RM, the Abingdon education market specialist, has reported robustnment's NGfL scheme. interim figures, largely due to the government's push on the National Grid for Learning (NGfL) initiative.
The blossoming of the market has been due to the government's aggressive drive for more spending on IT in education as part of meeting NGfL targets.
It has already earmarked £1billion for the sector.
RM's results for the six months ended 31 March, showed profit had more than quadrupled to £2.5 million and turnover surged up 41 per cent to £71.1 million. The results also showed an increase in software sales, up 67 per cent, and services, up 52 per cent.
But after the interim report, the company's shares went into a tailspin - dropping 42.5p to close at 477.5p. The shares bounced back to 500p in the following day.
The company could not explain why its shares had taken an unexpected tumble.
Commenting on the interim results, Richard Girling, chief executive of RM, said: 'RM has made good progress in each of its core markets and has responded to the opportunities presented by the first full year of additional funding for the NGfL to maintain its leadership in the enlarged market.'
Girling added that the company was already preparing itself for a strong second half. 'RM continues to invest to secure its market position. The New Opportunities Fund teacher training initiative and key managed service projects - such as the £43 million Dudley Grid for Learning PFI contract - are important investments for the future.'
RM is also looking to secure other lucrative PFI contracts. In April, the company and ICL partnered to tender for Northern Ireland's education PFI project, Classroom 2000, which required RM and ICL to provide IT for all of the 1,300 schools in Northern Ireland. The value of the contract is estimated to be worth about £250 million.
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