Final Results

Sabien Technology Group PLC
04 October 2007



4 October 2007



                          Sabien Technology Group Plc


 Maiden Preliminary results for the 12 months ended 30th June 2007 (Unaudited)



Sabien Technology Group (AIM: SNT) is focused on the manufacture and sale of M2G
 and M3G energy saving devices which are proven to reduce energy consumption on
          commercial boilers and air conditioning units by up to 35%.




Highlights:



  • Successful admission to trading on AIM and fundraising of £3.2m gross in
    December 2006



  • Major orders continue from largest current client, The Royal Bank of
    Scotland



  • M2G orders placed by other blue chip organisations including: Lloyds TSB,
    02, Alliance & Leicester, Ford Motor Company, HM Land Registry, Institution
    of Mechanical Engineers, Investec Bank





Current period:



  • Launch of Project 10 - inviting 10 large UK multi-site organisations to
    participate in a contracted pilot of M2G. Currently seven out of the 10 have
    subscribed for the pilot with further participants pending



  • M2G Distribution agreement signed for the following territories; China,
    Italy, Republic of Ireland



  • Launch of M3G - a product that helps reduce energy consumption
    (electricity) in commercial air-conditioning units by up to 35%







Alan O'Brien, Chief Executive Officer of Sabien Technology Group Plc, said,



'Sabien has a clear focus on generating UK sales, product suite enhancement for
example M3G for air-conditioning, and overseas licensing deals. I believe we are
now well positioned to take advantage of the opportunities of a growing market
for energy efficient and environmentally sound technologies.



'With the right team on board and with a solid financial structure, Sabien is in
an excellent position to build on what has been achieved in 2007.'





For further information:


Sabien Technology Group plc                                  020 7993 3700
Alan O'Brien - Chief Executive Officer
Gus Orchard - Finance Director


Brewin Dolphin (NOMAD)                                       0845 270 8600
Neil Baldwin/Alison Barrow


Madano Partnership (Financial PR Advisers)                   020 7593 4000
Mark Way/Matthew Moth





CHAIRMAN'S STATEMENT



I am pleased to report on the results for Sabien Technology Group Plc ('Sabien',
'the Company' or 'the Group') for the year ended 30 June 2007. This is Sabien's
first year as an AIM quoted company having been successfully admitted to AIM on
20 December 2006 when it raised £3.2m of new money for the Company.



Financial Results



Turnover in the year to 30 June 2007 amounted to £632k (2006 - £3k). The loss
after taxation was £745k (2006 - £63k). Although the results for the year were
behind forecast, principally due to the delay in the admission to AIM which had
been planned for September 2006, the Group has had a number of successes with
the commercialisation of its M2G product including a further order placed in
June 2007 from the group's largest current customer, Royal Bank of Scotland for
an additional £420,000.



Over the past two years, Royal Bank of Scotland, has now placed orders totalling
£1.35m for installation of M2G at its branches throughout the UK.



The Group is seeking to replicate this success with other major multi-site
operations and details of this are set out in the Chief Executive Officer's
report.



At 30 June 2007, cash and cash deposits amounted to £2.1m (2006 - £0.07m).





Board, Management and People



I was delighted to accept the Board's invitation to become Chairman prior to
flotation. I look forward to using my experience gained in other organisations
to helping Sabien to achieve its potential as a leader in its market.



Gus Orchard joined the Board in October 2006 as Finance Director to help in the
flotation process and in implementation of processes for the Group going
forward. He was previously Finance Director of TransEDA Plc which he took to AIM
in September 2000.



Jonathan Hill who, as both a shareholder (through General Capital Venture
Finance Limited)  and director of Sabien Technology Limited, was instrumental in
providing the finance to enable Sabien to acquire the rights to the M2G product
from its inventors, joined the Board prior to flotation but stepped down in July
2007. I would like to express the Board's appreciation for Jonathan's and
General Capital's support in enabling the transition of the Group from a
privately-held venture-backed start-up to an AIM quoted company.



