Half-year Report

Cellcast plc

("Cellcast" or the "Company")

Interim results for the six months ended 30 June 2016

The Board of Cellcast plc (AIM: CLTV) announces the Company's interims results for the six months ended 30 June 2016.

Highlights

· UK interactive broadcast revenues of £5.3 million (H1 2015: £5.6 million)

· Revenues from newly launched overseas gaming services of £320,000 (H1 2015: £nil)

· Profit before tax of £78,000 for the period (H1 2015: £256,000)

· Earnings per share of 0.1p (H1 2015: 0.4p)

Andrew Wilson, CEO of Cellcast plc, commented:

"Whilst demand for our core interactive broadcast revenues in the UK continued to decline, we are encouraged to have commenced revenue generation from our new consulting operations in the gaming and gambling sectors in emerging markets. The Directors are hopeful that this provides an opportunity to offset further decline in the domestic TV related business."

For further information:

CHIEF EXECUTIVE OFFICER'S STATEMENT

Half year results

UK interactive broadcast revenues for the six months ended 30 June 2016 were approximately £5.3 million, a decrease of 8% on the same period last year. Revenue from newly launched overseas gaming consultancy services represented £320,000. Gross profit amounted to £378,000 (H1 2015: £639,000).

Operating costs for the period were £343,000 (H1 2015: £380,000).

Overall, the Company's operations generated a profit before tax of £78,000. This compares to an operating profit of £256,000 for the period ending 30 June 2015.

The post-tax profit for the period amounted to £78,000. This represents earnings per share of 0.1p. By comparison, the period to 30 June 2015 achieved a net profit of £339,000 and earnings per share of 0.4p.

The Company's cash and cash equivalents at 30 June 2016 stood at £1,189,000 compared to a balance of £1,563,000 at 30 June 2015.

Outlook

As the Group's core revenues from UK interactive broadcasting diminish, the Directors are continuing to explore opportunities for diversification, specifically focussing on building revenues from the licensing, consulting and support of interactive gaming products and services in emerging markets. The Directors are pleased with the progress made in the Company's first venture into this new business area, as a services provider to a gaming operator in Kenya. Whilst launched in November 2015, the Company commenced meaningful revenue generation during H1 2016 and its contract with its local client is on-going. It is hoped that net contribution from these services could be increased by margin improvement from the economies of scale that could be achieved by expanding its portfolio of applications.

Whilst the Group does not envisage a short term recovery in its core UK interactive TV business, the Company is progressing interesting opportunities in these area, such as launching on a new cable TV platform and provision of new paid-for online content. The Company's objective over the medium term is that the new and other related initiatives can offset the continuing deterioration of the domestic TV related business.

Andrew Wilson

Chief Executive Officer

27 September 2016

UNAUDITED CONDENSED CONSOLIDATED STATEMENT of comprehensive income

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

In the above tables, the amounts are attributable to the equity holders of the parent.

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

For the 6 months ended 30 June 2016

NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

For the 6 months ended 30 June 2016

NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL INFORMATION

1. General Information

Cellcast plc is a limited liability Company incorporated and domiciled in the United Kingdom. Its business address is Unit 20-22 Cochran Close, Crownhill Industrial Estate, Milton Keynes, MK8 0AJ. The address of its registered office is The Registry, 34 Beckenham Road, Beckenham, Kent, BR3 4TU. Copies of this statement are available from this address and from the Company's website www.cellcast.tv.

The Company is quoted on the AIM Market of the London Stock Exchange.

This condensed consolidated interim financial information was approved for issue on 27 September 2016.

2. Basis of preparation

This unaudited condensed consolidated interim financial information is for the six months ended 30 June 2016. This has been prepared in accordance with recognition and measurement principles of International Financial Reporting Standards (IFRS) as endorsed by the European Union and implemented in the UK. The financial information in this interim announcement does not constitute statutory accounts within the meaning of Section 434 of the Companies Act 2006.

The interim financial information does not include all of the information required for full annual financial statements and accordingly, whilst the interim financial information has been prepared in accordance with the recognition and measurement principles of IFRS, it cannot be construed as being in full compliance with IFRS.

The comparative financial information for the year ended 31 December 2015 does not constitute statutory accounts within the meaning of Section 434 of the Companies Act 2006. The statutory accounts of the Group for the year ended 31 December 2014 have been reported on by the Company's auditor and have been delivered to the Registrar of Companies.

The current and comparative periods to June have been prepared using accounting policies and practices consistent with those adopted in the annual financial statements for the year ended 31 December 2015 and are also consistent with those which will be adopted in the 31 December 2016 financial statements.

There were no other Standards and Interpretations which were in issue but not effective at the date of authorisation of this condensed interim financial information that the directors anticipate will have a material impact on the financial statements of the Group.

NOTES TO THE UNAUDITED INTERIM ACCOUNTS STATEMENT

3. Revenue

4. Earnings per share

Basic and diluted earnings per share is based on the profit after tax and on the following weighted average number of shares in issue.