RNS Number:2626G
Cellcast plc
14 July 2006


Press Release                                                       14 July 2006





                                  Cellcast plc



                         ("Cellcast" or "the Company")



                                 Trading Update



Further to the trading update issued on 2 June 2006, UK margins have continued
to be adversely affected by the direct and indirect effect of changes to the
Electronic Programming Guide ("EPG") implemented by Sky Digital in March 2006.
As a result, additional spending has been incurred in marketing (directing
viewers to the new channel locations), channel acquisition and increased
programming to fill our allocated broadcasting hours.



Whilst the Board has taken decisive action, the Company's cash position has been
affected by this additional level of spending.  The Company has been in
discussion with a number of potential funders and has received an indicative
offer of finance from a third party, through a convertible loan, subject to
contract and due diligence, and in addition, the directors have agreed in
principle to make available a loan facility.



Although the EPG situation has impacted margins, unaudited revenues from UK
operations for the first half of the current financial year are expected to be
up by 17% on the same period in 2005, demonstrating consistent and growing
consumer demand for Cellcast's services.



Although initial uptake from the Company's growing international operations has
been slower than originally anticipated in the first quarter, revenues during
the second quarter are expected to meet budgeted forecasts and deliver in excess
of #2 million in turnover for the first half.



A further announcement relating to the Company's fundraising plans will be made
as soon as is practicable.



                                    - Ends -



For further information:
Cellcast plc
Andrew Wilson, CEO                                     Tel: +44 (0) 20 7190 0300
andrew@cellcast.tv                                               www.cellcast.tv


Daniel Stewart & Company Plc
Lindsay Mair / Marc Young, Corporate Finance           Tel: +44 (0) 20 7776 6550
marc.young@danielstewart.co.uk                           www.danielstewart.co.uk



Media enquiries:
Abchurch
Henry Harrison-Topham / Gareth Mead                    Tel: +44 (0) 20 7398 7710
henry.ht@abchurch-group.com                               www.abchurch-group.com



Notes to Editors:

Cellcast plc



Cellcast plc is a leading international provider of participation television
applications and interactive mobile content in the fast-growing multi-platform
digital entertainment sector. Headquartered in London, with associated
operations in Paris, Beirut, Mumbai, Hong Kong and Buenos Aires, Cellcast's
applications and programming are distributed on the Sky Digital platform in the
UK and broadcast partners include Canal+ in France; STB in Ukraine; Future TV,
Dubai Television and Rotana TV in the Middle East; Zee TV and Star TV in India;
TVS-3 in China; Telefe in Argentina; and TeleAmazonas in Ecuador.



Cellcast's revenues streams are independent of both advertising and subscription
fees. With a network of revenue sharing agreements with telecommunications
carriers and aggregators across five continents, Cellcast receives a share of
the call revenue every time a consumer uses a mobile or fixed-line phone to
participate in its interactive entertainment, revenue which is retained or
shared with its broadcast partners. Cellcast's programme formats and proprietary
Interactive Platform (CIP) also facilitate delivery of content to mobile phones,
the internet and broadband-delivered IPTV. This enables viewers to continue
participating in a programme away from the TV, generating 24/7 revenue
opportunities. In May 2006, Cellcast announced the launch of a range of new
interactive entertainment services on Freeview's digital terrestrial television
(DTT) platform in the UK which included a breakthrough in interactive TV
technology.



Cellcast plc joined the AIM market (AIM) of the London Stock Exchange on 21
September 2005.


                      This information is provided by RNS
            The company news service from the London Stock Exchange
END

TSTEAXXLFSXKEFE
Cellcast (LSE:CLTV)
Historical Stock Chart
From Aug 2024 to Sep 2024 Click Here for more Cellcast Charts.
Cellcast (LSE:CLTV)
Historical Stock Chart
From Sep 2023 to Sep 2024 Click Here for more Cellcast Charts.