
  Such forward-looking statements involve known and unknown risks,
uncertainties and other factors that may cause the actual results, performance
and achievements of the Group to be materially different from any future
results, performance or achievements implied by such forward-looking
statements.


END