Half Yearly Report

MoneySwap Plc

("MoneySwap" or the "Company")

Interim results for six months ended 30 September 2014

MoneySwap (AIM: SWAP), the provider of payment solutions to online and point of sale merchants licenced for UnionPay in the UK and the provider for UnionPay MoneyExpress service enabling overseas persons to send funds directly to UnionPay cardholders in China, is pleased to announce the Company's results for the six months ended 30 September 2014.

A copy of the interim accounts will shortly be made available on the Company's website, www.moneyswapholdings.com.

For further information, please contact:

About MoneySwap(www.moneyswap.com)

MoneySwap provides payment solutions and gateways to merchants which allow both online and point of sale transactions to be settled using UnionPay cards in the UK. In addition, UnionPay has licensed MoneySwap for its MoneyExpress service which enables overseas persons to send funds directly to UnionPay cardholders in China. The Company also offers prepaid card services working with partners such as Corner Bank, Switzerland and Visa and offers an online peer to peer platform for currency exchange and payments. The Company's shares are traded on the London Stock Exchange's AIM market (AIM: SWAP). More information can be found at www.moneyswap.com.

CHIEF EXECUTIVE OFFICER'S STATEMENT

Financial Review

For the six month period ended 30 September 2014, revenues were US$101,000 as compared with US$270,000 during the six months ended 30 September 2013. Operating expenses decreased for the period to US$1.8 million as compared with US$2.8million for the six months ended 30 September 2013. This led to the improvement of the Group's operating results and loss for the period which decreased to US$1.7 million (2013 H1 loss: US$2.7 million).

Working Capital

The Company has, during the period under review, primarily been financed through third-party loans to the company totaling US$1,205,000. These loans bear interest at 5% per annum and have terms of two years. According to the loan agreements, the Company, at its sole discretion, can choose to repay or convert the loans to ordinary shares of the Company within two years from the loan agreements, i.e., ranging from 1 April 2016 to 4 September 2016. The conversion price shall be calculated as the average closing market price of an ordinary share in the Company for the ten business days prior to the conversion dates.

Subsequent to the period under review, the Company has received a further US$491,000 of loans from the same unrelated third party on identical terms. The total loan outstanding to this third party is now US$1,696,000. The Company remains reliant on such funding in order to continue its business operations and will remain so until such time as the Company is able to secure additional equity capital or alternatively until such time as it generates sufficient revenue in order to be self-supporting. There can be no guarantee that these working capital loans will continue, the Company will be able to secure additional equity capital or that it will generate sufficient revenue in order to be self-supporting.

Outlook

We continue to focus on our UnionPay business in the UK, which enables merchants to accept payment by UnionPay cards either through in-store or online transactions. To this end we continue to integrate a number of key payment service providers to our own UnionPay gateway. Development on the multi-card POS solution which will enable merchants to accept various cards including UnionPay, through a single POS terminal is also continuing.

Though the UnionPay card is being recognized by more merchants in the UK we find that revenue uptake is still hampered by general lack of awareness.

Our trade association partners such as VisitBritian, ALVA and City of London Corporation, are continuing to promote our brand and raise awareness.

Of the new agreements signed enabling organisations to accept UnionPay cards we will mention two. The Museum of London now accepts UnionPay cards. Also shoppers from China can use their UnionPay card to purchase flex-e-card gift cards which are used to purchase goods and services at the Westfield shopping centres and at shopping malls owned by Intu.

Our MoneyExpress services are available on our website and progress is being made with potential users. We anticipate that we will see meaningful revenue generation from this offering in 2015.

Richard V. Proksa

Chief Executive Officer

Date: 23 December 2014

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2014

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS AT 30 SEPTEMBER 2014

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2014

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2014

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS

FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2014

1 Basis of preparation

The interim consolidated financial statements incorporate the results of MoneySwap Plc (the "Company") and entities controlled by the Company (its subsidiaries) (collectively the "Group").

The interim consolidated financial statements of the Group have been prepared in accordance with International Accounting Standard 34 Interim Financial Reporting and do not include all of the information required for full annual financial statements.