I am pleased to welcome Karl Monaghan to the Board.  Karl joined in September
2007 and brings with him a wealth of experience in the City having worked there
in stockbroking and investment banking firms for approximately 14 years before
setting up his own consultancy.



The Group has recruited experienced sales and operations personnel to take the
business forward and I and my fellow Board members have every confidence that
their efforts will be successful.



Dr Clive Morton
Non-Executive Chairman
4 October 2007





CHIEF EXECUTIVE OFFICER'S REPORT





Introduction



Sabien was set up in 2004 to commercialise an energy saving technology called
M2G which helps public sector and commercial clients reduce their carbon
footprint and energy consumption by up to 35%.



With interest in 'green issues' being at an all time high, the need to achieve
both financial savings as well as an improved environmental profile is becoming
increasingly important in the Boardrooms of UK PLC.



Rising energy prices also create a more immediate imperative to reduce energy
consumption and cut energy costs. The urgency to seek new solutions is most
definitely a growing feature of the market and consequently companies are
beginning to implement energy strategies to meet challenging energy reduction
targets.



A number of customers are already using M2G including an NHS Trust, a range of
commercial blue chip clients and a leading high street bank. The M2G is Carbon
Trust approved and qualifies for the Enhanced Capital Allowance Scheme.





Our strategy



Sabien's strategy is focused on targeting large multi-site companies tasked by
shareholders and management to reduce and manage their carbon footprint and
energy consumption.



In the UK, we market and sell direct to our clients using our in-house business
development and marketing teams and are currently setting up our UK indirect
sales channels.



Our strategies for Europe, North America and Asia, centre solely on issuing
product licences to businesses to market and sell our products in these regions
and since the year end we have signed non-exclusive distribution agreements in
China, Italy and the Republic of Ireland.



The Directors estimate that the installed commercial boiler base in China is
over 100 million and over 26 million in Italy. Both of these markets represent
significant opportunities for the Company.





Operational Progress



As we have previously stated, as a result of our later than expected Admission
to AIM, the Group had to delay the recruitment of our business development team
with a consequent  slower pick up in revenues than we had anticipated.



In spite of this timing issue, the fundamentals of our business remain strong
and appealing. In M2G we have a world class product. We are gaining blue chip
clients and are experiencing a positive level of new sales enquiries from both
within the UK and internationally.



We have launched a number of initiatives which we believe will help drive sales
and technology acceptance in the next financial year and beyond. While some
customers are happy to make environmentally driven improvements, irrespective of
cost, most businesses want to know that there is also going to be an economic
and fiscal benefit from adopting Sabien's technology.




Current period



Project 10

On the back of the demand for both economic and environmental improvements,
Sabien launched Project 10 in the summer.



Focusing on our core market, we invited 10 multi-site blue chip clients to
participate in a contracted three month pilot. It is very pleasing that we
already have seven clients confirmed and three pending for the project.



I am confident that M2G will deliver demonstrable savings and that we shall
begin to see the benefits of this project during the course of the next
financial year.



M3G

In October 2007, Sabien completed an agreement to licence M3G, a product that
helps reduce energy consumption (electricity) in commercial air-conditioning
units by up to 35%. This a complementary product to M2G with the same target
market of large, multi-site organisations using air-conditioning systems. We
believe M3G fits well with our overall strategy to support companies with their
carbon management through energy reduction.





Staff



I would like to pay tribute to all our people for their contributions to the
business so far this year. It has been a major task for the team to respond to
the issues brought about by the delays in coming to the market. Throughout this
time, their contribution to mobilising the business plus helping to win some new
and repeat orders from some very notable clients has been magnificent.





Outlook



With the right team on board and with a solid financial structure, Sabien is in
an excellent position to build on what has been achieved in 2007.



With a focus on generating UK sales, product suite enhancement, including M3G
for air-conditioning and overseas licensing deals, I believe we are now well
positioned to take advantage of the opportunities of a growing market for energy
efficient and environmentally sound technologies.



