Interim Results

OMG PLC
22 June 2004


OMG plc ('OMG' or 'the Company')

Interim Statement for the six months ended 31 March 2004

OMG, a leading supplier of motion capture and visual geometry systems for life
sciences, entertainment and engineering applications, announced today its
interim results for the six months ended 31 March 2004.

Highlights:

   •Acquisition of House of Moves, Hollywood-based motion capture studio
    (announced 27 May 2004)
   
   •Launch of Vicon MX new product range with the worlds first 4 million
    pixel optical motion capture system (announced 3 June 2004)

   •Turnover was in-line with management expectations and slightly ahead of
    the previous six months at £4.3m (2003 restated*: £5.3m), although lower
    than the same period of last year

   •Profitable trading period with operating profit of £0.1m (2003 restated*:
    £0.5m)

   •Change of Japanese distributor caused disruption to order flow, now
    making progress with good prospect list

   •Strong growth in Europe and UK with revenues already equalling the level
    for the whole of the previous financial year

   •Strong market positioning in the Entertainment sector continues, with
    products being used in all of the top four earning film releases over the
    past month: Harry Potter and the Prisoner of Azkaban, The Day After
    Tomorrow, Troy, and Van Helsing.

Julian Morris, Chief Executive commented:

'Some significant milestones have been achieved so far this year with the
Group's first acquisition and a major new product launch, which will contribute
to the growth of the business. We will continue to work on opportunities for
growth both by acquisition and organically.'

For further information please contact:

Julian Morris, Chief Executive, [e-mail]

Peter Wharton, Finance Director, [e-mail]

Tel: [phone]

Tim Thompson / Tom Carroll
Buchanan Communications
Tel: [phone]

About OMG

OMG plc (LSE: OMG) trades through operating subsidiaries in the name of VICON
Motion Systems in the UK and USA and through a network of distributors in other
major countries. OMG subsidiary 2d3 Limited produces innovative visual geometry
software deriving 3D data from moving images. Since 1984, VICON has been
providing professionals with the latest tools to accurately capture the
subtleties of three-dimensional human motion for research, life science, sport,
engineering, game development, broadcast and film. Recently acquired House of
Moves provides motion capture services to leading games and film producers in
the USA from one of the worlds largest dedicated motion capture studios based in
the Hollywood area. For more information about OMG, or it subsidiaries, visit
www.omg3d.com www.vicon.com, www.2D3.com, or www.moves.com.

CHAIRMAN & CHIEF EXECUTIVE'S JOINT STATEMENT

This announcement follows some significant milestones in the development of the
Company, including the Group's first acquisition and a major new product launch.
At the time of the Company's AGM in February, it was reported that we
anticipated sales during the current year to be weighted towards the second
half. One of the key factors behind this comment, which we were then not in a
position to reveal, was the forthcoming release of the new Vicon MX product,
announced in early June.

Trading was nevertheless steady during the first six months of the year,
marginally ahead of the previous six months. Overall, the results for the first
half are in line with management expectations, with the Company well positioned
for the future.

Financial Results
Turnover was slightly ahead of the previous six months at £4.3m (2003 restated*:
£5.3m) although lower than the same period of last year . Allowing for
the effect of the weaker US dollar, this represents underlying growth of 5%
compared to the previous six month period. Operating profit for the period was
£0.1m (2003 restated*: £0.5m). Cash reserves at the period end were £5.0m, up
£0.2m over the six month period.

OMG's Markets
OMG's Vicon business is a world leader in the supply of biomechanical motion
analysis systems to Life Science markets, motion capture for animation in films,
video and computer games in the Entertainment industry, and optical tracking and
ergonomics analysis systems for manufacturing Engineering.

OMG's 2d3 business sells specialist image processing software to the 3D visual
effects market.

OMG's recently acquired House of Moves, provides motion capture services to the
leading film and games producers in the United States from its Hollywood based
studio.

