Final Results -4-

ended 30 June 2010 as specific performance criteria have not been met. 
 
On 7 October 2009 the Group acquired Conscia Enterprise Systems Limited for a 
total cash consideration of GBP0.8m.  The acquired net asset fair value of 
GBP98k included GBP38k of cash. There was no deferred consideration on this 
acquisition. 
 
In conjunction with the Liquidlogic acquisition, the Group undertook a placing 
in which GBP12m was raised through the issue of a further 25 million ordinary 
shares in System C Healthcare PLC at 48p.  A loan of GBP1.53m from the placing 
proceeds was used to fund the purchase of 3.1m ordinary 1p shares by the System 
C Healthcare PLC Employee Benefit Trust.  Placing costs of GBP0.7m resulted in a 
net cash inflow of GBP9.7m. This was approved by shareholders on Monday 3 August 
2009, and the formal admission to the AIM market took place on 5 August 2009. A 
further GBP235,000 was raised as a result of share options exercised in the 
year. 
 
Cash flow forecasts are regularly prepared and reviewed by management to ensure 
liabilities can be met as they fall due. 
 
Group Statement of Comprehensive Income 
 
+------------------------+-------+----------+----------+ 
|                        |       |     Year |     Year | 
|                        |       |    Ended |    Ended | 
+------------------------+-------+----------+----------+ 
|                        |       |   31 May |   31 May | 
+------------------------+-------+----------+----------+ 
|                        |       |     2010 |     2009 | 
+------------------------+-------+----------+----------+ 
|                        |       |          |          | 
+------------------------+-------+----------+----------+ 
|                        | Note  |  GBP'000 |  GBP'000 | 
+------------------------+-------+----------+----------+ 
|                        |       |          |          | 
+------------------------+-------+----------+----------+ 
| Revenue                |  2    |   38,307 |   21,887 | 
+------------------------+-------+----------+----------+ 
| Cost of sales          |       | (16,311) |  (9,657) | 
+------------------------+-------+----------+----------+ 
| Gross pro?t            |       |   21,996 |   12,230 | 
+------------------------+-------+----------+----------+ 
| Research and           |       |  (3,912) |  (1,880) | 
| development costs      |       |          |          | 
+------------------------+-------+----------+----------+ 
| Amortisation of acquired       |    (945) |    (259) | 
| intangible assets              |          |          | 
+--------------------------------+----------+----------+ 
| Share based payments   |       |    (228) |    (105) | 
+------------------------+-------+----------+----------+ 
| Administrative         |       | (11,813) |  (6,565) | 
| expenses               |       |          |          | 
+------------------------+-------+----------+----------+ 
| Profit from operations before  |          |          | 
| the amortisation               |          |          | 
+--------------------------------+----------+----------+ 
| of acquired intangibles        |          |          | 
+--------------------------------+----------+----------+ 
| and share based payments       |    6,271 |    3,785 | 
+--------------------------------+----------+----------+ 
| Pro?t from operations  |       |    5,098 |    3,421 | 
+------------------------+-------+----------+----------+ 
| Finance income         |  3    |      267 |      692 | 
+------------------------+-------+----------+----------+ 
| Finance costs          |  3    |      (4) |     (11) | 
+------------------------+-------+----------+----------+ 
| Pro?t before taxation  |  4    |    5,361 |    4,102 | 
+------------------------+-------+----------+----------+ 
| Taxation               |  5    |  (1,072) |    (857) | 
+------------------------+-------+----------+----------+ 
| Pro?t for the year     |       |    4,289 |    3,245 | 
+------------------------+-------+----------+----------+ 
 
Total comprehensive income is equal to the 'Profit for the year' as there is no 
other comprehensive income for the year. 
 
