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Teacher training boosts RM profits

Gravy for school dinners

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Education specialist RM has boosted full year profits by 42 per cent on the back of selling software to train teachers in IT.

Net income for the year to September 30 was £10.7 million, compared with £7.5 million for the year earlier. Sales for the full year grew 17 per cent to £241.9 million, from £207.6 million the previous year.

The Learning Schools Programme (LSP), a partnership between the Open University and RM to provide Information and Communications Technology (ICT) training for teachers,jacked up sales. RM's turnover, excluding LSP, grew by 10 per cent.

In spite of the good performance RM suffered in the second half, traditionally its strongest period, because of changes in the way the government allocates funds for ICT. This has delayed orders which schools would normally place in the second half for the following year.

RM says the year saw the first significant shipments of a software-only version of its RM Window Box, aimed at rival suppliers' PCs. It cites this as an example of successfully handling the increased competition in supplying PCs to schools. Most RM Window Box sales - a shell program designed for schools - come from schools buying the RM hardware and software combined. ®

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