Market & Business Review
In our last statement we identified the potential for strong recovery in
European markets. These have delivered very good growth during the first
half-year, already equalling the level of sales for the whole of the previous
year. The UK contributed its largest ever share (17%) of OMG's total revenues.
There are several factors behind this growth.

London and Los Angeles are the two leading centres of the world's visual effects
and post-production businesses. The top four earning films of the past month -
Harry Potter and the Prisoner of Azkaban, Troy, The Day After Tomorrow, and Van
Helsing -, the first two of which were UK productions, all made extensive use of
both Vicon and 2d3 products.

Across Europe, higher-education research funding is strong and growing in those
areas seen by governments as important for economic growth and physical
well-being. These include the many facets of human factors engineering and
sports development.

OMG's US entertainment market is buoyant, with a general increase in the value
of individual orders for motion capture systems. The timing of a small number of
very large orders can have a significant effect on results in a given reporting
period. Last year, this phenomenon biased revenues towards the first half of the
year. This year, our expectation is for the reverse, with second half revenues
being stronger.

House of Moves, our Hollywood-based motion capture studio, is expected to
provide a steady base of revenues which will provide some smoothing effects to
OMG's US earnings. Market reaction to the acquisition has been very positive.
House of Moves will also provide a showcase for the new Vicon MX system (see New
Products section below), a key source of information and ideas for product
development projects and a test bed for new technology in the entertainment
sector.

The recent change of Vicon's Japanese distributor for the life science,
government and academic markets has caused larger disruption to revenues than
was anticipated, accounting for a significant shortfall in the usual first-half
contribution from Japan. However, we are confident of a recovery and the Company
continues to support the investment being made by its new Japanese distributors
by locating a direct full-time sales specialist in Tokyo. The Vicon MX system
will be launched in Japan in July.

OMG has also been investing in the Chinese market for several years. The 2008
Olympics will have a major impact on the Chinese sports and broadcast markets.
OMG is well placed to exploit this market with a strong presence over many years
in Hong Kong and Taiwan, and with key sports and broadcast accounts already in
place in China where the Company has placed its first dedicated salesman.

New Products
The first half of 2004/5 has been a period of intense development activity with
several key projects coming to fruition. The following new products were
launched during or shortly after the period.

Vicon MX
Target:All motion capture markets
Announced:June 2004
Will Ship:July 2004

The MX system is the most significant enhancement of OMG's motion capture
product range in 10 years. The result of over 2 years of development, the system
includes high-resolution (4 Million pixels) high-speed cameras, expandable
digital networking, and applications software for life, science, entertainment
and engineering markets.

Vicon Tracker
Target:Engineering applications
Announced:April 2004
Shipped:April 2004

Virtual prototyping and human factors engineering use Vicon optical tracking for
precision and ease-to-use. Vicon Tracker reduces the complexity of motion
capture to a 'black box' which starts tracking at the flick of a switch.

Vicon Polygon Muscle Modeller
Target:Clinical & research biomechanics
Announced:June 2004
Shipped:June 2004

Polygon, Vicon's biomechanics visualisation software, now models muscles and
ligaments as well as bones.

2d3 boujou bullet
Target:3D visual effects
Announced:April 2004
Shipped:April 2004

2d3's boujou is now used by the vast majority of leading visual effects
companies in the world.

boujou bullet offers the same performance but with a much simpler user interface
and significantly lower price. It should extend the use of boujou within these
companies and attract new elements of the total visual effects market. Like
2d3's video stabiliser, SteadyMove, bullet is sold directly from 2d3's web site.

Summary & Outlook
Sales for the first half-year were marginally ahead of the previous six months
and in-line with management expectations. A number of factors lead us to expect
a significantly stronger second half.

Markets are generally buoyant with the life science market continuing to see
growth in applications outside the traditional gait analysis, with
opportunities in sports analysis, neurological research and motor control and
other general biomechanical research applications.

