NPT.L Regulatory News (NPT)

9 Jan 2006 07:00

Stream Group PLC09 January 2006 STREAM GROUP PLC ('Stream' or the 'Company') Trading Update Stream Group plc, a leading entertainment and information company whichspecialises in consumer content and services, is delighted to report strongperformance in both trading and business development during the last threemonths and we are therefore confident of meeting expectations for the year ended31 December 2005. Whilst our fixed line business continues to be a consistent contributor to theGroup, our focus is increasingly on the opportunities in our mobile business. The technical integration issues experienced during the first half of 2005 werefully resolved by September and the company, whilst awaiting the launch ofmobile banking, is now benefiting from the acquisition of MChex in having itsown direct connections to Vodafone, Orange, O2, T-Mobile, Virgin and 3. Camera Phones Drive Chat and Dating We are seeing significant growth in our mobile "chat and dating" business.Stream has a strong track record in this sector and provides mobile chatservices to various third parties including Vodafone in the UK and Movilisto inSpain. In addition, Stream has its own direct to consumer chat business. Growthis being driven by MMS as consumers embrace the photo capabilities which mostmobile phones now offer. People are increasingly taking photos of themselves andattaching these to chat and dating messages. We see only increasing potential inthis market as phone technology advances with video capabilities. Mobile Gambling Following the signing, in October, of our exclusive worldwide partnership withEGET of Finland, Stream launched mobile poker in conjunction with The PokerChannel on Sky television. Initial results have been very encouraging and we arebuilding a strong base of regular players. We are moving towards offering a full portfolio of mobile gambling productsduring the course of 2006. The first new release will be multiplayer Bingo,which we aim to launch in March. Growth Strategy As more mobile phones offer sophisticated capabilities, hugely popular Internetactivities such as dating and gambling will no longer be restricted to whenconsumers are sitting by a PC. Stream already has momentum in these key marketsand is well placed to benefit from their growth. Gordon Robson, Executive Chairman of Stream Group plc said, 'The Company continues to deliver solid earnings from established content areaswhilst building key positions in the content areas that will lead the growth of"Internet To Go"." Contacts: Stream Group plc Gordon Robson, Executive Chairman Tel: 020 7299 2880 This information is provided by RNS The company news service from the London Stock Exchange