IEN.L

Intelligent Environments Group plc

('iE' or 'the Company')

Solid Trading in H1; continued progress expected in H2 

Trading update for the six months ended 30 June 2009

Intelligent Environments Group plc (AIM: IEN), the online software provider for financial services, is pleased to announce that it continues to make  good progress both in terms of growing its long term recurring revenue base and   enhancing the value of its intellectual property assets.

Total revenues are expected to grow 8% to £3.2 million in the half year, with recurring revenues forecast to be 27% higher at £1.0 million. This represents approximately 30% of total revenues up from 25% at the same time last year.

Our strategy of increased investment in NetFinance V4 has accelerated with expenditure more than doubling to £0.5 million. This has allowed us to significantly increase the product functionality particularly around e-statements and e-marketing, both of which are seeing strong market demand. 

This investment has not only resulted in 3 new customers in the first half of the year but has also secured a series of new partnerships with global software businesses, which will spearhead our strategy to develop our international sales capabilities. Cash balances as at 30th June improved by £0.1m to £1.1 million providing the Group with a strong platform for continued progress in the second half. 

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