Allocate Software plc  
Annual Report and Accounts 2012
People, processes and resources...
...Solutions that deliver 
more with less, predictably Overview 
Allocate at a glance
Chairman’s 
statement 
Review of the year
Chief Executive 
Officer’s statement 
Strategy and Outlook
2 12 14 20
Chief Financial 
Officer’s review 
Overview
 1 Financial highlights for 2012
 2 Allocate at a glance
 4 Our strategy
 5 Our year in review
 6 Our market sectors
10 Delivery platforms & 
 innovation
Business Review
12 Chairman’s statement
14 Chief Executive Officer’s 
 statement
20 Chief Financial Officer’s  
 review
22 Directors
23 Senior Managers
Corporate Governance
24 Report of the Directors
Financial Statements
32 Independent Auditor’s  
 Report
33 Principal accounting 
 policies
40 Consolidated income 
 statement
40 Consolidated statement of 
 comprehensive income
41 Consolidated statement of 
 financial position
Financial Statements continued
42 Company statement of 
 financial position
43 Consolidated statement of  
 changes in equity
44 Company statement of  
 changes in equity
45 Consolidated cash flow  
 statement
46 Company cash flow  
 statement
47 Notes to the financial 
 statements
Company Information
72 Directors and advisers
Contents
To find out more visit www.allocatesoftware.com
Welcome to Allocate
We are the leading provider of specialist solutions to optimise operational processes and resource planning for 
organisations with complex workforces. The solutions we provide are vital to the efficient operations and cost control now 
crucial to the smooth running of people based industries like healthcare and defence. 
We deliver significant cost reductions and efficiencies by identifying and reducing waste, managing and monitoring process, 
governance, risk and compliance issues to ensure that operational front line delivery is maintained and frequently improved. 
Over 700 public and private sector organisations, predominantly in healthcare and defence, all choose Allocate for our 
unrivalled market expertise underpinned by proven technology.
What’s in our report Allocate Software plc 
Annual Report 2012
1
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Revenue £m
£36.6m
up 22%
£6.4m
up 10%
£15.6m
up 36%
7.4p
up 16% 1.2p
12 11 10 09
36.6
30.1
22.0
15.8
12 11 10 09
6.4
5.8
3.7
2.7
12 11 10 09
15.6
11.6
6.9
NA
EBITDA £m
1
Diluted adjusted EPS
2
Full year dividend Recurring revenue £m
£15.6m
+36%
Financial highlights
 > Revenue increased by 22% to £36.6m (2011: £30.1m)
 > Recurring revenue increased by 36% to £15.6m or 42% of total 
revenue (2011: £11.5m or 38% of total revenue)
 > Organic revenue growth was 10% in 2012
 > Healthcare revenue was £26.2m (2011: £23.1m)
 > Investment in R&D increased by £2.2m to £6.8m
 > EBITDA
1
 increased by 10% to £6.4m (2011: £5.8m)
 > Diluted adjusted EPS
2
 increased by 16% to 7 .4p (2011: 6.4p)
 > Operating cash flows were £5.4m (2011: £5.9m). Net cash 
balance at the year-end was £4.3m (2011: £10.3m), primarily  
as a result of acquisitions made during the year
 > Directors are proposing a dividend of 1.2p per share in respect 
of the full financial year
1 EBITDA refers to earnings before interest, tax, depreciation, impairment, 
amortisation and share-based payments and acquisition costs.
2 Diluted adjusted EPS excludes amortisation of intangible assets, impairment, 
acquisition costs and share-based payments, adjusted for taxation.
Business highlights
 > Total Healthcare customers worldwide now number 365, 
including 262 NHS Trusts and 95 customers overseas
 > HealthRoster gained 20 new NHS Trust customers in 2012, 
making 141 Trusts (after taking account of NHS Trust mergers) 
with HealthRoster in total at the year-end which represents  
47% of 301 Acute, Mental Health and Primary Care Trusts in 
the United Kingdom
 > The Zircadian business acquired in August has made very 
good progress, with a significant number of cross sell 
contracts secured within the Allocate customer base and  
also the integration of the Zircadian applications with the 
Allocate HealthRoster application
 > Time Care in Sweden had another good year meeting 
management’s expectations and growing its customer  
base by 22 new customers, versus 16 in 2011
 > In Australia, a major development has been the integration  
of RosterOn, acquired in July 2011. The principal component 
of the RosterOn product, the awards management engine, 
has now been integrated with HealthRoster
 > The Defence business secured a multi-million pound contract 
for the Australian Defence Forces
 > As separately announced today, the Company acquired 
RealTime Health Limited, a UK supplier of patient flow 
management software to the NHS for initial consideration  
of £1.2m
Financial highlights for 2012 Allocate Software plc 
Annual Report 2012
2
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Revenue
£26.2m
12
11
10
09
26.2
23.1
14.8
11.1
 + 13%
Revenue
£7.6m
12
11
10
09
7.6
4.1
4.5
3.0
  +85%
Revenue
£2.8m
12
11
10
09
2.8
2.9
1.8
1.6
 -3%
Allocate at a glance
What is driving our growth?
 > Allocate solutions proven ROI enables our customers to improve efficiency and reduce 
staffing costs without compromising patient care
 > Healthcare organisations all over the world are under huge pressure to reduce costs,  
whilst improving patient care as demands for their services inexorably rise
 > Defence budgets are equally challenged, requiring reorganisation of force structures,  
more efficient planning for deployment and training of resources
Healthcare
Allocate’s largest sector, with over 360 
healthcare customers across 11 countries,  
is where we witness first hand the effects  
of changing operational models, evolving 
legislation, increasing demands on staff 
and financial pressure.
HealthSuite enables organisations to 
address these issues by optimising people, 
processes, performance and assurance 
without compromising patient care. Allocate Software plc 
Annual Report 2012
3
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Revenue
£26.2m
12
11
10
09
26.2
23.1
14.8
11.1
 + 13%
Revenue
£7.6m
12
11
10
09
7.6
4.1
4.5
3.0
  +85%
Revenue
£2.8m
12
11
10
09
2.8
2.9
1.8
1.6
 -3%
Revenue
£26.2m
12
11
10
09
26.2
23.1
14.8
11.1
 + 13%
Revenue
£7.6m
12
11
10
09
7.6
4.1
4.5
3.0
  +85%
Revenue
£2.8m
12
11
10
09
2.8
2.9
1.8
1.6
 -3%
12
11
10
09
15.6
11.6
6.9
NA
£15.6m
+36%
Recurring Revenue £m Revenue split by territory
 UK revenue
 International revenue
Revenue by market sector
 Healthcare
 Defence
 Maritime/LG&E/Other
49% 51% 71% 8%
21%
Defence
Maritime & Other
Allocate continues to derive revenue  
from sectors which are required to manage 
workforces with complex shift and capability 
requirements. Historically this mainly 
consisted of Maritime and Offshore 
engineering customers, however, the 
acquisition of Time Care and RosterOn  
have brought a broader customer base 
including, security services, transport, 
mining, retail, education and government.
Allocate’s industry leading DefenceSuite is 
designed to meet the complex requirements 
of modern defence forces. With a proven 
track record, it has been deployed in a 
number of organisations including: the Royal 
Navy, the British Army, the Royal Australian 
Navy, NATO, the Australian Army and The 
Royal Fleet Auxiliary. Allocate Software plc 
Annual Report 2012
4
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
2012
Our strategy is underpinned by six key 
priorities:
Customer satisfaction and success
A stable base of successful and satisfied 
customers is fundamental to the next stage 
of our growth. Not only do successful and 
satisfied customers renew licences, they are 
also our greatest advocates when acquiring 
new customers. We will continue to invest 
in product development to ensure our 
products maintain our best in class 
functionality, combining product 
innovation with our advisory led services to 
ensure customers drive increasing value 
from their investments.
Customer acquisition and cross sell
Whilst our growth is driven by new 
customer acquisition in all our chosen 
territories, our broad portfolio gives us the 
opportunity to offer additional applications 
to existing customers that ensure they 
continue to realise value from their initial 
investment. In the UK the NHS represents 
circa £80m of cross sell opportunity at 
100% penetration. However, we believe this 
is purely the starting point. 
Increase recurring revenues
The way software is delivered and 
consumed by users is changing. More  
of our services are being delivered as 
managed services hosted in our Cloud. 
Combined with increased dependency  
on our products to manage operational 
performance, this is driving the growth  
of recurring revenue from our installed 
base as more sophisticated levels of 
support are required.
Expand overseas customer base
Our market share and understanding of our 
chosen markets around the world places 
Allocate in a strong position to realise the 
opportunity this represents. Healthcare 
providers are facing similar challenges; 
growing numbers of treatable patients with 
constrained or decreasing resources. 
Allocate is well placed to deliver solutions 
to organisations facing the challenge of 
doing more with less.
Continue to seek strategic acquisitions
We will continue to acquire companies and 
applications that enhance our portfolio of 
solutions or increase our international 
reach. Our focus is on companies that 
address the increasingly complex and 
interdependent resource and compliance 
challenges in the Healthcare market. Our 
most recent acquisition, RealTime Health 
Ltd, delivers solutions that address patient 
flow, bed management and complex 
discharge processes.
Attract and retain talented people
Our continued success depends on our 
people; their ideas, commitment and 
energy drive our strategy forward. By 
increasing our investment in employee 
training, both functional and management, 
we are helping our employees grow with 
Allocate and deliver the Company’s 
objectives through their individual 
achievements. We are also improving our 
benefits packages and increasing the 
number of promotion/rotational 
opportunities available to employees, both 
in the UK and overseas.
Our strategy Allocate Software plc 
Annual Report 2012
5
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
2012
1st Joint Public Affairs Unit,  
Credit  LS Andrew Dakin,  
Copyright String  Commonwealth
Acquisition of RosterOn
July 2011:
Increasing our presence in the 
Australian market and extending 
our capability to include complex 
award interpretation capability
Our year in review
Acquisition of Zircadian
August 2011:
Extending our capability to include 
the medical workforce starting from 
service planning, thereby enabling 
Allocate to develop Clinical Activity 
Management
Eight HealthRoster contract 
extensions 
Demonstrating the increasing levels 
of dependence that NHS Trust have 
on Allocate to help manage their 
most expensive and valuable 
resource, their staff 
New contract signed with 
McDermott
Building on our success in the 
offshore market place McDermott 
will manage their global crewing and 
skills management requirements 
using Allocate’s OffshoreSuite
Major contract signed with 
Australian Defence Force
December 2011:
Rolling out DefenceSuite to all the 
Australian Defence and Government 
agencies to include civilian personnel 
for the first time
HealthRoster V10 launched
HealthRoster V10, a re-engineered 
version of our core product, was 
launched and made available as a 
managed application in the Cloud
Brunei Ministry of Health
This is a national contract to provide 
HealthRoster delivering a fully 
integrated e-rostering system to all 
Government Hospitals controlled by 
the Ministry of Health, Brunei Allocate Software plc 
Annual Report 2012
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Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Our market sectors
Healthcare
Healthcare – UK
2012 was a year of continued success in the 
Healthcare market led by further growth within  
the UK NHS. 
We continued to grow our core NHS rostering 
market where the Company’s success rate in 
competitive tenders for rostering solutions 
remained very high. The strong position we now 
hold within the NHS means that we provide at least 
one software product to over 85% of NHS Trusts.
The launch of HealthRoster V10, our web based 
rostering product which enables Cloud based 
delivery and multi-lingual support, provides a 
platform for us to focus on growth opportunities 
beyond our current geographic footprint.
The product portfolio continues to expand,  
with the acquisition of Zircadian. This addition 
means our solutions now span all staff groups 
including the important medical staffing area.
The acquisition of Zircadian is a significant event  
in the development of our Healthcare solutions.
 > We are now able to plan, deploy and review the 
medical staff within hospital and community 
settings. This enables us to help drive further 
efficiency and cost reductions with our existing 
base and new organisations
 > Understanding the optimal deployment of 
medical staff unlocks an enormous potential  
to realise greater savings in medical activity 
planning, an issue every healthcare provider  
is grappling with at the moment
The integration of medical workforce planning 
managed within the Zircadian product set and 
operational rostering within HealthRoster offers 
enormous opportunities and benefits for our 
customers. This natural alignment of solutions has 
already led to additional sales within the customer 
base which would not have been realised 
otherwise. The combined solutions provide a 
significantly increased ROI for customers who are 
tasked with investing in programmes and tools that 
will help them make savings. This clear ROI case for 
the combined solutions will help drive further cross 
sell opportunities.
This year the integration of HealthRoster, Zircadian 
planning products and HealthAssure has created a 
Healthcare suite of products that moves Allocate 
into more areas of a Trust’s operations spanning 
activity planning, workforce management, financial 
control and clinical governance/patient outcomes. 
This aligns the Company to the current focus within 
Healthcare to deliver higher quality care within an 
increasingly constrained financial regime.
Healthcare – International
Overseas, we achieved significant 
success in a number of areas.
In Australia, RosterOn’s awards 
engine technology is now integrated 
into the HealthRoster product and 
this integrated solution is already 
being favourably received by  
the market. This also enables 
HealthRoster to be sold in other 
countries where complex pay awards 
structures have presented barriers to 
electronic rostering.
In Sweden, there are increasing 
opportunities for Time Care with the 
political situation changing and many 
municipalities now having to offer 
their employees the right to full time 
employment. This will lead to an 
ongoing demand for our consultancy 
services in that field.
The Swedish localisation of 
HealthRoster V10 is a significant 
milestone in the products 
development. From pre-release 
demonstrations the feedback has 
been overwhelmingly positive. 
HealthRoster V10 will enable a 
broader range of services incuding 
Medics and Clinical Activity 
Management to be delivered in the 
Nordic markets.
In other territories, Allocate’s 
achievement in securing the 
countrywide HealthRoster contract  
in Brunei further reinforces our 
presence in overseas markets. The 
securing of this contract has led to 
several partner opportunities arising 
alongside HealthRoster V10 which 
position the company to expand into 
other territories. Allocate Software plc 
Annual Report 2012
7
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
 > 141 Trusts represents 47% of  
301 Acute, Mental Health and 
Community Healthcare 
organisations
 > Over 360 Healthcare customers 
in 11 countries
EUROPE
European healthcare providers face similar 
challenges to the other markets we serve and 
we see this as significant market opportunity 
for Allocate’s HealthSuite. Building on our 
success with Time Care in Sweden, we have 
signed an important agreement with Aditro, 
the leading Scandinavian based provider of 
solutions for human resources management. 
This partnership will provide Allocate with 
the opportunity to access Aditro’s customer 
base of some 12,000 customers in Sweden, 
Norway, Finland and Denmark, in both public 
and private sectors. 
HealthRoster V10 multi-lingual, combined  
with our complex pay award interpretation 
capability, developed by RosterOn, enables 
Allocate to provide a powerful staff 
scheduling and pay award interpretation 
solution to some of Europe’s heavily 
unionised healthcare markets. Addressing 
different levels pay and benefits dependent 
on grade, start date and shift types, this will 
unlock a significant opportunity to tackle 
increasing staff cost pressures across the 
European Healthcare market.
ASIA/PACIFIC
Australia has been the biggest driver of 
overseas revenue and following the recent 
acquisition of RosterOn, we now have a team 
of over 30 staff in Australia and a strong 
growing customer base in Healthcare  
and Defence.
The Healthcare market represents significant 
opportunity as cost pressures driven by an 
aging population mean the government is 
focusing on efficiency programmes in 
Community Health and Aged Care facilities  
to deliver better care more efficiently.
This year we secured an agreement for 
BankStaff with the State of Queensland and  
as a result we now have two Australian State 
wide agreements covering more than  
1,000 facilities.
In September 2011 the Brunei Ministry of 
Health signed an agreement to develop the 
Brunei Healthcare Information System 
(Bru-HIMS). Bru-HIMS is the digital healthcare 
framework to provide access to patient data, 
process automation, workflow design and 
resource scheduling. HealthRoster is a vital 
part of this framework.
NORTH AMERICA
North America still represents significant 
opportunity for Allocate across all market 
segments.
This year two major customers signed in our 
emerging US business: Dean Healthcare 
which supports a 400 strong independent 
delivery network of ambulatory care centres 
and Austin Radiological Association, in 
Austin Texas a regional centre for imaging 
and radiology services. Both customers 
have implemented HealthRoster and are in 
the process of deployment.  Allocate Software plc 
Annual Report 2012
8
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Defence
 > The Defence sector has had a 
record year, delivering revenues  
of £7.6m (2011: £4.1m) 
 > Multi-million pound licence contract 
with Australian Defence Forces 
extending the use of Defence Suite 
across Army, Navy and civilians 
under military control
Defence
In an increasingly complex and volatile security 
environment, defence organisations have to be 
adaptable and responsive, able to shift emphasis 
rapidly between prevention, deterrence,
protection and intervention. 
Allocate DefenceSuite provides the complex 
information management and analysis required to 
deliver military enterprise level resource 
management. This approach enables the 
alignment of defence force capability with national 
policies. It integrates operational analysis and force 
preparation, based on better forecasting, 
resourcing and costing. 
From these four capabilities, DefenceSuite 
integrates information from disparate databases 
and systems, including Personnel, Platforms, 
Logistics and Finance, and consolidates the data  
in one aggregated view. The solution delivers 
comprehensive and flexible reporting. For 
example it can incorporate data ranging from the 
availability and training status of personnel to the 
readiness of platforms and the costs of logistical 
support. The resulting depth of understanding 
accelerates informed decision-making, improving 
effectiveness and efficiency in both support  
and operations. 
The Defence sector has had a record year, 
delivering revenues of £7 .6m (2011: £4.1m). This 
included securing a multi-million pound licence 
contract with the Australian Defence Forces, 
extending the use of DefenceSuite across Army, 
Navy and civilians under military control. As part of 
their New Generation Navy programme, The Royal 
Australian Navy also signed a substantial 
additional services contract extension. Two new 
services contract wins were also secured with 
NATO within their Force Operations Group and 
Special Forces HQ. In the UK we extended our UK 
Army support contract to 2014.
Our market sectors Allocate Software plc 
Annual Report 2012
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Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Maritime & Other
Maritime & Other – UK
Allocate continues to derive revenue from sectors which are required to manage 
workforces with complex shift and capability requirements. Historically this mainly 
consisted of Maritime and Offshore engineering customers, however, the acquisition 
of Time Care and RosterOn have brought a broader customer base now including, 
security services, transport, mining, retail, education and government.
 
Allocate OffshoreSuite, MaritimeSuite and commercial workforce planning solutions 
are designed to solve the problems caused by the disconnect between well 
established strategic HR management systems and the project management systems. 
The solutions deliver a range of benefits designed to build operational efficiencies, 
reduce risk, manage compliance and provide key workforce availability and skillset 
information in real time.
 
In a competitive environment, in which speed of response and accuracy of information 
are crucial to business success, the solution provides a structured management 
process which is repeatable, consistent and dependable, leading to significant time 
and cost savings across the enterprise.
 
