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Copyright 2004

[ March 4th 2004 ]

Eidos' ChaEidos plc , one of the world's leading publishers and developers of entertainment software, today announces its interim results for the six months to 31 December 2003 and the intended acquisition of IO Interactive. Highlights for the six months to 31 December 2003 include: Operating profit pre goodwill and exceptionals up 30% to GBP 7.1 million, 10 new products (23 skus) released on schedule, Continued rigorous cost control, Profit after tax up 42% to GBP 6.2 million, Gross margin improvement from 51.3% to 62.2%, Strong operating cash inflow and cash funds, Further major franchise titles due for release in second half.

As a consequence of the adverse impact caused by the weakening of the US dollar, US hardware sales falling short of market forecasts and two titles achieving less than management's expectations, turnover reduced from GBP 88.9 million in 2002 to GBP 78.7 million in 2003.

Commenting on the results, Mike McGarvey, CEO of Eidos, said: "I am pleased to announce operating profits pre goodwill and exceptionals up 30% and profit after tax up 42%, our third consecutive profitable six month period. This performance has been driven by the on-schedule release of a strong portfolio of quality games and demonstrates the benefits of our strategy of owned IP supported by stringent cost and process controls. "We look forward to the remainder of this financial year, which will see the release of some of our most exciting titles. We remain confident in meeting current market expectations for the full year to 30 June 2004."

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