Vimio PLC

Final Results

                                                   To be embargoed until 7.00am

                                                                    8 JUNE 2006

                           VIMIO PLC ("the Company")                           

                 FINAL RESULTS FOR YEAR ENDED 31 DECEMBER 2005                 

Vimio plc, a leading provider of media distribution solutions and content to
Mobile Network Operators (MNOs) which listed on AIM in September 2005, today
announces its results for the year ended 31 December 2005.


  * Successful AIM flotation raising approx £5 million (€7.3 million), net of
  * Strategic partnership agreed with Samsung
  * Three new client contracts signed in the Middle East
  * Ongoing joint venture negotiations with key regional players in the Middle
    East, North Africa and India.
  * Trials with largest mobile operator in China
  * Development of new technology allowing content to be delivered over one
  * Collaboration agreement entered into with Microsoft
Results Summary

  * Turnover for the year ended 31 December 2005 was €403,785 (2004: €138,599)
  * Cash on deposit € 3,894,203 (2004: €229,000)
  * Operating Losses at €2,314,383
  * Implementation of lower risk revenue sharing model
  * First 4 months of 2006 have begun positively: sales of €507,198
Malachy Harkin, Chief Executive of Vimio, commented:

"We have been steadily building the foundations of a long term plan to exploit
our mobile distribution technology. A number of important partnerships have
been signed, most notably with Samsungand Microsoft, and our AIM listing has
given us the necessary resources to invest in our future expansion in several
key Asian markets."


Vimio plc                                                                    
Padraic Marren                         Tel: +353 87 698 0943                 
Pelham Public Relations                Tel: +44 (0)20 7743 6670              
Archie Berens                                                                
Gavin Davis                                                                  

                                   VIMIO PLC                                   

                 FINAL RESULTS FOR YEAR ENDED 31 DECEMBER 2005                 


I am pleased to report the results for the year ended 31 December 2005 which
incorporates only four months of trading since the Company's shares were
admitted to trading on AIM. Turnover for the year was €403,785 (2004: €138,599)
resulting in a loss before tax of €2,314,383 (2004: €1,149,107). The loss per
share for the year amounted to 10.8 cents (2004: 5.82 cents). At 31 December
2005 bank balances amounted to €3,894,203.

The loss for the year follows significant investment in recruiting new
personnel, increased product development costs, the completion of our data
centre in Dublin and a switch in our revenue model from software licence and
maintenance fees to revenue sharing on live TV streaming and content downloads
with Mobile Network Operators ("MNO's"), Mobile Virtual Network Operators
("MVNO's") and content providers.

The short term consequence of this change is that initial revenues are lower
than planned, but the Board believes that the long term benefits are expected
to be of such significance as to outweigh any short term considerations and
will enable the Company to achieve sustained recurring income.

Since the beginning of 2006, we have seen significant uplift in our revenues,
which for the first four months of the year amounted to €942,198 gross which
after adjusting for sales to the Joint Venture Vimio Middle East LLC amounted
to €507,198 net. In addition we have seen a substantial increase in commercial
opportunities across all regions. This is highly satisfactory and the board
believes that it bodes well for the remainder of the year.

We have made significant progress since our admission to trading on AIM in
September 2005 and have already achieved a number of key elements of our
business plan. We continue to pursue our strategy of building partnerships and
entering into joint venture agreements in key growth markets and we are
confident that this will ensure accelerated growth, greater penetration of new
markets and increased sales of our product range in the medium term.

Business Review

Vimio offers MNO's and content providers an end-to-end solution for mobile
content distribution, including an advanced digital rights management system to
prevent unauthorized copying of copyright protected material. Live TV, mobile
radio, full track music, video, karaoke, ring tones, true tones, Java games,
audio books and other mobile content can all be distributed with one common
distribution platform over CDMA, 2.5G, EDGE and 3G networks.

Our strategy is to develop relationships with MNO's and MVNO's in key growth
markets, with particular focus on the Middle East and Asia Pacific, which offer
substantial revenue and growth opportunities for the Company. In addition, the
Company has long standing commercial relationships in those areas which have
already proved important in promoting Vimio's products. The Company's expansion
strategy is to enter into further joint venture agreements and strategic
partnerships in those and other regions.

In addition to accelerating the roll out of our technology and services in the
Middle East and Asia Pacific regions, our joint venture strategy is expected to
have a positive impact on our balance sheet and profit and loss account on the
results for the current year.

We have added new customers during the period, the most significant being in
November 2005 with Samsung Electronics who are embedding our video and audio
codecs in their phones at point of manufacture. This agreement had no impact on
our 2005 revenues, and roll outs in the first half of 2006 will be limited,
initially, to the South Korean market. We expect to see further roll outs in
South Korea and other countries in the latter part of the year. Endorsement of
Vimio products by a global brand such as Samsung is an excellent reference for
us and has already generated considerable interest from MNO's and potential
technology partners alike.

