Final Results

17 April 2012

NetDimensions (Holdings) Limited

("NetDimensions" or the "Company" or the "Group")

Final Results for the year ended 31 December 2011

NetDimensions (AIM: NETD), a global provider of performance, knowledge and learning management systems, announces results for the year ended 31 December 2011.

Financial Highlights

·; Revenue increased 48% to US$12.3m (2010: US$8.3m)

·; Across the board products and services growth:

o License sales revenue increased by 49%

o Software customisation and implementation sales increased by 159%

o Support and maintenance revenues increased by 31%

o Hosting sales saw increased by 25%.

·; Profit before income tax excluding non-cash items* up 189% to US$1.0m (2010: US$0.4m)

·; Deferred revenue up 29% to US$4.5m (2010: US$3.5m) further increasing visibility

·; Strong balance sheet with cash & cash equivalents increased to $6.9m (2010: US$6.0m) equating to 17.8p per share

·; Debt free

·; Maiden dividend payment of 3.1 US cents per share (2.0 pence per share) proposed

*Excluding foreign exchange loss of $28k and amortisation of intangible assets of $0.3m.

Operations Highlights

·; Added 135 new clients through direct sales or resellers during the period.

o New named client business made up more than 40% of invoiced sales.

·; Recruited nine new sales and professional services heads, and six new engineering heads, bringing the total headcount to 105 (2010: 88 employees)

Roger Durn, Chairman of NetDimensions, commented: "NetDimensions has a global footprint and will continue to invest in emerging markets, including South America, Africa, China and the Asia Pacific region. The Board expects future growth to be funded by the Group's strong financial position and future positive cash flows from existing business.

"In 2012, the Group will invest aggressively to develop and market our new talent management system and seed this new offering in our global markets. We are confident that the NetDimensions Talent Suite will become a substantial Group business over time."

A full set of the annual report and accounts will be sent to shareholders and will also be available on the company website at: www.netdimensions.com

Enquiries:

CHAIRMAN'S STATEMENT

In terms of results, 2011 was a very good year for NetDimensions; our best ever for year on year revenue growth and our first year where we will recommend to shareholders the payment of a dividend. Financial highlights of the year to 31 December 2011 include:

·; 48% year-on-year revenue growth

·; Strong cash position (US$6.9M) - equates to c. 17.8 pence in cash per share

·; 135 new clients

·; Maiden dividend payment of 2 pence per share proposed

In short, the Group continued to move forward, grow and make progress on all of the key strategies laid out by the Board at the beginning of 2011.

Financial Summary

I am pleased to report on the financial results for NetDimensions (Holdings) Limited for the year ended 31 December 2011. During the year, NetDimensions focused on organic growth and the integration of our 2010 acquisitions leading to sales growth of 48% to US$12.3M (2010: US$8.3M); and all this despite the slow economic recovery in the USA and continuing uncertainty in the European Union.

In fact, the Group achieved growth in every region, particularly in the USA, China and Asia Pacific markets with growth rates of 133%, 64% and 28% respectively. In addition, the Group ended

the year with a strong deferred revenue balance of US$4.5M (2010: US$3.5M), some 29% higher than the prior year balance.

Furthermore, the Group successfully integrated the two businesses it bought the year before and executed on a strategic decision to develop its professional services business. During the year, the Group saw customisation and implementation services revenue grow 159% to US$1.9M.

In 2011, the Group added a further 135 clients through both reseller and direct sales efforts. New named client business made up more than 40% of invoiced sales. During the year NetDimensions did business with 472 active clients in total.

The North America region (Canada, USA and the Caribbean) represented 47% of total Group sales and became the best performing region for the year. The Europe, Middle East and Africa (EMEA) region represented 41% of total sales. The rest of the world made up 12%.

The Group saw across-the-board products and services growth with license sales revenue increasing by 49%, software customisation and implementation sales by 159%, support & maintenance by 31% and hosting sales by 25%.

The Group's profit before tax, excluding unrealised exchange losses (US$ 28K) and intangible asset amortisation (US$ 0.3M), recorded more than US$1.0M (2010: US$0.3M) included in which was non-cash, share-based payments of US$0.3M. The Group's profit before tax achieved US$0.6M (2010:US$0.1M).

In 2011, NetDimensions made a US$0.3M tax provision (its first ever) due to the continued depletion of accumulated tax losses in Hong Kong.

The Group continued to generate cash from operations and maintained a strong year-end cash position of US$6.9M (2010: US$6.0M) with no debt.

The year-end cash balance was achieved after spending more than US$0.3M on share repurchases (and cancelling 850,000 shares during the year).

Noting that the Group's cash balance and operating cash-flows remain strong, the Board recommends paying a 2 pence (or 3.1 US cents) total dividend, of which final dividend 0.5 pence (or 0.8 US cents) will be paid from 2011 profit and special dividend 1.5 pence (or 2.3 US cents) will be paid from the share premium account which is conditional and effective upon passing of AGM resolutions by shareholders and the satisfaction of the requirements of the Company Law by the Company. If approved, the dividend will be paid on 20 July 2012 to shareholders on the register at the close of business on 22 June 2012.

Operations Review

In 2011, the Group added nine new sales and professional services heads, demonstrating the Group's commitment to move away from being solely a software provider toward becoming a full suite software services provider with strong local teams to provide quick turn-around service solutions to clients in key geographies.

In addition, the Group added six new engineering heads to support product development in light of the Group's planned introduction of its talent management suite in February 2012. The Group's new talent offerings are expected to position the Group as one of a few talent management system providers to offer complete solutions to meet our global clients' needs.

Outlook

NetDimensions has a global footprint and will continue to invest in emerging markets, including South America, Africa, China and the Asia Pacific region. The Board expects future growth to be funded by the Group's strong financial position and future positive cash flows from existing business.

