Feeds

Primary schools pump up RM profits

Government-funded sales bonanza

  • alert
  • submit to reddit

The essential guide to IT transformation

RM (Research Machines), Britain's top IT reseller to the education sector, saw soaring spending by primary schools boost interim sales by 41 per cent. The Oxfordshire-based company recorded £71.1 million turnover for the six months ended 31 March 1999, against £50.5 million for the same period in 1998. Pre-tax profit was up to £2.5 million, compared to £600,000 the previous year. Earnings per share grew to 1.9 pence, up on last year's 0.5 pence. RM said its own sales to primary schools surged by 140 per cent, due to the government pumping funds into the area since last April. Richard Girling, RM's CEO, forecast the quick growth in this area continuing for the next two to three years. The UK education market was responsible for 95 per cent of RM sales for the period. Much of this spending stems from the government's Standard Fund, a four-year plan to invest £700 million in IT in primary and secondary schools. Much of the cash, aimed at getting schools hooked up to the National Grid for Learning, has gone to the most needy institutions -- primary schools. Tim Pearson, RM software and integrated systems director, told The Register: "Primary schools will continue to get the lion's share of government funding for IT. They have a lot of catching up to do on secondary schools." According to Pearson, the group will also keep its hardware manufacturing business. "Our volume in this area is growing, though it is becoming less important to the company's finances," he said. "Maybe things will change one day if hardware standards improve," said Pearson. But at present RM needs to keep a degree of control and offer a complete package to schools. Pearson was optimistic about the second half of the year, adding that the company was not fazed by the many new rivals trying to cash in on the education sector. ®

5 things you didn’t know about cloud backup

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Barnes & Noble: Swallow a Samsung Nook tablet, please ... pretty please
Novelslab finally on sale with ($199 - $20) price tag
Banking apps: Handy, can grab all your money... and RIDDLED with coding flaws
Yep, that one place you'd hoped you wouldn't find 'em
Video of US journalist 'beheading' pulled from social media
Yanked footage featured British-accented attacker and US journo James Foley
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
Netflix swallows yet another bitter pill, inks peering deal with TWC
Net neutrality crusader once again pays up for priority access
Judge nixes HP deal for director amnesty after $8.8bn Autonomy snafu
Lawyers will have to earn their keep the hard way, says court
Ex-IBM CEO John Akers dies at 79
An era disrupted by the advent of the PC
prev story

Whitepapers

Top 10 endpoint backup mistakes
Avoid the ten endpoint backup mistakes to ensure that your critical corporate data is protected and end user productivity is improved.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Backing up distributed data
Eliminating the redundant use of bandwidth and storage capacity and application consolidation in the modern data center.
The essential guide to IT transformation
ServiceNow discusses three IT transformations that can help CIOs automate IT services to transform IT and the enterprise
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.