We have successfully developed a new version of the Vimio Jukebox technology
which was launched in April of this year. This provides us with a complete
modular solution for MNO's and enables the delivery of Live TV, full track
music, video, karaoke, ring tones, true tones, Java games, audio books and
other mobile content over 2.5G, EDGE and 3G networks using one common platform.
Upgrades of the new software will be completed with existing customers during
the first half of 2006. The release of a CDMA version of our software is
expected in the second half of 2006.

In the Middle East, contracts were signed with Saudi Bells Company in Saudi
Arabia, and Umniah Mobile Company ("Umniah") in Jordan. During the year MTC
-Vodafone (Bahrain) an existing customer, and Umniah started to deliver Live TV
offerings to their customers. We are pleased with the progress these customers
have made to date and we have entered into agreements with them to provide
upgrades of our software and expect to enter into revenue sharing content
agreements of value added content in the coming months. Saudi Bells Company is
expected to implement our solution in the second half of 2006.

Additionally, we agreed with Riyada Consulting LLC ("Riyada") in Bahrain to
form Vimio Middle East LLC ("VME") to provide advanced mobile content and live
TV offerings to MNO's throughout the Middle East and North Africa which can be
delivered over existing GSM networks. Under the terms of the agreement, Sun
Capita LLC, a special purpose investment company established by H.E. Shaikha
Dheya Al-Khalifa, a senior member of the Bahrain Royal Family and the chief
executive of Riyada, has subscribed for 400,000 new Vimio Ordinary Shares at £
2.50 per share. The proceeds, amounting to £1,000,000, have been loaned by the
Company to VME to enable it to pursue the strategy outlined above.

In Asia, trials have been continuing with Jiangsu Mobile, part of China Mobile,
the largest mobile operator in China with over 200 million subscribers, to
deliver Live TV over the Jiangsu Mobile GPRS networks and through China Telecom
over its PHS networks. The Company will be developing content solutions
specifically designed for the Chinese market which will differentiate us from
competitors. We have also identified a number of partners to support our
endeavours in the region.

We have also entered into joint venture negotiations with a number of companies
to promote and market our technology and services in the Indian market.

The Company has concluded an agreement with Grupo Azcel which has 21 million
subscribers and offers value added services over the largest GSM network in
Mexico. Roll out of Live TV and advanced mobile content is expected in the
second half of 2006.

Vimio has built up an extensive portfolio of full track music, videos, games
and other content and has entered into contractual relationships with major
content publishers and providers. We are developing tailored content offerings
with our partners and customers specific to their markets and expect to start
delivering content packages in addition to our Live TV offerings in 2006.

Collaboration with Microsoft

Most recently, we were delighted to announce a collaboration agreement with
Microsoft. The agreement will provide Vimio with the opportunity to further
develop Microsoft technology and licence certain products. Microsoft has
selected Vimio plc to partner on projects with its research laboratory based in
Cambridge and Beijing as well as license Microsoft's Mobile Video Optimization

Such partnerships allow Microsoft to open up internally developed technologies,
which have not yet been brought to market, to new businesses with the aim of
facilitating new product and business development. Given Vimio's experience in
providing media distribution and content solutions, the company is encouraged
by the opportunity that comes with working with one of the world's largest
developers of intellectual property.

The opportunity to licence Microsoft Mobile Video Optimization Technology,
which is designed to provide enhanced performance of video on mobile devices,
will enable Vimio to further strengthen its offerings in the world of mobile
media distribution and content.


Vimio is continuing with its strategy of both organic growth, and entering into
joint ventures and strategic partnerships in key geographical markets, whilst
identifying and developing new opportunities for our end-to-end solutions for
mobile content distribution. We expect to enter into further joint venture
agreements, partnerships and trials of Live TV and content offerings with MNO's
in new markets this year. Our progress, to date, is in line with the Board's

The market continues to shows signs of strength. Ongoing advances in network
and handset technology, together with increased mobile phone penetration, are
driving the global demand for a broader range of mobile content. The market for
advanced mobile entertainment is predicted to grow from US$16 billion in global
revenue in 2006 to US$42 billion by 2010 (source: Informa).

The proliferation of advanced mobile handsets and the advances in network
technology augurs well for Vimio. We believe that our strategy of building upon
the foundations we have already laid, along with our technology development and
content acquisition strategy, puts us in a strong position to achieve
significant long term growth.

Your Board believes that Vimio is well equipped to take advantage of this major
growth market and looks forward to the future with confidence.

David McKenna
8 June 2006


€                                  Notes        Year ended           Year ended
                                          31 December 2005     31 December 2004
Turnover                             2             403,785              138,599
Cost of sales                                     (12,642)              (1,954)
Gross profit                                       391,143              136,645
Research and development costs                   (962,145)            (794,577)
Administration costs                           (1,743,381)            (491,175)
                                               (2,705,526)          (1,285,752)
Operating loss                                 (2,314,383)          (1,149,107)
Interest receivable                                 59,210                  239
Interest payable and similar                      (73,935)             (11,325)
Loss on ordinary activities before             (2,329,108)          (1,160,193)
Taxation on ordinary activities      3            (22,325)              (4,667)
Loss after taxation on ordinary                (2,351,433)          (1,164,860)
Basic loss per share                 5             (0.108)             (0.0582)

All activity is in respect of continuing operations.


