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General Industries (GNI)

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Friday 27 May, 2005

General Industries

Final Results

General Industries PLC
27 May 2005



                             GENERAL INDUSTRIES PLC

              PRELIMINARY RESULTS FOR THE YEAR ENDED 31 MARCH 2005



HIGHLIGHTS

Net cash of £1,005,312 (2004: £978,202)

Profit before taxation £16,637 (13 months ended 31 March 2004: £2,400)

Earnings per share £0.36 (13 months ended 31 March 2004: £0.07)


Richard Wollenberg, chairman, commented:

Chairman Richard Wollenberg said 'during the year potential acquisitions in the
self-storage, property management, social housing services, information
technology and business communications sectors have been assessed, as well as
other sectors of the market, but the directors considered that the final
propositions did not meet the directors' criteria'.



For further information:


General Industries plc       Richard Wollenberg            01784 437444
KBC Peel Hunt                Jonathan Marren               020 7418 8900







                          General Industires plc
            Preliminary results for the period ending 31 March 2004



Chairman's Statement
General Industries was formed to provide the opportunity of financing one or
more growing unquoted companies wishing to seek capital for the expansion of
their business and a public market for their shares.
During the year potential acquisitions in the self storage, property management,
social housing services and business communications sector have been assessed,
as well as other sectors of the market, but your directors considered that the
final propositions did not meet your directors' criteria.

Financial
As at 31 March 2005 the company's cash deposits amounting to £1,005,312 (2004:
£978,202) were placed on short term bank deposit with the interest rate linked
to base rate.
Turnover for the period under review was £nil (13 months ended 31 March 2004:
£nil) and will remain so until an acquisition is completed. Profit before tax
for the year was £16,637 (thirteen months ended 31 March 2004: £2,400) which
related entirely to interest received from cash on deposit less the cost of
carrying out due diligence on a specific acquisition and the expenses of running
an AIM listed company. Earnings per share were 0.36p (thirteen months ended 31
March 2004: 0.07p). Annual running costs and any outside costs of due diligence
will continue to remain minimal until such time as an acquisition is identified.

Dividend
As previously stated the directors do not intend to declare a dividend in the
short term.

Outlook
Your directors are investigating a number of companies but have recently found
unrealistic price expectations being placed by owners or shareholders on their
companies.
A re-rating of the smaller companies sector has certainly been apparent over the
past six months and whilst this has been taken into consideration, your
directors are unwilling to chase valuations and potentially overpay in
anticipation of future earnings.
Your directors will continue to seek a suitable acquisition in line with the
strategy set out in the company's prospectus.



J Richard Wollenberg

27 May 2005

Profit and Loss Account
for the year ended 31 March 2005

                                         Notes      Year ended   13 months ended
                                                 31 March 2005   31 March 2004
                                                             £               £
Administrative expenses being operating
loss and loss on ordinary activities
before interest                                        (28,774)        (14,560)

Interest receivable and similar income       2          45,411          16,960
                                                    ------------  --------------
                                                              
Profit on ordinary activities before
taxation                                   3-4          16,637           2,400
Tax on profit on ordinary activities         5          (1,576)         (1,023)
                                                    ------------  --------------
                                                              
Profit on ordinary activities after
taxation being profit for the financial
year                                                    15,061           1,377
                                                    ============  ==============

Earnings per share                                Year ended 13 months
                                                          31     ended
                                                  March 2005  31 March
                                                                  2004
                                                   Pence per Pence per
                                                       Share     share
On profit for the financial period
Basic                                                   0.36      0.07
Diluted                                                 0.36      0.07
                                                ============ ==============

The above results relate entirely to continuing activities. There were no
acquisitions or disposals of businesses in the period. The profit for the
financial period represents the total gains and losses and the total historical
cost profit recognised for the period.

Balance Sheet
at 31 March 2005

                                  Notes       At 31 March          At 31 March
                                                     2005                 2004
                                                        £                    £
Current assets
Debtors                               8             1,806                1,718
Cash at bank and in hand                        1,005,312              978,202
                                               ------------       --------------
                                                         
                                                1,007,118              979,920
Creditors: amounts falling due
within one year                       9           (13,677)              (1,540)
                                               ------------       --------------
                                                        
Net current assets being total
assets less current liabilities
and net assets                                    993,441              978,380
                                               ============       ==============
                                                        
Capital and reserves
                                      ===
Called up share capital              10           420,000              420,000
Share premium account                11           557,003              557,003
Profit and loss account              12            16,438                1,377
                                               ------------       --------------
                                                         
