Interim Results

IBNet PLC
22 March 2002

                                     IBNET

                             REACHES PROFITABILITY

IBNet plc, the corporate intelligence, brand monitoring and internet
surveillance company has today announced its interim results for the six month
period ended 31 December 2001.

Key highlights:


  • Turnover increases by 433% to £468,000 (2000: £108,000)

  • Acquisition of WebGravity Limited completed

  • Significant cost savings following integration of IBNet and WebGravity

  • Appointment of Toby Smallpeice as Group CEO

  • Appointment of Richard Saul as Sales Director

  • EBITDA positive since period end



Commenting on the results, David Heynes, Chairman remarked:

' The last six months have been very active for the Group. We have made a
significant acquisition in WebGravity. This has resulted in a step change in the
Group's earnings profile. As we said at the time of the acquisition, WebGravity
has brought a critical mass to the Company. Although we are reporting a trading
loss in this period, I am happy to report that since January the Group has been
trading on a positive EBITDA basis.'

' This is an important milestone for IBNet. WebGravity has brought us valuable
product and cost synergies. By integrating the various products of the Group, we
can now offer clients a one-stop shop solution for brand promotion and
protection. From high volume web positioning to higher margin brand
consultancy.'

' Both IBNet and WebGravity have established client bases. The Group's products
are being used by a number of well-known Blue Chips, and the market for our
products remains strong. The cross-selling opportunities we have generated
through the acquisition of WebGravity and its products are promising.

' We have firmly established the basis of a long term profitable business.
Current trading is strong and, importantly, profitable. We look to the future
with confidence.'

                                    - ends -

Date: 22 March 2002

For further information contact:
IBNet PLC                                            City Profile Group

David Heynes, Chairman                               Ed Senior

Toby Smallpeice, CEO                                 Stephen Browne

020-7629-7676                                        020-7448-3244

web: www.ibnetplc.com                                e-mail: [e-mail]



                                IBNet Group Plc

                     Interim Results - Chairman's statement

INTRODUCTION

I am please to report the interim results for the newly enlarged IBNet Group for
the six months ended 31st December 2001. The figures themselves still show a
significant trading loss. However, turnover has grown again aided by our
acquisition of WebGravity Limited and the board hopes that, as explained below,
on current expectations this should be the last time that we report trading
losses.

FINANCIAL RESULTS

The financial results for the half-year ended 31st December 2001 cover 6 months
of trading of the group within Netdetec and Branddetec products and two months
contribution from WebGravity Limited.

In the period ended 31st December 2001, turnover was £468,000 (2000: £108,000)
and the loss before tax £1.689 million (2000: £860,000). The loss before tax was
struck after exceptional items of £324,000 representing various costs arising
out of the integration of WebGravity Limited following its acquisition in
November 2001.

ACQUISITION OF WEBGRAVITY

In the annual report issued in September 2001 we set out our ambition to make
use of our infrastructure by seeking acquisitions of related businesses. In what
is undoubtedly a major development for the group in November 2001 we acquired
WebGravity Limited, a company providing a variety of search engine optimisation
products to a range of customers from SME's to blue chip customers.

This range of products fits comfortably with IBNet's range of offerings by
extending the group's services to lower priced services and by providing a
complementary blue chip customer base to that already enjoyed by IBNet. It was
announced at the time that it was intended to integrate the operations of both
companies on one site and seek savings from other rationalisation benefits. This
has now been achieved with both operations starting in new premises in Chiswick,
West London, on 2nd January 2002.

Such integrations naturally result in certain changes in role and redundancies.
As was announced with the acquisition, Mark Ommanney resigned as Chief Executive
and after an orderly handover period has moved on. In addition both Paul Mewett
and David Lawrence have left the board. I would like to take this opportunity to
thank them for all their hard work and wish them well in the future.

PRODUCT OFFERING & DEVELOPMENT

As we pointed out at our preliminary announcement, we were undertaking
development work on an enhanced version of our Netdetec system, which lies at
the core of our internet brand monitoring and surveillance offering.

