NEWCASTLE United PLC announces interim results for the six months ended 31 January 2006.The unaudited interim financial information represents the first published financial information prepared on the basis of the recognition and measurement requirements of International Financial Reporting Standards ("IFRS") adopted by the EU ("Adopted IFRS").

Financial highlights

· Revenue of £43.0m (2005: £49.5m) due to six fewer home games played in 2006

· Total operating expenses, held to £40.3m (2005: £41.0m)

· Profit from operations before player trading and amortisation of £2.7m (2005: £8.5m)

· Substantial increase in sponsorship revenues, up 31% from £4.8m to £6.3m

· Revenues from branded products up 6% from £4.8m to £5.1m

· Catering revenue up 6% from £3.6m to £3.8m

Operational highlights

· Significant strengthening of the first team squad with the Club record signing of Michael Owen from Real Madrid, Albert Luque from Deportivo La Coruna, and Nolberto Solano from Aston Villa being signed during the August 2005 transfer window

· Glenn Roeder appointed Acting Team Manager following the departure of Graeme Souness

· Improved team performances, 10th place in FA Premier League

· Reached the quarter-finals of the FA Cup, losing out to Chelsea at Stamford Bridge 1-0; and 4th round of the Carling Cup at Wigan. Five out of six of our domestic cup games were screened live

· Benefits of new sponsorship contracts with adidas and Northern Rock

· New revenue streams from gaming and broadband contracts negotiated by nufc.co.uk

· Improved Box Office for supporters including on-line sales facility

· The Newcastle United Museum opened in January 2006 to complement stadium tours which commenced in October 2005

· International premiere of film 'Goal' in September 2005

· 'The Match 2' staged in October 2005 proved a resounding success for the second year running

· Revival of pop concert venue status with the news of Bryan Adams performing on 6 June 2006

Freddy Shepherd, Chairman of Newcastle United, commented: "The current season has been disappointing with performances on the pitch falling well below the level we expected. Since his appointment as Acting Team Manager, Glenn Roeder, capably supported by Alan Shearer, has overseen a significant improvement in team performances.

"Over the course of the last ten years we have invested approximately £100 million to completely redevelop St James' Park, to build our state of the art training facilities and football academy, the foundations for long-term success.

"We are delighted to see young players like, Steven Taylor, Charles N'Zogbia and Peter Ramage making excellent progress in the first team, with others like Matty Pattison and young Dutch International keeper Tim Krul waiting in the wings. The key to our long-term success must be to build on these foundations".

Click here for the Interim Report