Xpertise Share Discussion Threads

[rpalmer] 03/3/2005 08:45

Saying taht the sell price does not seem to of moved just the price on the bid.

[safman] 03/3/2005 08:44

results - not bad , certainly within the IT training industry, there has to be consolidation... so whether, XPG acquires or is to be acquired, will be interesting..

saffy!

[rpalmer] 03/3/2005 08:43

This has ticked up again, looks like you sold to early. I had a phone call from an investor friend from the city telling me to look at these this morning.

We will see.

[vinnie the bean] 03/3/2005 08:41

yes I sold all my holding at 8:00, not showing yet

[rpalmer] 03/3/2005 08:41

Thanks.

I Bought 307,692 this morning. I think increased profits is the important part.

[orvil] 03/3/2005 08:38

Yes up to 3 hrs

[rpalmer] 03/3/2005 08:32

Is there always big delays of trades informatio on this stock

[vinnie the bean] 03/3/2005 08:32

yes from last year, but going backwards from H1:

Sales - 7.0 mln stg vs 6.2 mln
Pretax loss - 358,000 stg vs loss 311,000
Operating loss before exceptionals and goodwill - 200,000 stg vs loss 149,000
Operating loss - 367,000 stg vs loss 317,000

.....better sales, higher losses.

[rpalmer] 03/3/2005 08:23

I think these results show major progress of Expertise group

[rpalmer] 03/3/2005 08:22

LONDON (AFX) - Xpertise Group PLC year to December 31 2004
Sales - 13.17 mln stg vs 10.77 mln
Pretax loss - 668,000 stg vs loss 2.14 mln
Operating loss before exceptionals and goodwill - 349,000 stg vs loss 1.15
mln
Operating loss - 684,000 stg vs loss 2.14 mln
Loss per share before exceptioanls and goodwill - 0.08 pence vs LPS 0.37
Loss per share - 0.16 pence vs LPS 0.70

[vinnie the bean] 03/3/2005 07:53

do i read this right, the operating loss in H2 £200k, was greater than that in H1 £149k.....anyone got any ideas?

not going the right way in my book of definitions.

[dell314] 03/3/2005 07:52

Nice lot of spin and they are still trying to deceive you with that cash figure.
Creditors have significantly increased and net current liabilities have gone from (£867k) to (£1260k) over the year.

LOL!

Rgds
dell

All IMHO, DYOR etc.

[huggy279k] 03/3/2005 07:48

if they deliver 20% revenue growth @ 38% Gross margin that should add £1m to the Gross Profit line - that would move them solidly into profit

[dusseldorf] 03/3/2005 07:35

The summary says it all really, excellent results. Profitability doesn't appear to have been reached just yet (with loss in H2 around 150K, but can only be a matter of months away.


* Orders received during 2004 up 27% to #13.8 million (2003: #10.9
million)
* Forward order book at 31 December 2004 up 33% to #3.0 million (2003:
#2.3 million)
* Turnover up 22% to #13.2 million (2003: #10.8 million)
* Reduced operating loss before exceptional items and goodwill
amortisation of #349,000 (2003: loss of #1,147,000)
* Reduced loss on ordinary activities before taxation of #668,000 (2003:
loss of #2,140,000).
* Increased cash at bank of #1.1 million (2003: #1.0 million)

[no advice intended] 03/3/2005 07:24

RNS Number:2738J
Xpertise Group PLC
03 March 2005


FOR RELEASE 7.00 AM 3 MARCH 2005

Xpertise Group PLC
("Xpertise" or "Company")
One of the UK's leading IT Training companies

Preliminary Results for the year ended 31 DECEMBER 2004

MAIN POINTS

RESULTS
* Orders received during 2004 up 27% to #13.8 million (2003: #10.9
million)
* Forward order book at 31 December 2004 up 33% to #3.0 million (2003:
#2.3 million)
* Turnover up 22% to #13.2 million (2003: #10.8 million)
* Reduced operating loss before exceptional items and goodwill
amortisation of #349,000 (2003: loss of #1,147,000)
* Reduced loss on ordinary activities before taxation of #668,000 (2003:
loss of #2,140,000).
* Increased cash at bank of #1.1 million (2003: #1.0 million)

OUTLOOK

* Order levels in the first two months of 2005 remain strong
* Further growth expected in high margin Professional Skills training
* Primary aim is to return the business to profitability and further
enhance the Xpertise reputation and brand
* UK IT training market remains in need of consolidation; the Board will
continue to explore corporate opportunities that will enhance
shareholder value

For further information:

Richard Last (Chairman) 01865 310150
Ian Johnson (Managing Director) 0113 382 6150

Brian Coleman-Smith / Jo Clewlow 020 7398 3300
(Beattie Financial)

XPERTISE GROUP PLC


PRELIMINARY RESULTS FOR THE YEAR ENDED 31 DECEMBER 2004


CHAIRMAN'S STATEMENT


INTRODUCTION

I am pleased to report that good progress continues to be made in returning
Xpertise Group PLC to profitability. The group's results were in line with
market expectations and show a substantial improvement over the previous year.

