Financial highlights:

• Revenue: £14.06m (2008: £9.63m), an increase of 46%
• Profit before tax: £667,000 (2008: £21,000)

Commenting on the results, Matthew Game, Chief Executive Officer, said:

"Three years ago we embarked on a journey to re-engineer our business and build a low-cost highly scalable platform. I am delighted to present half year results that confirm the steps taken are now beginning to return not only improved customer service and faster turnaround time but also improved financial results for our shareholders."

Chief Executive Officer's Statement

Three years ago we embarked on a journey to re-engineer our business and build a low-cost highly scalable platform. I am delighted to present half year results that confirm the steps taken are now beginning to return not only improved customer service and faster turnaround time but also improved financial results for our shareholders.

Mobile Doctors Group continues to make strong progress with turnover for the first half up 46% and profit before tax of £667,000, compared to £21,000 in the same period last year.

Volume has continued to increase with 27% more medical reports being returned than in the first half of 2008. Revenue growth of 46% over the comparative period reflects this increased volume coupled with significant growth in rehabilitation delivered in partnership with Nuffield Health. Gross margins on medico-legal reports continue to improve as we work more closely with our examiners although the change in product mix has resulted in overall gross margin moving from 24.8% to 23.0%. Overheads per case, and as a percentage of revenue, have continued to come down as a result of management focus on reducing fixed costs. The business has benefited from the reduction in base lending rates. The percentage of revenue discounted has also reduced in line with prospective interest rates, resulting in a net credit to interest expense.

The Group continues to operate comfortably within its borrowing limits for working capital. Debtor days have continued to fall although the reduction due to early settlement under the MRO agreement has been less marked than in 2008. A further £395,000 of long-term loan stock has been repaid in the period and capital expenditure of £161,000 includes a major investment in IT server equipment which extends our capacity for future growth.

We have long term contractual and strategic relationships with Steria (who manage our back office processing and IT support); Nuffield Health (who manage the physiotherapy, diagnostics and rehabilitation needs of our customers) and more recently TNT (who manage all of our in and out-bound mail, print, scanning and logistics). I am delighted to have the support of these three blue chip organizations who in their sectors operate at world class standards enabling us to deliver more to our customers.

The introduction of TNT has been a major milestone in our re-engineering journey. This step has seen the TUPE of a number of our staff along with a major leap forward in the use of leading edge technology to deliver high quality scanning, print and delivery.

We now have a highly scalable low-cost platform for growth and continue to seek suitable opportunities both organically and via acquisitions that meet our criteria for investment.

Matthew Game

Chief Executive

1 July 2009

 Notes to Editors:

• Mobile Doctors, established in 1989, has grown organically to become one of the leading suppliers of medico-legal reports for personal injury claims in the UK. It provides independent and objective medical evidence via a national panel of medical experts and therapists.
• Mobile Doctors has a database of approximately 2,500 medical experts covering many areas of the UK and currently provides approximately 60,000 reports out of approximately 600,000 reports required annually.
• In addition to its core medical report service, Mobile Doctors also provides ancillary services such as arranging MRI scans, X-Rays, CT scans, and ultrasounds and rehabilitation services such as physiotherapy, hospital treatment and cognitive behavioural therapy.
• Mobile Doctors Group Plc listed on AIM on 18 July 2007.