E-learning venture Epic has high levels of repeat business,
rising profits, no debts, a strong balance sheet and is paying
a maiden dividend after a record year to May.
Pre-tax profits rocketed ahead by 125% to £1.8m on a 21%
sales hike to £8.7m and strong cash generation of £2.3m (£2.8m)
during the year left Epic with year-end cash balances of £11.7m
(£9.4m).
Chief executive Donald Clark says Epic's revenues were 51%
weighted to the public sector, where spending continues on
'the twin pillars' of education and health. In education,
Epic plays a part in most of the Government's e-learning initiatives
in schools, further education, higher education and lifelong
learning.
Health is a new market for the Brighton-based company, where
contracts have been won with the NHSU and NPSA, in a business
that should grow rapidly in the coming year. Public sector
work is attractive because the company gets paid more promptly.
Private sector work, 44% of sales, is centred on the finance,
retail and telecommunications sectors.
This is the first year Epic has paid a dividend - the 1.4p total
for the year is covered 3.5 times by earnings.