These completely integrated workforce planning solutions, combine asset and project 
planning (e.g. vessels, projects, departments, equipment) and human resources 
management (e.g. by region, roles, work history and skillset). The core modules 
provide effective tools for personnel documentation, communication, scheduling, 
training and skills management with additional modules to cover operational needs 
such as Travel Administration, KPI reporting, Duty Rosters and Payroll feeds. Allocate Software plc 
Annual Report 2012
10
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
All of our software and services are designed  
and developed in close co-operation with our 
customers to ensure they meet current and  
future needs. This is reflected in our continued 
investment in R&D and has resulted in the release 
of significant product enhancements and 
integrations this year; most notably our flagship 
rostering product HealthRoster V10, a completely 
new architecture for our core application. This 
brings not only advancements in functionality and 
performance ‘simpler, faster and more accessible’ 
but flexibility in how the product can be delivered 
to customers, on premise, hosted remotely or 
provided as part of a managed service within  
the Cloud. 
The new architecture utilises agile development 
methodology enabling us to respond to 
competitive opportunities in the market quickly 
and develop functionality that enables us to take 
advantage of new geographic markets. We can 
now deliver more flexible integration options for 
both acquired products and existing customer 
systems to embed them into our solutions to 
support customers’ operations. We have extended 
our Cloud offering which includes managed 
application services to enable our entire portfolio 
to be provided as full managed offering as the 
market now requires. We have also redesigned our 
governance, risk and compliance portfolio 
HealthAssure. This has improved accessibility and 
performance which makes management of the 
compliance processes easier to deploy and 
evidence within healthcare environments.
Over the next period further integration of 
applications will increasingly automate the 
planning and operational management of people, 
process and resources for our customers. This will 
include applications that help address the complex 
capacity planning and clinical activity management 
that lead to disconnected care delivery and 
avoidable costs. Tablet and mobile based access 
to our core application is a focus for the next 
period enabling staff to record information and 
review data in real time at the point of care. We will 
also be integrating applications from recently 
acquired RealTime to address patient flow, 
complex discharge processes and emergency 
room management. 
Delivery platforms & innovation Allocate Software plc 
Annual Report 2012
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Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Healthcare Defence
Allocate DefenceSuite
DefenceSuite streamlines operations by integrating 
information from disparate databases and systems 
including Personnel, Platforms, Logistics and Finance  
and consolidates the date into one aggregated view.  
It delivers comprehensive and flexible reporting and the 
resulting depth of understanding accelerates informed 
decision making, improving effectiveness and efficiency 
to support areas and on operations.
Key features
DefenceSuite has three components: Optimiser, Manager 
and Administrator, providing holistic time based 
management of people, preparedness and commitments, 
scenario planning for alternative option modelling of force 
structures, streamlined administration processes.
Key benefits
DefenceSuite delivers the force wide visibility of personnel 
and resources in near real time. Enabling effective decision 
making in terms of force readiness (training), generation and 
deployment. This has enabled resource constrained defence 
organisations to deliver more flexible responses in the face 
of mounting cost pressures. 
Allocate currently works with over 360 healthcare 
organisations in 11 countries. Our strong presence within 
the Healthcare market offers the opportunity to build 
upon our significant position, expanding our revenue via 
new customers and driving greater cross sell of new 
products and services to drive continued growth. 
Allocate HealthSuite
HealthSuite is designed to help healthcare providers 
manage their largest element of cost, their people, whilst 
improving the delivery of patient care by optimising people, 
processes, performance and assurance. Each solution 
features a range of applications, which together provide an 
end-to-end approach that helps organisations reduce and 
manage costs whilst improving patient care and optimising 
healthcare delivery from the Board to the point of care.
Key features
HealthSuite comprises four component products each with 
several sub applications: HealthRoster for optimising staff, 
HealthPerform for managing performance information, 
HealthProcess automating process flows and HealthAssure 
underpinning quality and reputation management in the 
form of governance risk and compliance. 
Key benefits
HealthSuite delivers significant return on investment for 
medical facilities by optimising staffing levels, skill sets 
and cost, both within a single unit and an entire facility.  Allocate Software plc 
Annual Report 2012
12
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Terry Osborne Chairman
Chairman’s statement
The 2012 financial year was a strong year for Allocate. We 
made two further acquisitions, begun the roll-out of a major 
product upgrade cycle that will open new markets for us and 
we exceeded City expectations.
 
The Company was successful in all of its major markets in 2012. 
The UK Healthcare business prospered driven by strong 
execution and the continuing productivity demands resulting 
from the NHS restructuring process. The business in Australia 
continued to progress with the acquisition of RosterOn. Time 
Care in Sweden again had a good year and the Defence team 
had their best ever year also securing their largest ever licencing 
contract in Australia.
 
The Company achieved substantial revenue and profit growth  
for the sixth year in succession. Our Company’s balance sheet 
continues to be secure with another year of high profit to cash 
conversion. The financing of our acquisitions to date remains 
comfortably within our balance sheet’s funding capacity.
 
Since the end of the financial year, we have continued our 
strategy of complementing our strong organic growth with 
carefully selected acquisitions. On 30 July 2012, we acquired 
RealTime Health Limited, a UK supplier of patient flow 
management software to the NHS. This is a vitally important 
application area and we expect the integration of RealTime 
Health with our existing product portfolio to provide significant 
operating and cost savings benefits for our customers. It will 
open up major new growth opportunities for our next  
strategic period.
 
I would like once more to thank our customers for their business 
and their partnership with Allocate and our Alliance partners  
for their continuing support. Finally, I would like to recognise  
and thank all of the Company’s growing number of employees  
in all parts of the world, for another year of hard work and 
commitment in support of the Company’s success.
 
As an indication of our confidence in the business, the Directors 
are pleased to propose a dividend in respect of the full financial 
year of 1.2p per share, payable on 28 November 2012 to 
shareholders on the register on 2 November 2012.
 
I would like to thank Mark Loveland, who is stepping down from 
the Board, for his seven years of exceptional service to our Board 
and the Company. We wish him well for the future, and a speedy 
return to full health.
 
We remain confident of our prospects for the 2013 financial year, 
and of the fundamental strength of the business.
 
 
Terry Osborne
Chairman
30 July 2012 Allocate Software plc 
Annual Report 2012
13
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Case study
HealthRoster
Enabling the Trust to do more with the resources 
they have
Overview
BHRUT, one of the largest trusts in England, has implemented 
HealthRoster specifically to redesign services so that medical 
staff are managed more efficiently, yet more effectively to 
deliver a better quality of care. 
Originally implemented to help the Trust achieve a 100% 
European Working Time Directive (EWTD) compliancy rating, 
through HealthRoster BHRUT has also realised significant 
efficiency savings and benefits with the management of 
medical rotas to achieve a far more patient-focused approach 
to the delivery of care. 
Barking, Havering and Redbridge University Hospitals 
NHS Trust (BHRUT) use HealthRoster for Junior Doctors 
and Medical Staff to redesign services enabling greater 
efficiency, better care and maintaining 100% compliancy. 
The new approach to managing the rotas of medical staff  
has delivered real savings and benefits. Gill Perry, Associate 
Director of Human Resources, sums this up; “HealthRoster has 
not only saved us time it has enabled us to make objective 
decisions about staffing and refocus our delivery of services  
to meet patient needs better.”
The collaboration continues, Leigh Malyon, E-Rostering  
Head of Service, explains; “The scale of the project has 
changed massively – we intended to roll out HealthRoster 
only to junior doctors, but due to the success of this we have 
now rolled out to all grades of staff including consultants 
across all areas, including obstetricians and gynaecologists, 
as well as theatres.”
Following the success of this project, the Trust has extended 
their investment to include all nursing groups to give them 
one view of the clinical/medical workforce. This has enabled 
the Trust to utilise all staff across the Trust to the fullest; 
reducing dependency on temporary staffing, eradicating 
wasteful and inefficient processes and achieving truly 
patient-centred care. 
In addition the Trust have most recently selected e-Jobplan, 
e-Rota and e-Monitor solutions to further improve the 
management of their medical workforce by more closely 
aligning resources and budget to ensure that the agreed 
service plan is delivered to time, in line with budget and to 
the highest possible service level. 
Commenting on the collaboration, Paul Scandrett, Allocate 
Software’s Director of Healthcare says, “We have been 
working closely with BHRUT for the duration of their project. 
They are an excellent site who have been quite revolutionary 
in their approach to management of their workforce, 
particularly on the side of the medical workforce which is an 
incredibly complex and challenging area for trusts to manage. 
We have worked together to help them achieve true service 
redesign across all levels and enabling them to deliver a truly 
integrated and first rate service.” Allocate Software plc 
Annual Report 2012
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Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Ian Bowles Chief Executive Officer
Overview
The 2012 financial year was another successful period for Allocate 
and we remain very positive about the future of the business. 
This year we completed two further acquisitions, we started the 
roll-out of HealthRoster V10, we launched HealthRoster in the 
Cloud and we made progress in all of our territories and vertical 
market sectors.
 
Allocate has grown revenue and EBITDA by a CAGR of 35% and 
41% respectively over the past five years. For a number of years, 
our growth was led predominantly by revenues earned from new 
NHS contracts, but over recent years we have driven a change in 
our business model and growth in recurring revenues is now a 
key driver.
 
As recently as 2009 for example, new licence revenue from NHS 
HealthRoster agreements represented approximately 43% of total 
revenue of £15.8m with recurring revenues being 21% of total 
revenue. In 2012 however, the new licence revenue from NHS 
customers is no more than 10% of total revenue of £36.6m, but 
with recurring revenues now representing 42% of total revenue.
 
This increase in recurring revenues, which is driven by cross sell 
from new products, both organically developed as well as 
acquired, has significantly improved the predictability of our 
revenue streams and the visibility of our profits and cash flows.
 
Business drivers and sources of growth
Overall, our value proposition to customers remains consistent. 
We offer customers superior applications and services that bring 
clear returns on investment (ROI) from operational efficiencies 
and reduced costs. In challenging economic times, demand for 
applications such as ours is stronger than at any other time in an 
economic cycle. Allocate solutions offer exactly what customers 
and prospective customers in our target markets need.
1. Customer Satisfaction:
 Is the number one priority for Allocate. We have invested 
considerably in people and infrastructure to support customer 
satisfaction over the past two years. We run regular surveys  
of CSAT, the results of which tell us that we are continuing  
to improve our service levels and that we have satisfied 
customers. Our renewal rates for support remain at or close  
to 100%.
 
2. New Customers:
 We will continue to seek and secure agreements with new 
customers in all sectors and all geographical territories 
believing there are significant opportunities for continued 
growth. In the UK, our success rate remains high, winning circa 
80% of all bids that we enter. In the UK almost one third of all 
NHS Trusts has yet to purchase an e-rostering system. Based 
on our prior performance and growing reputation, we are 
confident of securing a large number of these Trusts as new 
customers.
 
Chief Executive Officer’s statement  Allocate Software plc 
Annual Report 2012
15
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Case study
HealthAssure
Securing significant savings through compliance 
support
Overview
Largest dedicated women’s hospital in Europe used 
HealthAssure to support their NHSLA/CNST compliance, 
securing £3.5 million savings in NHS insurance premiums.
Liverpool Women’s Hospital uses HealthAssure software 
to support the Trust’s compliance with two of the health 
services major compliance regimes; NHS Litigation 
Authority (NHSLA) & Care Quality Commission. 
The NHSLA is the pooled risk insurance scheme operated for 
NHS Trusts by the NHS Litigation Authority, while the CQC 
authorises Trusts licence to operate services based on them 
meeting essential standards of quality.
 
 > The HealthAssure system is used to optimise governance, 
risk and compliance across the organisation
 > The Trust is on record as stating that HealthAssure played 
an important role in helping them structure their processes 
needed to achieve success in the assessment
 > The software was used by the assessors during the NHSLA 
& CNST inspection, the Trust’s approach received praise in 
the final report
 > They are one of only two NHS Trusts to maintain level three 
accreditation from the National Health Service Litigation 
Authority for six consecutive years and they are one of only 
four Trust holding the highest level accreditation (level 3) in 
both CNST & NHSLA
Receiving level three accreditation is not just important for 
Hospital finances, as the accreditation also demonstrates the 
Trust’s performance to the public, so they can always have 
confidence in the performance of the hospital – key as 
hospital’s try to balance savings with maintaining quality  
and patient experience. Allocate Software plc 
Annual Report 2012
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Business Review
Corporate Governance
Financial Statements
Company Information
Chief Executive Officer’s statement continued
3. New Products:
 We continue to invest heavily in research and development 
(R&D) and have announced a raft of new application modules 
and services which broaden our applications portfolio in 
Healthcare beyond e-rostering. The new applications include 
Clinical Activity Management (CAM), HealthRoster in the 
Cloud and a National Benchmarking capability. We have also 
released the next generation of HealthRoster V10. This version 
of HealthRoster is of great importance to Allocate because  
it brings many new and important areas of functionality and 
enhanced performance that will open up new markets and 
opportunities, both in the UK and also overseas. Our business 
in Europe has already developed well through Time Care and 
now the launch of V10 will enable us to accelerate our entry 
into new territories. The Zircadian products, e-job plan and  
the Consultants portal are being integrated with the Allocate 
Medics application and we are now taking this unique solution 
to market.
 
4. Business Model:
 Allocate continues to drive change in its business model towards 
one based upon recurring revenues. All new products developed 
or acquired will be offered on licencing models that are flexible 
and recurring to support the model. In addition, the NHS 
HealthRoster term licence renewal cycle has now begun.  
We have so far renewed 100% of the HealthRoster licences  
that have come up for renewal. We are confident that we will 
continue to secure a very high proportion of the future renewals.
5. Acquisitions:
 Acquisitions remain part of the growth strategy. We will 
continue to seek appropriately priced assets that will bring 
growth to the solution set that we offer to our customers.  
We now have a very significant customer base and cross sell 
opportunities are an important element of our growth. By way 
of example, we have now cross sold either an Allocate or a 
Zircadian product between 27 of the customers in the ten 
months since Zircadian were acquired. RealTime Health, our 
most recent acquisition, once integrated into our applications 
portfolio, has the potential to drive revenues of a similar scale 
to e-rostering, with significant ROI for customers.
 
Healthcare – UK
2012 was a year of continued success in the Healthcare market 
led by further growth within the UK NHS, with the acquisition of 
Zircadian continuing the expansion of our Healthcare product 
portfolio into the medical staffing arena. The release of 
HealthRoster V10, our completely web based rostering product 
which enables Cloud based delivery and multi-lingual support, 
will enable us to target further growth opportunities.
 
We continued to grow our core NHS rostering market where  
the Company’s success rate in competitive tenders of rostering 
solutions was very significant. The strong position we now hold 
within the NHS means that we provide at least one software 
product to over 85% of NHS Trusts. Ensuring that we continue to 
deliver proven benefits to our Healthcare customer base creates 
a significant ongoing opportunity to deliver further products and 
secure additional revenue within the Healthcare market. At our 
most recent User Group there were over 275 attendees from 100 
NHS Trusts, as well as the independent sector, discussing the 
benefits they have achieved and sharing best practice.
 
The acquisition of Zircadian is a significant event in the 
development of our Healthcare solutions. Firstly, we now have 
medical staff as part of the team; this greatly expands our 
product portfolio and experience in the management of the 
medical workforce. Secondly, it broadens our solutions into the 
area of clinical and medical activity planning. The integration  
of medical workforce planning managed within the Zircadian 
product set and operational rostering within HealthRoster offers 
enormous opportunities and benefits for our customers.  
This natural alignment of solutions has already led to additional 
sales within the customer base which would not have been 
realised otherwise. The significant benefit to customers, that 
being of increased ROI due to integration of the solutions,  
will also help drive further cross sell opportunities in the future.
 
Allocate also published the first in a series of thought leadership 
pieces aimed at NHS executive and specialist teams. The first 
paper titled ‘Junior Doctor Rota Review’ has helped position 
Allocate as a thought leader and specialists in medical workforce 
management. It demonstrates that we are working with a 
number of Trusts to identify large scale savings by helping the 
reconfiguration of the medical workforce.
  Allocate Software plc 
Annual Report 2012
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Overview
Business Review
Corporate Governance
Financial Statements
Company Information
This year the integration of HealthRoster, Zircadian planning 
products and HealthAssure has created a Healthcare suite of 
products that moves Allocate into all areas of a Trust’s 
operations spanning activity planning, workforce management, 
financial control and clinical governance/patient outcomes.  
This aligns the Company to the current focus within Healthcare 
to deliver higher quality care within an increasingly constrained 
financial regime.
 
Allocate also initiated an Executive Advisory Council that will 
meet three to four times a year to collaborate with and advise 
Allocate on market changes and healthcare challenges.  
The Advisory Council is made up of a broad range of executives  
from the NHS and will provide a forum to test ideas and explore 
value and innovation of future strategy and market engagement. 
The forum will keep Allocate aligned to the issues affecting 
executives and their organisations. The forum will also be 
publishing white papers based on agreed topic areas affecting 
the healthcare market place.
 
The successful release of our flagship rostering product 
HealthRoster V10 within a completely rearchitected framework 
was also achieved. V10 is simpler, faster and more accessible 
than all of its predecessors. HealthRoster V10 is web based, 
offering the ability to deliver via the Cloud, reducing the time  
to deploy and allowing ease of purchase for our customers.  
In addition, the ability of V10 to support multiple languages  
will accelerate our sales into non-English speaking countries. 
 
Healthcare – Overseas
Overseas, we achieved significant success in a number of areas: 
 
RosterOn, our acquisition in Australia has had a challenging year 
post acquisition. However, we have already integrated their 
awards engine technology with the Allocate HealthRoster 
product and this integrated solution is already being favourably 
received by the market.
 
Time Care had another successful year. The political situation in 
Sweden is changing and many Swedish municipalities now have 
to offer their employees the right to full time employment. This 
we believe will lead to an ongoing demand for our consultancy 
services in that field. The localisation of HealthRoster V10 is most 
important and it will be given high priority. The response has 
been very positive from the clients who have been introduced  
to the software. We have great expectations from the Swedish 
private sector and there is a strong trend among customers and 
prospects to improve their workforce management.
 
Time Care has also signed an important agreement with Aditro, 
the leading Scandinavian based provider of solutions for human 
resources management. This partnership will provide us with 
the opportunity to access their customer base containing some 
12,000 customers in Sweden, Norway, Finland and Denmark,  
in both public and private sectors. The partnership with Aditro 
includes not only sales and marketing elements but also 
development of an interface between their products and ours.
 
The Company’s achievement in securing the countrywide 
HealthRoster contract in Brunei further reinforces our presence 
in overseas markets. The securing of this contract has led to 
several partner opportunities arising which alongside V10 
position the Company to expand into other territories.
 
Allocate currently work with over 350 healthcare organisations in 
11 countries. Our strong presence within the Healthcare market 
offers the opportunity to build upon our significant position, 
expanding our revenue via new customers and cross sales of new 
solutions to deliver continued growth. Our strategy is to position 
Allocate as a solution provider to healthcare organisations that is 
integral to their operations from activity planning, operational 
management through to the measurement of patient outcomes.
 
Defence
The Defence sector had a record year, delivering revenues of 
£7.6m (2011: £4.1m).
 
The principal accomplishments include:
 > Securing a multi-million pound licence contract with the 
Australian Defence Forces extending the use of DefenceSuite 
across Army, Navy and civilians under military control
 > Substantial additional services contract extension wins with 
the Royal Australian Navy, as part of their New Generation 
Navy programme
 > Two new services contract wins in NATO within their Force 
Operations Group and Special Forces HQ
 > The extension of the UK Army contract to 2014
  Allocate Software plc 
Annual Report 2012
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Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Chief Executive Officer’s statement continued
Research and Development
Our continued investment in R&D has resulted in the release  
of HealthRoster V10, our Cloud Offering as well as enhanced 
versions of HealthAssure and the integration of core applications 
with the acquired applications from both Zircadian and 
RosterOn.
 
Over the next period we will see further integration of 
applications and the delivery of new modules such as CAM and 
further enhancements to our Cloud based applications portfolio.
 
All of our software and services offerings are designed and 
developed in close co-operation with our customers to ensure 
they meet current and future needs.
 
Organisation
The continued success of Allocate depends on our people; their 
ideas, commitment and energy drive our continuing success.
 
We have now grown to over 300 employees from 103 four years 
ago. We also have over 20% of our employees located overseas 
in Sweden, Australia, America and Malaysia.
 
We are embarking upon a number of programmes to help our 
employees grow with Allocate, to maintain their focus and to 
support the realisation of the Company’s objectives through 
their individual achievements.
 
