Operations Update

24 October 2013

Phorm Corporation Limited ("Phorm" or the "Company")

Turkish Operations Update

Continued strong growth in KPIs

Phorm (AIM: PHRM), a leading internet personalization technology company, announces today that the strong growth announced on 27 September 2013 is continuing.

· 4.4 million monthly opted-in users

· 1.4 million active on daily basis

· Advertising network and publisher partners provide over 2.1 billion requests per month, month-on-month increase of 73%

· 126 million advertising impressions served in September, month-on-month increase of 89%

Phorm previously announced on 27 September that key performance indicators were showing strong growth. The Company is pleased to announce that this growth is continuing and in, some cases, strengthening.

Phorm is pleased to announce that the number of daily active users has risen to 1.4 million while monthly opted in users have risen to 4.4m.

Phorm's publisher network continues to expand. The Company previously announced that it had received an average of 40 million requests per day in August; in September this grew to over 70 million requests per day and, as a result, the Company received a total of over 2.1 billion advertising requests during the month.

The number of advertising impressions served by the Company has also increased significantly. In August the Company served 67 million impressions, this has grown by 89% to 126 million during the month of September.

In addition to receiving excellent feedback, Phorm is also delighted to announce that advertisers are rebooking campaigns reflecting the positive experience that they have had.

The Company is focused on building its revenue based on these excellent results and plans to update the market about Turkey on a quarterly basis going forwards. In addition, the Company will provide an update on progress in China very shortly.

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Contact

Phorm Corporation Limited

Andy Croxson (analysts & investors) +44 207 297 2067

UK Investors

Mirabaud Securities LLP +44 20 7321 2508 (Joint Broker)

Jason Woollard

Peter Krens

Liberum Capital +44 20 3100 2222 (Nominated Advisor and Joint Broker)

Chris Bowman

Richard Bootle

US Investors

Lippert Heilshorn and Associates +1 212 838 3777 (Investor Relations)

John Heilshorn

About Phorm

Phorm is a global personalization technology company that makes content and advertising more relevant to the consumer. Phorm's innovative platform preserves user privacy and delivers a more interesting online experience.

Phorm's industry leading technology enables its ISP partners to offer a new type of online advertising platform and a free consumer internet content feature, ensuring more relevant advertisements and personalized content for opted-in users.

Phorm's advertising platform revolutionizes current standards of online privacy, fully protecting the identity of consumers. Unlike virtually all other targeted advertising propositions, Phorm's solution is completely opt-in. Only those users consenting to the service are profiled and only ever on an anonymous basis.

Phorm's partners include leading Internet Service Providers (ISPs), Publishers, Advertising Networks and Advertisers.

Phorm, under a predecessor holding company, was admitted to the AIM market of the London Stock Exchange in 2004.

For more information, please visit: www.phorm.com