RESULTS AND DIVIDEND

Turnover was #13.2 million (2003: #10.8 million) and operating loss before
exceptional items and goodwill amortisation was #349,000 (2003: loss of
#1,147,000). There were no exceptional costs (2003: #657,000) and goodwill
amortisation amounted to #335,000 (2003: #336,000). The group loss on ordinary
activities before taxation was #668,000 (2003: loss of #2,140,000).

No dividend is proposed (2003: #nil).

BUSINESS REVIEW

Order levels during 2004 improved by 27% to #13.8 million and delivered turnover
has grown by 22% to #13.2 million compared to 2003. These are excellent results
when compared with the general trend in the UK IT training market, which is
reported to have declined by 5% during 2004 (Ovum Holway). Further, as at 31
December 2004, our forward order book was 33% higher than the year before,
standing at #3.0 million (2003: #2.3 million). The group has also generated net
cash before financing of #143,000 (2003: #1,505,000 outflow) and has maintained
a strong cash balance of approximately #1 million during 2004.

The 22% increase in delivered turnover reflects improved activity in all parts
of our business including public scheduled courses, bespoke training solutions,
single company events and training at customers' sites.

During 2004, Xpertise achieved some notable new business wins. In May 2004, it
was selected by Egg, the on-line bank, to re-skill its technical workforce in
the latest Microsoft and other technologies. Xpertise also completed a major
contract with EDS to re-skill its COBOL programmers to enable them to develop
solutions using the Microsoft .Net framework. As reported earlier in 2004,
Xpertise has been awarded a two-year framework agreement as one of the preferred
suppliers of IT training services to the Inland Revenue and HM Customs and
Excise.

Turnover from the Training Solutions business has increased by 10% during 2004
to #1.1 million (2003: #1.0m). This business focuses on the design and delivery
of client specific training programmes for customers such as Accenture, Atos
Origin and EDS which are delivered using a blend of instructor led classroom
training and e-learning.

During 2004, we established a focused Professional Skills division, initially
promoting PRINCE 2 (project management) and ITIL (service management) training.
Delivered turnover in this area grew substantially to #1.5m (2003: #0.4m) and we
are targeting further growth in Professional Skills in 2005.

The UK IT training market remains highly competitive and this is reflected in
continuing pressure on gross profit margins, particularly in the traditional
public sector arena. I am pleased therefore that Xpertise has been able to
maintain its gross profit percentage at 38.6% (2003: 38.3%). Although gross
profit margins are expected to remain under pressure, we are continually looking
to improve our performance by reviewing the composition of course schedules to
ensure optimum utilisation of our training rooms and instructors. During 2004,
we improved course fill rates by 20% and classroom utilisation rates by 5% and
this will remain an area of focus in 2005.

We have invested in additional sales resources during 2004, including our London
City sales team, with the aim of maintaining the pace of growth of the business.
Despite this investment in additional personnel and the overall increase in
business levels, we have maintained tight control over operating costs, which
increased by just 3% in 2004 compared to the previous year.

Our capital investment programme doubled in 2004 to #290,000 (2003: #141,000),
extending and improving classroom facilities at selected locations and enhancing
our business infrastructure. I believe our facilities are amongst the best in
the training industry and they consistently receive above average acclaim from
customers attending Xpertise courses.

We continue to introduce new courses to our training portfolio to increase
turnover and extend market share, including developing Red Hat Linux training,
extending the professional skills curriculum and utilising the Microsoft Skills
Assessment for Organisations tool which helps customers to understand the skills
gaps in their organisations.

EMPLOYEES

I would like to thank all our employees for their considerable contribution
towards this much improved business performance in 2004. Significant challenges
lie ahead but I am confident that Xpertise has the management and staff to
continue the successful development of the business.

