dotDigital Group: Interim Results Statement

Group operating profit up 43% with continued performance from dotMailer

On outlook, Peter Simmonds, Chief Executive said: “The core email marketing business continues to perform very strongly and the strategy to increase sales activity in the corporate sector is showing good results with a strong pitch to win ratio, which is adding to recurring revenues and providing a cohort of higher value clients whose expenditure should continue to increase over time. Our ability to offer multinational businesses, a centrally managed parent account with locally accessible child accounts in local language and local currency billing is attracting interest from some very large businesses.

Overall we continue to see the results of our strategy to drive recurring revenues and the level of monthly recurring revenue in the six months now represents 76.5% of total billing up from 73% at the full year ended June 2012.Our efforts to secure longer term agreements has also proved successful with 66% of new contracts in the last 6 months having terms of between 12-36 months.

We look forward to providing further updates on progress within the Group during 2013, including progress with the strategic review of the services division and culminating in a full annual update on trading in our full year results in October 2013".