In the entertainment market demand for detailed facial and body motion capture
remains strong. There is a good prospect of some unusualy large orders in 
the second half of the year, although their exact timing is hard to predict. 
The recent acquisition of House of Moves will also contribute to revenues 
from the entertainment sector in the second half.

The very positive market reaction to the launch of the Vicon MX system in June
is expected to deliver additional revenues in the 4th quarter, particularly from
the entertainment sector. The outstanding performance of this system also 
provides growth opportunities from a new range of more demanding applications 
across all the Company's markets.

The Company is continuing to work on a number of projects for the introduction
of new technologies to existing markets and the use of the Company's products
and IP to penetrate new markets.  There are opportunities for growth both 
oranically and by acquisition.

The combination of the recent acquisition, product launches and financial 
resources place the Company in a good position for a successful 2004 and beyond.

Further Information

Further information on OMG plc, its markets and products is available from the
company's Web sites at www.omg3d.com, www.vicon.com, www.2d3.com, and
www.moves.com.

Anthony Simonds-Gooding, Chairman      Julian Morris, Chief Executive

22 June 2004

* Comparative figures have been restated.  See note 1 of the notes to the 
interim financial information.

GROUP PROFIT AND LOSS ACCOUNT
For the six months ended 31 March 2004

                              Unaudited       Unaudited Audited Twelve
                          Six months to   Six months to      months to
                               31 March        31 March   30 September
                                   2004            2003           2003
                                           (As restated   (As restated
                                            See Note 1)    See Note 1)
                                  £'000           £'000          £'000

Turnover                          4,350           5,314          9,649

Cost of sales                    (1,576)         (1,845)        (3,283)
-------------------------      ----------      ----------    -----------

Gross profit                      2,774           3,469          6,366

Net operating expenses           (2,757)         (2,989)        (5,763)

Grants receivable                    44              48             80
-------------------------      ----------      ----------    -----------

Operating profit                     61             528            683

Interest receivable and
similar income                       93              58            120
-------------------------      ----------      ----------    -----------

Profit on ordinary
activities before taxation          154             586            803

Tax on profit on ordinary
activities                          (21)            (34)           (34)
-------------------------      ----------      ----------    -----------

Retained profit for the             133             552            769
period
-------------------------      ----------      ----------    -----------

Basic earnings per share           0.26p           1.10p          1.52p
(Note 3)

Diluted earnings per
share (Note 3)                     0.23p           0.93p          1.37p



STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES
For the six months ended 31 March 2004

                              Unaudited       Unaudited  Audited Twelve
                          Six months to   Six months to       months to
                               31 March        31 March    30 September
                                   2004            2003            2003
                                          (As restated)   (As restated)
                                  £'000           £'000           £'000

Profit for the financial            133             552             769
period

Exchange adjustments
offset in reserves                   (6)              -              (4)
-------------------------      ----------      ----------     -----------

Total recognised gains and
losses for the period               127             552             765
-------------------------      ----------      ----------     -----------

Prior year adjustment              (227)
-------------------------      ----------

Total recognised gains and
losses since the last annual       (100)
report
-------------------------      ----------


GROUP BALANCE SHEET AT 31 MARCH 2004

                           Unaudited at    Unaudited at      Audited at
                               31 March        31 March    30 September
                                   2004            2003            2003
                                          (As restated)   (As restated)
                                  £'000           £'000           £'000

Fixed assets

Tangible assets                     457             462             324
--------------------------     ----------      ----------      ----------

Current assets
Stocks                            1,521           1,177           1,365
Debtors                           2,374           2,655           2,336
Corporation tax                       -             164             170
Cash and short term deposits      4,991           4,717           4,826
--------------------------     ----------      ----------      ----------
                                  8,886           8,713           8,697
--------------------------     ----------      ----------      ----------

