Vela Technologies Regulatory News (VELA)

21 Nov 2005 15:06

Deal Group Media PLC21 November 2005 Press Release 21 November 2005 Deal Group Media plc Trading Update Following a thorough review of the Group's operations, the Board expects thatthe profit before tax (excluding amortisation) for the year ending 31 December2005 is likely to be £800,000. Two issues will have a material impact on the Results to 31 December 2005following the trading update of 23 September 2005. Delays to the full implementation of DGM Pro, the Group's new proprietarytracking technology, will result in the Group incurring one-off additionalprogramming and technology costs of £275,000. As a result of this there will bean additional reduction in profit across the business amounting to £100,000. The second issue relates specifically to two current customers which aretemporarily unable to implement technology changes on their websites to allowplanned campaigns to run before the New Year. This will result in a loss to thebusiness of £225,000. The Group expects that efficiency gains related to DGM Pro will be seen in thesecond half of 2006. The Group remains operationally profitable, cash generative, and positioned in ahigh growth sector. For further information, please contact:Abchurch CommunicationsJulian Bosdet / Charles Jack Tel: +44 (0) 20 7398 7700charlie.jack@abchurch-group.com www.abchurch-group.com Panmure Gordon & Co.Grant Harrison Tel: +44 (0) 20 7459 3600 - Ends - This information is provided by RNS The company news service from the London Stock Exchange