This updated release, Netdetec 2, incorporated features requested by our
customers generated by their use of our services. Netdetec 2 has now been
released and has been well received by clients. Netdetec 2 compliments our
existing brand monitoring services, Sharedetec and Branddetec, which are based
on the same architecture. Netdetec 2 technology is also being used to improve
the effectiveness of WebGravity Corporate optimisation services. The task of
developing this product has been largely completed and we do not envisage any
further major capital expenditure in development costs for this product.

The acquisition of WebGravity has allowed us to add the company's
well-established brand positioning technologies and services to our product
offering. These include:


  • Advanced Search Engine Optimisation. Starting at £10,000 per campaign,
    Corporate Optimiser offers corporate clients a complete search engine
    positioning solution, ensuring that their range of website propositions are
    easily found on the major search engine and directory properties within
    their target marketplace.

  • Webwurld - webwurld.com is the worlds first search engine paid inclusion
    portal aimed directly at the small to medium sized enterprise. The site has
    over 5000 customers around Europe with products costing around £50.

  • QueueJumper - from £1000 per website, this product ensures customers are
    properly listed in the major global directory sites which drive a
    significant amount of new business.

By integrating these products we are able to offer a one stop shop solution to
our clients internet branding requirements. IBNet's products are able to
highlight and resolve problems with clients' branding on the web. WebGravity's
products can then ensure that our clients' sites are easily located through
search engines to maximise the potential of their internet presence. A fusion of
both services is now able to identify marketing opportunities on the Web by
real-time analysis of user, supplier or competitor information.

STRATEGIC DEVELOPMENT

The objective of the acquisition and the changes referred to above were to
accelerate the process of bringing the group to profitability. Great progress
has been made in positioning Netdetec and its related products in the market
place. We are now focussing on developing vertical sales opportunities for the
Group. WebGravity and IBNet between them have a strong, established client base,
with considerable opportunities for developing further sales for IBNet's higher
margin products.

CHANGE OF YEAR END

Your Board proposes to change IBNet's year-end to 31 March.

PROSPECTS

Following the changes made, I am pleased to report that for the months of
January and February 2002 the group has generated positive earnings before
interest, depreciation and amortisation of goodwill and your board is cautiously
optimistic about the prospects for the future.

Depreciation and amortisation of goodwill are non-cash items and we do not
anticipate utilising significant borrowing facilities for the foreseeable
future. Accordingly, once the lags of the credit cycle have worked through in
the next few months, the group should start steadily to build liquidity.

This is obviously an excellent result and reflects to the credit of Toby
Smallpeice and Richard Saul, who have worked hard to achieve not only this
immediate goal but also to establish the basis of a long term profitable
business.

David Heynes

Chairman



IBNet PLC

CONSOLIDATED PROFIT AND LOSS ACCOUNT

FOR THE 6 MONTHS TO 31ST DECEMBER 2001
                                                                 6 months to          6 months to      12 months to

                                                                 31 December          31 December           30 June
                                                                        2001                 2000              2001
                                                                   Unaudited            Unaudited           Audited
                                                  Notes              £'000's               £'000s            £'000s
   Turnover                                                              468                  108               402
Cost of Sales                                                             88                    6              (48)
Gross Profit                                                             380                  102               354
Administration Expenses
               Fixed assets investment impairment                          -                    -          (21,976)
               Acquisition costs                                          19                    -                 -
               Amortisation of goodwill                                   91                    -                 -
               Other administration expenses                           1,662                 1074           (3,008)
Total Administration Expenses                                        (1,772)              (1,074)          (24,984)
Operating Loss                                                       (1,392)                (972)          (24,630)
Exceptional Items                                   2                  (324)                    -                 -
Net Interest                                                              27                  112               185
Loss on ordinary activities                                          (1,689)                (860)          (24,445)
Taxation
Loss on ordinary activities after taxation                           (1,689)                (860)          (24,445)
Basic and fully diluted loss per share              3                  2.74p                 1.6p            44.48p

There are no other recognised gains or losses other than the loss for the period

IBNet PLC

CONSOLIDATED BALANCE SHEET

AS AT 31ST DECEMBER 2001
                                                  Note              6 months to         6 months to         12 months to

