[2005-03-29]

Index Corporation's European subsidiary, 123 Multimedia, releases
surging 2004 financial results

Index Corporation (President: Yoshimi Ogawa, Headquarters: Setagaya-ku, Tokyo; Hereinafter: Index), a driving force behind the global expansion of mobile and media services, and its European based subsidiary 123 Multimedia (President Patrick Abadie, Headquarters: Toulouse, France; Hereinafter: 123MM), a distinguished leader among European mobile content providers, are pleased to announce the summary of 123MM’s surging 2004 fiscal results.


2003　　　2004　 Change
Revenue　　 114.8　　143.2　　 +24.8%
Operating Income　15.0　　 20.1　　 +33.3%
Net Income　　　 9.4　　 12.8　　 +36%
Capital　　　　 25.2　　 76.6　　 +204%
（millions of EUR）


2004
The consolidated revenues after deduction of carriers management fees was of €143.2 million for the 2004 financial year, compared with €114.8 million in 2003, representing a purely organic growth of 24.8%. The B-to-C activity represented 76% of revenues, compared with 21% for the B-to-B activity (3% miscellaneous).

In accordance with the 123 group's strategy, this strong growth was accompanied by improved profitability. Indeed, operating income was up over 33% (€20.1 million compared with €15.0 million in 2003), and net income was up 36%, at €12.8 million (compared with €9.4 million in 2003).

With respect to funds flow, the net cash flow generated by operations more than doubled (€18.5 million compared with €7.3 million in 2003), reflecting 123 Multimedia’s excellent economic performance that, combined with the capital increase of €40 million after deducting expenses (not including greenshoe from early 2005), led to a closing cash position of €76.6 million (€25.2 million at the end of 2003). The group’s balance sheet, which was already perfectly solid, was even stronger in 2004, with equity capital at €77.4 million (€30.6 million in 2003), and no long-term debt.

Future prospects
For 2005, 123 Multimedia is reinforcing its existing markets and has already begun expanding its territorial footprint. This development will combine organic growth on the French and international markets with targeted external growth that will allow 123 Multimedia to strengthen its positions quickly.

Generally, the group forecasts a 20-30% growth in activity for 2005, while maintaining its margins.

About 123 Multimédia:
123 Multimédia, European leader in value-added multimedia services, is listed on the Euronext Paris Second Marché.
ISIN: FR0004061513