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Interim Results for the six months ended 30 June 2007

28 September 2007

Highlights for the period

• Revenues increase to £11.4 million - up 18.5% on the same period in 2006
• Reduced loss at EBITDA level of £980,000 compared to £1.6 million in the first six months of 2006
• UK operations achieve sustained profitability
• Continued roll out of Cellcast formats and technology to international markets.

 Post period highlights

• Reorganisation and recapitalisation of Asian businesses into Cellcast Asia Holdings
• Injection of $5.25 million into Cellcast Asia Holdings, by leading private equity house, Canaan Partners providing post-money valuation of $13.5 million, valuing Cellcast's 37.5% share holding at $5.1 million against a cost of $1.4 million
• SUMO.tv achieves significant growth in web traffic and TV revenues, and developing co-venture opportunities accelerating the distribution timetable

 Julian Paul, Chairman of Cellcast plc, commented:

"With the UK business achieving operating profitability (before SUMO.tv costs), the enhanced shareholding and deconsolidation of our Asian interests, and the potential to spin-off SUMO.tv, the outlook is much improved. The company is focussing on improvements in gross margin, EBITDA and cash flow rather than the headline revenue numbers. Our growth strategy is to leverage our expertise, successful formats and proprietary technology to multiply co-ventures with strategic media partners worldwide."

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