SVR.L Regulatory News (SVR)

5 August 2014

ServicePower Technologies Plc

("ServicePower" or "the Company")

Trading Update

ServicePower Technologies Plc (AIM: SVR), a market leader in field management software, is pleased to provide an update on trading for the six month period ended 30 June 2014.

Trading for the half-year is in line with management expectations following the necessary investment in products, staff, infrastructure, and customer implementations. As a highlight for the period, USD revenue from the ServiceOperations business segment in the Americas was up more than 50% compared to the same period in the prior year.

Total revenues for the six months to 30 June 2014 are expected to amount to £6.2 million and include an FX loss due to the increased strength of GBP versus USD of £0.3 million compared to the equivalent period in 2013.The Company expects to report gross profit for the half-year of £2.7 million, LBITDA of £0.5 million excluding £0.2 million in extraordinary expenses, and a net loss of £0.9 million including a foreign exchange loss of £0.1 million. Cash at 30 June 2014 was £1.6 million and increased to over £2 million in mid-July. The increased strength of GBP versus USD has also negatively affected the translation of USD bank balances.

A number of significant contracts were signed in the second quarter and therefore had minimal contribution to first-half revenues. However, these contracts will have a greater impact in the second half of the year. ServicePower has good visibility of customer implementations and a strong pipeline of opportunities, both of which support achieving market expectations.‎

ServicePower continues to invest in sales and marketing activities to drive its brand awareness and pipeline development, in addition to further investment in its products and the move to additional cloud infrastructure. A new corporate website is now live and refreshed branding has supported an increased interest and demand for ServicePower products.

Marne Martin, CEO of Service Power plc, commented: "ServicePower has had a strong start to 2014, despite the strong British Pound affecting revenues generated in North America. There has been an increase in the number and value of contracts being signed, and good progress is being made with partners and alliances, which should see results beginning to have an impact in the second half of 2014 and in 2015. We have a clear strategy now in place and investment continues in the development and commercialisation of the platform to support sustainable and strong future growth.

"The current momentum is set to continue and we are confident of continued progress as we enter the second half of the year with a healthy pipeline and stable balance sheet."

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About ServicePower

ServicePower, the acknowledged leader in Optimisation Technology, provides an innovative global, fully mobilised field service management software platform used by field service organisations such as Assurant Solutions, Mitsubishi, Farmers Insurance, AIG Warranty and Pitney Bowes to improve productivity and efficiency, intelligently schedule appointments, SLA and complex jobs, as well as parts. Our platform focuses on solving fundamental field service problems with patented routing optimisation, M2M connected services, 3rd party dispatch and warranty claim payments, cutting edge mobile technology, robust business intelligence and asset tracking.

ServicePower is listed on the AIM market of the London Stock Exchange with the ticker SVR.L. For more information please visit www.servicepower.com