SDL PLC Interim Results For The Six Months To 30th June 2000

Market Wire, 20050229

SDL plc ("SDL International" or "the Group"), the globalisation products and solutions company, is pleased to announce its results for the six months to 30th June 2000.

Highlights: up 93% to £11.6m (1999: £6.0m) with sales from existing operations up over 63%

Operating profits before depreciation and goodwill (EBITDA) of £691,000, an increase of 146%

Successful launch of SDLWebFlow(TM) ahead of schedule in February 2000

Acquisition of ITP ("ITP" or "SDL Global Solutions") for £14.5m, and rights issue raising £21m net in May 2000

Since its acquisition, the SDL Global Solutions business has been turned round from loss making to breakeven

Acquisition of Translation Craft products and integration of ITP technology, strengthening product solutions offering

Strong growth in sales of SDLWebFlow(TM) and SDLX(TM) software, with an increasing percentage of product and related service sales to overall turnover of 14% (nil% during the same period in 1999)

Net cash balances of £11.5m

Earnings per share of 0.10p (1999 - loss of 0.53p)

Appointment of Keith Mills as Technical Director with immediate effect

Commenting on the results Mark Lancaster, Chairman and Chief Executive of SDL International said:

"These excellent results reflect the successful strategy of having invested in on-line multilingual content management software and service solutions over the past three years. Since the launch of SDLWebFlow(TM) in February, we have been delighted by our existing customers' response to the product and in the interest generated from potential new customers. In addition, the turnaround of the ITP business we bought in May this year has been faster than anticipated and will provide a strong platform for growth."

"Our focus continues to be on businesses which have major international sales strategies through the use of the Internet. We are seeing our traditional blue chip clients increasingly entering this space and now have the resources to service this increasing demand and the ability to provide a complete globalisation solution. With the solid earnings from the Services Division, providing strong cash flow, combined with the continued investment in software, product marketing and sales, the Directors remain confident that SDL International is in an ideal position to continue to deliver strong growth going forward."