OUTLOOK

I am pleased to report that order levels in the first two months of 2005 remain
strong. Our primary aim is to return the business to profitability through the
efficient delivery of these enhanced business levels at satisfactory levels of
gross profit. We continue to maintain tight control over operating costs and
strive to improve business efficiency through appropriate investment in our
infrastructure.

The UK IT training market continues to be characterised by numerous medium sized
players with no clear leader. There is over capacity with many players
continuing to make operating losses. The Board believes that consolidation in
the UK IT training market will take place and we will continue to explore
corporate opportunities that will provide additional scale and cost savings to
deliver enhanced shareholder value.

Richard Last
Chairman
3 March 2005

XPERTISE GROUP PLC
Consolidated Profit and Loss Account


For the year ended 31 December 2004


Year ended Year ended
31 December 31 December
2004 2003
#000 #000

Turnover 13,170 10,767
Cost of sales (8,085) (6,641)
-------------- --------------
Gross profit 5,085 4,126
Administrative expenses (including goodwill
charge and exceptional items) (5,769) (6,266)
-------------- --------------
Operating loss before goodwill charge and
exceptional items (349) (1,147)
Amortisation of goodwill (335) (336)
Exceptional items - (657)
-------------- --------------
Operating loss (684) (2,140)
Interest receivable 27 12
Interest payable (11) (12)
-------------- --------------
Loss on ordinary activities before taxation (668) (2,140)
Tax on loss on ordinary activities - -
-------------- --------------
Loss on ordinary activities after taxation (668) (2,140)
Dividends - -
-------------- --------------
Loss for the year (668) (2,140)
Accumulated deficit at beginning of year (9,031) (6,891)
-------------- --------------
Accumulated deficit at end of year (9,699) (9,031)
-------------- --------------
Loss per share
- basic and diluted (0.16p) (0.70p)
- excluding goodwill charge and exceptional
items (0.08p) (0.37p)
-------------- --------------


All recognised gains and losses are included in the profit and loss account.

All amounts relate to continuing activities.

XPERTISE GROUP PLC

Consolidated balance sheet


At 31 December 2004

31 December 31 December
2004 2003
#000 #000 #000 #000

Fixed assets
Intangible assets 5,315 5,650
Tangible assets 500 508
----------- -----------
5,815 6,158
Current assets
Stocks 111 135
Debtors - due within 2,352 2,014
one year
Cash at bank and in 1,109 1,026
hand
----------- -----------
3,572 3,175
Creditors: amounts
falling due within one 4,832 4,042
year
----------- -----------
Net current liabilities (1,260) (867)
----------- -----------
Total assets less 4,555 5,291
current liabilities

Creditors: amounts
falling due after more
than one year
Convertible debt 200 200
Other 52 120
----------- -----------
252 320
----------- -----------
Net assets 4,303 4,971
----------- ------------
Capital and reserves
Called up share capital 3,510 3,510
Share premium account 9,275 9,275
Merger reserve 1,217 1,217
Profit and loss account (9,699) (9,031)
----------- -----------
Equity shareholders' 4,303 4,971
funds
----------- -----------

These financial statements were approved by the Board on 3 March 2005.

XPERTISE GROUP PLC

Consolidated cash flow statement

For the year ended 31 December 2004

Year ended Year ended
31 December 31 December
2004 2003
#000 #000

Net cash inflow/(outflow) from operating
activities 417 (1,364)

Returns on investments and servicing of
finance 16 -

Capital expenditure (290) (141)
----------- -----------
Net cash inflow/ (outflow) before financing 143 (1,505)

Net financing (60) 1,226
----------- -----------
Increase/ (decrease) in cash in the year 83 (279)
----------- -----------

Reconciliation of net cash flow to movement in net funds

Year ended Year ended
31 December 31 December
2004 2003
#000 #000

Increase/ (decrease) in cash in the year 83 (279)

Net cash outflow from movement in finance
lease obligations - 2
Unsecured loan stock issued - (200)
Loans repaid 60 139
Issue of shares in satisfaction of loan - 300
----------- ------------
Change in net funds 143 (38)
Net funds at beginning of year 646 684
----------- -----------
Net funds at end of year 789 646
----------- -----------


XPERTISE GROUP PLC

NOTES TO THE FINANCIAL STATEMENTS

1. The financial information set out above does not constitute the company's
statutory accounts for the years ended 31 December 2003 or 31 December 2004
but is derived from those accounts. Statutory accounts for the year ended 31
December 2003 have been delivered to the Registrar of Companies and those for
the year ended 31 December 2004 will be delivered to the Registrar of
Companies following the company's annual general meeting. The auditors have
reported on those accounts; their reports were unqualified and did not
contain statements under s237 (2) or (3) Companies Act 1985.

