Financial Highlights

Deal Group Media plc (AIM:DGM), the independent online marketing group, today announces its unaudited interim results for the six months ended 30 June 2008.

Financial Highlights

Revenue increased by 72% to £6.69 million (H1 2007: £3.90 million)
Gross Profits up by 54% to £2.06 million (H1 2007: £1.34 million)
EBITDA* from continued operations showed a 39% reduction in loss to £0.34 million (H1 2007 £0.55 million) after a net investment in Asia Pacific expansion of £0.20 million (H1 2007 £0.16 million)

*Calculated as profit before interest, tax, amortisation, depreciation, share based payments and share of associated company loss

Operational Highlights

Continued growth in revenue and gross profits from our core Australia operation
First material revenues from the new satellite operations in India and Singapore. These operations have delivered:
- 16% of total revenue for H1 2008 (H1 2007: £ NIL) and 39% of revenue growth
- 18% of total gross profit for H1 2008 (H1 2007: £ NIL) and 51% of gross profit growth
Operating expenses increased predominantly through investment in the Asia Pacific operations and also through staff cost increases in the Australian operations
Central costs reduced by 30% following the UK disposal and strong cost control
Material working capital improvements achieved through improved focus on cash collection and associated processes
Further evolution of the Singapore-based hub which services multiple operating businesses and centralises finance and human resources functions

Commenting on the results, Adrian Moss, Chief Executive Officer, said: “We are delighted with our achievements in Asia, to date. The growth and traction we have attained are a key and an exciting step in achieving growth and a return to profitability. We look forward to the future with confidence."

Investor Relations

Financial Highlights