Shareholders' funds - equity         13           993,441              978,380
                                               ============       ==============
                                                         
Net assets per share                  7              23.7p                23.3p
                                               ============       ==============

These financial statements were approved by the board of directors on 26 May
2005 and were signed on its behalf by:



J Richard Wollenberg
Director

Cash Flow Statement
for the year ended 31 March 2005

                                        Notes      Year ended   13 months ended
                                                31 March 2005   31 March 2004
                                                            £               £
Cash outflow from operating activities                (18,301)        (15,761)
Returns on investment and servicing of
finance                                    15          45,411          16,960
                                                     ----------     -----------
                                                          
Cash inflow before financing                           27,110           1,199
Financing                                  15               -         977,002
                                                     ----------     -----------
                                                            
Increase in cash in the period                         27,110         978,201
                                                     ==========     ===========

Reconciliation of Net Cash Flow to Movement in Net Funds

                                                    At 31 March          At 31
                                                           2005          March
                                                                          2004
                                                            £                £
Increase in cash and movement in net
funds in the period resulting from
cash flows                                16           27,110          978,201
Net funds at beginning of period          16          978,202                1
                                                    -----------      -----------
                                                             
Net funds at end of period                16        1,005,312          978,202
                                                    ===========      ===========

Reconciliation of Operating Loss to Net Cash Outflow from Operating Activities

                                                  Year ended     13 months ended
                                               31 March 2005     31 March 2004
                                                           £                 £
Operating loss                                       (28,774)          (14,560)
Increase in debtors                                      (88)           (1,718)
Increase in creditors                                 10,561               517
                                                    ----------       -----------
                                                            
Net cash outflow from operating activities           (18,301)          (15,761)
                                                    ==========       ===========

Notes
(forming part of the financial statements)

1 Accounting Policies
The following principal accounting policies have been applied consistently in
dealing with items which are considered material in relation to the company's
financial statements. The financial statements have been prepared under the
historical cost convention and in accordance with applicable accounting
standards and with the Companies Act 1985.

Taxation
Provision is made for corporation tax payable at current rates on profits as
adjusted for tax purposes.
Deferred tax is recognised, without discounting, in respect of all timing
differences between the treatment of certain items for taxation and accounting
purposes which have arisen but not reversed by the balance sheet date, except as
otherwise required by FRS 19.

2 Interest Receivable and Similar Income

                                        Year ended              13 months ended
                                     31 March 2005              31 March 2004
                                                 £                          £

On bank deposits                            45,411                     16,960
                                          ==========                ===========

3 Directors remuneration and staff costs
The average number of persons employed by the company (including executive
directors) during the period was:

                                                     Number of employees
                                      Year ended                 13 months ended
                                     31 March 2005                 31 March 2004
Management                                     2                             2
                                        ==========                   ===========

                                           Year ended            13 months ended
                                        31 March 2005            31 March 2004
                                                    £                        £
Directors' emoluments                           6,416                      nil
                                            ===========              ===========

No retirement benefits are accruing to directors.
Information on directors' share options is shown in the report of the directors
on page 3.

Notes (continued)

4 Profit on Ordinary Activities Before Taxation

                                                   Year ended   13 months ended
                                                31 March 2005   31 March 2004
                                                            £               £
This is stated after charging the following:
Auditors' remuneration:
Audit fees paid to the company's auditors and
its associates                                          1,050             700
Tax compliance and other fees paid to the
company's auditors and its associates                     750           4,000
                                                    ===========     ===========

5 Tax on Profit on Ordinary Activities

                                            Year ended 31        13 months ended
                                             March 2005
                                                                 31 March 2004
                                                      £                      £
UK corporation tax at 19% on
profits for the period                            1,576                  1,023
                                              ===========            ===========

Factors affecting the current tax charge for the period
The current tax charge for the period is lower than (thirteen months ended 31
March 2004: higher than) the small company rate of corporation tax in the UK of
19% (thirteen months ended 31 March 2004: 19%).

