NPT.L Regulatory News (NPT)

6 Apr 2006 11:51

Stream Group PLC06 April 2006 6 April 2006 STREAM GROUP PLC ('Stream' or the 'Group') Stream, the provider of content and applications via mobile and fixed linetelephony, announces that all resolutions put before shareholders at the annualgeneral meeting, held today, were passed. Speaking at the meeting, Gordon Robson, Chairman of Stream, made the followingstatement: I am pleased to report that current trading is in line with our expectations.The Group ended last year with more than £3m cash and continues to generatecash. Stream has two solid core businesses in which we are the UK market leader. Ourfixed line "psychic" business has been operating for over seven years and duringthat time has developed into a substantial business where Stream produces amagazine which is mailed to approximately 100,000 consumers each month. Thebusiness has expanded its offering to include mobile services and onto theInternet via our web site, www.thecircle.com. We have also seen growth in ourcredit card sales operation. Our mobile business is the Group's main focus going forward. Our chat product isprovided on a "white label" basis to a number of partners including Vodafone inthe UK, Movilisto in Spain and, last year, to "American Idol" in the US. Inaddition, Stream has a base of approximately 400,000 consumers who use our chatproduct. We continue to see strong growth in mobile chat and dating,particularly through the increased use of camera phones. Our recently announced acquisition of Pan-American Mobile Inc (PAM) gives Streama channel into both the rapidly growing US and the emerging South Americanmarkets. PAM is a recently established company which is led by highlyexperienced and successful management. The combination of their local knowledgeand proven success in the American "fixed line" content market combined withStream's mobile chat skills, positions us well to grow a strong profitablebusiness. The business has been acquired on a low risk earn-out basis. Mobileworkflow (MWF) was acquired by Stream last August. Although MWF isfundamentally a technical operation, the company is profitable in its own rightand is performing in line with our expectations. Industry experts agree that gambling applications will be a significant driverof future mobile revenues. Stream is advanced in its development in this sectorand at the forefront of current opportunities. We have a partnership with EGETof Finland which combines their on-line skills with our mobile knowledge. Welaunched a mobile poker game at the end of last year in conjunction with ThePoker Channel on Sky TV and aim to launch multiplayer mobile bingo during Q2. Our acquisition of MChex established Stream as an integral part of the future ofmobile banking. Stream will receive a commission on mobile banking transactionssuch as balance enquiries and mini statement requests. We await the launch ofthe service by the banks. Stream has continued to grow in profitability since flotation. This has beenachieved through the strength of our fixed line and mobile businesses. Ourstrategy is to build on these existing profit centres and to secure a long termposition in the future of mobile through mobile gaming and banking. Enquiries: Stream Group plc Tel: 020 7299 2880 Gordon Robson, Executive Chairman Pat Greene, Finance Director Flagship Group Toby Mitchenall Tel: 020 7886 8459 This information is provided by RNS The company news service from the London Stock Exchange