August 2000
Flomerics has again achieved impressive growth in all its major markets for the six months to 30 June 2000. Total sales revenues increased 42% to ?.89m (1999: ?.44m), or by 33% excluding exchange rate gains and contributions from the acquisition of KCC.
Sales in North America increased by 29% to ?.6m (1999: ?.0m) and accounted for 53% of turnover. Sales in Europe and the Far East increased by an even more impressive 41% to ?.89m (1999: ?.43m). There were significant contributions from Korea and Japan, and Flomerics also achieved its first sales in China, having established representation there in March 2000.

FLOTHERM and FLOVENT
Worldwide, Flomerics?nbsp;well-established thermal products, FLOTHERM and FLOVENT, accounted for 90% of turnover (as in 1999). The FLOTHERM business has continued to grow this year in all territories as per the last 10 years. FLOTHERM continues to dominate the market for CFD software in thermal design of Electronics, with four times the market share of all its competitors combined. Sales of FLOTHERM grew by 37% over the corresponding period last year, whilst sales of FLOVENT increased at a somewhat lower rate of 10%.

Electromagnetics
The acquisition of KCC in 1999 has given Flomerics the unique capability to address electromagnetic emissions and thermal management issues in electronics simultaneously. FLO/EMC, the first software product of its kind, has been developed specifically to predict electromagnetic emissions from electronic equipment. Version 1 is planned for imminent release and licences have already been sold to some "early adopter" companies.

Prospects
Looking to 2001 and beyond, Flomerics?nbsp;Board remains confident that the electromagnetic market offers significant opportunities for broadening the company range and level of activity. Furthermore the synergy between the new FLO/EMC product and the existing FLOTHERM product should support the continuing strong growth in the core thermal market.