eg Solutions PLC Regulatory News (EGS)

eg solutions plc ("eg" or "the Company"; LSE-AIM: EGS), the back office optimisation software company, is pleased to issue an update on trading for its financial year ended 31 January 2011.

Trading in the second half of the year continued the momentum reported at the time of the half year results in September. Results for the full year were in line with market expectations with revenue expected to be approximately £5.1 million (2010: £4.2 million) and profit before tax approximately £0.3 million (2010: £0.1 million).

Management has continued to maintain tight control over costs resulting in improved margins and cashflow. Net cash at 31 January 2011 was £0.5 million (31 July 2010: £0.8 million; 31 January 2010: £0.4 million).

The growth in revenue reflects contract wins, from both new and existing customers, during the year. The performance of the Company's South African business continued to be strong, with more than £1.2 million of new business won for the full year (31 January 2010: £0.35 million). During the second half of the year the UK business also benefited from a significant contract signed with one of the world's largest banks. The order pipeline of XTAQ, acquired in March 2010 was also converted according to plan.

Underlying demand continues to be driven by financial institutions seeking to improve efficiency, business processes and decision-making, and growing industry recognition of the value added by eg's products to this effort.

In September eg won the International Trade & Export category of the inaugural Birmingham Post Business Awards 2010, having achieved ICT certification from Accredit UK in July in recognition of the high standard of its software product design and development.

The Company's pipeline of potential sales remains strong and it expects to benefit from recurring maintenance revenues and the sale of additional services and licences to new customers gained during the financial year ended 31 January 2011.

Announcement of final results for the year ended 31 January 2011.

In accordance with its usual timetable, the Company will announce its final results for the year ended 31 January 2011 on Wednesday, 23 March 2011.

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About eg solutions plc

eg solutions plc is a global operations management software company. Our software provides historic, real-time and predictive Operational MI. When implemented with our training programme for managers and team leaders to use this intelligence, we guarantee improvements in operational results in short timescales.

The Company, which is listed on the Alternative Investment Market ('AIM') of the London Stock Exchange, is committed to customer satisfaction and the ongoing development of its operations management solutions.