Creditors: amounts falling
due within one year

Trade and other creditors         1,750           1,981           1,578
--------------------------     ----------      ----------      ----------
Net current assets                7,136           6,732           7,119
--------------------------     ----------      ----------      ----------

Total assets less current
liabilities                       7,593           7,194           7,443
--------------------------     ----------      ----------      ----------

Capital and reserves
Share capital                       132             125             129
Share premium account             5,321           5,269           5,301
Merger reserve                        1               1               1
Profit and loss account           2,139           1,799           2,012
--------------------------     ----------      ----------      ----------
                                  7,593           7,194           7,443
--------------------------     ----------      ----------      ----------


GROUP CASH FLOW STATEMENT
For the six months ended 31 March 2004

                               Unaudited       Unaudited Audited Twelve
                           six months to   six months to      months to
                                31 March        31 March   30 September
                                    2004            2003           2003
                                   £'000           £'000          £'000

Net cash inflow from
operating activities                 134             983            962

Returns on investments and
servicing of finance

Interest received                     84              58            120

Taxation                             164             (37)           (38)

Capital expenditure

Purchase of tangible fixed
assets                              (245)           (152)          (256)

Sale of tangible fixed
assets                                 1              42            179

Financing

Issue of share capital                23               -             36
--------------------------       ---------       ---------    -----------

Increase in cash                     161             894          1,003

--------------------------       ---------       ---------    -----------


NOTES TO THE INTERIM FINANCIAL INFORMATION
For the six months ended 31 March 2004

1.  PREPARATION OF THE INTERIM FINANCIAL INFORMATION

    The financial information for each of the six month periods ended 31 March
    2004 and 31 March 2003 is unaudited and does not constitute statutory
    accounts within the meaning of the Companies Act 1985. It has been prepared
    on the basis of accounting policies set out in the Group's statutory
    accounts for the year ended 30 September 2003 except for the adoption of
    Financial Reporting Standard ('FRS') 5, Application Note G 'Reporting the
    Substance of Transactions': Revenue Recognition. The comparative figures
    have been restated to reflect this change of accounting policy.

    Application Note G, which became effective for accounting periods ending
    after 23 December 2003 provides specific guidance to certain types of
    transactions, which have previously been subject to a range of differing but
    acceptable interpretations. In implementing the new guidance the Directors
    have conducted a re-evaluation of the separable components included within a
    sales transaction, and reassessed the fair value attributed to each
    component. The effect of adopting this new policy has been to increase the
    fair value of components, which are recognised as revenue after the delivery
    of the system. The effect can be summarised as follows:

    For the 6 months to 31 March 2004, revenues have been increased by £60,000,
    profit before tax has been increased by £36,000, and net assets have been
    decreased by £196,000.

    For the 12 months to 30 September 2003, revenues have been decreased by
    £109,000, profit before tax has been decreased by £88,000, and net assets
    have been decreased by £227,000.

    For the 6 months to 31 March 2003, revenues have been decreased by £116,000,
    profit before tax has been decreased by £89,000, and net assets have been
    decreased by £226,000.

    The interim financial information has been reviewed by the group's auditors.
    A copy of the auditors' review report is attached to this interim report.

    The financial statements for the year ended 30 September 2003 (prior to
    restatement) have been delivered to the Registrar and included an
    unqualified auditors report which did not contain a statement either under
    section 237 (2) of the Companies Act 1985 (accounting records or returns
    inadequate or accounts not agreeing with records and returns), or section
    237 (3) (failure to obtain necessary information and explanations).

2.  TAX ON PROFIT ON ORDINARY ACTIVITIES
    The tax charge for the six month period ended 31 March 2004 is lower than
    the standard rate of corporation tax in the UK due to the anticipated use of
    unrelieved tax losses and research and development tax credits.

3.  EARNINGS PER SHARE
    The calculation of the basic earnings per share is based on the earnings
    attributable to ordinary shareholders divided by the weighted average number
    of shares in issue during the period. The calculation of diluted earnings
    per share is based on the basic earnings per share, adjusted to allow for
    the issue of shares on the assumed conversion of all dilutive options.