We run an annual employee survey, which this year showed  
very positive employee satisfaction ratings. We are increasing 
our investment in employee training, both functional and 
management, we are improving our benefits packages with  
the help of a newly appointed supplier. We are increasing the 
number of promotion/rotational opportunities available to 
employees, both in the UK and overseas.
 
Outlook
The outlook for Allocate Software is positive and I am confident 
our growth will continue.
 
By working in close co-operation with our customers we will 
continue to anticipate demand for new solutions that will support 
their objectives and deliver superior ROI. Our solutions are 
perfectly suited to the economic challenges currently faced by 
our customers. Our products have shown on numerous 
occasions that they bring significant cost reductions and 
improvements in workforce efficiency.
 
The breadth and depth of our applications portfolio which  
now includes a Cloud offering for all of the core applications in 
healthcare, as well as our ability to localise HealthRoster into any 
language will create new and exciting opportunities, for the 
Company and our customers.
 
RealTime Health, our most recent acquisition, will enable our 
Healthcare customers to drive further efficiencies as we combine 
CAM, Staff Deployment and patient flow capabilities into an 
integrated, holistic solution.
 
Our track record of the past six years vindicates our belief that 
we are uniquely equipped to help our current and prospective 
customers achieve their objectives. We offer proven products 
that deliver significant improvements in efficiency and 
demonstrable ROI.
 
Allocate is now a substantial enterprise with an enviable track 
record of customer acquisition, market development and new 
product realisation.
 
I would like to add my own thanks to our team, partners and 
especially our customers for their ongoing support.
 
Ian Bowles
Chief Executive Officer
30 July 2012 Allocate Software plc 
Annual Report 2012
19
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Case study
HealthRoster
Generating financial savings by using staff more 
effectively
Overview
Allocating nursing and medical staff to shifts is a challenging 
task given the multiple, often conflicting priorities of ensuring 
that clinical governance requirements are met, best care is 
provided, and staff requests are accommodated. 
Further, it is well known that staff costs account for up to 75% 
of a healthcare organisation’s running costs. So how the time of 
those staff is managed can not only have an impact on quality 
of care, it can also significantly impact expenditure.
Ramsay Health Care UK, a leading healthcare provider 
with an excellent track record in providing the very 
highest level of care, has over the last four years invested 
over £125m specifically to maintain this standard, 
improving facilities and enhancing access  
to high quality care.
A key part of this investment has involved implementing an 
e-rostering system to more effectively and efficiently manage 
the deployment of their 4,000 nurses, healthcare 
professionals and support staff across 37 separate sites. 
Ramsay Health Care selected Allocate’s e-rostering solution, 
HealthRoster. Managers at Ramsay will use HealthRoster to 
more quickly highlight any gaps in cover and skill mix to ensure 
the right mix of clinical staff are on duty day or night. In 
addition, e-rostering will help control demand for temporary 
staff, optimise the use of permanent staff, and reduce 
overhead costs through integration with payroll systems.
Part of the implementation has involved a rostering 
assessment in a number of areas, offering a wide selection  
of practice areas and rosters. “We asked, ‘if we had an 
electronic system, instead of a paper-based system how 
could we roster differently? How could we utilise staff better 
and what savings could be made?” explains Julie Fraser, 
manager of the e-rostering project. 
Through e-rostering, managers can now prepare four week 
rosters six weeks in advance. Staff can request shifts up to a 
cut-off point. After this, the department manager can set the 
system to create an automatic roster, based on requests, shift 
patterns and the rules set within the system. “This will 
significantly improve the process of managing our staff, 
particularly with payroll as it now means staff don’t have to 
keep timesheets.” Explains Ms Fraser.
E-rostering will also generate financial savings. Ms Fraser  
is confident about savings because the emphasis has been  
to prevent requests for staff going to agencies by using 
contracted hours to the full, minimising absences and using 
the bank where necessary. 
The organisation is still at an early stage of their 
implementation. Yet the change that has already been 
recognised has been significant and sends a signal as to the 
potential that this new approach to managing staff has to 
offer. Ms Fraser sums up; “Ultimately this is about ensuring 
that our teams can work to the best of their ability and give 
patients the very best levels of care. Through e-rostering I 
truly believe that we have the tool to not only uphold our 
excellent record, but also to achieve more.” Allocate Software plc 
Annual Report 2012
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Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Chris Gale Chief Financial Officer
Chief Financial Officer’s review
Financial report
Revenue in the financial year was £36.6m (2011: £30.1m), an increase 
over the prior year of 22%. EBITDA was £6.4m (2011: £5.8m), an 
increase over the prior year of 10%. The resulting trading profit 
margin was 17 .5% (2011: 19.3%), a slight contraction over the  
previous year due to increased levels of investment in the business, 
particularly R&D. Diluted adjusted EPS (excluding amortisation  
of intangibles, impairment, share-based payments, acquisition  
costs and the deferred tax adjustment) increased by 16% to 7 .4p 
(2011: 6.4p).
 
Recurring revenues grew by 36% to £15.6m or 42% of total revenue 
(2011: £11.5m or 38% of total revenue).
 
Organic revenue (excluding the acquisitions of RosterOn and 
Zircadian which were both acquired part way through 2012) grew  
by 10% to £33.0m (2011: £30.1m) during the year.
 
Licence and subscription revenue grew by 16% to £15.4m  
(2011: £13.3m).
 
By sector, Healthcare revenue in the period increased by 13% to 
£26.2m (2011: £23.1m), reflecting the impact of acquisitions as well  
as the growth of recurring revenues. Defence revenues rose by 85% 
to £7 .6m (2011: £4.1m), principally due to the large order from the 
Australian Defence Force secured in the second half of 2012. 
Maritime and all other revenue remained flat at £2.9m (2011: £2.9m).
 
EBITDA margins were 17 .5% (2011: 19.3%) as a result of an increase in 
investments made during the year. The principal area for increase in 
investment has been in R&D, which in 2012 was £6.8m or 19% of 
revenue (2011: £4.6m or 15% of revenue). The main areas for the 
increase in spending were into HealthRoster V10 and also spend 
supporting the move towards more Cloud based solutions, both 
organic and acquired. Spend in R&D is expected to increase in the 
future, although not at the level seen recently.
 
As previously stated, the performance of the Dynamic Change 
business has continued to be below management’s expectations in 
this period. This is due to the negative impact of the restructuring of 
Primary Care Trusts (PCTs), proposed and begun by the government 
in the summer of 2011. A significant proportion of Dynamic Change’s 
customers were commissioning PCTs, some 37%, many of whom 
cannot renew their subscriptions because they no longer exist as 
organisations and their replacements have yet to be established. 
However, over the last 12 months, the Company has seen some 
improvement in the number of new customers being contracted,  
but not sufficient to offset those not renewing. As a result, 
management have revised downwards their forecasts for both 
revenue and profits from Dynamic Change and, in accordance with 
the provisions of IAS36, they have impaired the assets of the 
business. As reported in the interim financial report, this has resulted 
in a write down of intangible assets and goodwill through an 
impairment charge of £3.9m to the Income Statement.
 
As previously stated, we propose to pay a dividend in respect of the 
full financial year of 1.2p per share, payable on 28 November 2012 to 
shareholders on the register on 2 November 2012.
 
Cash generated from operations was £5.4m in 2012, (2011: £5.9m). 
This is a conversion rate of 84% of EBITDA, a strong performance 
although slightly lower than in 2011, but only as a result of the late 
payment of a material sum from a single customer that arrived 
during the first week following the year end.
 
Net cash on the Balance Sheet was £4.3m, consisting of gross cash 
of £8.3m and debt of £4.0m. Net cash, gross cash and debt at the 
end of 2011 were, respectively, £8.4m, £10.4m and £2.0m.
 
Chris Gale 
Chief Financial Officer
30 July 2012 Allocate Software plc 
Annual Report 2012
21
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Total revenue £m 
Licence and subscription
revenue £m
Healthcare revenue £m
12 36.6
11 30.1
10 22.0
09 15.8
12 15.6
11 11.6
10 6.9
09 NA
12 15.4
11 13.3
10 9.3
09 7.6
12 6.4
11 5.8
10 3.7
09 2.7
Recurring revenue £m
EBITDA
EBITDA % of revenue
Cash generated 
from operations £m 
Financial KPIs
12 26.2
11 23.1
10 14.8
09 11.1
12 17.5
11 19.3
10 16.8
09 17.1
12 5.4
11 5.9
10 4.9
09 1.8
Case study
HealthRoster
Impartial, fair, and helping deliver the very best  
in clinical care
Overview
Oxleas NHS FT introduce Allocate’s HealthRoster to help 
managers roster staff more efficiently to cover service needs 
and enhance the patient experience.
Implementing e-rostering is a significant undertaking which 
requires not only implementing the software but also a review 
of the entire workforce management process if the solution is 
to achieve a true and lasting positive impact on the Trust.
Oxleas NHS Foundation Trust recognised a need for a 
computerised e-rostering system to monitor and optimise 
its workforce, and to more effectively manage the nursing 
budget – which represents the largest proportion of the 
Trust’s expenditure. 
The Trust’s 1,700-strong nursing workforce were historically 
deployed at ward/unit level by a manually driven paper  
based solution. The Trust introduced Allocate’s HealthRoster  
to provide a more efficient way of managing staff through 
improved rostering, to objectively measure how and where staff 
are being utilised, and to identify where savings could be made 
through streamlining processes.
Danson Clinic was asked to pilot HealthRoster as part of the first 
wave of implementation last year and was the only mental health 
inpatient unit doing so at that time. Antony Hawkins, the Clinical 
Team Leader for Clinic shares his experience of implementing 
the solution giving a ‘warts n all’ account. Danson Clinic is a 17 
bed rehabilitation clinic with a nursing staff of 29. 
Antony is full of praise for the new solution. “It gives me 
information at the touch of a button that it would have taken 
hours to get in the past. For instance if a member of staff came 
to me asking for more weekend work adding that they think they 
are not getting enough weekend shifts (staff can earn more for 
weekend work) I can instantly show them how many weekend 
shifts they’ve worked and where they are in the weekend shift 
league table. It makes for a fairer roster system.” Allocate Software plc 
Annual Report 2012
22
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Directors
Terry Osborne
Chairman
Terry joined as the Company’s Chairman in October 
2005. He enjoyed a distinguished career with IBM 
over the period 1961 to 1987, where he held vice 
president positions in Europe and the USA. He was 
also a director of IBM UK. In 1987, he founded SSA 
Ltd, a technology company, and was President of SSA 
Inc for the period 1994 to 1996. Mr Osborne has 
served on the boards of several technology 
companies in both the USA and Europe, including 
Chairman of Dr Solomon’s Group plc, Prime 
Response Inc and Eyretel plc. He was also a director 
of Mapics Inc, Dendrite International Inc and  
Witness Inc.
Ian Bowles
Chief Executive Officer
Ian joined as Chief Executive Officer in May 2007. 
Previously he was Chief Operating Officer at 
Clearswift Limited, a leading e-mail content security 
company, where he was responsible for Worldwide 
Operations including sales and marketing in the UK, 
Europe, USA, Japan and Asia Pacific, as well as the 
company’s Professional Services, Customer Support 
and worldwide IT infrastructure. Prior to this he held 
senior positions at Interwoven Inc as Vice President 
EMEA, Chordiant Inc as Vice President International 
and Oracle UK as General Manager.
Chris Gale
Chief Financial Officer
Chris joined as Chief Financial Officer (CFO) in 
February 2010 and has held senior financial roles in 
international public companies within the IT industry 
including: Apple Inc (in USA & European HQ), 
Cooper and Chyan Technology Inc (USA), Cadence 
Design Systems (USA & Europe), Interwoven and 
Clearswift (UK). In his most recent corporate role, 
Chris was CFO and acting CEO of GFI, a global 
software and hosted solutions company. Chris is also 
Treasurer on the Board of Trustees of Picker Institute 
Europe, a healthcare charitable institution, whose 
goal is improvements in patient care.
Allen Swann
Business Development Director 
Allen joined as Business Development Director in 
June 2008, having previously acted as an adviser to 
the Company. Prior to his appointment, Allen served 
as International President for Chordiant Software Inc, 
International President of Prime Response Inc and was 
a founder member of Oracle UK, where he served as 
Sales Director both direct and non-direct for 12 years. 
Since 2008 Allen has served as a NED of Solid 
Technology Inc, which was sold to IBM, Chairman of 
CopperEye Limited, and NED of Chordiant Software 
Inc, which was sold to Pega Software Inc.
Andrew Pringle
Non-Executive Director
Andrew joined as a Non-Executive Director in March 
2004. Previously, he was Chief of Staff at the UK’s 
Permanent Joint Headquarters (“PJHQ”), responsible 
for the direction of all UK military operations jointly 
carried out by the three armed services (Army, Navy, 
Air Force). He retired in 2001 with the rank of Major 
General. Previously, Andrew had been commissioned 
into The Royal Green Jackets and commanded 
military operations at every level from Platoon to 
Division, both for the UK Army and for multi-national 
forces overseas. Andrew has served in the Ministry  
of Defence, the Assessments Staff of the Joint 
Intelligence Committee and, while at PJHQ, three 
years at the heart of the planning and conduct  
of UK operations worldwide, including Bosnia, 
Kosovo, Albania, Macedonia, Iraq, East Timor  
and Sierra Leone.
Ian Lang
Non-Executive Director
Ian joined as a Non-Executive Director in August 
1998. He is a graduate in mathematics from 
Cambridge University. He has held senior roles in ICI 
in sales, marketing, logistics and corporate planning 
including portfolio management, risk assessment, 
acquisition and divestment. As General Manager of 
Information Systems for Zeneca Agrochemicals he 
was responsible for the re-engineering of the global 
supply chain using SAP and Oracle software. He has 
provided high level business consultancy to BP ,  
Pfizer and Mercedes-Benz.
Richard King
Non-Executive Director
Richard joined as a Non-Executive Director in 
January 2011 following his retirement, after 35 years, 
from Ernst and Young where he was promoted as one 
of the youngest partners in the UK and led a variety 
of change initiatives as well as advising other fast 
growth businesses. Prior to his retirement he was the 
Senior Advisory partner providing advice and 
co-ordinating services to major clients such as Rank 
Group plc, Easyjet plc, First Group plc, and Marshall 
Group Plc and actively led the execution of the  
D & I strategy. Richard has been Chair of the Willow 
Foundation since 2009 and recently joined the 
boards of CSF Group plc and Corac Group plc as a 
Non-Executive Director. Richard is also currently a 
member of the Advisory Board for the Frogmore 
Property Group.
Mark Loveland
Non-Executive Director
(resigned July 2012)
Mark joined as a Non-Executive Director in April 
2005. He is a graduate in jurisprudence from Oxford 
University and has had considerable experience in 
the support and development of technology 
companies. He has held positions within Rowe & 
Pitman and SG Warburg, including Head of UK 
Technology Research and Deputy Chairman of the 
Small and Mid-Cap Group, at Dresdner Kleinwort 
Benson where he was Head of European Technology 
Research and at JP Morgan Investment Bank as  
Head of European IT Equity Research and Head of 
European Technology Strategy. Allocate Software plc 
Annual Report 2012
23
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Senior Managers
Directors from left to right:
Terry Osborne Executive Chairman
Ian Bowles Chief Executive Officer
Chris Gale Chief Financial Officer
Allen Swann Business Development Director 
Andrew Pringle Non-Executive Director
1
Ian Lang Non-Executive Director
1
Richard King Non-Executive Director
2
 
Mark Loveland Non-Executive Director
1
1  Member of the Audit Committee, 
Remuneration Committee and Nomination 
Committee.
2  Member of the Audit Committee and 
Remuneration Committee
Senior management team from left to right:
Martin Jeffries Director of International 
Marketing
Jan Watson HR Director
Chris Farnath International Support Director
Iain Bishop Chief Technology Officer
Martin Jeffries 
Director of International Marketing
Martin Jeffries was appointed Director of 
International Marketing in November 2010 and 
oversees all Group marketing activities on a global 
basis across all sectors. Previously Martin held senior 
international marketing roles in public companies 
within the ICT, Pharmaceutical and Consulting 
industries including: GlaxoSmithKline, Dell 
Corporation, Virgin Media Business and Ignetica Ltd. 
In his most recent corporate role, Martin was Head  
of Strategy & Programs for Dell across EMEA.
Jan Watson 
HR Director
Jan Watson is HR Director of Allocate, joining the 
Company in October 2007. Since then Jan has 
shaped the HR function in this fast-growing 
organisation. This has included management of  
the integration of acquired businesses as well as 
working with the management team to reshape the 
organisation from being a relatively small UK focused 
business to being the larger international 
organisation it is today. With a strong background  
in the IT industry, she has previously held HR 
management roles at Hewlett Packard,  
Clearswift and Intercea.
Chris Farnath 
International Support Director
Chris Farnath was appointed International Support 
Director in September 2010. He brings over 20 years 
experience in technology services in the business-to-
business sector. Chris has held senior roles in Europe, 
Asia & USA for Aspect Software & Siemens and 
served on the Board of the Association for Services 
Management International (AFSMI) to achieve a 
merger with the Technology Services Industry 
Association (TSIA) between 2006 and 2008.
Iain Bishop 
Chief Technology Officer
Iain Bishop was appointed Chief Technology Officer 
in June 2011 and is responsible for the development 
of all of the company’s products, overseeing the roll 
out of the new architecture across all sectors on a 
global basis. He brings over 25 years industry 
experience joining from Kewill plc where he was the 
Group CTO and prior to this gained experience at 
Systems Union plc, Servista and Software House 
Management Science Ltd. Allocate Software plc 
Annual Report 2012
24
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Report of the Directors
The Directors present their annual report on the affairs of the Group, together with the audited accounts and auditor’s report for the 
year ended 31 May 2012.
Principal activities and business review
The principal activities of the Group are the development, sale and support of workforce management solutions, and the provision 
of related IT services to major healthcare, defence, government and commercial customers.
The business of Allocate is focused principally on the Healthcare market in addition to Defence. The business has grown significantly 
over the last six years from annual revenue of £8.3m in 2007 to £36.6m annual revenue in 2012.
Allocate’s revenue is earned through four principal streams, those being licence revenue, subscription revenue, professional services 
revenue and support and maintenance revenue. Allocate sells its products on a variety of licencing bases, ranging from permanent 
or term licence through to an annual subscription basis, the latter basis relating mainly to the HealthAssure and the products of 
Zircadian, the company which we acquired in August 2011.
The Company’s principal markets are in the UK; the principal customers being NHS Trusts and also the British Army in addition to 
other branches of the British Armed Forces. Internationally, business has developed a great deal in recent years to the point that it is 
now approximately 51% of total revenues. The Group now has significant customers and revenue streams in Australia, in Healthcare 
and also in the Defence market. 
Results and dividends
As an indication of their confidence in the business, the Directors are pleased to propose a dividend in respect of the full financial 
year of 1.2p per share, payable on 28 November to shareholders on the register on 2 November 2012. 
The audited accounts for the year ended 31 May 2012, which comprise the Principal Accounting Policies, the Consolidated Income 
Statement, the Consolidated Statement of Comprehensive Income, the Statements of Financial Position, the Statements of Changes 
in Equity, the Cash Flow Statements and the related notes, are set out on pages 33 to 71. The Group loss for the year after tax 
amounted to £3,397,000 (2011: £797,000 profit). 
Research and development
Research and development expenditure in 2012 was £6,789,000 (2011: £4,558,000). The main areas of this increase in spending were 
in HealthRoster V10 and supporting the move towards more Cloud based solutions. Spend in R&D is expected to increase in the 
future, although not at the level seen recently.
Post balance sheet event
On 30 July 2012, the Company acquired RealTime Health Limited, a UK supplier of patient flow management software to the NHS, 
for consideration of up to £7,200,000. Further details are set out in Note 29.
Directors
T H Osborne (Executive Chairman)
I J Bowles (Chief Executive Officer) 
C D Gale (Chief Financial Officer) 
A A Swann (Business Development Director) 
J I Lang (Non-Executive Director)
1
M J S Loveland (Non-Executive Director)
1
R J Morgan-Evans (Non-Executive Director) (Resigned 14 September 2011)
A R D Pringle (Non-Executive Director)
1
R W King (Non-Executive Director)
2
 