In 2012, the Group will invest aggressively to develop and market our new talent management system and seed this new offering in our global markets. We are confident that the NetDimensions Talent Suite will become a substantial Group business over time.

On the macro-economic front, the Group is still cautious in respect to Eurozone economic performance and the potential for European Union spill-over impact on the US economic recovery.

Therefore, though we remain guardedly optimistic, we are still very conservative in our business outlook for 2012.

Sanjay Vaze - Non-Executive Board Member

Tragically, one of our non-executive board members, Sanjay Vaze, passed away in August 2011 after a short illness. Mr. Vaze invested in NetDimensions early on, and continued to contribute to the Company's success as a business advisor and coach to the management team until he died.

We will miss him.

Roger Philip Edward Durn

Chairman

17 April 2012

CEO'S STATEMENT

To echo our Chairman's words, 2011 was a very good year for NetDimensions.

Corporate achievements:

·; For the first time in our history NetDimensions exceeded a monthly revenue run rate of a million dollars, an important milestone. The simple truth is that a talent management company with revenue exceeding $10-12 million per year is more likely to be reviewed by Tier-1 analysts and more likely to be seriously considered as a potential supplier by bigger clients.

·; We opened our first frontline sales and service operation in China. The second quarter 2011 launch of our Shanghai office was a big step for us as a company and a big vote of confidence in Asia's economic future. To date, the bulk of our sales have been in the developed world, mostly in the European Union and North America. We expect the balance to shift East and South in future and we intend to position the Company to take advantage of these economic shifts.

·; After years of focus on what we did best, compliance optimized learning and assessment applications, by the beginning of 2011 we felt we had grown strong enough to start pivoting the Company from learning toward the broader talent management market, a bigger and faster growing part of the human resources services and technology world. This meant developing new and enhanced offerings that, once mature, should position us to sell to more clients and to have more products and services to sell to our existing clients.

At NetDimensions we pride ourselves on the continuous development of our core products and services. But we also worked hard in 2011 to make the Company fit for growth by bedding in the two acquisitions we made in 2010, adding to sales capacity, expanding our engineering, support and customization capabilities and pushing hard on the marketing front.

Talent for the rest of us

Over the last decade NetDimensions has grown by forging our own way rather than by trying to copy what our competitors do. We have assiduously avoided becoming a "me too" kind of company, sometimes from necessity and sometimes from choice.

We deliberately opted out of the first round of the talent management craze that started in 2004/2005. We believed, rightly I think, that those early efforts would prove at best appropriate for early adopters in the USA and fairly irrelevant to most companies in Europe and the rest of the world.

We were right.

We also believed, again rightly I think, that technology changes would create a second entry point, a paradigm shift we could ride when ready. In 2011 we decided that both NetDimensions and global markets were ready for a new kind of talent management that caters for the whole company and not just the top five or 10 percent of employees.

This new kind of talent management is simple, social and continuous. It targets the middle and extends down as well as up. It's not just for the high potential hires. It tends to help flatten organizational feedback loops rather than further stratify them. It is practical talent management.

We worked hard during 2011 to build it and launched NetDimensions Talent Suite 8.0 in February 2012 with the full 8.1 release scheduled for May.

The NetDimensions Talent Suite will include sophisticated but simple to use competency management (much of this functionality is already released), template-driven multi-rater and performance appraisals, goal management and organization mapping, among other things. The new functionalities are designed to be flexible, simple to set up and simple to use.

We think our new solution makes sense for "the middle" - meaning both talent management for most of the people in today's workforce and talent management for the large number of medium-sized companies around the world.

We think of Talent Suite's addressable universe as being companies with between 5,000 and 15,000 employees. Of course, Talent Suite can reach up into larger enterprises. It can also reach down into smaller groups. But the focus is on the mid-market. It's where we live. It's also where a very large part of the world lives.

The Cloud and SaaS, Safe and Secure

The idea of Software as a Service (SaaS) is all the rage right now. It's right up there on the hype cycle with the Cloud.

This is good news for NetDimensions. We have always been both an on-premise software license provider and a SaaS HR services provider.

Moreover, we have always given clients a choice of cloud - theirs, ours or somebody else's.

At the same time we have focused on systemic security. Because so many of our SaaS clients come from highly regulated industries and countries that demand a high degree of data privacy protection, security has always been one of our highest priorities.

We were the first major learning management SaaS provider to be ISO 27001 security certified. We remain one of the very few companies in the field to be certified to this standard.

The Cloud, Secure SaaS and 21 CFR 11

We are also one of the few learning, testing and talent management system providers to comply with and support clients' 21 CFR 11 security validation requirements.

21 CFR 11 is a US government security framework for software. The 21 CFR 11 validation and related requirements are license-to-operate issues for pharmaceutical, biotechnology, cosmetics and medical manufacturing companies.

One of the reasons NetDimensions can support 21 CFR 11 validations is that we offer both on-premise licensing and single-instance SaaS, a strength that comes from our focus on what works.

For regulated clients, we offer a highly protected, regulatory framework compliant, single-instance SaaS option. We call this Secure SaaS. We think it's important. We think the industry will be talking more about Secure SaaS in future.

Jay Shaw

CEO

17 April 2012

CONSOLIDATED INCOME STATEMENT

For the year ended 31 December 2011

Details of proposed dividends to equity holders of the Company are set out in Note 10.

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

For the year ended 31 December 2011

CONSOLIDATED STATEMENT OF FINANCIAL POSTITION

As at 31 December 2011

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

For the year ended 31 December 2011

  (loss) for the year:

  Revaluation loss of available-

CONSOLIDATED STATEMENT OF CASH FLOWS

For the year ended 31 December 2011