Trading Update

SEPURA PLC

Trading Update

Sepura plc ("the Company" or "the Group"), a leading global provider of critical communications systems, today issues the following trading update for the six months ended 27 September 2013.

Highlights

· Trading in line with market expectations for the full year

· Strong demand from Germany drives material increase in terminal volumes to 78,800 radios (2013: 61,700 radios)

· Sepura Systems: Strong order intake underpins full year target

· Portalify: acquisition completed and integration on track

· Strong operating cash conversion at over 90% for the period

Trading update

The Group is performing in line with market expectations for the full year, with trading in the first half of the financial year benefiting from strong demand in its core markets. Terminal volumes rose by 28% compared to the same period last year, driven principally by further contract wins in Germany where shipments increased to 34,000 radios, compared to 21,000 during the same period last year.

Sepura Systems has seen strong order intake during the period, including its first TETRA infrastructure contract in North America, with the Toronto Transit Commission, and significant contracts with Luxembourg utility CREOS and TOTAL's Leuna oil refinery.

The acquisition of Portalify OY completed on 25 July 2013 and the integration of Portalify's personnel and products into the Group's existing operations is on track.

The Group has continued to invest in new product development targeted at high growth opportunities, and increased its investment in North America with the expansion of its US-based sales team.

The Group's reported Euro operating costs, which are incurred primarily in Sterling, were impacted as expected during the period by movements in exchange rate hedges compared to the same period last year. This will not be the case in H2, when the Group's hedging instruments are at comparable rates to H2 FY13.

Outlook

CEO Gordon Watling commented: "We have been encouraged by the performance across our core markets during the period, and remain confident of meeting our targets for the full year. We are particularly pleased with Sepura Systems' strong order book for delivery in the second half of the year, which validates our strategy of offering a complete solution to our customers. The acquisition of Portalify represents a further important step to achieving that objective.

"The solid platform we have built has enabled us to continue our investment in exciting new products, and emerging TETRA markets such as North America, which will enable us to capitalise on longer-term growth opportunities."

The Company expects to report its Interim results for the six months ended 27 September 2013 on 19 November 2013.

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Cautionary Statement:

This trading statement contains certain forward-looking statements with respect to the operations, performance and financial condition of Sepura. By their nature, future events and circumstances can cause results and developments to differ from those anticipated. Nothing in this trading statement should be construed as a profit forecast. No undertaking is given to update the forward-looking statements whether as a result of new information, future events or otherwise.

Notes to Editors:

About Sepura

Sepura is a global leader in the design, manufacture and supply of TETRA (TErrestrial Trunked RAdio) digital radios, infrastructure and applications. We provide specialist solutions for the public safety, transportation, oil and gas, mining, utilities, industrial and other commercial sectors.

The Group offers one of the broadest ranges of TETRA products available and is often first to deliver innovative products and features to its markets. The recent acquisitions of specialist TETRA infrastructure systems supplier, 3T - now rebranded Sepura Systems - and application developer Portalify have enhanced Sepura's capability to deliver powerful and easy-to-deploy systems.

Based in Cambridge, England and employing over 300 staff, Sepura was admitted to the Official List of the London Stock Exchange on 3 August 2007. For further information please visit www.sepura.com.