    At 31 March 2004 there were 52,969,208 allotted, called up and fully paid
    ordinary shares of 0.25p each, the weighted average number of shares was
    52,148,618, and the dilutive effect of options was 6,432,120 ordinary
    shares.

4.  RECONCILIATION OF OPERATING PROFIT TO NET CASH OUTFLOW FROM OPERATING
    ACTIVITIES
                                 Unaudited       Unaudited         Audited
                             six months to   six months to   Twelve months
                                  31 March        31 March to 30 September
                                      2004            2003            2003
                                             (As restated)   (As restated)
                                     £'000           £'000           £'000

    Operating profit                    61             528             683
    Depreciation                       102             129             249
    Profit on sale of
    tangible fixed assets               (1)            (12)            (31)
    Reduction/ (increase) in
    stock                             (156)            432             244
    Increase in debtors                (29)         (1,057)           (738)
    Increase in creditors              157             963             555
    ------------------------      ----------      ----------     -----------
    Net cash inflow from
    operating activities               134             983             962
    ------------------------      ----------      ----------     -----------

5.  RECONCILIATION OF NET CASH FLOW TO MOVEMENT IN NET FUNDS

                              Unaudited       Unaudited          Audited
                          six months to   six months to    Twelve months
                               31 March        31 March  to 30 September
                                   2004            2003             2003
                                  £'000           £'000            £'000

Increase in cash for the
period                              161             894            1,038

Currency movements                    4               -              (35)
------------------------      ----------      ----------     -----------

Change in net funds for
the period                          165             894            1,003

Opening net funds                 4,826           3,823            3,823
------------------------      ----------      ----------     -----------
Closing net funds                 4,991           4,717            4,826
 ------------------------      ----------      ----------    -----------

COPIES OF THE INTERIM STATEMENT

Copies of the interim statement will be sent to shareholders. Further copies
will be available from the company's registered office at 14 Minns Business
Park, West Way, Oxford OX2 0JB.

Independent review report to OMG plc

Introduction

We have been instructed by the company to review the financial information which
comprises the profit and loss account, the statement of total recognised gains
and losses, the balance sheet, the cash flow statement and the related notes. We
have read the other information contained in the interim report and considered
whether it contains any apparent misstatements or material inconsistencies with
the financial information.

Directors' responsibilities

The interim report, including the financial information contained therein, is
the responsibility of, and has been approved by the directors. The directors are
responsible for preparing the interim report in accordance with the AIM Rules
which require that the accounting policies and presentation applied to the
interim figures should be consistent with those applied in preparing the
preceding annual accounts except where any changes, and the reasons for them,
are disclosed.

Review work performed

We conducted our review in accordance with guidance contained in Bulletin 1999/4
issued by the Auditing Practices Board for use in the United Kingdom. A review
consists principally of making enquiries of OMG plc management and applying
analytical procedures to the financial information and underlying financial data
and, based thereon, assessing whether the accounting policies and presentation
have been consistently applied unless otherwise disclosed. A review excludes
audit procedures such as tests of controls and verification of assets,
liabilities and transactions. It is substantially less in scope than an audit
performed in accordance with United Kingdom Auditing Standards and therefore
provides a lower level of assurance than an audit. Accordingly we do not express
an audit opinion on the financial information. This report, including the
conclusion, has been prepared for and only for the company for the purpose of
the AIM Rules and for no other purpose. We do not, in producing this report,
accept or assume responsibility for any other purpose or to any other person to
whom this report is shown or into whose hands it may come save where expressly
agreed by our prior consent in writing.

Review conclusion

On the basis of our review we are not aware of any material modifications that
should be made to the financial information as presented for the six months
ended 31 March 2004.

PricewaterhouseCoopers LLP
Chartered Accountants
West London

22 June 2004





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