Notes for financial year ended 31 October 2007

1. The results for the year ended 31 October 2007 have been prepared in accordance with International Accounting Standards and International Financial Reporting Standards (collectively 'IFRS') as adopted by the European Union at 31 October 2007 and the financial information contained herein is presented on a consistent basis with the IFRS accounting policies of Domino Printing Sciences plc.  The policies that the Group considers to be its principal accounting policies were set out in full in the most recently published interim statement for Domino Printing Sciences plc.  The financial information set out in this announcement does not constitute the Group’s statutory accounts for the year ended 31 October 2007 or the year ended 31 October 2006.  The financial information for the year ended 31 October 2006 is derived from the statutory accounts for that year.  The auditors reported on those statutory accounts which have been delivered to the Registrar of Companies; their report was unqualified and did not contain a statement under s237 (2) or (3) of the Companies Act 1985.  The audit of the statutory accounts for the year ended 31 October 2007 is not yet complete.  These accounts will be finalised on the basis of the financial information presented by the directors in this preliminary announcement and will be delivered to the Registrar of Companies following the company’s annual general meeting.  Whilst the financial information included in this preliminary announcement has been computed in accordance with IFRS, this announcement does not itself contain sufficient information to comply with IFRS.  The Company expects to publish full financial statements in January 2008.
2. Dividends distributed in the year amount to 8.79 pence per share (2006: 7.32 pence). The Directors recommend a final dividend of 6.40 pence per share (2006: 5.33 pence) for the year ended 31 October 2007, bringing the total dividends declared for the year to 9.86 pence per share (2006: 8.21 pence).  Subject to approval at the Annual General Meeting, the final dividend will be paid on 11 April 2008 to shareholders appearing on the Register at the close of business on 7 March 2008.
3. Underlying operating profit of £32.2 million (2006: £30.3 million) is defined as operating profit before amortisation of acquired intangibles and one-off costs.  This comprises operating profit of £31.5 million (2006: £28.0 million) plus acquired intangible amortisation of £0.7 million (2006: £0.5 million) and one-off costs relating to an acquisition that did not complete of nil (2006: £1.8 million).  On this basis, net operating return on sales is 13.9 per cent (2006: 14.5 per cent).
4. Earnings per share are calculated on the weighted average number of shares in issue in each period.  Underlying earnings per share are calculated using the profit on ordinary activities before the post-tax effects of amortisation of acquired intangibles (2007: £0.7 million; 2006: £0.5 million), one-off costs (2007: £nil; 2006: £1.8 million) and notional interest charges on discounted contingent consideration (2007: £0.2 million; 2006: £0.1 million), divided by the weighted average number of shares as used in the basic earnings per share calculation.  The weighted average number of shares used is 110,216,511 (2006: 109,292,693). The weighted average number of shares used in the diluted earnings per share calculation is the figure used in the basic earnings per share calculation adjusted by 1,188,062, being the number of shares deemed to be issued for no consideration if all share options had been exercised.  The weighted average number of shares used is 111,404,573 (2006: 110,400,594).