1 Member of the Audit Committee, Remuneration Committee and Nomination Committee.
2 Member of the Audit Committee and Remuneration Committee. Allocate Software plc 
Annual Report 2012
25
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Directors and their shareholdings
The Directors who served during the year and their interests in the shares of the Company, held directly or indirectly on behalf of the 
Directors, as recorded in the register of Directors’ interests were as follows:
5p ordinary shares
31 May 2012 1 June 2011
T H Osborne 50,000 50,000
I J Bowles 348,500 348,500
C D Gale – –
A A Swann 1,119,000 1,119,000
J I Lang 566,437 566,437
M J S Loveland 1,550,000 1,550,000
R J Morgan-Evans 182,318 –
A R D Pringle 7,000 7,000
R W King 50,000 50,000
Details of Directors’ interests in options to acquire shares of the Company are set out in the remuneration section of this report.
The Board has resolved to comply with the provisions of the UK Corporate Governance Code concerning the annual election of 
directors. Accordingly, all members of the Board will retire and seek re-election at this year’s AGM.
Substantial shareholdings
At 30 June 2012 notification had been received of the following interests that exceed a 3% interest in the issued share capital of the 
Company, in addition to those of the Directors referred to above.
Name of holder Number
% of issued 
share capital
Herald Investment Management 11,736,477 18.4
BlackRock Investment Management (UK) 8,035,000 12.6
Artemis Fund Managers 6,095,550 9.6
Hargreave Hale 5,375,631 8.4
SVG Capital 5,214,847 8.2
Jupiter Asset Management 4,442,329 7.0
Henderson Global Investors 4,233,924 6.6
Allianz Global Investors KAG 2,000,000 3.1
Relations with shareholders
The Company encourages two way communications with both institutional and private investors and responds promptly to queries 
received. All shareholders have at least 21 working days notice of the AGM. The Directors and Committee Chairs are introduced and 
are available for questions at the AGM. Every shareholder receives a full Annual Report each year-end. The preliminary and interim 
results are published by the Regulatory News Service and on the Company’s website.
Care is exercised to ensure that any price sensitive information is released to all shareholders, institutional and private, at the same 
time in accordance with the Financial Services Authority’s requirements.
Corporate governance
While, as an AIM listed company, there is no requirement to comply with the UK Corporate Governance Code and the Turnbull 
Guidance, the Board has applied the Code and the Guidance as it feels appropriate for a Company of this size.
In applying the principle that the Board should maintain a sound system of internal control to safeguard shareholders’ investments 
and the Group’s assets, the Directors recognise that they have overall responsibility for ensuring that the Group maintains proper 
accounting records and a system of internal control to provide them with reasonable assurance regarding effective and efficient 
operations, internal financial control and compliance with laws and regulations. However, there are inherent limitations in any system 
of internal control and, accordingly, even the most effective system can provide only reasonable and not absolute, assurance 
particularly against misstatement or loss. Allocate Software plc 
Annual Report 2012
26
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Board responsibilities
The Board has adopted a formal schedule which sets out the various matters for which it is responsible and that are reserved to it. 
The Board meets regularly during the year and it met formally on four occasions, plus held eight telephone meetings, during the 
period from 1 June 2011 to 31 May 2012.
The Board is responsible for the overall strategy and direction of the Group and for approving acquisitions and disposals, 
management performance, major capital and development expenditure and significant financial matters. It monitors exposure to key 
business risks and reviews the strategic direction of the Company and its subsidiaries, their annual budgets, their progress against 
those budgets and their development programmes. The Board also considers employee issues and key appointments.
The Board has established an Audit Committee, a Nomination Committee and a Remuneration Committee. Each Committee 
operates within defined terms of reference. The Nomination Committee comprises J I Lang, A R D Pringle and M J S Loveland, 
Non-Executive Directors. The Audit and Remuneration Committees consist of R W King, J I Lang, A R D Pringle and M J S Loveland, 
Non-Executive Directors. The Audit Committee is chaired by R W King, the Nomination Committee is chaired by A R D Pringle and 
the Remuneration Committee is chaired by J I Lang. The Audit Committee is required to meet at least twice a year and its primary 
responsibilities include monitoring internal controls, approving the Group’s accounting policies and reviewing the interim and  
annual reports. 
Board meeting attendance has been as follows in 2012:
Board 
Meetings
Audit 
Committee 
Meetings
Remuneration 
Committee 
Meetings
Nomination 
Committee 
Meetings
T H Osborne 12/12
I J Bowles 12/12
C D Gale 12/12
A A Swann 8/12
J I Lang
1
11/12 4/4 5/5
4
M J S Loveland
1
11/12 2/4 4/5
4
R J Morgan-Evans
3
4/5
A R D Pringle
1
8/12 1/4 4/5
4
R W King
2
8/12 4/4 5/5
1 Member of the Audit, Remuneration and Nomination Committees.
2  Member of the Audit and Remuneration Committees.
3  Resigned 14 September 2011.
4 During the year ended 31 May 2012 there were no meetings of the Nomination Committee.
Clear management responsibilities have been determined for each subsidiary and division with authorisation limits and segregation 
of duties established for the operating functions of the Group. Financial reports are reported regularly to the Board with a 
comparison against budget in addition to quarterly income statement and cash forecasts. Towards the end of each financial year,  
the annual business plan, as well as appropriately detailed functional and business unit budgets for the following year, are reviewed 
by the Board.
Financial risk management
The Company uses various financial instruments, which include loans, cash and other items such as trade debtors and trade  
creditors that arise directly from its operations. The main purpose of these financial instruments is to raise finance for the  
Company’s operations.
The existence of these financial instruments exposes the Company to a number of financial risks. These are currency risk, liquidity 
risk, interest rate risk and credit risk. The Directors review and agree policies for managing each of these risks and they are 
summarised below. These policies have remained unchanged from previous years.
Currency risk
The Company is exposed to translation and transaction foreign exchange risk. In relation to translation risk, so far as possible,  
the assets held in the foreign currency are matched to an appropriate level of borrowings or liabilities in the same currency. 
Approximately 51% (2011: 50%) of the Group’s sales are to customers overseas and in currencies other than UK Sterling. The 
Company’s policy is to try to match the timing of all foreign currency transactions to eliminate, so far as possible, currency 
exposures. Foreign exchange differences on transactions relating to foreign currency assets and liabilities are taken to the income 
statement of the Group. 
Report of the Directors continued Allocate Software plc 
Annual Report 2012
27
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
The table below shows the net amount of foreign currency assets and liabilities, which expose the Group to foreign exchange risk. 
Swedish 
Krona 
£’000
Australian 
Dollars 
£’000
US 
Dollars 
£’000
Other
 £’000
2012 549 556 897 502
2011 259 1,709 1,302 347
Liquidity
The Company seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs and to invest cash 
assets safely and profitably. Additionally, the Company has entered into loan arrangements with HSBC. At year end, the loan in place 
had a value of £4.0m (2011: £2.0m).
A cash forecast is updated regularly and provided to the Board quarterly in order to monitor the Group’s medium term cash position 
and to identify funding requirements as appropriate.
Risk management
Given the size of the Company and the close involvement of the Executive Directors in all its activities, the Directors do not consider 
that an internal audit function is necessary.
The Board has identified the following key risks which are controlled as set out below:
Customer retention
The Board recognises the importance of maintaining positive and enduring customer relationships. As such, the Board reviews 
customer support performance measures each quarter in addition to monitoring the investment in customer support of both staff 
and others, including systems.
Product quality and services delivery
In order to ensure the quality of its product and service delivery the Group has a Quality Management System which is registered 
with the British Standard Institute as ISO 9001 compliant. In addition, a formal programme is being reviewed to bring the Group into 
certification under ISO 27001.
Product development and intellectual property
A new global hosting and networking infrastructure was introduced this year in partnership with a highly respected Tier 1 vendor  
to make more robust the Group’s physical operations for server security, network security and protection of confidential data.  
In addition, work is continuing to examine the legal and taxation implications of our ownership of intellectual property, given the 
recent acquisitions that have been made, particularly with respect to those located in overseas territories.
Forecast and pipeline review
The Board regularly reviews the status of the outstanding sales forecast and pipeline. This information is then taken into account in 
considering and evaluating future business and investment activity.
Cost management
As specified in the Board powers, significant investment decisions, including capital expenditure, are considered by the Board for 
authorisation. Appropriate management accounts are prepared and presented monthly and quarterly, which review business metrics 
and the Income Statement, actual and budget, with significant variances identified.
International taxation and foreign exchange
The Board recognises that as the proportion of the Group’s revenues and profits earned outside of the UK rises, that additional 
consideration needs to be given to matters of international taxation and also foreign exchange. As a result of this, an international 
transfer pricing study from a firm of experts commissioned by the Board is under way, which will provide an appropriate framework 
for future risk management.  Allocate Software plc 
Annual Report 2012
28
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Key Performance Indicators (KPIs)
The following financial and non-financial KPIs are used by the Board and management to monitor the performance of the business:
2008 2009 2010 2011 2012
Total revenue (£m) 11.6 15.8 22.0 30.1 36.6
Licence and subscription revenue (£m) 5.8 7.6 9.3 13.3 15.4
Healthcare revenue (£m) 6.6 11.1 14.8 23.1 26.2
Recurring revenue (£m) – – 6.9 11.5 15.6
EBITDA 2.0 2.7 3.7 5.8 6.4
EBITDA % of revenue 17.2% 17.1% 16.8% 19.3% 17.5%
Cash generated from operations (£m) 2.3 1.8 4.9 5.9 5.4
Non-financial indicators include:
•	 Customer satisfaction levels
•	 New customer acquisition and customer retention
•	 Employee turnover
The above mentioned indicators will be measured going forward.
Going concern basis
After review of the 2012 financial statements as well as the approved business plan for 2013 and cash flow forecasts, the Directors 
have formed the view, at the time of approving the accounts, that there is a reasonable expectation that the Group has adequate 
resources to continue in operational existence for the foreseeable future. For this reason the Directors continue to adopt the going 
concern basis in preparing the accounts.
Employees
During the year, the Group has continued to provide employees with relevant information and to seek their views on matters of 
common concern. Priority is given to ensuring that employees are aware of significant matters affecting the Group’s trading position 
and organisational changes, subject to Stock Exchange and other disclosure requirements.
It is the policy of the Group to support the employment of disabled employees where possible, both in recruitment and by retention 
of employees who become disabled while in the employment of the Group.
Remuneration committee 
The members of the Committee are Non-Executive Directors. The Company Chairman also attends on a regular basis.
During the year, the Committee has met formally on five occasions to review and agree Executive Directors’ basic salaries, annual 
bonuses and performance conditions, quarterly performance and award of bonuses, award of options, and the creation of a Long 
Term Retention Plan (LTRP) for the CEO. The Committee took advice from a remuneration adviser on the creation of the LTRP, and 
consulted a number of major shareholders.
The remuneration of the Non-Executive Directors is determined by the Board as a whole within limits set out in the Articles of 
Association.
Remuneration policy
The policy of the Group is to provide levels of remuneration that attract, motivate and retain Executive Directors of the high calibre 
required to achieve the Group’s demanding profitability and growth objectives and to reward them for enhancing shareholder value. 
The main elements of the remuneration package for Executive Directors and senior management are:
•	 Basic annual salary
•	 Annual performance related bonus
•	 Pension contribution and benefits in kind
•	 Share Option awards
•	 A LTRP for the CEO
Report of the Directors continued Allocate Software plc 
Annual Report 2012
29
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Directors’ remuneration
Basic annual salary
Salaries and bonuses are reviewed annually at the start of each financial year, and are paid as a fixed cash sum monthly. They are 
designed to be competitive with salaries for similar levels of responsibility and achievement in comparable companies. 
The increase in basic annual salary for 2012 ranged between 5% and 7.5%. No increase is planned for 2013.
Annual performance related bonus
The Company’s policy is that a substantial proportion of the remuneration of Executive Directors should be performance related. 
The total bonus pool is related to the total planned profit for the year.
The bonus elements are dependent on the Executive Directors achieving performance criteria set out by the Remuneration 
Committee. 
In 2012 the majority of the bonus was dependent on meeting demanding quarterly revenue and profit plans. Bonuses were also paid 
on meeting staff and customer satisfaction targets and an earnings per share target. 
For 2013 the majority of the bonus will again be dependent on meeting demanding quarterly revenue and profit plans. Bonuses will 
also be paid on meeting staff and customer satisfaction targets and a cost control target.
Pension contribution and benefits in kind
I J Bowles, C D Gale and A A Swann receive a pension contribution of 10% of basic salary and benefits in kind of car allowance, 
private medical cover and life cover. The value of the pension contributions and benefits in kind is shown in the table of Directors’ 
remuneration below.
Share Options
Share Option Plans
During the year ended 31 May 2012 there were five option schemes in operation: the Manpower Software plc Approved Share 
Option Scheme; the Manpower Software plc Unapproved Executive Share Option Scheme; Manpower Software plc Enterprise 
Management Scheme (an EMI scheme); the Allocate Software plc 2010 Executive Share Option Scheme (a CSOP scheme); and the 
Allocate Software plc 2010 Unapproved Share Option Scheme. The options vest three years after award conditional on meeting 
earnings per share targets.
LTRP
On 2 December 2011, the Company announced that the Board had, following consultation with the Company’s major shareholders, 
established a new long term incentive and retention plan for its CEO, I J Bowles (the Allocate Software plc 2011 Long Term  
Retention Plan). 
Under this plan, I J Bowles was awarded 1,000,000 nil-price options over Ordinary Shares in the Company which will vest between 
September 2014 and September 2016 subject to (a) the Company’s earnings per share increasing at or above a 15% annual 
compound growth rate and (b) a demanding absolute total shareholder return target against which options will vest on a sliding 
scale. 20% of the options will vest at a 15% annual compound total shareholder return (TSR) and the options will vest in full at or 
above a 25% annual compound TSR. Subject to the meeting of the performance criteria and to continuing employment, 600,000 
options will vest in September 2014 and a further 200,000 in each of September 2015 and September 2016. No consideration was 
paid for the grant of the options. The Company will continue to operate within its 15% rolling dilution limit. The new plan will entail 
the use of a trust so that existing issued shares can be purchased by the trustee in the market to satisfy any exercise of options.
The current holdings by Directors of options are shown in the table below.
At 1 June 
2011
Granted in 
the year
Exercised in 
the year
Lapsed in 
the year
At 31 May 
2012
T H Osborne 550,000 – – – 550,000
I J Bowles 1,600,000 1,000,000 – – 2,600,000
C D Gale 500,000 – – – 500,000
A A Swann 500,000 – – – 500,000
R J Morgan-Evans 540,000 – 440,000 – 100,000
A R D Pringle 50,000 – – – 50,000
3,740,000 1,000,000 440,000 – 4,300,000 Allocate Software plc 
Annual Report 2012
30
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Directors’ detailed emoluments and remuneration packages 
The remuneration of the Directors was as follows:
For the year ended 31 May 2012
Salary/Fees 
£’000
Bonus 
£’000
Benefits 
£’000
Total 
£’000
Pension 
£’000
Gain on 
exercise 
of options 
£’000
Executive Directors
I J Bowles 274 154 1 429 26 –
C D Gale 156 94 1 251 15 –
T H Osborne 45 27 – 72 – –
A A Swann 156 147 1 304 17 –
Non-Executive Directors
J I Lang 30 – – 30 – –
M J S Loveland 25 – – 25 – –
A R D Pringle 25 – – 25 – –
R J Morgan-Evans 20 – – 20 – 84
R W King 26 – – 26 – –
757 422 3 1,182 58 84
For the year ended 31 May 2011
Salary/Fees 
£’000
Bonus 
£’000
Benefits 
£’000
Total 
£’000
Pension 
£’000
Gain on 
exercise 
of options 
£’000
Executive Directors
I J Bowles 265 160 1 426 13 –
C D Gale 148 76 1 225 7 –
T H Osborne 45 32 – 77 – –
A A Swann 150 150 1 301 8 –
Non-Executive Directors
J I Lang 30 – – 30 – –
M J S Loveland 25 – – 25 – –
A R D Pringle 25 – – 25 – –
R J Morgan-Evans 25 – – 25 – 40
R W King
1
10 – – 10 – –
723 418 3 1,144 28 40
1 from date of appointment.
Directors’ service contracts
Executive Directors Contract date Unexpired term Notice period
I J Bowles 1 May 2007 Rolling 12 months
C D Gale 15 Feb 2010 Rolling 6 months
A A Swann 1 Jul 2008 Rolling 3 months
Other matters
I J Bowles has a service agreement which is terminable upon 12 months notice. All other Directors have service contracts which are 
terminable upon six months notice except for A A Swann on three months notice. There is no contractual provision for compensation 
for early termination of any of the Directors’ contracts.
The Board has resolved to comply with the provisions of the UK Corporate Governance Code concerning the annual election of 
Directors. Accordingly, all members of the Board will retire and seek re-election at this year’s AGM.
Report of the Directors continued Allocate Software plc 
Annual Report 2012
31
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
T H Osborne (Executive Chairman), J I Lang, A R D Pringle, M J S Loveland and R W King (Non-Executive Directors) monitor the 
actions of management and the Group’s performance. Other than their shareholdings, options and remuneration they have no other 
relationship with the Company or its subsidiaries. Together, they bring a complementary set of skills and experience to the Board.
Communication with shareholders on remuneration matters is largely undertaken by way of this report.
Executive Directors are permitted to accept external directorships only with the Company’s prior permission and provided their 
ability to act in the best interest of the Group is not impaired.
Statement of Directors’ responsibilities
The Directors are responsible for preparing the Report of the Directors and the financial statements in accordance with applicable 
law and regulations.
Company law requires the Directors to prepare financial statements for each financial year. Under that law the Directors have elected 
to prepare the financial statements in accordance with International Financial Reporting Standards as adopted by the European 
Union (IFRSs). Under company law the Directors must not approve the financial statements unless they are satisfied that they give  
a true and fair view of the state of affairs and profit or loss of the Company and Group for that period. In preparing these financial 
statements, the Directors are required to:
•	 Select suitable accounting policies and then apply them consistently
•	 Make judgements and accounting estimates that are reasonable and prudent
•	 State whether applicable IFRSs have been followed, subject to any material departures disclosed and explained in the financial 
statements
•	 Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue 
in business
The Directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company’s 
transactions and disclose with reasonable accuracy at any time the financial position of the Company and enable them to ensure that 
the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company 
and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as each of the Directors is aware: 
•	 There is no relevant audit information of which the Company’s auditors are unaware
•	 The Directors have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and 
to establish that the auditors are aware of that information
The Directors are responsible for the maintenance and integrity of the corporate and financial information included on the 
Company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may 
differ from legislation in other jurisdictions. 
Payment of creditors
The Group does not follow any published code or standard on payment practice in respect of any of its suppliers. The Group’s policy 
in respect of the majority of its trade creditors is to negotiate terms and conditions with the suppliers and, provided the suppliers 
comply with these, payments are made in accordance with the agreed terms and conditions. Where payment terms are not specifically 
agreed, suppliers are paid in accordance with local commercial practice. The average number of days’ credit for the year is 26 days 
(2011: 33 days).
Auditor
Grant Thornton UK LLP have offered to be reappointed as auditor in accordance with section 489 of the Companies Act 2006.
By order of the Board
C D Gale
Company Secretary
30 July 2012 Allocate Software plc 
Annual Report 2012
32
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
We have audited the financial statements of Allocate Software plc for the year ended 31 May 2012 which comprise the consolidated 
income statement, the consolidated statement of comprehensive income, the consolidated and company statements of financial 
position, the consolidated and company cash flow statements, the consolidated and company statements of changes in equity, the 
principal accounting policies and the related notes. The financial reporting framework that has been applied in their preparation is 
applicable law and International Financial Reporting Standards (IFRSs) as adopted by the European Union and, as regards the parent 
company financial statements, as applied in accordance with the provisions of the Companies Act 2006.
This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 
2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to  
state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume 
responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for  
the opinions we have formed.
Respective responsibilities of Directors and auditor
As explained more fully in the Directors’ Responsibilities Statement set out on page 31, the directors are responsible for the 
preparation of the financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit and 
express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and 
Ireland). Those standards require us to comply with the Auditing Practices Board’s (APB’s) Ethical Standards for Auditors.
Scope of the audit of the financial statements
A description of the scope of an audit of financial statements is provided on the APB’s website at www.frc.org.uk/apb/scope/private.cfm.
Opinion on financial statements
In our opinion:
•	 the financial statements give a true and fair view of the state of the group’s and of the parent company’s affairs as at 31 May 2012 
and of the group’s loss for the year then ended; 
•	 the group financial statements have been properly prepared in accordance with IFRSs as adopted by the European Union; 
•	 the parent company financial statements have been properly prepared in accordance with IFRSs as adopted by the European 
Union and as applied in accordance with the provisions of the Companies Act 2006; and
•	 the financial statements have been prepared in accordance with the requirements of the Companies Act 2006.
Opinion on other matter prescribed by the Companies Act 2006
In our opinion the information given in the Directors’ Report for the financial year for which the financial statements are prepared  
is consistent with the financial statements.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if,  
in our opinion:
•	 adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been 
received from branches not visited by us; or
•	 the parent company financial statements are not in agreement with the accounting records and returns; or
•	 certain disclosures of directors’ remuneration specified by law are not made; or
•	 we have not received all the information and explanations we require for our audit.
David Miller
Senior Statutory Auditor
for and on behalf of Grant Thornton UK LLP
Statutory Auditor, Chartered Accountants
London 
30 July 2012
Independent Auditor’s Report to the members  
of Allocate Software plc Allocate Software plc 