                                                                    31 December         31 December              30 June
                                                                           2001                2000                 2001
                                                                      Unaudited           Unaudited              Audited
                                                                         £000's              £000's               £000's
Tangible Fixed Assets                                                       501                 314                  449
Goodwill on Acquisition                             4                     2,632              21,976                    -
Total                                                                     3,133              21,976                  449
Current Assets/Liabilities
Debtors: recoverable in 1year                                               461                 185                  253
Debtors: recoverable in more than 1year                                                         564
Cash in bank and in hand                                                    679               3,072                2,041
                                                                          1,140               3,821                2,294
Creditors payable within one year                                         (962)               (208)                (426)
Loans and loan notes payable within one year                              (550)
                                                                        (1,512)               (208)                (426)
Net current assets                                                        (372)               3,613                1,868
Total fixed and net current assets                                        2,761              25,903                2,317
Creditors payable beyond I year                     4                   (1,200)
TOTAL ASSETS                                                              1,561              25,903                2,317
Capital and Reserves
Called up Share Capital                                                  13,938              13,738               13,738
Share Premium Account                                                    14,352              13,619               13,619
Profit and loss account brought forward                                (25,040)               (594)                (595)
Loss for the period                                                     (1,689)               (860)             (24,445)
SHAREHOLDERS FUNDS                                                        1,561              25,903                2,317

IBNet PLC

CASH FLOW STATEMENT

FOR THE 6 MONTHS TO 31st DECEMBER 2001
                                                                     6 months to           6 months to      12 months to

                                                                     31 December           31 December           30 June
                                                                            2001                  2000              2001
                                                                       Unaudited             Unaudited           Audited
                                                                          £000's                £000's            £000's
Net cash outflow from operating activities
Operating loss                                                           (1,716)                 (972)          (24,630)
Depreciation/Amortisation                                                    212                    51               115
Decrease in debtors                                                           73                    43               539
Increase/(decrease )in creditors                                              71                 (108)               110
Increase in loans payable                                                    450                     -                 -
Acquisition of investment                                                  (450)                     -                 -
Fixed asset impairment                                                         -                     -            21,976
Net cash inflow from returns on investment                                    27                   112               185
Cash placed on fixed term deposit account                                                                          2,300
Net cash outflow from capital expenditure                                   (29)                  (98)             (298)
Increase/Decrease in cash                                                (1,362)                 (972)               297



IBNet PLC



Notes to the interim report for the 6 months ended on 31st December 2001



1. Basis of Preparation

The interim financial statements have been prepared in accordance with
applicable accounting standards and under the historical cost convention.

The principal accounting policies of the company have remained unchanged from
those set out in the company's annual report and financial statements 2001.



2. Exceptional Items

The exceptional items represent the consequential costs of the acquisition of
WebGravity as regards redundancies and the movement of operations from Egham to
Chiswick.



3. Loss per share

The calculation for the basic loss per share is based on the loss attributable
to ordinary shareholders divided by the weighted average number of shares used
during the period.



Computation of loss per share:

Loss                                    Weighted average number of shares       Amount pence per share
£'000
£1,689                                  61,618,666                              2.74p



4. Goodwill on acquisition

The goodwill figure is calculated as follows:

Acquisition of WebGravity plc                                                          £'000

Cash/Loan notes                                                                          450
Share Capital                                                                          1,000
Anticipated earn out                                                                   1,200

Total                                                                                  2,650

WebGravity shareholders funds                                                             73
                                                                                      ______
                                                                                       2,723

Amortisation (2 months)                                                                 (91)

Per Balance Sheet                                                                      2,632



5 Results

The results for the 6 months ended 31st December 2001 are unaudited and do not
constitute statutory accounts within the meaning of Section 240 of the Companies
Act 85.

6. Dividend

The directors are not declaring a dividend.

7. Copies of the interim statement are being sent to shareholders and are
available to the public from the Company's registered office at Hogarth Centre,
Hogarth Lane, Chiswick, London W4 2QN. Copies of the results can also be viewed
at www.webgravity.co.uk.



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