The interim consolidated financial statements are unaudited, do not constitute statutory accounts within the meaning of Gibraltar Companies (Accounts) Act 1999, and were approved by the Board of directors on 23 December 2014. The consolidated financial statements for the year ended 31 March 2014 were prepared under International Financial Reporting Standards ("IFRS"). The auditors reported on the financial statements. Their report was unqualified and included reference to a matter to which the auditors drew attention by way of emphasis without qualifying their report.

The preparation of interim consolidated financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expense. Actual results may differ from these estimates.

In preparing the interim consolidated financial statements, the significant judgements made by management in applying the Group's accounting policies and the key sources of estimation uncertainty were the same as those that were applied to the consolidated financial statements as at and for the year ended 31 March 2014.

The accounting policies applied by the Group in the interim consolidated financial statements comply with each International Financial Reporting Standards that is mandatory for accounting for the six months ended 30 September 2014. These policies are consistent with those adopted in the Group's consolidated financial statements for the year ended 31 March 2014 and those which will be adopted in the Group's consolidated financial statements for the year ending 31 March 2015.

The principal risks and uncertainties of the Group have not changed since the last annual financial statements where a detailed explanation of such risks and uncertainties can be found.

2 Segmental information

In the opinion of the directors, the Group has three business lines as described below, which are managed separately as they require different strategies:

- Prepaid cards ("PP cards")

- Merchant acquisition for China UnionPay ("Merchant acquisition")

- Small and medium-sized entities ("SMEs") and International remittance

For the Group's internal reporting process, operating performance for SMEs and International remittance are assessed together and therefore, their segmental results are combined.

The directors consider that is neither possible nor meaningful to distinguish aggregate amortisation and depreciation, other administrative and operating expenses and taxation between the business segments, nor segmental net assets and liabilities. As a result these amounts are not reported to the chief operating decision maker on a segmental basis.

The Group is organised around two main geographical areas and a split of the geographical segments is as follows:

The major changes in segment assets during the period mainly relate to the decrease in property, plant and equipment and intangible assets for normal depreciation/amortisation, and in cash and cash equivalents as used in daily operations.

3 Other income

4 Taxation

Taxation of the Company and its subsidiaries is recognised based on the rules and regulations of their respective countries of incorporation.

A deferred tax asset has not been recognised in respect of all tax losses available to carry forward against suitable future trading profits as the directors consider there is insufficient evidence that it is more likely than not all the assets will be recovered. These assets can be recovered against suitable future trading profits.

5 Loss per share

Basic loss per share has been calculated by dividing the net results attributable to ordinary shareholders by the weighted average number of shares in issue during the period/year.

Due to the Company and Group being loss making, the share options and convertible loan notes are anti-dilutive.

6 Property, plant and equipment

During the six months ended 30 September 2014, the Group acquired assets with a cost of US$nil (six months ended 30 September 2013: US$700; year ended 31 March 2014: US$800).

7 Goodwill

The goodwill relates to the excess of consideration paid over the net assets acquired in MoneySwap Limited and MoneySwap FX Limited. The directors consider that it is neither possible nor meaningful to distinguish segmental net assets and liabilities between the business segments.

The goodwill is tested annually for impairment and the last goodwill impairment test was carried out as at 31 March 2014.

The recoverable amount of the cash-generating unit was determined based on value-in-use calculations. These calculations use cash flow projections based on financial budgets prepared by the directors of the Company covering a five-year period with a growth rate of 2% from 2015 onwards and a discount rate of 16%. The discount rate is the average of selected comparable companies' weighted average cost of capital.

As at 30 September 2014, the directors did not consider there to be any impairment in respect of the goodwill.

Movement in goodwill during the period/year is as follows:

8 Trade receivables

All trade receivables are denominated in Philippine Peso which are due upon billing. The ageing of trade receivables at the reporting date that were not impaired was as follows:

The directors believe that no impairment allowance is necessary in respect of the trade receivables and consider that the carrying amount as at 30 September 2014 of trade receivables approximates to their fair value.

9 Capital and reserves

Share capital and share premium

Dividends

The directors do not recommend the payment of a dividend for the six months ended 30 September 2014 (six months ended 30 September 2013: US$nil; year ended 31 March 2014: US$nil).

10 Share-based payments

Share benefit charges