Alan O'Brien

Chief Executive Officer

4 October 2007




Consolidated Income Statement

For the year ended 30 June 2007


                                                                                       2007           2006
                                                                  Notes               £'000          £'000


Revenue                                                                                 632              3
Cost of sales                                                                         (147)            (9)
Gross profit                                                                            485            (6)

Other income                                                        3                    69              3
Distribution costs                                                                     (52)              -
Administrative expenses                                                             (1,083)           (63)
Finance costs                                                       4                 (167)            (7)
Loss before tax                                                     2                 (747)           (73)

Corporation tax                                                     5                     2             10
Loss for the year attributable to equity holders of the parent                        (745)           (63)
company

Loss per share in pence - basic and diluted                         6                 (2.8)          (0.3)




Consolidated and Company Balance Sheet
As at 30 June 2007


                                                                   Group                Company
                                                                 2007      2006        2007        2006
                                                Notes           £'000     £'000       £'000       £'000

ASSETS
Non-current assets
Property, plant and equipment                                      47         1           -           -
Other intangible assets                                         2,511     2,652           -           -
Investment in subsidiaries                                          -         -       2,385           -
Total non-current assets                                        2,558     2,653       2,385           -

Current assets
Inventories                                                        71        72           -           -
Trade receivables                                                  28         -           -           -
Current tax recoverable                                             -         -           -           -
Other current assets                                              121        21         254           -
Cash and cash equivalents                                       2,148        76       2,111           -
Total current assets                                            2,368       169       2,365           -

Current liabilities
Trade and other payables                                           39         -           5           -
Short term provisions                                             183       464          41           -
Total current liabilities                                         222       464          46           -

Non-current liabilities
Long-term borrowings                                              422       336         422           -
Long-term provisions                                            2,002     1,927       2,002           -
Total non-current liabilities                                   2,424     2,263       2,424           -

Net Assets                                                      2,280        95       2,280           -

EQUITY AND LIABILITIES
Equity attributable to equity holders of the
parent
Share capital                                                   1,329     1,021       1,329           -
Other reserves                                                  1,601   (1,021)       2,371           -
Retained earnings/(losses)                                      (650)        95     (1,420)           -
Total equity                                                    2,280        95       2,280           -



The comparative numbers for 2006 for the Group are as at 30 June 2006 whereas
those for the Company are as at 30 September 2006.







Consolidated and Company Cash Flow Statement

For the year ended 30 June 2007
            
                                                                        Group          Company
                                                                    2007        2006           2007
                                                                   £'000       £'000          £'000


Cash flows from operating activities
Loss before taxation                                               (747)        (73)        (1,420)
Adjustments for:
Depreciation and amortisation                                        148           2              -
Impairment provision                                                   -           -          1,228
Finance income                                                      (69)         (3)           (65)
Finance expense                                                      167           7            150
Transfers to equity reserves                                         104           -             12
Increase in trade and other receivables                            (128)        (10)             20
Decrease in inventories                                                1        (56)              -
Increase in trade and other payables                                   1         450             45

Cash generated from operations                                     (523)         317           (30)
Interest paid                                                      (167)         (7)              -
Corporation taxes paid                                                 -        (44)              -
Net cash outflow from operating activities                         (690)         266           (30)

Cash flows from investing activities
Acquisition of subsidiary company                                      -           -          (500)
Acquisition of intellectual property                                   -       (778)              -
Purchase of property, plant and equipment                           (53)         (1)              -
Finance income                                                        69           3             65
Net cash generated by/(used in) investing activities                  16       (776)          (435)

Cash flows from financing activities
Proceeds from issue of share capital                               2,826           -          2,576
(Repayment of)/proceeds from long term borrowings                   (80)         438              -
Equity dividends paid                                                  -        (31)              -
Net cash from financing activities                                 2,746         407          2,576

Net increase/(decrease) in cash and cash equivalents               2,072       (103)          2,111
Cash and cash equivalents at the beginning of the year                76         179              -
Cash and cash equivalents at the end of the year                   2,148          76          2,111






Notes to the Financial Statements





1.  Basis of Preparation



The results for the year are preliminary and unaudited.



