OPM.L Regulatory News (OPM)

For Immediate Release 21st January 2014

1pm plc

("1pm", the "Group" or the "Company")

INTERIM RESULTS

FOR THE SIX MONTHS ENDED 30 NOVEMBER 2013

Strong trading momentum maintained

1pm, the AIM quoted independent provider of finance to the SME sector, announces its Interim Results for the six month period to 30 November 2013.

Commenting on the results, 1pm CEO, Maria Hampton, said:

"I am very pleased to report that the Group has made another excellent start to a trading year. The results for the first half demonstrate that the strong trading momentum gained during the year ended 31 May 2013 has continued into the current financial year."

Financial Highlights

· Revenue for the period increased 37% to £1.95m (H1 2013: £1.42m)

· Profit before taxation increased 84% to £0.61m (H1 2013: £0.33m)

· Earnings per share* up 40% to 1.61p (H1 2013: 1.15p)

· Net receivables increased 25% to £15.07m (H1 2013: £12.05m)

Operational Highlights

· Record new business of over £1m achieved in October

· New business written during period up 28% compared to same period last year

· Total lease portfolio increased 34% to £17.70m (H1 2013: £13.20m)

· Relationships now established with over 70 finance brokers nationwide (2013: 63)

*Adjusted for share consolidation

On current trading and prospects, Maria Hampton added:

"The Board is committed to delivering sustainable growth and value for its shareholders and has instigated a number of initiatives to further improve the Group's performance. Notwithstanding the continuing challenging economic climate, current levels of demand lead the Group to anticipate further progress in the second half."

For further information, please contact:

About 1pm:

The Company was admitted to AIM in August 2006.

1pm plc is an established independent finance company focused on providing SMEs with accessible funding to add value to their businesses. All customers must have good credit histories and proven ability to repay their finance commitments.

1pm currently provides assets finance from £1,000 to £50,000 for a period of between 12 and 60 months and £1,000 to £15,000 for business loans (repaid over 3-36 months).

Mission Statement - 'Helping the UK economy grow by supporting SMEs'

More information is available on the Company website www.1pm.co.uk

CHIEF EXECUTIVE'S STATEMENT

Financial Results

I am very pleased to report that the Group has made another excellent start to a trading year. The results for the first half demonstrate that the strong trading momentum gained during the year ended 31 May 2013 has continued into the current financial year.

Total revenue for the first six months of the current year rose by 37% to £1.95m compared with the same period last year (H1 2013: £1.42m) with profit before tax increasing by 84% to £609k (H1 2013: £332k). Earnings per share, when adjusted for share consolidation increased 40% to 1.61p (H1 2013: 1.15p).

The Group's balance sheet has also been further strengthened during the period by £1.5m of new equity capital (before costs) raised through a share placing with Henderson Global Investors. As at 30 November 2013 net assets stood at £6.43m (H1 2013: £4.23m), a 52% increase since the previous year end.

Operations and strategy

The Group wrote £5.0m of new business during the first six months of the trading year, a 28% increase compared with the corresponding period last year (H1 2013: £3.9m) and included writing record new business of over £1m in October 2013.

At the period end, the lease portfolio had increased to £17.70m, a 34% increase over the same period last year (H1 2013: £13.20m) and a 20% increase since the year end last May (FY2013: £14.8m). The portfolio has an average loan value of £8.5k (H1 2013: £7.5k) with no single customer representing more than 0.43% of the total portfolio value (H1 2013: 0.54%).

The Group has developed relationships with a further 7 finance brokers since the year end in May 2013 and is now in partnership with over 70 nationwide. The Group will continue to engage with additional finance brokers and is committed to maintaining and developing this vital source of new business.

During the coming months the Group will also seek to develop relationships with IFAs and Accountancy firms throughout the UK and anticipates that this route to market will not only provide SMEs with a valuable source of new funding but will further enhance the Group's geographical representation.

The management team continues to review and develop policies and procedures and maintains a strict underwriting approach and strong credit management policy, which has helped to deliver profitable growth and minimise bad debts, which at 30 November 2013 stood at 0.64% of the portfolio (H1 2013: 0.84%).

Whilst again reporting strong organic growth and record levels of new business, the Board is still actively seeking portfolio acquisition opportunities; however the quality and cost of any such transactions remain paramount.