Annual Report 2012
33
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Basis of preparation
The Group financial statements are for the year ended 31 May 2012. They have been prepared in compliance with IFRS and IFRS 
Interpretations Committee (IFRIC) interpretations as adopted by the European Union as at 31 May 2012.
Allocate Software plc, is a public limited company, incorporated and domiciled in the United Kingdom and is listed on the AIM 
market of the London Stock Exchange. The address of the registered office is 180 Piccadilly, London, W1J 9ER.
The Group has adopted the following new interpretations, revisions and amendments to IFRS issued by the International 
Accounting Standards Board, which are relevant to and effective for the Group’s financial statements for the annual period 
beginning 1 June 2011
Standard/interpretation Content
Applicable for financial 
years beginning on/after 
IAS 24 (revised) Related party transactions 1 January 2011
IAS 24 (revised), ‘Related Party Transactions’
The IASB issued an amendment to IAS 24 that clarifies the definitions of a related party. The new definitions emphasise a 
symmetrical view of related party relationships and clarifies the circumstances in which persons and key management personnel 
affect related party transactions of an entity. In addition, the amendment introduces an exemption from the general related party 
disclosure requirements with government and entities that are controlled, jointly controlled or significantly influenced by the same 
government as the reporting entity. The adoption of the amendment did not have any impact on the financial position or 
performance of the Group.
‘Improvements to IFRS’ (issued in May 2010)
In May 2010, the IASB issued its third omnibus of amendments to its standards, primarily with a view to removing inconsistencies and 
clarifying wording. There are separate transitional provisions for each standard. The adoption of these amendments has not resulted 
in any changes in the Group’s accounting policies and has no impact on the financial position or performance of the Group.
Standards, amendments and interpretations to existing standards that are not yet effective and have not been early 
adopted by the Group in the 31 May 2012 financial statements
At the date of authorisation of these financial statements certain new Standards, amendments and Interpretations to existing 
standards have been published but are not yet effective. The Group has not early adopted any of these pronouncements. The new 
Standards, amendments and Interpretations that are expected to be relevant to the Group’s financial statements are as follows:
Standard/Interpretation Content
Applicable for financial 
years beginning on/after 
IAS 1 Financial Statement Presentation 1 July 2012 
IAS 27 Separate Financial Statements 1 January 2013
IFRS 9 Financial Instruments: Classification and Measurement 1 January 2013 
IFRS 10 Consolidated Financial Statements 1 January 2013 
IFRS 13 Fair Value Measurement 1 January 2013 
IAS 1, ‘Presentation of Financial Statements’
The IAS 1 Amendments require an entity to group items presented in other comprehensive income into those that, in accordance 
with other IFRSs: (a) will not be reclassified subsequently to profit or loss and (b) will be reclassified subsequently to profit or loss 
when specific conditions are met. It is applicable for annual periods beginning on or after 1 July 2012. The Group’s management 
does not expect this will change the current presentation of items in other comprehensive income, nor will it affect the measurement 
or recognition of such items.
Consolidation standards
A package of consolidation standards are effective for annual periods beginning on or after 1 January 2013. Information on those 
new standards relevant to the Group is presented below. The Group’s management have yet to assess the impact of these new and 
revised standards on the Group’s consolidated financial statements.
IAS 27, ‘Separate Financial Statements’
As a consequence of the new IFRS 10 and IFRS 12, what remains in IAS 27 is limited to accounting for subsidiaries, jointly controlled 
entities, and associates in separate financial statements.
Principal accounting policies Allocate Software plc 
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IFRS 10, ‘Consolidated Financial Statements’
IFRS 10 supersedes IAS 27 ‘Consolidated and Separate Financial Statements’ and SIC 12 ‘Consolidation – Special Purpose Entities’.  
It revises the definition of control together with accompanying guidance to identify an interest in a subsidiary. However, the 
requirements and mechanics of consolidation and the accounting for any non-controlling interest and changes in control remain  
the same.
IFRS 9, ‘Financial Instruments’
The IASB aims to replace IAS 39 ‘Financial Instruments: Recognition and Measurement’ in its entirety. IFRS 9 is being issued in 
phases. To date, the chapters dealing with recognition, classification, measurement and derecognition of financial assets and 
liabilities have been issued. These chapters are effective for annual periods beginning 1 January 2013. Further chapters dealing with 
impairment methodology and hedge accounting are still being developed. The Group’s management have yet to assess the impact 
of this new standard on the Group’s consolidated financial statements. However, they do not expect to implement IFRS 9 until all of 
its chapters have been published and they can comprehensively assess the impact of all of the changes. 
IFRS 13 ‘Fair Value Measurement’
IFRS 13 does not affect which items are required to be fair valued, but clarifies the definition of fair value and provides related 
guidance and enhanced disclosures about fair value measurements. It is applicable for annual periods beginning on or after  
1 January 2013. The Group’s management have yet to assess the impact of this new standard.
In 2012, the Group did not early adopt any new or amended standards and does not plan to early adopt any of the standards issued 
not yet effective.
The principal accounting policies adopted by the Group in conformity with IFRS in force at 31 May 2012 are set out below: 
Consolidation
(i) Subsidiaries
Subsidiaries are all entities over which the Group has the power to govern the financial and operating policies generally 
accompanying a shareholding of over one-half of the voting rights. The existence and effect of potential voting rights that are 
currently exercisable or convertible are considered when assessing whether the Group controls another entity. Subsidiaries are  
fully consolidated from the date on which control is transferred to the Group. They are deconsolidated on the date control ceases.
The Group uses the purchase method of accounting for the acquisition of a subsidiary. The cost of an acquisition is measured by the 
fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange. Costs directly 
attributable to the acquisition are expensed in the period in which they are incurred. Where the purchase price includes amounts 
payable contingent on key staff retentions this is treated as remuneration and not consideration in line with the requirements of IFRS 
3 ‘Business Combinations’. This does not form part of the cost of acquisition and is instead expensed to the Income Statement on  
a straight line basis over the period of the intended staff retentions as defined in the purchase agreement. This charge is included 
within the ‘Acquisitions and related costs’ line of the Income Statement. 
Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their 
fair values at the acquisition date irrespective of the extent of any minority interest. The excess of the cost of acquisition over the fair 
value of the Group’s share of the identifiable net assets acquired is recorded as goodwill. If the cost of the acquisition is less than the 
fair value of the net assets of the subsidiary acquired the difference is recognised directly in profit or loss.
Inter-company transactions, balances and unrealised gains and losses on transactions between Group companies are eliminated.
(ii) Employee Benefit Trust
During the year the Company has formed a trust with Ogier Employee Benefit Trustee Limited as trustee to operate in connection 
with the Group’s LTRP. This trust is consolidated, as the substance of the relationship is that the trust is controlled by the Group.
Shares held by the Employee Benefit Trust are deducted from contributed equity. At 31 May 2012, the Employee Benefit Trust did 
not hold any shares in the Company.
Investments
Investments held as non-current assets comprise investments in subsidiary undertakings and are stated at cost less any provision  
for any impairment. 
Revenue recognition
General
Revenue is the fair value of the total amount receivable by the Group for supplies of services which are provided in the normal course 
of business. VAT or similar local taxes and trade discounts are excluded.
Principal accounting policies continued Allocate Software plc 
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Revenue from the provision of services is recognised by reference to the stage of completion of the transaction at the statement  
of financial position date. The outcome of a transaction can be estimated reliably when all the following conditions are satisfied:
(a) the amount of revenue can be measured reliably;
(b) it is probable that the economic benefits associated with the transaction will flow to the entity;
(c) the stage of completion of the transaction at the statement of financial position date can be measured reliably; and
(d) the costs incurred for the transaction and the costs to complete the transaction can be measured reliably.
Licensing
The Group licenses software under non-cancellable licence agreements. Licence fee revenues are recognised when a non-cancellable 
licence agreement has been signed, there are no uncertainties surrounding product acceptance, there are no significant vendor 
obligations, the fees are fixed and determinable and collection is considered probable. 
Where appropriate, the Group allocates a portion of contracted fees to post-contract activities covered under the contract, which 
may include installation assistance, training services and first year maintenance.
Subscription fees
The Group sells managed services under a Software as a Service (SaaS) subscription model. This fee is invoiced in advance and 
recognised on a straight line basis over the term of the contract. The revenue which is not yet recognised as at the balance sheet 
date is classified as deferred income in the statement of financial position. 
Professional services
The Group provides professional services which include installation, consulting, and training. Revenues for training or consulting 
services are recognised as the services are performed. 
Product support
Revenues from support agreements are recognised over the support period.
Segmental reporting 
Operating segments are reported in a manner consistent with the internal reporting provided to the Chief Operating Decision 
Maker (CODM). The CODM is the person or group that allocates resources to and assesses the performance of the operating 
segments of an entity. The Group has determined that its CODM is the Board of Directors of the Group.
The measurement policies the Group uses for segment reporting under IFRS 8 are the same as those used in its financial statements.
Foreign currency translation
a) Functional and presentation currency
 Items included in the financial statements of each of the Group’s entities are measured using the currency of the primary 
economic environment in which the entity operates (the functional currency). The Company’s functional currency is Sterling.  
The Company’s and the Group’s presentation currency is Sterling.
b) Transactions and balances
 Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the 
transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at 
reporting period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit 
or loss, except where the gains and losses are attributable to part of the net investment in a foreign operation. Where gains and 
losses are attributable to part of the net investment in a foreign operation, these gains and losses are recognised through other 
comprehensive income.
c) Group companies 
 The results and financial position of all Group entities that have a functional currency different from the presentation currency are 
translated into the presentation currency as follows:
•	 Assets and liabilities for each statement of financial position presented are translated at the closing rate at the date of the 
statement of financial position
•	 Income and expenses for each income statement are translated at actual rates, the average exchange rate is used as an 
acceptable approximation where there are no significant rate fluctuations during the period
•	 On consolidation, exchange differences arising from the translation of the net investment in foreign entities is recognised  
in other comprehensive income and accumulated in the foreign exchange reserve
 Goodwill and fair value adjustments arising on the acquisition of a foreign operation are treated as assets and liabilities of the 
foreign operation and translated at the closing rate.
  Allocate Software plc 
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Intangible assets
Internally generated intangibles
An internally generated intangible asset arising from the development of software is recognised only if all of the following conditions 
are met:
•	 It is probable that the asset will create future economic benefits
•	 The development costs can be measured reliably
•	 The technical feasibility of completing the intangible asset can be demonstrated
•	 There is the intention to complete the asset and use or sell it
•	 There is the ability to use or sell the asset
•	 Adequate technical, financial and other resources to complete the development and to use or sell the asset are available
Where no intangible asset can be recognised, development expenditure is charged to the income statement in the period in which 
it is incurred.
Subsequent to initial recognition, intangible assets are reported at cost less accumulated amortisation and accumulated impairment losses. 
Amortisation is provided to write off the cost of each intangible asset over its useful economic life, which is between three to five years. 
Research expenditure is recognised as an expense in the period in which it is incurred.
Intangibles acquired as part of a business combination
In accordance with IFRS 3 ‘Business Combinations’, an intangible asset acquired in a business combination is deemed to have a cost 
to the Group of its fair value at the acquisition date. The fair value of the intangible asset reflects market expectations about the 
probability that the future economic benefits embodied in the asset will flow to the Group. Where an intangible asset might be 
separable, but only together with a related tangible or intangible asset, the group of assets is recognised as a single asset separately 
from goodwill where the individual fair values of the assets in the Group are not reliably measurable. Where the individual fair values 
of the complementary assets are reliably measurable, the Group recognises them as a single asset provided the individual assets 
have similar useful lives.
Subsequent to initial recognition, intangible assets are reported at cost less accumulated amortisation and accumulated impairment 
losses. Amortisation is provided to write off the cost of each intangible asset over its useful economic life, which is between three to 
eight years. 
Goodwill
Goodwill arising from business combinations is the difference between the fair value of the consideration transferred and the fair 
value of the assets acquired and liabilities and contingent liabilities assumed. It is recognised initially as an intangible asset at cost 
and is subject to impairment testing on an annual basis or more frequently if circumstances indicate that the asset may have been 
impaired. Details of impairment testing are described in the accounting policies. 
Where the Company acquires the trade, assets and liabilities of its subsidiaries, goodwill is recognised on the excess of the carrying 
value of the Company’s investment in the subsidiary over the carrying value of the assets and liabilities acquired. This excess amount 
is recognised as goodwill rather than a diminution in the carrying value of the Company’s investment in the subsidiary because there 
is no change in the value of the trade and assets of the Company and its subsidiary as a whole, only a movement of trade and assets 
to the Company from its subsidiary. 
Property, plant and equipment
Property, plant and equipment are recorded at cost net of accumulated depreciation and any provision for impairment. Depreciation 
is provided using the straight line method to write off the cost of the asset less any residual value over its useful economic life as follows: 
Equipment    33%
Leasehold improvements   25%
Long leasehold property (999 years)  nil
Impairment
The Group’s goodwill, other intangible assets and property, plant and equipment are subject to impairment testing.
For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash 
flows (cash generating units). Goodwill is allocated to those cash generating units that are expected to benefit from synergies of the 
related business combination and represent the lowest level within the Group at which management controls the related cash flows. 
Individual assets or cash generating units are tested for impairment whenever events or changes in circumstances indicate that the 
carrying amount may not be recoverable.
Principal accounting policies continued Allocate Software plc 
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An impairment loss is recognised for the amount by which the assets or cash generating unit’s carrying amount exceeds its 
recoverable amount. The recoverable amount is the higher of fair value, reflecting market conditions less costs to sell and value  
in use, based on an internal discounted cash flow evaluation. Impairment losses recognised for cash generating units, to which 
goodwill has been allocated, are credited initially to the carrying amount of goodwill. Any remaining impairment loss is charged  
pro rata to the other assets in the cash generating unit. With the exception of goodwill, all assets are subsequently reassessed for 
indications that an impairment loss previously recognised may no longer exist. 
Leases
All leases are regarded as operating leases and payments made under operating leases are charged to profit or loss on a straight 
line basis over the period of the lease. The Group does not act as a lessor.
Financial assets
Financial assets comprise loans and receivables and are assigned to the appropriate category by management on initial recognition, 
depending on the contractual arrangements. Loans and receivables are non-derivative financial assets which are recognised when 
the Group becomes a party to the contractual provisions of the instrument and measured at fair value plus transaction costs. Trade 
and other receivables are classified as loans and receivables. Subsequent to initial recognition, loans and receivables are measured 
at amortised cost using the effective interest method less any provision for impairment. Any change in value resulting from 
impairment or the reversal of impairment is recognised in profit or loss.
Provision against trade receivables is made when there is objective evidence that the Group will not be able to collect all amounts 
due to it in accordance with the original terms of those receivables. The amount by which they are written down is determined as  
the difference between the receivables carrying amount and the present value of the estimated future cash flows discounted at  
the original effective interest rate.
Derecognition of financial assets occurs when the rights to receive cash flows from the investments expire or are transferred and 
substantially all of the risks and rewards of ownership have been transferred. An assessment for impairment is undertaken at least  
at each statement of financial position date whether or not there is objective evidence that a financial asset or a group of financial 
assets is impaired.
Financial liabilities
The Group’s financial liabilities include bank loans and overdrafts, trade and other payables. 
Financial liabilities are obligations to pay cash or other financial assets and are recognised when the Group becomes a party to  
the contractual provisions of the instrument. All financial liabilities are recorded initially at fair value, net of direct issue costs and 
subsequently measured at amortised cost using the effective interest method, less settlement payments. Interest related charges 
are recognised as an expense in finance costs in the income statement.
Finance charges, including premiums payable on settlement or redemption and direct issue costs are charged to the income 
statement on an accruals basis using the effective interest method. They are added to the carrying amount of the instrument  
to the extent that they are not settled in the period in which they arise.
A financial liability is derecognised only when the obligation is discharged, cancelled or expires.
Dividend distributions to shareholders are included in ‘Other short term financial liabilities’ when the dividends are approved  
by the shareholders meeting.
Income taxes
Current income tax assets and liabilities comprise those obligations to fiscal authorities in the countries in which the Group carries 
out its operations. They are calculated according to the tax rates and tax laws applicable to the fiscal period and the country to 
which they relate. All changes to current tax liabilities are recognised as a component of tax expense in the income statement. 
Deferred income taxes are calculated using the liability method on temporary differences. This involves the comparison of the 
carrying amount of assets and liabilities in the consolidated financial statements with their respective tax bases. 
However, deferred tax is not provided on the initial recognition of goodwill, or on the initial recognition of an asset or liability  
unless the related transaction is a business combination or affects tax or accounting profit. Deferred tax on temporary differences 
associated with investments in subsidiaries is not provided if reversal of these temporary differences can be controlled by the  
Group and it is probable that reversal will not occur in the foreseeable future.
Deferred tax liabilities are always provided for in full. Deferred tax assets are recognised to the extent that it is probable that future 
taxable profits will be available against which the temporary differences can be utilised. Deferred tax assets and liabilities are 
calculated at tax rates that are expected to apply to their respective period of realisation, provided they are enacted or substantively 
enacted at the statement of financial position date. Allocate Software plc 
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The deferred tax asset relating to share based payment awards reflects the estimated value of tax relief available on the vesting  
of the awards at the balance sheet date.
Cash and cash equivalents
Cash and cash equivalents include cash at bank and in hand as well as short term bank deposits. 
Share-based employee compensation
The Group operates equity settled share-based compensation plans (share options) for remuneration of its employees.
All employee services received in exchange for the grant of any share-based compensation are measured at their fair values. These 
are indirectly determined by reference to the share option awarded. Their value is appraised at the grant date and excludes the 
impact of any non-market vesting conditions (e.g. profitability or sales growth targets) but includes the impact of market conditions.
All share-based compensation is ultimately recognised as an expense in the income statement with a corresponding credit to 
share-based payment reserve, net of deferred tax where applicable. If vesting periods or other vesting conditions apply, the 
expense is allocated over the vesting period, based on the best available estimate of the number of shares options expected to vest. 
Non-market vesting conditions are included in assumptions about the number of options that are expected to become exercisable. 
Estimates are subsequently revised if there is any indication that the number of share options expected to vest differs from previous 
estimates. No adjustment to expenses recognised in prior periods is made if fewer share options ultimately are exercised than 
originally estimated during the vesting period.
(i) Share option plans
The Group operates five share option schemes: two HMRC Approved Schemes, two schemes which have not been approved by 
HMRC and an Enterprise Management Incentive Scheme.
The Company issues shares when these options are exercised. Upon exercise of share options, the proceeds received, net of any 
directly attributable transaction costs, up to the nominal value of the shares issued are reallocated to share capital with any excess 
being recorded as additional share premium.
(ii) Long term incentive plan
In addition to the share option plans above, during the year the Group established a LTRP. The LTRP operates in conjunction with the 
Allocate Software plc Employee Benefit Trust (Trust). The trustees of the Trust acquire shares in the Company over time to meet the 
exercise requirements of the LTRP. Options are granted to participants by the Company, and when exercised the trustee of the Trust 
transfers the appropriate amount of shares to the employee. The proceeds received net of any transaction costs are credited directly 
to equity.
Equity
Equity comprises the following:
•	 ‘Share capital’ represents the nominal value of equity shares
•	 ‘Share premium’ represents the excess over nominal value of the fair value of consideration received for equity shares, net of 
expenses of the share issue
•	 ‘Share-based payment reserve’ represents equity-settled share-based employee and non-employee remuneration until such 
share options are exercised
•	 ‘Retained earnings’ represents retained profits and losses
•	 ‘Foreign exchange reserve’ represents translation differences arising on the consolidation of investments in overseas subsidiaries
 
Principal accounting policies continued Allocate Software plc 
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Use of accounting estimates and judgements
Many of the amounts included in the financial statements involve the use of judgement and/or estimation. These judgements and 
estimates are based on management’s best knowledge of the relevant facts and circumstances, having regard to prior experience, 
but actual results may differ from the amounts included in the financial statements. Information about such judgements and 
estimation is contained in the accounting policies and/or the notes to the financial statements and the key areas are summarised 
below.
Judgements in applying accounting policies:
Corporate acquisitions require the Directors to make judgements regarding the value of the net assets that have been acquired. 
Specifically, to value the amount of future service revenues that are likely to flow from the current customer base. 
Management make judgements as to which costs incurred meet the requirements of IAS 38 ‘Intangible Assets’ and are therefore 
capitalised. 
Sources of estimation uncertainty:
Depreciation and amortisation rates are based on estimates of the useful economic lives and residual values of the assets involved. 
The assessment of these useful economic lives is made by projecting the economic lifecycle of the asset and, particularly for 
computer software intangibles, this is subject to alteration as a result of product development and innovation. Depreciation and 
amortisation rates are changed where economic lives are reassessed and technically obsolete items written off where necessary. 
Refer to Notes 11 and 13.
Estimates are required as to asset carrying values and impairment charges. Full details are shown in Note 14.
The estimation of share-based payment costs requires the selection of an appropriate valuation model and consideration as to the 
inputs necessary for the valuation model chosen. The Group has made estimates as to the volatility of its own shares, the probable 
life of options granted and the time of exercise of those options. The models used by the Group are the Black-Scholes and Monte 
Carlo valuation models. Full details are shown in Note 19.
Business combinations:
On initial recognition, the assets and liabilities of the acquired business are included in the consolidated statement of financial 
position at their provisional fair values. In measuring fair value, management uses estimates about future cash flows and discount 
rates, however, actual results may vary. Management also uses a best estimate to determine the future payable contingent 
consideration. Details of acquired assets and liabilities are given in Note 21.
Contingent consideration:
Where contingent consideration is payable in cash and discounting would have a material effect, the liability is discounted to its 
present value. Where the deferred consideration is contingent and dependent upon future trading performance, an estimate of  
the fair value of the likely consideration payable is made. See Note 21. Allocate Software plc 
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Notes
2012 
£’000
2011 
£’000
Licence revenue 10,413 10,177
Subscription revenue 4,993 3,169
15,406 13,346
Support revenue 10,121 8,067
Service revenue 10,620 8,387
Other revenue 502 313
Total revenue 1 36,649 30,113
Costs of goods sold (11,069) (9,180)
Research and development (6,789) (4,558)
Sales, general and administration (12,394) (10,537)
Total costs before interest, tax, depreciation, amortisation, share based payments and 
acquisition costs (30,252) (24,275)
EBITDA before share based payments and acquisition costs 6,397 5,838
Acquisition costs 3 (1,754) (64)
Share based payments (477) (150)
Depreciation (395) (331)
Amortisation (4,538) (4,427)
Impairment 14 (3,935) –
Total costs (41,351) (29,247)
Operating (loss)/profit 2, 3 (4,702) 866
Finance income 5 108 49
Foreign exchange gains/(losses) 3 231 (140)
Finance charges 6 (123) (28)
Net finance income/(expense) 216 (119)
(Loss)/profit for the year before taxation 2 (4,486) 747
Tax on (loss)/profit for the year 7 1,089 50
(Loss)/profit for the year (3,397) 797
(Loss)/earnings per share 10
Basic (pence per share) (5.35p) 1.28p
Diluted (pence per share) (5.35p) 1.24p
Consolidated statement of comprehensive income
For the year ended 31 May 2012
2012 
£’000
2011 
£’000
(Loss)/profit per the income statement (3,397) 797
Exchange differences on translation of foreign operations (951) 1,165
Total comprehensive (loss)/income attributable to the owners of the Company (4,348) 1,962
Consolidated income statement
For the year ended 31 May 2012 Allocate Software plc 
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Consolidated statement of financial position
As at 31 May 2012
Notes
2012 
£’000
2011 
£’000
Non-current assets
Property, plant and equipment 11 908 763
Goodwill 12 6,939 2,935
Intangible assets 13 9,661 12,960
Other financial assets 60 66
Deferred tax asset 16 561 1,030
Total non-current assets 18,129 17,754
Current assets
Corporation tax receivable 120 52
Trade and other receivables 17 14,838 10,632
Cash and cash equivalents 8,338 10,398
Total current assets 23,296 21,082
Total assets 41,425 38,836
Equity and liabilities
Equity
Share capital 18 3,192 3,154
Share premium account 18 7,908 7,752
Share-based payment reserve 19 1,035 694
Foreign exchange reserve 367 1,318
Retained earnings 3,258 6,655
Total equity 15,760 19,573
Non-current liabilities
Borrowings 20 4,000 –
Deferred tax liability 16 2,129 3,012
Total non-current liabilities 6,129 3,012
Current liabilities
Trade and other payables 22 18,895 14,062
Borrowings 20 – 2,000
Corporation tax 641 189
Total current liabilities 19,536 16,251
Total liabilities 25,665 19,263
Total equity and liabilities 41,425 38,836
The financial statements were approved by the Board of Directors on 30 July 2012.
I J Bowles – Director    C D Gale – Director
Company no. 2814942 Allocate Software plc 
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Notes
2012 
£’000
2011 
£’000
Non-current assets
Property, plant and equipment 11 493 333
Goodwill 12 9,148 –
Intangible assets 13 783 1,279
Investments 15 16,018 19,324
Deferred tax asset 16 472 951
Total non-current assets 26,914 21,887
Current assets
Trade and other receivables 17 12,591 9,479
Cash and cash equivalents 4,726 4,958
Total current assets 17,317 14,437
Total assets 44,231 36,324
Equity and liabilities
Equity
Share capital 18 3,192 3,154
Share premium account 18 7,908 7,752
Share-based payment reserve 19 1,035 694
Retained earnings 12,726 13,843
Total equity attributable to the owners of the Company 24,861 25,443
Non-current liabilities
Borrowings 20 4,000 –
Total non-current liabilities 4,000 –
Current liabilities
Trade and other payables 22 15,361 8,881
Corporation tax 9 –
Borrowings 20 – 2,000
Total current liabilities 15,370 10,881
Total liabilities 19,370 10,881
Total equity and liabilities 44,231 36,324
The financial statements were approved by the Board of Directors on 30 July 2012.
I J Bowles – Director    C D Gale – Director
Company no. 2814942
Company statement of financial position
At 31 May 2012 Allocate Software plc 
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Share 
capital
£’000
Share 
premium
£’000
Share-based 
payment 
reserve
£’000
Foreign 
exchange 
reserve
£’000
Retained 
earnings
£’000
Total 
equity
£’000
At 1 June 2010 3,060 7,380 408 153 5,858 16,859
Equity settled share options 94 372 150 – – 616
Deferred tax on share options – – 136 – – 136
Total transactions with owners 94 372 286 – – 752
Profit for the year – – – – 797 797
Other comprehensive income – – – 1,165 – 1,165
Total comprehensive income – – – 1,165 797 1,962
At 31 May 2011 3,154 7,752 694 1,318 6,655 19,573
Equity settled share options 38 156 477 – – 671
Deferred tax on share options – – (136) – – (136)
Total transactions with owners 38 156 341 – – 535
Loss for the year – – – – (3,397) (3,397)
Other comprehensive (loss)/income – – – (951) – (951)
Total comprehensive (loss)/income – – – (951) (3,397) (4,348)
At 31 May 2012 3,192 7,908 1,035 367 3,258 15,760
Consolidated statement of changes in equity
For the year ended 31 May 2012 Allocate Software plc 
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Share 
capital
£’000
Share 
premium
£’000
Share-based 
payment 
reserve
£’000
Retained 
earnings
£’000
Total 
equity
£’000
At 1 June 2010 3,060 7,380 408 10,735 21,583
Equity settled share options 94 372 150 – 616
Deferred tax on share options – – 136 – 136
Total transactions with owners 94 372 286 – 752
Profit and total comprehensive income for the year – – – 3,108 3,108
At 31 May 2011 3,154 7,752 694 13,843 25,443
Equity settled share options 38 156 477 – 671
Deferred tax on share options – – (136) – (136)
Total transactions with owners 38 156 341 – 535
Loss and total comprehensive loss for the year – – – (1,117) (1,117)
At 31 May 2012 3,192 7,908 1,035 12,726 24,861
Company statement of changes in equity
For the year ended 31 May 2012 Allocate Software plc 
Annual Report 2012
45
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
2012 
£’000
2011 
£’000
Cash flow from operating activities
(Loss)/profit for the year (3,397) 797
Adjustments for:
Net finance charge/(income) 15 (21)
Foreign exchange (231) 140
Income tax (1,089) (50)
Loss/(profit) on disposal of intangible assets 12 (11)
Depreciation 395 331
Acquisition and related costs 1,754 64
Amortisation 4,538 4,427
Impairment of intangibles and goodwill 3,935 –
Share-based payment 477 150
Increase in trade and other receivables (2,628) (1,625)
Increase in trade and other payables 1,604 1,713
Net cash generated from operations before acquisition and related costs 5,385 5,915
Acquisition and related costs (1,544) (64)
Net cash generated from operations after acquisition and related costs 3,841 5,851
Interest expense (123) (28)
Income tax (301) (14)
Net cash generated by operating activities 3,417 5,809
Cash flows from investing activities
Interest received 108 49
Deferred consideration on prior acquisitions – (250)
Investment to acquire subsidiaries (8,664) –
Cash acquired with subsidiaries 1,843 –
Proceeds from disposal of intangible assets 50 181
Payments to acquire intangible assets (268) (368)
Payments for property, plant and equipment (485) (324)
Net cash used in investing activities (7,416) (712)
Cash flows from financing activities
Repayment of borrowings – (172)
Proceeds from loan 2,000 –
Proceeds from the issue of equity shares 194 466
Net cash generated by financing activities 2,194 294
Net (decrease)/increase in cash and cash equivalents (1,805) 5,391
Foreign exchange differences (255) (35)
Cash and cash equivalents at the start of the year 10,398 5,042
Cash and cash equivalents at the end of the year 8,338 10,398
Consolidated cash flow statement
For the year ended 31 May 2012 Allocate Software plc 
Annual Report 2012
46
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
2012 
£’000
2011 
£’000
Cash flow from operating activities
(Loss)/profit for the year (1,117) 3,108
Adjustments for:
Net finance (income)/charge (16) 16
Foreign exchange (110) (12)
Income tax 352 530
Loss/(profit) on disposal of intangible assets 12 (11)
Depreciation 294 224
Amortisation 599 573
Impairment of investment 3,935 –
Share-based payment 477 150
Increase in trade and other receivables (2,962) (2,772)
Increase in trade and other payables 6,633 858
Net cash generated from operations 8,097 2,664
Interest expense (116) (27)
Income tax – –
Net cash generated by operating activities 7,981 2,637
Cash flows from investing activities
Interest received 132 11
Deferred consideration on prior acquisitions – (250)
Investment to acquire subsidiary (7,680) –
Loan to Allocate Software Pty Limited (2,197) –
Proceeds from disposal of intangible assets 50 181
Payments to acquire intangible assets (268) (369)
Payments for property, plant and equipment (403) (230)
Net cash used in investing activities (10,366) (657)
Cash flows from financing activities
Repayment of borrowings – (172)
Proceeds from loan 2,000 –
Proceeds from the issue of equity shares 194 466
Net cash generated by financing activities 2,194 294
Net (decrease)/increase in cash and cash equivalents (191) 2,274
Foreign exchange differences (41) 25
Cash and cash equivalents at the start of the year 4,958 2,659
Cash and cash equivalents at the end of the year 4,726 4,958
Company cash flow statement
For the year ended 31 May 2012 Allocate Software plc 
Annual Report 2012
47
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
1. Revenue
Year ended 31 May 2012 Year ended 31 May 2011
Non-
recurring 
£’000
Recurring 
£’000
Total 
£’000
Non-
recurring 
£’000
Recurring 
£’000
Total 
£’000
Licence 10,413 – 10,413 10,177 – 10,177
Subscriptions – 4,993 4,993 – 3,169 3,169
Sub-total 10,413 4,993 15,406 10,177 3,169 13,346
Support – 10,121 10,121 – 8,067 8,067
Services 10,620 – 10,620 8,387 – 8,387
Other/hosting 59 443 502 35 278 313
Total revenue 21,092 15,557 36,649 18,599 11,514 30,113
Recurring revenue as a % of total revenue 42% 38%
Recurring revenue comprises subscriptions, support & maintenance and hosting revenues.
2. Segmental reporting
Management has determined the operating segments based on the revenue streams within the reports reviewed by the strategic 
decision maker comprising the Board of Directors. These segments are consistent with how the business is structured, managed and 
its resources are deployed by the Board.
Licence and subscription revenue represents revenue from the sale of non-cancellable software licence agreements and 
subscriptions associated with that software. Support and service revenue represents revenue from the provision of installation, 
consulting, training and product support.
2012
Licence 
£’000
Subscriptions 
£’000
Support 
£’000
Services 
£’000 
Hosting/
other 
£’000
Total 
£’000
Revenue 10,413 4,993 10,121 10,620 502 36,649
Costs of goods sold (827) (910) (2,049) (6,915) (368) (11,069)
Sub-total 9,586 4,083 8,072 3,705 134 25,580
Research and development costs (6,789)
Sales, general and administration
1
(23,493)
Operating loss (4,702)
Finance income 108
Foreign exchange gains 231
Finance charges (123)
Loss before tax (4,486)
2011
Licence 
£’000
Subscriptions 
£’000
Support 
£’000
Services 
£’000 
Hosting/
other 
£’000
Total 
£’000
Revenue 10,177 3,169 8,067 8,387 313 30,113
Costs of goods sold (480) (476) (1,644) (6,246) (334) (9,180)
Sub-total 9,697 2,693 6,423 2,141 (21) 20,933
Research and development costs (4,558)
Sales, general and administration
1
(15,509)
Operating profit 866
Finance income 49
Foreign exchange losses (140)
Finance charges (28)
Profit before tax 747
1 Includes acquisition costs, amortisation, impairment of intangible assets and share-based payment charges.
Notes to the financial statements Allocate Software plc 
Annual Report 2012
48
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
2. Segmental reporting continued
Under IFRS 8 there is a requirement to show operating profit and total assets for the operating segments, however, attributable 
expenses and total assets cannot be allocated on a reasonable basis and, as a result, the analysis is limited to the Group revenue  
less costs of goods sold which is then reconciled to the profit before tax. 
There are no material intersegment revenues.
Revenues from external customers in the Group’s domicile, the United Kingdom, as well as its major markets, the European Union, 
Australia and the USA, have been identified on the basis of the customer’s geographical location. Non-current assets are allocated 
based on their physical location.
Revenue arises from customers in the following locations:
2012 
£’000
2011 
£’000
UK 17,978 15,064
Europe 7,829 7,345
USA 1,149 1,174
Australia 9,284 6,187
Rest of World 409 343
36,649 30,113
In addition to the requirements of IFRS 8, the Directors present a schedule of revenue analysed by vertical business sector:
 
2012 
£’000
2011 
£’000
Healthcare 26,162 23,101
Defence 7,615 4,112
Maritime 2,111 1,681
Other 761 1,219
36,649 30,113
There was one customer (2011: one) who contributed in excess of 10% of total revenues. Their aggregate contribution to revenue 
amounted to 15% (2011: 14%) of revenue.
The internal reporting of the Group’s performance does not require that statement of financial position information is gathered  
on the basis of the business streams ‘Licences’, ‘Subscriptions’, ‘Services’ and ‘Other’ reported above. This information is therefore 
not accessible and, as a result, the segmental analysis does not include statement of financial position details. However, the Group 
operates within discrete geographical markets and the non-current assets of the Group are split between these locations: 
 
Non-current assets by location 2012
UK 
£’000
Europe 
£’000
USA 
£’000
Australia 
£’000
R o W 
£’000
Total 
£’000
Intangible assets 5,633 3,209 – 819 – 9,661
Goodwill 3,946 2,168 – 825 – 6,939
Financial assets – 60 – – – 60
Property, plant and equipment 778 83 10 35 2 908
Deferred tax assets 561 – – – – 561
Total non-current assets 10,918 5,520 10 1,679 2 18,129
Non-current assets by location 2011
UK 
£’000
Europe 
£’000
USA 
£’000
Australia 
£’000
R o W 
£’000
Total 
£’000
Intangible assets 6,919 6,041 – – – 12,960
Goodwill 540 2,395 – – – 2,935
Financial assets – 66 – – – 66
Property, plant and equipment 639 112 4 4 4 763
Deferred tax assets 1,030 – – – – 1,030
Total non-current assets 9,128 8,614 4 4 4 17,754
Notes to the financial statements continued Allocate Software plc 
Annual Report 2012
49
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
3. Operating (loss)/profit
2012 
£’000
2011 
£’000
Operating (loss)/profit has been arrived at after charging/(crediting):
Foreign exchange (gains)/losses (included in the following line items):
– Costs of goods sold (11) 232
– Net finance costs (231) 140
(242) 372
Acquisition costs
RosterOn
– Transaction costs 292 64
– Consideration treated as remuneration 161 –
Zircadian
– Transaction costs 725 –
– Consideration treated as remuneration 500 –
RealTime Health (Note 29) 76 –
Total acquisition costs 1,754 64
Loss/(profit) on disposal of intangible assets 12 (11)
Depreciation of property, plant and equipment 395 331
Amortisation of intangible assets (Note 11) 4,538 4,427
Impairment of intangibles and goodwill (Notes 12, 13 and 14) 3,935 –
Employee costs (Note 4) 20,394 15,161
Land and buildings held under operating leases 823 443
Other operating leases 38 14
Audit and non-audit services:
Fees payable to the Company’s auditor for the audit of parent company and consolidated financial statements. 65 66
Fees payable to the Company’s auditor and its associates for other services:
The audit of the Company’s subsidiaries pursuant to legislation 31 28
Interim review 9 9
Tax services 3 1
4. Employees
Group
2012 
£’000
2011 
£’000
Employee costs (including Directors):
Wages and salaries 16,791 12,586
Social security costs 2,301 1,844
Share-based payment 477 150
Payments into defined contribution pension scheme 825 581
20,394 15,161
The average number of employees (including Directors) during the year was made up as follows:
Sales and services 175 136
Development 92 58
Administration 35 24
Executive Directors 4 4
Non-Executive Directors 4 4
310 226
5. Finance income
2012 
£’000
2011 
£’000
Interest income 108 49
108 49 Allocate Software plc 
Annual Report 2012
50
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
6. Finance charges
2012 
£’000
2011 
£’000
Interest expense 123 28
123 28
7. Income tax
2012 
£’000
2011 
£’000
Current tax: 
Corporation tax on (loss)/profit for the year – –
Prior period adjustments (184) (132)
Overseas tax 813 487
Total current tax 629 355
Deferred tax: 
Origination and reversal of temporary differences:
Current period (1,716) (340)
Prior period adjustments 97 124
Rate change adjustment (99) (189)
Total deferred tax (1,718) (405)
Tax on (loss)/profit for the year (1,089) (50)
The rate change adjustment in the year arises due to a reduction in the UK rate of corporation tax from 26% to 24%.
Amounts recognised directly in equity
Aggregate current and deferred tax arising in the reporting period and not recognised in net profit or loss or other comprehensive 
income but directly debited or credited to equity:
2012 
£’000
2011 
£’000
Net deferred tax – (credited)/charged to equity (136) 136
(136) 136
The tax assessed for the year differs from the standard rate of corporation tax as applied in the respective trading domains where 
the Group operates. The differences are explained below:
2012 
£’000
2011 
£’000
(Loss)/profit for the year before tax (4,486) 747
(Loss)/profit for year multiplied by the respective standard rate of corporation tax applicable in each domain 
25.67% (2011: 27.66%). (1,152) 207
Effects of:
Tax rate change adjustment (99) (280)
Adjustment to tax in respect of prior periods (87) (9)
Difference in overseas tax rates 11 (25)
Movement on deferred tax not recognised (36) 65
Research and development enhanced relief (511) (242)
Share based payments – (212)
Other timing differences (20) 388
Uncertain tax positions 189 –
Expenses not deductible for tax purposes
– Acquisition costs 429 –
– Impairment of goodwill 139 –
– Other 48 58
Tax on (loss)/profit for the year (1,089) (50)
Notes to the financial statements continued Allocate Software plc 
Annual Report 2012
51
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
8. Profit attributable to Allocate Software plc
The loss for the financial year of the parent company, Allocate Software plc, was £1,117,000 (2011: profit of £3,108,000). As permitted 
by section 408 of the Companies Act 2006, no separate income statement is presented in respect of the parent company.
9. Dividends
Since the year end the Directors have proposed the payment of a dividend in respect of the full financial year of 1.2p per fully paid 
Ordinary Share (2011: £nil). The aggregate amount of the proposed dividend is expected to be paid on 28 November out of retained 
earnings at 31 May 2012, but not recognised as a liability at the year end is £766,000 (2011: £nil).
10. Earnings per Ordinary Share
31 May 2012 
£’000
31 May 2011 
£’000
(Loss)/profit for the year attributable to shareholders (3,397) 797
(Loss)/earnings per share
Basic (pence per share) (5.35p) 1.28p
Diluted (pence per share) (5.35p) 1.24p
Weighted average number of shares
Number 
of shares
Number 
of shares
Shares in issue at opening 63,074,353 61,195,314
Shares issued during the year 766,900 1,879,039
Shares in issue at closing 63,841,253 63,074,353
Weighted average shares for basic earnings per share 63,409,261 62,364,597
Effect of dilutive potential Ordinary Shares 1,671,842 2,088,799
Weighted average shares for diluted earnings per share 65,081,103 64,453,396
Adjusted earnings per Ordinary Share
An adjusted earnings per share has been calculated in addition to the post tax earnings per share which eliminates the effects  
of share-based payments, impairment and amortisation of intangibles, acquisition costs and the deferred tax adjustment. It has 
been calculated to allow shareholders to gain a clearer understanding of the trading performance of the Group. The basis of the 
calculation of the basic and adjusted profit per share is set out below:
2012 
£’000
2011 
£’000
(Loss)/profit for the year attributable to shareholders (3,397) 797
Amortisation of intangibles 4,538 4,427
Impairment charge 3,935 –
Share-based payments 477 150
Acquisition costs 1,754 64
Tax on amortisation, share-based payment and acquisition costs (2,480) (1,283)
Adjusted profit for the year attributable to shareholders 4,827 4,155
Basic adjusted earnings per share 7.60p 6.66p
Diluted adjusted earnings per share 7.42p 6.44p Allocate Software plc 
Annual Report 2012
52
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
11. Property, plant and equipment
Group
Long 
leasehold 
property 
£’000
Leasehold 
improvements 
£’000
Equipment 
£’000
Total 
£’000
Cost
At 1 June 2010 285 264 1,321 1,870
Additions – – 324 324
Disposals – (38) (195) (233)
Foreign exchange rate movement – – 31 31
At 31 May 2011 285 226 1,481 1,992
Acquisition of RosterOn – – 97 97
Acquisition of Zircadian – – 126 126
Additions – 14 471 485
Disposals – – (25) (25)
Foreign exchange rate movement – – (45) (45)
At 31 May 2012 285 240 2,105 2,630
Depreciation
At 1 June 2010 – 232 868 1,100
Provided in the year – 18 313 331
Disposals – (45) (176) (221)
Foreign exchange rate movement – – 19 19
At 31 May 2011 – 205 1,024 1,229
Acquisition of Roster On – – 76 76
Acquisition of Zircadian – – 87 87
Provided in the year – 34 361 395
Disposals – – (25) (25)
Foreign exchange rate movement – – (40) (40)
At 31 May 2012 – 239 1,483 1,722
Net book value at 31 May 2012 285 1 622 908
Net book value at 31 May 2011 285 21 457 763
Net book value at 31 May 2010 285 32 453 770
Netted off the cost of property plant and equipment are accumulated landlord capital contributions amounting to £304,000  
(2011: £304,000) at the year end. Of this amount £187,000 (2011: £126,000) had been taken to the income statement by way of a 
reduction to accumulated depreciation.
At 31 May 2012 the Group had a £4,000,000 (2011: £2,000,000) revolving loan facility which was secured against certain assets  
of the Group.
 
