Trading Statement

Fulcrum Pharma PLC
03 October 2003

For Immediate Release:                                            3 October 2003

                               FULCRUM PHARMA PLC

                                 TRADING UPDATE


Hemel Hempstead, UK, 3 October 2003: Fulcrum Pharma plc (LSE: FUL), the drug
development and strategic outsourcing services company, makes the following
Trading Update in advance of announcing its preliminary results for the year
ended 31 August 2003 which are expected in November 2003.



Key points:



  • A strong finish in terms of contract wins in the final quarter, continuing
    into the first quarter of the current year, provides confidence in the
    outcome for the year ending 31 August 2004.
  • The Company is trading ahead of forecasts for the half year to 28 February
    2004 and the full year to 31 August 2004.
  • Lower than expected contract wins in the third quarter, combined with the
    step-up costs associated with the Company's growth in Europe, Japan and the
    US, mean the outcome for the year to 31 August 2003 will fall below current
    market expectations.
  • The step-up costs, which have created a platform for the Company's future
    growth, account for a doubling in staff numbers, the opening of a new
    European office and the establishment in Japan of Niphix, an in-house
    clinical research organisation.
  • European market conditions, which were difficult, are improving.
  • The Company's balance sheet remains strong.



In its Interim results for the six months to 28 February 2003, Fulcrum reported
that its management team, while continuing to roll out its plans for the US and
Japan, was realigning its European selling strategy to tackle the difficult
trading conditions encountered in Europe. The trading conditions impacted sales
in the first half and, as expected, have had a knock-on effect in the second
half of the year. There was a strong finish to the year and sales are continuing
to improve for the future.



The Board is pleased to report that as a result of implementing the company's
strategy a number of important contracts have recently been signed in Europe,
the US and Japan.



Europe:

•  Letter of intent signed for the Company's first partnership deal with a
European pharmaceutical company.



US:

•   Two significant follow on contracts signed with US biotech companies.

•   Technology transfer contract signed with a major Japanese pharmaceutical
company.



Japan:

•   Two additional oncology study contracts funded by leading Japanese research
foundations.

•   Niphix data management contract with major Japanese pharma.



The Board expects sales to continue improving during the current financial year,
but the outcome for the full year ended 31 August 2003 will fall below market
expectations.



The Board expects to announce the Company's preliminary results for the year
ended 31 August 2003 in the week commencing 17 November 2003.



For further information, please contact :


Fulcrum Pharma PLC
Jon Court, Chief Executive                               08707 107152
Geoffrey Smith, Finance Director                         08707 104501


Buchanan Communications
Mary-Jane Johnson                                        020 7466 5000


Notes to Editors:



Fulcrum Pharma plc is an independent, drug development company that is the first
to offer global virtual drug development and strategic outsourcing services to
the pharmaceutical industry.



The Company has expertise in the design, execution and delivery of drug
development programmes and relies on state of the art information technology and
infrastructure in the supply of its services.



Through Fulcrum's services to its clients, the Directors believe that there is
the capacity to deliver products faster and more efficiently to the global
pharmaceutical market. Fulcrum does this by using its skills in the design of
drug programmes that deliver the necessary information for decision-making and
product registration. In so doing, Fulcrum works closely with its clients to
meet their strategic R&D goals.



Fulcrum Pharma is listed on the Alternative Investment Market of the London
Stock Exchange having successfully floated in March 2000.




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