While the financial information included in this interim announcement has been
computed in accordance with International Financial Reporting Standards (IFRS),
this announcement does not itself contain sufficient information to comply with
IFRS.  The full financial statements of the company will be prepared in
accordance with IFRS, International Accounting Standards and their
interpretations issued or adopted by the International Accounting Standards
Board as adopted for use in the European Union.  No adjustments have been
required to restate opening balances from UK GAAP to IFRS.



The financial statements have been prepared on the historical cost basis. The
consolidated financial statements are presented in £'000 unless otherwise
stated.



The preliminary announcement was approved by the Board of Directors on 4 October
2007.





2.  Basis of Consolidation



Business combinations involving entities under common control fall outside the
scope of IFRS and are consolidated using merger accounting under which the group
incorporates the assets and liabilities of the entities at the amounts recorded
in the books of the entities.  No goodwill arises on consolidation and any
difference arising from the use of merger accounting is included in equity as a
merger reserve.



The consolidated financial information incorporates the combined companies'
results as if the companies had always been combined.  Consequently the
financial information includes the full period results of Sabien Technology
Limited even though the combination did not occur until December 2006.
Corresponding amounts in the financial information also incorporate the full
period results of Sabien Technology Limited.



In respect of other business combinations fair values are attributed to the net
assets acquired. Goodwill, which represents the difference between the purchase
consideration and the fair value of the net assets acquired, is capitalised and
subject to an impairment review at least annually or more frequently if events
or changes in circumstances indicate that the goodwill may be impaired.





3.  Loss before tax



The loss before tax is stated after charging:
                                                                  Year ended 30 June   Year ended 30 June
                                                                                2007                 2006
                                                                               £'000                £'000

Depreciation of owned tangible fixed assets                                        6                    1
Amortisation of intangible assets                                                142                    3
Operating lease rentals - land and buildings                                      20                    -





4.  Finance income


                                                                  Year ended 30 June   Year ended 30 June
                                                                                2007                 2006
                                                                               £'000                £'000
Interest receivable                                                               69                    3





5.  Finance expense


                                                                  Year ended 30 June   Year ended 30 June
                                                                                2007                 2006
                                                                               £'000                £'000
Interest payable                                                                 167                    7




6.  Corporation tax


                                                               Year ended 30 June  Year ended 30 June
                                                                             2007                2006
                                                                            £'000               £'000
Current tax                                                                   (2)                (10)
Deferred tax                                                                    -                   -
Total tax recovery for the year                                               (2)                (10)

The tax recovery for the year can be reconciled to the loss per 
the income statement as follows:

Loss before tax                                                             (747)                (73)
Tax on loss on ordinary activities at standard UK corporation               (142)                (14)
tax rate of 19% (2006: 19%)
Expenses not deductible for tax purposes                                        8                   2
Capital allowances in excess of depreciation                                  (1)                   -
Other short term timing differences                                            27                   2
Unrelieved tax losses                                                         110                   -
Current tax recovery                                                          (2)                (10)



No provision has been made to recognise a deferred tax asset as future
profitability is uncertain.





7.  Loss per share



The calculation of loss per share is based on the loss for the year attributable
to equity holders of £745k (2006: £63k) and a weighted average number of shares
in issue during the period of 26,570,511 (2006: 20,416,664)





8. The financial information above for the years ended 30 June 2006 and 2007 in
respect of which the accounting policies are consistent, does not constitute the
statutory financial statements for those years.  It is anticipated that the
annual report and accounts for the year ended 30 June 2007 will be posted to
shareholders on or around 11 October 2007.  Copies will be available from the
Company Secretary, Sabien Technology Group Plc, 34 Clarendon Road, Watford,
Herts WD17 1JJ and on the Company's website, www.sabien-tech.co.uk




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