10th June 2008 Redstone plc (AIM:RED.L), a leading provider of Integrated IT and Communications Solutions in the UK and Ireland, today announces its unaudited financial results for the 12 months ended 31 March 2008.

FINANCIAL HIGHLIGHTS

• Revenues up by 78% to £200.7m (FY07: £113.0m)
• Organic revenue growth*** of 14%
• Gross profit margin increased to 39% (FY07: 36%)
• Adjusted EBITDA* up by 82% to £14.1m (FY07: £7.7m)
• Operating profit of £3.2m (2007: loss of £0.4m)
• Adjusted profit after tax** of £7.6m (FY07: £2.1m)
• Reported profit after tax of £3.2m (FY07: £0.1m)
• Year end net debt of £20.2m**** (FY07: £18.0m)

OPERATIONAL HIGHLIGHTS

• Successfully completed integration of Comunica and IDN
• Continue to tender for, win and deliver larger contracts
• Major contract wins during the year include:
  • White City retail centre project worth over £13m
  • Regional support services contract with JP Morgan worth up to £13m, contract dated August 2007.
  • Regional support services contract with additional major US investment bank worth up to £12m, contract effective March 2008.

Martin Balaam, Chief Executive Officer, Redstone, commented,

“The key objectives for the year were to fully integrate the acquisitions made towards the end of the previous year and to show a set of results where we achieve significant organic revenue and profit growth. I am pleased to report that we have delivered on both of these objectives.  We are now seeing the benefits of the acquisitions emerging, with cross-selling initiatives gaining momentum and the increased capability and scale of Redstone enabling the Group to secure multi-million pound, multi-year projects. We are enjoying an improving profile and reputation in the ICT sector, giving us an excellent platform from which to proceed to our next stage of development, and we are further investing in our sales organisation in order to take full advantage of this. The Board is confident in the Group's ability to deliver its large scale contracts, progress its cross-selling and other sales initiatives and further develop the business both organically and acquisitively in order to increase shareholder value.”

<< Click here to read the full Announcement on the Unaudited Preliminary Results for year ended 31st March 2009 >>

ENQUIRIES:
Redstone plc
Martin Balaam, Chief Executive Officer
Tim Perks, Chief Financial Officer
Tel. +44 (0)845 200 2200
 
ICIS Limited
Tom Moriarty
Bob Huxford
Tel. +44 (0)20 7651 8688

*before net finance costs, tax, depreciation, amortisation, exceptional items and share based payment charges.  Prior year adjusted EBITDA has been restated to include the holiday accrual charge of £162k.
** before amortisation of intangibles and the related tax effect.
***Growth of all current operations on a comparable basis after excluding revenue streams no longer continued, relating to the closure of the Symphony BV office, the withdrawal of Orange from the consumer business model and the decision to cease making 3-Mobile Network sales.
****Net debt excludes finance leases