Quarterly Cash Flow Report

RNS Number:0679J
e-pay Asia Limited
04 December 2007


ASX / AIM: EPY

                               e-pay Asia Limited
                                (the "Company")

                         Quarterly Cash Flow Statement

                                Steady Progress


The Board of e-pay Asia Limited is pleased to announce strong operating cash
flows for the quarter ended 30 September 2007 reflecting robust trading in the
Company's core Malaysian business. The net operating cash flow for the period
was A$1.4million.

In line with ASX listing requirements, the Company will revert to half yearly
reporting in 2008 as it is no longer required to report quarterly cash flows.

As highlighted previously, the Company has conducted a review of the business
and has changed management and streamlined operations across the group in order
to focus on improving business efficiencies.

This strategy has been successful and has created a tightly managed business
focused on driving profitable growth. New revenue streams continue to be added
via the sale of additional products and services through the Company's network
of terminals and will complement the Company's core business.

Good progress is being made towards moving into China, which has the potential
to deliver significant opportunities to the group and a further announcement
with regard to this new market will be made in due course.

The Board is confident of steady progress and looks forward to updating
shareholders with further news when appropriate.


John Croft, Chairman, commented:

"I am pleased to report a solid performance from our core Malaysian business,
which is delivering steady growth. We continue to introduce new revenue streams
into the business with a planned entry into China providing significant future
potential. I look forward to reporting on further progress shortly".


For more information:

Australia
Jack Tan                    e-pay Asia Limited   [phone] / [phone]
Non-executive Director                           [e-mail]

Asia
Yap Chih Ming               e-pay Asia Limited   [phone] / [phone]
Chief Financial Officer                          [e-mail]

UK / Europe
John Croft                  e-pay Asia Limited   [phone]
Non-executive Chairman                           [e-mail]

David Newton                Seymour Pierce       [phone]
Nominated Adviser                                [e-mail]

Shane Dolan                 Biddicks             [phone]
Financial Public Relations                       [e-mail]


www.epay-asia.com



e-pay Asia Limited
Consolidated Cash Flow Statement for the quarter ended 30 September 2007

                                                                    Year to date
                                                    July - Sep 07   Jan - Sep07
                                                           A$'000        A$'000
Cash flows from / (for) operating activities
   Receipts from customers                                146,944       432,973
   Payments to suppliers and employees                   (145,233)     (421,744)
    - interest paid                                          (317)         (849)
    - income tax (paid) / received                            (12)          (96)
                                                         ---------     ---------
Net cash from / (for) operating activities                  1,382        10,284
                                                         ---------     ---------

Cash flows from / (for) investing activities
   Subscription of Convertible note                        (2,500)       (2,500)
   Payments for capital expenditure                          (430)         (701)
   Proceed from disposal                                       58           129
                                                         ---------     ---------
Net cash from / (for) investing activities                 (2,872)       (3,072)
                                                         ---------     ---------

Cash flows for financing activities
   Proceeds from issuance of shares                             0            57
   Borrowings                                              (2,681)        6,093
   Loan repayments                                              0        (4,996)
   Dividend paid                                                0        (2,780)
                                                         ---------     ---------
Net cash for financing activities                          (2,681)       (1,626)
                                                         ---------     ---------

Net cash inflow /(outflow) for the period                  (4,171)        5,586
Currency translation difference                              (655)       (1,436)

Cash and cash equivalents brought forward                  17,858         8,882
                                                         ---------     ---------
Cash and cash equivalents carried forward                  13,032        13,032
                                                         ---------     ---------

Reconciliation of cash
------------------------

Cash in bank                                                3,290
Deposit with license bank                                  10,478
Bank overdraft                                               (736)
                                                         ---------
                                                            13,032
                                                         ---------




                      This information is provided by RNS
            The company news service from the London Stock Exchange

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