Stockgroup Announces Third Quarter Results; Fourth Consecutive Quarterly Increase in Revenue and Gross Profit


VANCOUVER, B.C., Nov. 14, 2003 (PRIMEZONE) -- Stockgroup Information Systems Inc. (OTCBB:SWEB) (TSX-V:SWB) a financial media and technology company, today announced its third quarter results for the period ending September 30, 2003.

Third Quarter 2003 Operational Highlights


 - Revenue increased 32%
 - Gross profit increased 74%
 - Gross profit margin increased to 80%
   compared to 61% in Q3, 2002
 - Paid off all outstanding notes to become debt free
 - Fourth consecutive quarter of increasing revenues
   and gross profits

Third Quarter 2003 over Third Quarter 2002 (all figures in US dollars)

2003 third quarter revenues were $745,801, up 32% from $563,481 during the same quarter in 2002. Third quarter gross profit is $595,272, up 74% from $341,352 from the same quarter in 2002. Gross profit margin increased to 80% for the third quarter of 2003 compared to 61% for the third quarter of 2002. The net loss for the quarter is ($275,896) ($0.01 per share) compared to ($310,436) ($0.02 per share) in the third quarter of 2002.

As at September 30, 2003 the Company had cash and cash equivalents of $860,064 compared to $553,358 as at June 30, 2003. The Company has no debt except for normal accounts payables having paid off all other debt in September 2003 compared to $1,764,862 of debt at September 30, 2002.

"During Q3 Stockgroup became debt free, institutional investors started buying our shares again, and we began seeing the results of our partnership with Associated Press", said Marcus New, Chairman and CEO of Stockgroup Information Systems Inc. "The Company's results for Q3 represent a continuing trend for Stockgroup as revenues continue to increase incrementally and profitability remains a core focus."

Second Quarter 2003 to Third Quarter 2003 (all figures in US dollars)

2003 third quarter revenues were $745,801, an increase of 8% from the second quarter of 2003 revenue of $688,529. Third quarter gross profit is $595,272 up 16% compared to $512,197 for the quarter ended June 30,2003. Gross profit margin increased to 80% in the third quarter of 2003 compared to 74% in the second quarter of 2003. For the previous quarter ended June 30, 2003, net loss improved to ($275,896) ($0.01 per share) from ($893,737) ($0.04 per share) a 69% decrease in net loss.

Nine Month Period 2003 compared to Nine Month Period 2002 (all figures in US dollars)

For the nine months ended Sept 30, 2003 revenues increased 44% to $2,036,042 compared to $1,413,425 at Sept 30, 2002. The nine-month's period gross profit is $1,551,827, up 81% compared to $857,790 for the same period in 2002. Gross profit margin for the nine-month period ended Sept 30, 2003 is 76% compared to 61% for the same period in 2002.


 Third Quarter 2003 Highlights 

 - Completely debt free - Stockgroup announced the early repayment
   of all outstanding notes. 
 - Revenues continue to increase quarter over quarter - This marks
   the fourth consecutive quarter of increasing revenues.
 - Associated Press signs four clients to license Stockgroup
   Solution - St. Petersburg Times, Orange County Register,
   Sphere Analytics and DataCall. 
 - Canadian Press licenses CP/Stockgroup Solution to five new
   customers - Mackenzie Financial, Altamira, Research Capital,
   Quebec City's Le Soleil, and Sun Media Group.

A summary of the financials is attached. A conference call to discuss these results will be held today, Friday November 14, 2003 at 10:00 a.m. PST. Analysts, investment professionals, shareholders, members of the media and other interested parties wishing to participate may call 1.866.207.8482 (toll free) five minutes prior to the scheduled time. Alternatively, you may listen to a live audio Webcast of the conference call at http://www.stockgroup.com.

The call will be archived at http://www.stockgroup.com. Select `Investors' at the top of the page, and then select `Conference Call' in the navigation bar. This earnings call will be accessible using Windows Media Player for a period of one year.

For full details please view our 10QSB filed today on EDGAR.

ABOUT STOCKGROUP

Stockgroup Information Systems Inc. is a financial media and technology company. It is a leading provider of private labeled Financial Software and Content Systems to media, corporate and financial services companies. Stockgroup employs proprietary technologies which enable its clients to provide financial data streams and news combined with cutting edge fundamental, technical, productivity and disclosure tools to their customers, shareholders and employees at a fraction of the cost of traditional internal methods. Stockgroup is also a provider of Public Company Disclosure and Awareness Products for publicly traded companies. Its financial Web sites including www.stockhouse.com, www.stockhouse.ca and www.smallcapcenter.com are state-of-the-art online research centers for the investment community. To find out more about Stockgroup (OTCBB: SWEB, TSX-V: SWB), visit our website at www.stockgroup.com


 Signed:
 /s/ Marcus New
 Marcus New, CEO

       The TSX Venture Exchange has neither approved nor
                disapproved this news release.

This release contains "forward looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical fact and may be "forward looking statements." Forward looking statements are based on expectations, estimates and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. Forward looking statements in this action may be identified through the use of words such as "expects", "will," "anticipates," "estimates," "believes," or statements indicating certain actions "may," "could," or "might" occur.


 Stockgroup Information Systems Inc.
 CONSOLIDATED STATEMENTS OF OPERATIONS
 (UNAUDITED - Expressed in U.S. Dollars)

                      Three Months Ended        Nine Months Ended
                   ------------------------  ------------------------
                    September    September    September    September
                     30, 2003     30, 2002     30, 2003     30, 2002
                   -----------  -----------  -----------  -----------
 REVENUE
   Revenues        $   745,801  $   563,481  $ 2,036,044  $ 1,413,425
   Cost of
    revenues           150,529      222,129      484,215      555,635
                   -----------  -----------  -----------  -----------
  Gross profit     $   595,272  $   341,352  $ 1,551,829  $   857,790

 EXPENSES
   Sales and
    marketing      $   220,877  $   135,930  $   545,692  $   365,441
   Product
    Development          9,341       25,687       24,243       62,864
   General and
    administrative     630,677      432,314    1,727,564    1,209,362
                   -----------  -----------  -----------  -----------
                   $   860,895  $   593,931  $ 2,297,499  $ 1,637,667
                   -----------  -----------  -----------  -----------
 LOSS FROM
  OPERATIONS       $  (265,623) $  (252,579) $  (745,670) $  (779,877)

 Interest income           134           19          134          187
 Interest expense
  ordinary              (8,803)      (8,603)     (33,450)     (18,485)
 Interest on
  conversion of
  8% convertible
  notes (note 2)            --      (33,966)    (860,351)     (86,296)
 Interest on
  conversion of
  3% convertible
  debentures                --           --           --     (160,209)
 Loss on warrants
  liability                 --           --           --      (55,000)
 Gain on
  restructuring
  of convertible
  notes                     --           --           --    1,088,586
 Other income           (1,604)     (15,307)       1,521      (13,028)
                   -----------  -----------  -----------  -----------
 NET LOSS          $  (275,896) $  (310,436) $(1,637,816) $   (24,122)
                   ===========  ===========  ===========  ===========
 BASIC AND DILUTED
  LOSS PER SHARE:
 Net loss          $     (0.01) $     (0.02) $     (0.07) $      0.00
                   ===========  ===========  ===========  ===========
 Weighted average
  shares
  outstanding
  for the period    29,246,784   15,880,948   24,688,123   13,518,419
                   ===========  ===========  ===========  ===========

               The Accompanying Notes Are An Integral Part
                Of These Unaudited Financial Statements.


            

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