2. The Annual Report will be posted to shareholders on or about 7 March 2005 and
copies will be available from the Company Secretary, Islington House, Brown
Lane West, Leeds, LS12 6BD.


Background Note

Xpertise is one of the UK's leading providers of authorised IT and professional
skills training. Its aim is to help companies nationwide to exploit technology
to become more efficient, more productive and more competitive.

TRAINING DELIVERY

Xpertise has a nationwide network of training centres located in London, Thames
Valley, Leeds, Manchester, East Midlands and Tyne & Wear. These centres have 42
fully equipped training rooms offering a capacity of 458 delegate places.
Training is also carried out at customer locations.

There are 30 full time instructors and approximately 100 associate instructors
available to deliver training throughout the UK. During 2004, Xpertise carried
out approximately 56,000 training days for 16,000 delegates.

TECHNICAL TRAINING PORTFOLIO

During 2004, Xpertise extended its technical training portfolio and now holds
the following key accreditations: Microsoft Gold Certified Partner for Learning
Solutions; Microsoft Certified Partner for Business Solutions; IBM Authorised
Training Partner; Oracle Approved Education Centre; Novell Business Expert
Partner; Citrix Authorised Learning Centre; Redhat Education Reseller; Juniper
Networks Authorised Education Centre; CompTIA. Xpertise is also an Institute of
IT Training accredited company.

Xpertise offers over 300 courses covering all the major areas of IT.

Xpertise provides technical training courses and programmes for IT professionals
and developers, including A+, Network+, C++, Checkpoint, Cisco, Citrix, Help
Desk, Java, Linux/Unix, IBM, Lotus, Microsoft, Novell, OO, Oracle and Redhat.

During 2004, Xpertise launched a powerful on-line skills assessment tool,
Microsoft Skills Assessment for Organisations. This helps customers to target
their training budgets with precision by understanding the skills gaps in their
organisations. Xpertise then develops tailored training programmes to meet
customer requirements to deliver real business benefits.

PROFESSIONAL SKILLS TRAINING PORTFOLIO

Xpertise significantly strengthened its professional skills portfolio during
2004, recognising the opportunities in providing training for IT professionals
who are involved in project and supplier management.

In particular, there has been significant growth in the project management,
PRINCE2 and ITIL- service management portfolios. During 2004, Xpertise became an
itSMF member and an ISEB (Information Systems Examinations Board) authorised
company for the delivery of IT Service Management courses.

TRAINING SOLUTIONS

Training Solutions, a division of Xpertise, offers clients a fully managed,
tailored and bespoke service for large re-skilling projects. Training solutions
cover graduate programmes, project management programmes and new technology
rollouts. A training solution can include elements of blended learning,
e-learning, mentoring, seminars, skills consulting, workshops and training needs
analysis.

This information is provided by RNS
The company news service from the London Stock Exchange

END
FR UUUBRVSRORAR

[dusseldorf] 02/3/2005 13:00

orvil - yes, their goodwill amortisation is contributing £350k year towards losses and will do so for a while yet. though I guess this will be highlighted in the FY by EBITA

[orvil] 02/3/2005 12:30

Duss- what assets are those that they are writing down other than a small amount of stock and .51m of fixed assets they only have intangibles-presumerably goodwill etc.

[dusseldorf] 02/3/2005 12:23

orvil it makes sense that it was split in 3 because those trades were 5 minutes before huggies post.

If they are reporting tomorrow, it should be a very interesting read. I'm expecting XPG to now be operating at or very near a profitable level. Results may still show loss of £300k - £500k, but this is due to primarily to depreciation on assets. Turnover in the region of £12m and a positive outlook.

I don't expect them to need funding (hence share reorganisation/consolidation) UNLESS they have an aquisition target lined up.

[huggy279k] 02/3/2005 12:17

i did indeed - plus 17 extra for good luck!

[orvil] 02/3/2005 12:13

Your 250k not showing yet unless you bought 100 100 and 50 which seems a bit odd

[huggy279k] 02/3/2005 09:50

just bought 250k though trade not yet showing - results out tomorrow

[1destiny1] 02/3/2005 00:53

the NMS is whats puts me off this share, having said that big trades have gone through at more or less asking price.. i wonder if there are any problems when selling..