+------------------------+-------+----------+----------+ 
| Earnings per ordinary  |       |          |          | 
| share                  |       |          |          | 
+------------------------+-------+----------+----------+ 
| - Basic                |  6    |     4.07 |     3.72 | 
+------------------------+-------+----------+----------+ 
| - Diluted              |  6    |     3.96 |     3.66 | 
+------------------------+-------+----------+----------+ 
 
Group Balance Sheet 
 
+------------------------+----------+----------+----------+ 
|                        |          |    At 31 |    At 31 | 
|                        |          |      May |      May | 
+------------------------+----------+----------+----------+ 
|                        |          |     2010 |     2009 | 
+------------------------+----------+----------+----------+ 
|                        |          |          |          | 
+------------------------+----------+----------+----------+ 
|                        |          |  GBP'000 |  GBP'000 | 
+------------------------+----------+----------+----------+ 
| Assets                 |          |          |          | 
+------------------------+----------+----------+----------+ 
| Non-current assets     |          |          |          | 
+------------------------+----------+----------+----------+ 
| Goodwill               |          |    8,436 |    2,306 | 
+------------------------+----------+----------+----------+ 
| Intangible assets      |          |    6,117 |    3,020 | 
+------------------------+----------+----------+----------+ 
| Property, plant and    |          |      665 |      380 | 
| equipment              |          |          |          | 
+------------------------+----------+----------+----------+ 
| Deferred tax assets    |          |      432 |      373 | 
+------------------------+----------+----------+----------+ 
| Trade and other        |          |      176 |      213 | 
| receivables            |          |          |          | 
+------------------------+----------+----------+----------+ 
|                        |          |   15,826 |    6,292 | 
+------------------------+----------+----------+----------+ 
| Current assets         |          |          |          | 
+------------------------+----------+----------+----------+ 
| Trade and other        |          |   11,234 |    7,435 | 
| receivables            |          |          |          | 
+------------------------+----------+----------+----------+ 
| Cash and cash          |          |   18,596 |   14,703 | 
| equivalents            |          |          |          | 
+------------------------+----------+----------+----------+ 
|                        |          |   29,830 |   22,138 | 
+------------------------+----------+----------+----------+ 
|                        |          |          |          | 
+------------------------+----------+----------+----------+ 
| Total Assets           |          |   45,656 |   28,430 | 
+------------------------+----------+----------+----------+ 
|                        |          |          |          | 
+------------------------+----------+----------+----------+ 
| Liabilities            |          |          |          | 
+------------------------+----------+----------+----------+ 
| Current liabilities    |          |          |          | 
+------------------------+----------+----------+----------+ 
| Trade and other        |          |    8,742 |    4,872 | 
| payables               |          |          |          | 
+------------------------+----------+----------+----------+ 
| Deferred consideration |          |        - |      326 | 
+------------------------+----------+----------+----------+ 
| Current tax liability  |          |      476 |      792 | 
+------------------------+----------+----------+----------+ 
|                        |          |    9,218 |    5,990 | 
+------------------------+----------+----------+----------+ 
|                        |          |          |          | 
+------------------------+----------+----------+----------+ 
| Non-current            |          |          |          | 
| liabilities            |          |          |          | 
+------------------------+----------+----------+----------+ 
| Deferred consideration |          |        - |      598 | 
+------------------------+----------+----------+----------+ 
| Deferred tax liability |          |    1,674 |      818 | 
+------------------------+----------+----------+----------+ 
| Provisions             |          |      140 |      141 | 
+------------------------+----------+----------+----------+ 
|                        |          |    1,814 |    1,557 | 
+------------------------+----------+----------+----------+ 
|                        |          |          |          | 
+------------------------+----------+----------+----------+ 
| Total Liabilities      |          |   11,032 |    7,547 | 
+------------------------+----------+----------+----------+ 
|                        |          |          |          | 
+------------------------+----------+----------+----------+ 
|                        |          |          |          | 
+------------------------+----------+----------+----------+ 
| Net Assets             |          |   34,624 |   20,883 | 
+------------------------+----------+----------+----------+ 
|                        |          |          |          | 
+------------------------+----------+----------+----------+ 
| Shareholders' Equity   |          |          |          | 
+------------------------+----------+----------+----------+ 
| Share capital          |          |    1,161 |      898 | 
+------------------------+----------+----------+----------+ 
| Share premium account  |          |   21,151 |    9,804 | 
+------------------------+----------+----------+----------+ 
| Capital redemption     |          |    3,127 |    3,127 | 
| reserve                |          |          |          |