As reported in the trading statement released on 10 October 2013 the Group has commenced its expansion into small business loans. This initiative has been well received by the market and to date has written over £125,000 of new business, however Asset Leasing remains the Group's core business.

The Group invested in its CRM system and in improvements to management information, which has increased efficiency; the management team will continue to monitor its systems and upgrade as necessary.

The Group is in the process of recruiting three additional members of staff in the expectation of continued growth; the Board would like to take this opportunity to thank the Group's hardworking and dedicated staff for another sterling performance.

Since the period end the Group has won 'Business Employer of the Year' awarded by Bath College for the work carried out in relation to the Apprenticeship Scheme and was also short listed for 'Independent Lessor of the Year' in the Leasing World Awards.

Financing

On 16 August 2013 the company carried out a Capital Reorganisation such that 1 New Ordinary Share was issued for every 0.006818 Existing Ordinary Share.

At 30 November 2013 the issued share capital of the company was 29,969,329 ordinary shares with a nominal value of 10p each.

£945k of new funding has been received since 31 May 2013 from high net worth individuals and Self-Invested Personal Pension (SIPP) funds; the total raised from sources of this type now stands at over £4.3m.

This brings the total amount of new funding raised by the Group since 31 May 2013 to over £4.9m, of which £1.5m was new equity capital raised (before costs) through a share placing with Henderson Global Investors.

These and other funding lines provide 1pm with the raw material to continue to grow.

More information regarding how individuals or organisations may provide funding to 1pm is available on the Group's website http://www.1pm.co.uk/Funding.

Board Change

During the period Michael Johnson stepped down as Chairman; the Board would like to thank him for his service and wish him well for the future. The Board would like to welcome Ian Smith, whose appointment as Chairman was announced this morning. 

Outlook

The Group will continue to offer much needed financing solutions to support the growing demand from SMEs as they increasingly turn away from mainstream banks as a source of business finance.

The Board is committed to delivering sustainable growth and value for its shareholders and has instigated a number of initiatives to further improve the Group's performance. Notwithstanding the continuing challenging economic climate, current levels of demand lead the Group to anticipate further progress in the second half.

I would like to thank our shareholders, advisors, clients, finance brokers and funding partners for their continued support.

M Hampton

CEO, 1pm plcIndependent Review Report to 1 pm plc

Introduction

We have been instructed by the company to review the financial information set out on pages 5 to 10 and we have read the other information contained in the interim report and considered whether it contains any apparent misstatements or material inconsistencies with the financial information.

Directors' responsibilities

The interim report, including the financial information contained therein, is the responsibility of, and has been approved by the directors. The directors are responsible for preparing the half-yearly financial report in accordance with the rules of the London Stock Exchange for companies trading securities on AIM, a market operated by the London Stock Exchange plc. The Disclosure and Transparency Rules require that the accounting policies and presentation applied to the half yearly figures must be consistent with those applied in the latest published annual accounts except where the accounting policies and presentation are to be changed in the subsequent annual financial statements, in which case the new accounting policies and presentation should be followed, and the change and the reasons for the changes should be disclosed in the half yearly financial report. The condensed set of financial statements included in this half yearly financial report has been prepared in accordance with International Accounting Standard 34, "Interim Financial Reporting".

Our responsibility

Our responsibility is to express a conclusion on the condensed set of financial statements in the half yearly financial report based on our review.

Scope of Review

We conducted our review in accordance with International Standard on Review Engagements (UK and Ireland) 2410 "Review of Interim Financial Information performed by the Independent Auditor of the Entity," issued by the Auditing Practices Board for use in the United Kingdom. A review consists principally of making enquiries of group management and applying analytical and other review procedures to the financial information. A review excludes audit procedures such as tests of controls and verification of assets, liabilities and transactions. It is substantially less in scope than an audit performed in accordance with Auditing Standards and therefore provides a lower level of assurance than an audit. Accordingly we do not express an audit opinion on the financial information.

Review conclusion

On the basis of our review, nothing has come to our attention that causes us to believe that the condensed set of financial statements in the half yearly financial report for the six months ended 30 November 2013 is not prepared, in all material respects, in accordance with International Accounting Standard 34.

Moore StephensRegistered AuditorsChartered Accountants30 Gay Street Bath BA1 2PA

17th January 2014

 Notes to the Accounts: