RNS Number:5261R
Cellcast plc
20 February 2007


Press Release                                                   20 February 2007


                                  Cellcast plc

                          ("Cellcast" or "the Company")

                             Pre-Close Statement


The Board of Cellcast plc (AIM:CLTV), the global interactive digital
broadcaster, is pleased to provide a trading update prior to entering its close
period ahead of the preliminary announcement of its results for the year ended
31 December 2006.  The Company expects to make the preliminary announcement in
the last week of April 2007.


For the year as a whole, and on the basis of the unaudited management accounts,
the Directors expect that the consolidated loss at the EBITDA level will be
around #2.9 million and that the consolidated loss before taxation will be in
the region of #3.5 million.


Last November, the Directors announced that they did not expect the Company's UK
business to return to profitability during the second half of 2006, and that the
full benefits of the actions taken to reduce the fixed costs of the UK operation
would not be recognised until the first half of 2007.  Considerable progress has
now been made towards achieving profitability at the operating level, such that
the Group broke even at the operating level in December 2006, based on unaudited
management accounts.  During the final quarter of 2006 gross margins in the UK
also recovered to levels near to those achieved at the beginning of the year
prior to the impact of the SKY EPG restructuring.


Underlying this performance is the continued strong growth in turnover, similar
in percentage terms to that reported in the interim results statement where
revenue increased by more than half again.  This reflects the continued
expansion of the Company's international operations which has further
geographically diversified the Group's revenues.  International operations as a
percentage of total Group revenues increased from 4% in January 2006 to over 65%
by December 2006.  Margins in international operations also improved
dramatically in the period from January to December 2006, which, even allowing
for the cost of ongoing investment into key new markets, resulted in the Company
achieving overall profitability for international operations in December 2006.
Of particular note were Cellcast's new operations in South America, which
achieved net margins in excess of 20% in December 2006.


The Board believes the results of the strategic developments and cost reduction
plans instigated during 2006 will continue to become apparent during the first
half of 2007.  The Company is confident it has successfully addressed the issues
of its UK operations and turned these around whilst simultaneously pursuing the
planned international distribution of its technology and associated
applications.  The Board considers that the continuing growth of these
operations validates Cellcast's syndication strategy and demonstrates the
international demand for the Company's products and services.


                                    - Ends -


For further information:

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


HB Corporate
Edward Hutton                                          Tel: +44 (0) 20 7510 8600
e.hutton@hbcorporate.co.uk

Rachel Kane
r.kane@hbcorporate.co.uk                                   www.hbcorporate.co.uk


Media enquiries:
Abchurch
Henry Harrison-Topham / Gareth Mead                    Tel: +44 (0) 20 7398 7700
gareth.mead@abchurch-group.com                            www.abchurch-group.com


Notes to Editors:

Cellcast plc

Cellcast plc (AIM:CLTV) 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, Miami, Hong Kong and Sao Paolo,
Cellcast's applications and programming are distributed on the Sky Digital and
Freeview platforms in the UK and broadcast partners include Canal+ in France;
Future TV, Dubai Television and Rotana TV in the Middle East; Zee TV, STAR TV
and Sahara TV in India; TVS-3 in China; TV3 in Malaysia; and Rede TV, TV Gazetta
and TV Banderantes in Brazil.


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.


Cellcast plc joined the AIM market 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

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