                                                   Year ended   13 months ended
                                                31 March 2005   31 March 2004
                                                            £               £
Current tax reconciliation
Profit on ordinary activities before tax               16,637           2,400
                                                    ===========     ===========
                                                            
Profit on ordinary activities multiplied by
the lower rate of corporation tax in the UK of
19 % (2004: 19%)                                        3,161             456

Effects of
Expenses not allowed for tax purposes                       -             567
Marginal rate relief                                   (1,585)              -
                                                    -----------     -----------
                                                            
Current tax charge                                      1,576           1,023
                                                    ===========     ===========

Notes (continued)

6 Earnings Per Share
Earnings per share has been calculated in accordance with Financial Reporting
Standard 14 - Earnings Per Share using the profit after tax for the year of
£15,061 (thirteen months ended 31 March 2004: £1,377) and the weighted average
number of shares in issue during the period as follows:

                                                    Weighted average
                                                    number of shares
                                                  Year ended     13 months ended

                                               31 March 2005     31 March 2004
Basic                                              4,200,000       1,976,928
                                                    ----------     -----------
Adjustment to basic for element of shares to
be issued on                                          40,320          18,609
exercise of options
                                                    ----------     -----------
                                                            
Diluted basis                                      4,240,320       1,995,537
                                                    ==========     ===========

7 Net Assets per Share

                                            At 31 March       At 31 March
                                                   2005              2004
                                        Pence per share   Pence per share

Based on shares in issue at 31 March 2005
of 4,200,000 (2004: 4,200,000)                    23.7p             23.3p
                                            ===========       ===========

8 Debtors

                                            At 31 March       At 31 March
                                                   2005              2004
                                                      £                 £
Prepayments and accrued income                    1,806             1,718
                                            ===========       ===========

9 Creditors: amounts falling due within one year

                                                At 31 March        At 31 March
                                                       2005               2004
                                                          £                  £
Corporation tax                                       2,599              1,023
Accruals and deferred income                         11,078                517
                                                  -----------        -----------
                                                           
                                                     13,677              1,540




Notes (continued)

10 Share Capital

                                                    At 31 March      At 31 March
                                                           2005             2004
                                                              £                £
Authorised
20,000,000 (2004: 20,000,000) ordinary
shares of 10 pence each                               2,000,000        2,000,000
                                                    ===========     ============
                                                             
Allotted, called up and fully paid
4,200,000 (2004: 4,200,000) ordinary
shares of 10 pence each                               420,000          420,000
                                                    ===========     ============

Details of share options held by the directors are set out in the report of the
directors on page 3. At 31 March 2005, by an option Agreement dated 10 October
2003, KBC Peel Hunt had been granted an option to subscribe at a price of 25p
each per share for 84,000 ordinary shares, which is exercisable within the
period 10 October 2004 and 10 October 2008.

11 Share Premium Account

                                                                             £
At 1 April 2004 and 31 March 2005                                      557,003
                                                                    ============

12 Profit and Loss Account

                                                                             £
At 1 April 2004                                                          1,377
Retained profit for the financial period                                15,061
                                                                    ------------
                                                                             
At 31 March 2005                                                        16,438
                                                                    ============

13 Reconciliation of Movements in Shareholders' Funds

                                                  At 31 March      At 31 March
                                                         2005             2004
                                                            £                £
At 1 April 2004                                       978,380                1
Profit for the financial period                        15,061            1,377
Share premium on shares issued in period
(net of                                                     -          557,003
expenses)
Shares issued in period                                     -          419,999
                                                    -----------     ------------
                                                             
At 31 March 2005                                      993,441          978,380
                                                    ===========     ============
Notes (continued)
14 Commitments
There were no commitments under contract at 31 March 2005 (2004: £nil).

15 Gross Cash Flows

                                                    Year ended   13 months ended
                                                 31 March 2005     31 March 2004
                                                             £                 £
Returns on investment and servicing of finance
Interest received                                       45,411          16,960
                                                     ===========    ============
                                                            
Financing
Shares issued in the period                                  -       1,024,998
Expenses of share issue                                      -         (47,996)
                                                     -----------    ------------
                                                              
                                                             -         977,002
                                                     ===========    ============

16 Analysis of Net Funds

                     At 31 March         Cash flow            At 31 March 2005
                            2004
                               £                 £                           £
Cash at bank             978,202            27,110                   1,005,312
                     -------------       -----------                ------------

17 Related Party Transactions
During the period the company did not enter into any material transactions with
related parties.

18
The financial information in this announcement does not constitute the company's
statutory accounts for the year ended 31 March 2005. The statutory accounts for
the year ended 31 March 2005 will be finalised on the basis of the financial
information presented by the directors in this preliminary announcement and will
be delivered to the Registrar of Companies. It is expected that the accounts
will be mailed to shareholders in mid-June.



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

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