€                                               Year ended           Year ended
                                               31 December     31 December 2004
Loss retained for the year                     (2,351,433)          (1,164,860)
Currency translation effect                          (674)              (6,228)
Total recognised losses for the                (2,352,107)          (1,171,088)
financial year                                                                 


€                                                    As at                As at
                                          31 December 2005     31 December 2004
FIXED ASSETS                                                                   
Tangible assets                                    137,149               61,103
CURRENT ASSETS                                                                 
Debtors                                            616,782               79,900
Cash at bank and in hand                         3,894,203                  229
                                                 4,510,985               80,129
Amounts falling due within one year              (701,202)            (519,167)
NET CURRENT ASSETS/(LIABILITIES)                 3,809,783            (439,038)
TOTAL ASSETS LESS CURRENT LIABILITIES            3,946,932            (377,935)
Amounts falling due after more than one                  -          (1,800,278)
                                                 3,946,932          (2,178,213)
CAPITAL AND RESERVES                                                           
Called up share capital                          1,280,007                    7
Share premium                                    6,736,960                    -
Merger reserve                                     460,292                    -
Profit and loss account                        (4,530,327)          (2,178,220)
SHAREHOLDERS FUNDS/(DEFICIT) - EQUITY            3,946,932          (2,178,213)


€                                              Year ended            Year ended
                                              31 December           31 December
                                                     2005                  2004
Net cash outflow from operating               (2,601,848)             (854,655)
Returns on investment and servicing of                                         
Interest received                                  59,210                   239
Interest paid                                    (73,935)              (11,325)
                                                 (14,725)              (11,086)
Corporation tax paid                             (10,988)               (3,893)
Capital expenditure and financial                                              
Purchase of tangible assets                     (136,555)               (9,785)
Cash outflow before use of liquid             (2,764,116)             (879,419)
resources and financing                                                        
Capital element of finance lease payments        (11,562)              (10,035)
Loan advanced (to)/by director                  (339,986)               854,951
Loans advanced                                    761,762                     -
Loans repaid                                    (761,762)                     -
Issue of shares                                 8,247,927                     -
Share issue costs                             (1,230,967)                     -
Net cash inflow from financing activities       6,665,412               844,916
Movement in cash                                3,901,296              (34,503)


1. The financial information set out in this announcement does not constitute
the Company's Statutory Accounts for the years ended 31 December 2005 or 2004,
but is derived from those accounts. Statutory Accounts for 2004 have been
delivered to the Registrar of Companies and those for 2005, which have been
approved by the Board of Directors, will be delivered following the Group's
Annual General Meeting. Accounting policies have been consistently applied
throughout both accounting periods. The Company's auditors have reported on
those accounts; their reports were unqualified and did not contain statements
under Section 237(2) or (3) of the Companies Act 1985.

The consolidated financial statements incorporate the financial statements of
the holding company and its subsidiaries, Vimio (Ireland) Limited, Vimio AB and
Vimio (China) Limited (formerly Mobile Integrated Solutions (Trading) Limited).
In preparing these group financial statements the directors have used the
principals of merger accounting in respect of all subsidiaries.


€                                         Year ended          Year ended
                                    31 December 2005         31 December
Republic of Ireland                          215,000                   -
Middle East                                  188,785             138,599
                                             403,785             138,599


€                                           Year ended        Year ended
                                      31 December 2005  31 December 2004
Current taxation                                                        
Ireland                                         14,791                 -
Overseas taxation                                7,534             4,667
                                                22,325             4,667


There being no distributable reserve, no dividend can be paid for the year
ended 31 December 2005.


The calculation of the basic loss per share is based on the loss attributed to
the ordinary equity shareholders divided by the weighted average of 21,841,236
(2004: 20,000,140) ordinary shares of €0.05 each in issue. The diluted loss per
share is equivalent to the basic loss per share.


€                                               Year ended          Year ended
                                               31 December    31 December 2004
Operating loss                                 (2,314,383)         (1,149,107)
Depreciation                                        58,115              23,312
Movement in debtors                              (536,882)             129,058
Movement in creditors                              189,582             148,655
Exchange movement                                    1,720             (6,573)
Net cash outflow from operating                (2,601,848)           (854,655)


€                                  At 31         Cashflow                 At 31
                                December                               December
                                    2004                                   2005
Cash at bank and in                  229        3,893,974             3,894,203
Bank overdraft                   (7,704)            7,322                 (382)
                                 (7,475)        3,901,296             3,893,821
Finance lease                   (11,562)           11,562                     -
                                (19,037)        3,912,858             3,893,821



                                                Year ended          Year ended
                                          31 December 2005    31 December 2004
Movement in cash                                 3,901,296            (34,503)
Cash flow from decrease in finance lease            11,562              10,035
Movement in net funds / (debt)                   3,912,858            (24,468)
Opening net (debt) / funds                        (19,037)               5,431
Closing net funds / (debt)                       3,893,821            (19,037)

9. Circulation to shareholders

Copies of the Company's Annual Report will be sent to shareholders shortly with
further copies available from Vimio Plc, Block F2, Eastpoint Business Park,
Dublin, Ireland.