Notes to the financial statements continued Allocate Software plc 
Annual Report 2012
53
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
11. Property, plant and equipment continued
Company
Leasehold 
improvements 
£’000
Equipment 
£’000
Total 
£’000
Cost
At 1 June 2010 226 778 1,004
Additions – 220 220
Transfer from subsidiary – 39 39
At 31 May 2011 226 1,037 1,263
Additions 14 389 403
Transfer from subsidiaries – 259 259
At 31 May 2012 240 1,685 1,925
Depreciation
At 1 June 2010 187 490 677
Provided in the year 18 206 224
Transfer from subsidiary – 29 29
At 31 May 2011 205 725 930
Provided in the year 34 260 294
Transfer from subsidiaries – 208 208
At 31 May 2012 239 1,193 1,432
Net book value at 31 May 2012 1 492 493
Net book value at 31 May 2011 21 312 333
Net book value at 31 May 2010 39 288 327
Netted off the cost of property plant and equipment are accumulated landlord capital contributions amounting to £304,000  
(2011: £304,000) at the year end. Of this amount £187,000 (2011: £126,000) had been taken to the income statement by way of a 
reduction to accumulated depreciation.
At 31 May 2012 the Company had a £4,000,000 (2011: £2,000,000) revolving loan facility which is secured against certain assets  
of the Company.
12. Goodwill
Group
Total 
£’000
Cost
At 1 June 2010 2,661
Foreign exchange rate movement 274
At 31 May 2011 2,935
Acquisition of RosterOn (Note 21) 863
Acquisition of Zircadian (Note 21) 3,946
Foreign exchange rate movement (265)
At 31 May 2012 7,479
Accumulated impairment
At 1 June 2010 and 31 May 2011 –
Impairment of goodwill relating to Dynamic Change (Note 14) 540
At 31 May 2012 540
Net book value at 31 May 2012 6,939
Net book value at 31 May 2011 2,935
Net book value at 31 May 2010 2,661
The details of the acquisitions are set out in Note 21. The details of annual impairment testing of goodwill are set out in Note 14.  Allocate Software plc 
Annual Report 2012
54
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
12. Goodwill continued
Company
Total 
£’000
Cost
At 1 June 2010 and 31 May 2011 –
Transfer from investments 9,148
At 31 May 2012 9,148
Accumulated impairment
At 1 June 2010 and 31 May 2011 –
At 31 May 2012 –
Net book value at 31 May 2012 9,148
Net book value at 31 May 2011 –
Net book value at 31 May 2010 –
On 1 June 2011 the Company acquired the trade and assets of its subsidiary Dynamic Change Limited and on 1 March 2012 acquired 
the trade and assets of its subsidiary Zircadian Limited. In both cases the assets were transferred at their book value. The excess  
of the carrying value of the Company’s investment in each company over the book value of the assets acquired has been reclassified 
as goodwill. 
13. Intangible assets
Group
Software 
£’000
Customer 
lists and 
brands 
£’000
Total 
£’000
Cost/valuation
At 1 June 2010 6,221 12,962 19,183
Additions 368 – 368
Disposals – (394) (394)
Foreign exchange rate movement – 1,130 1,130
At 31 May 2011 6,589 13,698 20,287
Additions 268 – 268
Acquisition of RosterOn – 1,054 1,054
Acquisition of Zircadian 33 3,941 3,974
Disposals (70) (527) (597)
Foreign exchange rate movement – (999) (999)
At 31 May 2012 6,820 17,167 23,987
Amortisation
At 1 June 2010 – 2,819 2,819
Charge for the year 830 3,597 4,427
Disposals – (225) (225)
Foreign exchange rate movement – 306 306
At 31 May 2011 830 6,497 7,327
Acquisition of Zircadian 6 – 6
Charge for the year 652 3,886 4,538
Disposals (15) (395) (410)
Impairment 3,395 – 3,395
Foreign exchange rate movement – (530) (530)
At 31 May 2012 4,868 9,458 14,326
Net book value at 31 May 2012 1,952 7,709 9,661
Net book value at 31 May 2011 5,759 7,201 12,960
Net book value at 31 May 2010 6,221 10,143 16,364
Notes to the financial statements continued Allocate Software plc 
Annual Report 2012
55
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
13. Intangible assets continued
Intangible assets comprise both assets arising from the internal development of software, and intangibles acquired through  
a business combination. Intangible assets are amortised over periods of three to eight years.
The Group completed its initial assessment of the fair values of the assets acquired as part of the business combination of RosterOn 
Pty Ltd resulting in the recognition of goodwill of £863,000 and an intangible asset of £1,054,000 in relation to the customer lists  
and product acquired. The Group has also completed its initial assessment of the fair values of the assets acquired as part of the 
business combination of Zircadian Holdings Limited resulting in the recognition of goodwill of £3,946,000 and an intangible asset  
of £3,941,000 in relation to the customer lists and products acquired. In both cases the useful life of the intangible asset has been 
assessed as five years and will therefore be amortised over five years.
The details of any impairment testing of intangible assets are set out in Note 14. 
Company
Software 
£’000
Customer 
lists 
£’000
Total 
£’000
Cost/valuation
At 1 June 2010 – 2,636 2,636
Additions 368 – 368
Disposals – (394) (394)
At 31 May 2011 368 2,242 2,610
Additions 268 – 268
Transfer from subsidiary 28 – 28
Disposals (71) (527) (598)
At 31 May 2012 593 1,715 2,308
Amortisation
At 1 June 2010 – 983 983
Charge for the year 52 521 573
Disposals – (225) (225)
At 31 May 2011 52 1,279 1,331
Transfer from subsidiary 6 – 6
Charge for the year 136 463 599
Disposals (16) (395) (411)
At 31 May 2012 178 1,347 1,525
Net book value at 31 May 2012 415 368 783
Net book value at 31 May 2011 316 963 1,279
Net book value at 31 May 2010 – 1,653 1,653
Intangible assets comprise both assets arising from the internal development of software, and intangibles arising on the acquisition 
of businesses. Intangible assets are amortised over periods of three to six years.
14. Impairment
(a) Impairment testing of goodwill
For the purpose of annual impairment testing, the carrying value of goodwill acquired through business combinations is allocated to 
the following cash-generating units (CGU):
After 
impairment 
2012 
£’000 
Before 
impairment 
2012 
£’000
2011 
£’000
Zircadian 3,946 3,946 –
RosterOn 825 825 –
Dynamic Change – 540 540
Time Care 2,168 2,168 2,395
6,939 7,479 2,935
These represent the lowest level within the Group at which goodwill is monitored for internal management purposes.  Allocate Software plc 
Annual Report 2012
56
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
14. Impairment continued
(b) Key assumptions in value in use calculations
The recoverable amount of all CGU’s has been determined based on value-in-use calculations. These calculations use cash flow 
projections based on financial budgets approved by management covering a one year period followed by an extrapolation of 
expected cash flows for a further four year period. Cash flows beyond the five year period are extrapolated using the estimated 
growth rates appropriate to the industry. This growth rate does not exceed the long term average growth rate for the industry  
in which the CGU operates.
The key assumptions for the value-in-use calculations are as follows:
2012 2011
Growth 
rate
1
Discount 
rate
Growth 
rate
1
Discount 
Rate
Zircadian 10.0% 11.0% – –
RosterOn 10.0% 11.0% – –
Dynamic Change 10.0% 11.0% 13.6% 14.0%
Time Care 10.0% 11.0% 12.5% 14.0%
1 Weighted average growth rate used to extrapolate cash flows beyond the budget period.
The reduction in the discount rate from the prior year is due to the Company’s increased borrowings and the impact of a lower 
risk-free rate which reflects decreased rates on long term government bonds.
The projected performance of each business is driven by the acquisition of new customers, cross sell and up-sell of products into 
complimentary customer bases and also maintenance of existing customer renewals. The cross sell and up-sell opportunities will 
increase more gradually for Time Care AB and RosterOn Pty Limited as compared to the UK businesses. 
Management has determined the key assumptions based on their significant experience of the customer base in the UK and for 
Sweden and Australia the historical performance of these businesses. The growth-rates are based on a combination of historical 
performance and management’s judgements on the cross selling opportunities afforded by long standing customer relationships  
in addition to a go to market model of proven endurance.
(c) Impairment of goodwill and intangible assets 
For the year ended 31 May 2012, the Group recognised an impairment loss in respect of goodwill allocated to the Dynamic Change 
cash generating unit of its full book value of £540,000 (2011: £nil), and an impairment charge of the related intangible assets totalling 
£3,395,000 (2011: £nil). The impairment charge has been separately disclosed on the face of the income statement.
An impairment charge of £3,935,000 has also been recorded in the Company in relation to its investment in Dynamic Change Limited.
These impairment charges have resulted from the impact on the CGU following the government’s decision to abolish Primary Care 
Trusts (which comprised some 37% of the acquired customer base) as part of its healthcare reforms. This charge reflects the resultant 
loss of PCT customers.
Notes to the financial statements continued Allocate Software plc 
Annual Report 2012
57
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
15. Investments 
Group
There are no non-current asset investments held by the Group.
Company
Investments in subsidiaries:
£’000
Cost
At 1 June 2010 19,324
At 31 May 2011 19,324
Acquisition of Zircadian 7,680
Loan to Allocate Software Pty Limited 2,197
Foreign exchange (100)
Impairment of investment in Dynamic Change Limited (3,935)
Transfer to goodwill (9,148)
At 31 May 2012 16,018
Net book value at 31 May 2012 16,018
Net book value at 31 May 2011 19,324
Net book value at 31 May 2010 19,324
The details of the acquisitions are set out in Note 21. The details of any impairment testing are set out in Note 14. The details of the 
transfer to goodwill are set out in Note 12.
Principal investments
The Company holds investments either directly or indirectly in the equity share capital of the following:
Subsidiary
Country of registration 
and operation Class of share
Percentage
 held Nature of business
Time Care AB Sweden Ordinary SEK 1 100% Sales of software
Time Care Sverige AB Sweden Ordinary SEK 1,000 100% Sales of software
Calistrum AB Sweden Ordinary SEK 1,000 100% Dormant
Time Care UK Limited England and Wales Ordinary £1 100% Dormant
Dynamic Change Limited England and Wales Ordinary 1p 100% Dormant
Allocate Software Worldwide Limited England and Wales Ordinary £1 100% Dormant
Allocate Software Inc USA Common Stock
US$0.01
100% USA sales and 
support
Allocate Software Pte Limited Singapore Common Stock
Singapore $1
100% Dormant
Allocate Software PTY Limited Australia Ordinary Aus $1 100% Sales of software 
MSW Technology Limited England and Wales Ordinary £1 100% Dormant
Allocate Software Technology Systems Limited England and Wales Ordinary £1 100% Dormant
Allocate Software Sendrian Berhad Malaysia Ordinary MYR1 100% Sales of software
Allocate Sendrian Berhad Malaysia Ordinary MYR1 70% Dormant
Manpower Software Limited England and Wales Ordinary £1 100% Dormant
Allocate Limited England and Wales Ordinary £1 100% Dormant
Zircadian Holdings Limited England and Wales Ordinary £1 100% Dormant
Zircadian Limited England and Wales Ordinary £1 100% Dormant
RosterOn Pty Limited Australia Ordinary Aus $1 100% Sales of software Allocate Software plc 
Annual Report 2012
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Overview
Business Review
Corporate Governance
Financial Statements
Company Information
16. Deferred tax
Deferred tax asset
Group
Tax 
Losses 
£’000
Decelerated 
Capital 
Allowances 
£’000
Other 
Timing 
Differences 
£’000
Total 
£’000
At 1 June 2010 1,143 144 240 1,527
Net creation/utilisation (461) (11) 66 (406)
Prior year adjustment – (1) (126) (127)
Tax rate change adjustment (82) (10) (8) (100)
Movement in equity – – 136 136
At 31 May 2011 600 122 308 1,030
At 1 June 2011 600 122 308 1,030
Net creation/utilisation (141) 23 (57) (175)
Prior year adjustment (187) (63) 153 (97)
Tax rate change adjustment (32) (4) (25) (61)
Movement in equity – – (136) (136)
At 31 May 2012 240 78 243 561
Deferred tax assets are only recognised for tax losses arising in Group companies where it is probable future taxable profits  
will be available against which to use these losses. Tax losses for which a deferred tax asset has been recognised total £922,000 
(2011: £2,689,000). In addition the Group has tax losses totalling £265,000 for which a deferred tax asset has not been recognised.
Company
Tax 
Losses 
£’000
Decelerated 
Capital 
Allowances 
£’000
Other 
Timing 
Differences 
£’000
Total 
£’000
At 1 June 2010 1,091 140 114 1,345
Net creation/utilisation (489) (10) 65 (434)
Tax rate change adjustment (78) (10) (8) (96)
Movement in equity – – 136 136
At 31 May 2011 524 120 307 951
At 1 June 2011 524 120 307 951
Net creation/utilisation (199) 23 (47) (223)
Prior year adjustment (148) (62) 147 (63)
Tax rate change adjustment (29) (4) (24) (57)
Movement in equity – – (136) (136)
At 31 May 2012 148 77 247 472
Tax losses carried forward in the Company total £618,000 (2011: £2,015,000). A deferred tax asset has been recognised in respect of 
these losses.
Notes to the financial statements continued Allocate Software plc 
Annual Report 2012
59
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
16. Deferred tax continued
Deferred tax liability
Group
Intangible 
Assets 
£’000
Other timing 
differences 
£’000
Total 
£’000
At 1 June 2010 4,047 3 4,050
Prior year adjustment – (3) (3)
Tax rate change adjustment (289) – (289)
Net creation/utilisation (746) – (746)
At 31 May 2011 3,012 – 3,012
At 1 June 2011 3,012 – 3,012
Prior year adjustment – – –
Tax rate change adjustment (160) – (160)
Acquisition of RosterOn 264 32 296
Acquisition of Zircadian 985 9 994
Foreign exchange (120) (2) (122)
Net creation/utilisation (1,852) (39) (1,891)
At 31 May 2012 2,129 – 2,129
17. Trade and other receivables
Group
2012 
£’000
2011 
£’000
Current
Trade receivables 12,123 7,942
Accrued income 1,820 1,694
Prepayments and other receivables 895 996
14,838 10,632
Credit quality of receivables
Trade receivables are derived from the supply of licenses and services to clients who are substantial and creditworthy organisations. 
These clients include government health and defence departments, major listed companies and significant private companies.
The following financial assets are overdue for receipt. The fair value of receivables is not materially different from the carrying value 
shown. The receivables are overdue by: 
2012 
£’000
2011 
£’000
Trade receivables
Not more than three months 3,730 1,698
More than three months but not more than six months 306 711
More than six months 285 203
4,321 2,612
There are no receivables which have been impaired.
Trade and other receivables are due in the following currencies: 
2012 
£’000
2011 
£’000
Australian Dollars 3,113 2,216
Swedish Krona 1,277 925
US Dollars 156 462
Euros 5 36
Malaysian Ringgits 13 24
4,564 3,663 Allocate Software plc 
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Overview
Business Review
Corporate Governance
Financial Statements
Company Information
17. Trade and other receivables continued
Company
2012 
£’000
2011 
£’000
Current
Trade receivables 8,874 4,869
Amounts owed by subsidiary companies 1,730 2,784
Accrued income 1,359 1,028
Prepayments and other receivables 628 798
12,591 9,479
Amounts owed by subsidiary companies are payable on demand.
The following financial assets are overdue for receipt. The fair value of receivables is not materially different from the carrying value 
shown. The receivables are overdue by: 
2012 
£’000
2011 
£’000
Trade receivables
Not more than three months 3,393 1,225
More than three months but not more than six months 280 665
More than six months 285 133
3,958 2,023
There are no receivables which have been impaired.
Trade receivables are due in the following currencies: 
2012 
£’000
2011 
£’000
US Dollars 134 235
Euros 5 36
139 271
The Group’s and Company’s receivables are unsecured.
18. Share capital
Equity
2012 
£’000
2011 
£’000
Ordinary Shares of 5p each
Authorised
100 million (2011: 100 million) 5,000 5,000
Allotted, called up and fully paid
63,841,253 (2011: 63,074,353) 3,192 3,154
Equity: allotted, called up and fully paid
 Number 
of shares
Share 
capital 
£’000
Share 
premium 
£’000
Total 
£’000
At 1 June 2010 61,195,314 3,060 7,380 10,440
Issue of shares on exercise of options 1,879,039 94 372 466
At 31 May 2011 63,074,353 3,154 7,752 10,906
Issue of shares on exercise of options 766,900 38 156 194
At 31 May 2012 63,841,253 3,192 7,908 11,100
The mid-market price of the Ordinary Shares at 31 May 2012 was 74.38p and the range during the year was 64.00p to 84.63p.
Notes to the financial statements continued Allocate Software plc 
Annual Report 2012
61
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Business Review
Corporate Governance
Financial Statements
Company Information
19. Reserves
(i) Nature and purpose of reserves
Retained earnings – comprises the accumulated retained profits from current and prior periods.
Share based payments – the share based payments reserve is used to recognise the grant date fair value of options issued to 
employees but not exercised.
(ii) Share Based Payments
There are six share option schemes in operation: two HMRC Approved Schemes (the ‘Approved Schemes’), two schemes which have 
not been approved by HMRC (the ‘Unapproved Schemes’) and an Enterprise Management Incentive Scheme (the ‘EMI Scheme’) 
which complies with the requirements of HMRC, and a Long Term Retention Plan (the ‘LTRP’).
Approved Schemes, Unapproved Schemes & EMI Scheme (the ‘Option Plans’)
Options in the Option Plans vest subject to demanding earnings per share targets being achieved over specified performance 
periods (generally three years). Options vest at the end of the performance period and can be exercised over the period between 
vesting date and expiry date. Options expire ten years from the date of grant. Options are forfeited if the employee leaves the 
Company before the options become available for exercise.
The fair values of the services received in exchange for share based payments were calculated using a Black-Scholes pricing model 
that takes into account the exercise price, the term of the option, the impact of dilution, the share price at grant date and the 
expected price volatility of the underlying share, the expected dividend yield and the risk free interest rate for term of the option. 
No account is taken of any services and performance conditions in the calculation of the fair value.
The expected price volatility is based on historic volatility.
LTRP
Options in the LTRP vest subject to both demanding earnings per share targets being achieved over a specified performance 
period, and a total absolute shareholder return target against which options will vest on a sliding scale. 20% of the options will vest 
at a 15% annual compound TSR and the options will vest in full at or above a 25% annual compound TSR. Subject to the meeting of 
the performance criteria and to continuing employment, 600,000 options will vest in September 2014 and a further 200,000 in each 
of September 2015 and September 2016.
The fair values of the services received in exchange for share based payments were calculated using a Monte Carlo simulation, which 
takes into account the exercise price, the term of the option, the impact of dilution, the share price at grant date and the expected 
price volatility of the underlying share, the expected dividend yield and the risk free interest rate for term of the option. No account 
is taken of any services and performance conditions in the calculation of the fair value other than the performance conditions linked 
to the share price in the Company (ie TSR conditions).
Fair Value of Options Granted
The table below lists the inputs to the option pricing models for options granted during the period.
Date of issue
Number 
granted
Share price 
on issue date
Exercise 
price pence
Expected 
volatility%
Expiry years 
period
Vesting 
period
Risk free 
rate %
Expected 
dividend 
yield %
2012
Option Plans
14 Sept 2011 400,000 74.0p 73.0p 40 10 3 1.15 nil
LTRP
1 Dec 2011 600,000 77.5p 0.0p 26 6 3 0.44 nil
1 Dec 2011 200,000 77.5p 0.0p 28 6 4 0.66 nil
1 Dec 2011 200,000 77.5p 0.0p 33 6 5 0.95 nil
2011
Option Plans
4 Feb 2011 670,000 84.5p 85.50p 40 10 3 2.69 nil Allocate Software plc 
Annual Report 2012
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Financial Statements
Company Information
19. Reserves continued
Details of the number of share options and the weighted average exercise price (WAEP) outstanding during the year are as follows:
2012 2011
No. of options
WAEP 
pence
No. of 
options
WAEP 
pence
Outstanding at the beginning of the year 5,846,900 52.88p 7,108,591 42.16p
Granted during the year 1,400,000 20.71p 670,000 85.50p
Exercised during the year (766,900) 25.37p (1,879,039) 24.25p
Forfeited during the year (10,000) 71.50p (13,400) 14.75p
Expired during the year (6,000) 25.00p (39,252) 26.67p
Outstanding at the end of the year 6,464,000 49.18p 5,846,900 52.88p
Exercisable at the year end 2,259,000 35.72p 2,281,900 29.00p
The total cost of the share option schemes charged to the Consolidated Income Statement is £477,000 (2011: £150,000).  
The weighted average share price at the date of exercise of options was 73.90p.
The weighted average fair value of options granted during the year was 20.70p per option (2011: 45.99p).
Share options remaining in the schemes are as follows:
Time to expiry
Scheme Grant date Exercise from Lapse date Options remaining Ex price Years Months
EMI 14/05/2003 14/05/2005 13/05/2013 105,000 10.00 – 11
EMI 05/03/2004 05/03/2006 04/03/2014 1,500 45.00 1 9
Unapproved 18/03/2004 18/03/2006 17/03/2014 50,000 45.00 1 9
EMI 17/06/2004 17/06/2006 16/06/2014 20,500 33.00 2 –
EMI 27/03/2006 27/03/2009 26/03/2016 534,500 25.50 3 9
Unapproved 27/03/2006 27/03/2009 26/03/2016 112,500 25.50 3 9
EMI 09/10/2006 09/10/2009 08/10/2016 225,000 18.50 4 4
EMI 16/02/2007 16/02/2010 15/02/2017 150,000 36.25 4 8
EMI 02/05/2008 02/05/2011 01/05/2018 310,000 53.00 5 11
EMI 07/04/2009 07/04/2012 06/04/2019 750,000 45.50 6 10
EMI 14/04/2010 14/04/2013 13/04/2020 735,000 71.50 7 10
Unapproved 07/05/2010 07/05/2013 06/05/2020 1,098,221 70.25 7 11
EMI 07/05/2010 07/05/2013 06/05/2020 301,779 70.25 7 11
Unapproved 04/02/2011 04/02/2014 03/02/2021 670,000 85.50 8 8
Approved 14/09/2011 14/09/2014 13/09/2021 82,758 72.50 9 4
Unapproved 14/09/2011 14/09/2014 13/09/2021 317,242 72.50 9 4
LTRP 01/12/2011 01/09/2014 30/11/2017 600,000 0.00 5 6
LTRP 01/12/2011 01/09/2015 30/11/2017 200,000 0.00 5 6
LTRP 01/12/2011 01/09/2016 30/11/2017 200,000 0.00 5 6
6,464,000
20. Borrowings
The Company has a two year revolving facility secured against the assets of the UK companies in the Group, which it originally took 
out in 2010 to fund the acquisition of Dynamic Change Limited and then renegotiated as a £4,000,000 revolving facility in August 2011 to 
fund the acquisition of Zircadian Holdings Limited. The amount outstanding at the statement of financial position date is £4,000,000 
(2011: £2,000,000). The interest rate is 2% above HSBC bank base rate. The new facility will expire on 12 August 2013 and is therefore 
presented as a non-current liability. As the previous facility was due to expire in May 2012, the £2,000,000 loan was presented as a 
current liability in the statement of financial position as at 31 May 2011.
Notes to the financial statements continued Allocate Software plc 
Annual Report 2012
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Corporate Governance
Financial Statements
Company Information
21. Business combinations
Acquisitions have been accounted for by the purchase method of accounting. The goodwill arising on these acquisitions is subject 
to annual impairment review. The following tables set out the book values of the identifiable assets and liabilities acquired during 
the year ended 31 May 2012 and their fair values:
RosterOn Pty Ltd
On 4 July 2011 the Group acquired 100% of the share capital of RosterOn Pty Ltd, an Australian based provider of workforce 
management software with a focus on the Australian healthcare market. The consideration for the acquisition was £2,209,000 
(A$3,358,000) which was paid in cash during the year including a payment for the net asset value of the company of £496,000 
(A$758,000). The net assets acquired included cash of £586,000 (A$890,000). 
The net assets acquired and the resultant fair value adjustments are shown below: 
Book 
value 
£’000
Provisional 
fair value 
adjustment 
£’000
Fair 
value 
£’000
Cash 586 – 586
Intangibles (note 13) – 1,054 1,054
Property, plant and equipment 21 – 21
Receivables 588 – 588
Trade payables and other payables (607) – (607
Deferred tax liability (32) (264) (296)
Net assets 556 790 1,346
Goodwill arising on acquisition – 863 863
Total purchase consideration 2,209
Purchase consideration:
Cash 2,209
Analysis of cash flows on acquisition:
Purchase consideration 2,209
Net cash acquired with the subsidiary (included in cash flows from investing activities) (586)
Net cash flow on acquisition 1,623
Transaction costs of the acquisition (included in cash flows from operating activities) 292
In addition to the £2,209,000 purchase consideration, a further £264,000 (A$400,000) is payable 18 months after the acquisition 
contingent on key staff retentions. For accounting purposes, IFRS 3 ‘Business Combinations’ requires this to be treated as 
remuneration and not consideration. Consequently this does not form part of the cost of acquisition and instead will be expensed  
to the Income Statement on a straight line basis over the 18 month period between the date of acquisition and the payment date. 
This charge is included within the ‘Acquisition & related costs’ line of the Income Statement.
The goodwill of £863,000 comprises certain intangible assets that cannot be individually separated and reliably measured from  
the acquiree due to their nature. These items include the expected value of synergies and an assembled workforce. Goodwill is 
allocated entirely to the RosterOn cash generating unit. None of the goodwill is expected to be deductible for income tax purposes.
In the period since acquisition, RosterOn Pty Ltd contributed revenues of £1,291,000 and a profit after tax of £46,000 to the Group  
for the period from 4 July 2011 to 31 May 2012. If the acquisition had occurred on 1 June 2011, the Group’s annualised consolidated 
revenue and loss after tax for the year ended 31 May 2012 would have been £36,766,000 and £3,440,000 respectively. This includes 
not only an estimate of the full year contribution of RosterOn but also the impact of a full year of amortisation charge (after tax) of 
the intangible assets which arose on the acquisition.
Zircadian Holdings Limited
On 12 August 2011 the Group acquired 100% of the share capital of Zircadian Holdings Limited, a UK based SaaS provider of 
software used to plan rotas of junior doctors and consultants in the NHS. The consideration for the acquisition was £6,455,000, all 
payable in cash. £6,455,000 was paid during the year, including a deferred consideration payment of £1,000,000 paid in April 2012 
which had been contingent on financial targets being met. This acquisition was funded in part through a renewal of the Group’s 
revolving facility for a further two years and an increase in this by £2,000,000 to £4,000,000. The net assets acquired included cash  
of £1,257,000. Allocate Software plc 
Annual Report 2012
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Financial Statements
Company Information
21. Business combinations continued
The net assets acquired and the resultant fair value adjustments are shown below: 
Book 
value 
£’000
Provisional 
fair value 
adjustment 
£’000
Fair 
value 
£’000
Cash 1,257 – 1,257
Intangibles – acquired 27 – 27
Intangibles – identified at acquisition (Note 13) – 3,941 3,941
Property, plant and equipment 39 – 39
Receivables 620 – 620
Trade payables and other payables (368) – (368)
Deferred income (2,013) – (2,013)
Deferred tax liability (9) (985) (994)
Net (liabilities)/assets (447) 2,956 2,509
Goodwill arising on acquisition – 3,946 3,946
Total purchase consideration 6,455
Purchase consideration:
Cash paid on completion 5,455
Contingent consideration 1,000
Total consideration 6,455
Payments treated as remuneration 500
Acquisition costs 725
Total cost of investment (Note 15) 7,680
Analysis of cash flows on acquisition:
Purchase consideration 6,455
Net cash acquired with the subsidiary (included in cash flows from investing activities) (1,257)
Net cash flow on acquisition 5,198
Transaction costs of the acquisition (included in cash flows from operating activities) 1,225
In addition to the purchase consideration of £6,455,000, a further £500,000 payment was made during the year in respect of key staff 
retentions for a period of six months post acquisition. As for the RosterOn acquisition, IFRS 3 requires this amount to be treated as 
remuneration and not consideration. Consequently this does not form part of the cost of acquisition and was instead expensed to 
the Income Statement over the six month period between the date of acquisition and the payment date. This charge is included 
within the ‘Acquisition & related costs’ line of the Income Statement.
The goodwill of £3,946,000 comprises certain intangible assets that cannot be individually separated and reliably measured from  
the acquiree due to their nature. These items include the expected value of synergies and an assembled workforce. Goodwill is 
allocated entirely to the Zircadian cash generating unit. None of the goodwill is expected to be deductible for income tax purposes.
In the period since acquisition, Zircadian Holdings Limited contributed revenues of £2,330,000 and a profit after tax of £167,000 to 
the Group for the period from 12 August 2011 to 31 May 2012. If the acquisition had occurred on 1 June 2011, the Group’s annualised 
consolidated revenue and loss after tax for the year ended 31 May 2012 would have been £37,262,000 and £3,478,000 respectively. 
This includes not only an estimate of the full year contribution of Zircadian but also the impact of a full year of amortisation charge 
(after tax) of the intangible assets which arose on acquisition. 
Notes to the financial statements continued Allocate Software plc 
Annual Report 2012
65
Overview
Business Review
Corporate Governance
Financial Statements
Company Information
22. Trade and other payables
Group
2012 
£’000
2011 
£’000
Trade payables 996 987
Other taxation and social security 2,755 1,892
Accruals and deferred income 15,144 11,183
18,895 14,062
Company
2012 
£’000
2011 
£’000
Trade payables 818 852
Amounts owed to subsidiary companies 1,511 1
Other taxation and social security 1,780 988
Accruals and deferred income 11,252 7,040
15,361 8,881
The Group’s and Company’s payables are unsecured and approximate to fair value.
23. Financial instruments
Group
The Group’s financial instruments comprise cash and liquid resources, short term receivables, borrowings and payables. These all 
arise directly from the Group’s operations. 
It is and has been throughout the period under review, the Group’s policy that no other trading in financial instruments shall be 
undertaken.
Financial instruments by category
2012 
£’000
2011 
£’000
Financial assets:
Non-current financial asset – loans and receivables 60 66
Trade and other receivables – loans and receivables 13,943 9,636
Trade and other receivables – non-financial assets 895 996
Total trade and other receivables 14,838 10,632
Cash and cash equivalents – loans and receivables 8,338 10,398
Financial liabilities:
Non-current financial liabilities – borrowings 4,000 –
Borrowings – other financial liabilities – 2,000
Trade and other payables – other financial liabilities 3,556 3,494
Trade and other payables – non-financial liabilities 15,339 10,568
Total trade and other payables 18,895 14,062
There is no material difference between the book value and the fair value of these financial assets and financial liabilities.
The main risks arising from the Group’s financial instruments are interest rate risk, liquidity risk and foreign currency risk. The Board 
reviews and agrees policies for managing each of these risks and they are summarised below. These policies were fully reviewed by 
the Board during the year and no significant changes were required. Allocate Software plc 
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Financial Statements
Company Information
23. Financial instruments continued
Market risk
Foreign exchange risk
The Group undertakes transactions in foreign currencies and as a result is exposed to foreign exchange risk. These consist of the 
monetary assets and liabilities of Group companies that are not denominated in the functional currency of the respective Group 
company. The resulting exposures are summarised below: 
Euro 
£’000
Swedish 
Krona 
£’000
Australian 
Dollars 
£’000
US 
Dollars 
£’000
Malaysian 
Ringgits 
£’000
2012 5 549 556 897 497
2011 36 259 1,709 1,302 311
The figures above are based on the following exchange rates:
2012 2011
Swedish Krona 11.250 10.187
Australian Dollars 1.5937 1.5427
US Dollars 1.5576 1.6491
Malaysian Ringgits 4.9168 4.9530
For a movement of plus or minus 5% in the above exchange rates, the carrying values would be changed as set out below. Profit and 
equity would be impacted by these amounts.
Resulting change
2012 
£’000
2011 
£’000
Euro – 2
Swedish Krona 26 12
Australian Dollars 26 81
US Dollars 43 62
Malaysian Ringgits 24 15
The Group’s approach to managing foreign currency risk is set out in the Report of the Directors.
Interest rate risk
The Group finances itself through a combination of equity and short term debt. The Group’s policy is to borrow on a floating rate 
basis and if appropriate, it will enter into arrangements to fix the cost of borrowings. The Group has not used interest rate derivatives 
in the year.
At 31 May 2012 the Group’s financial assets, other than short term receivables, amounted to cash and cash deposits totalling 
£8,338,000 (2011: £10,398,000).
At 31 May 2012 the Group had a £4,000,000 (2011: £2,000,000) loan facility. The interest rate is 2% above HSBC bank base rate.
The Directors do not intend to use swap arrangements to mitigate the risk of interest rate movements as any likely movement in the 
interest rate of this will not be significant. A movement of plus or minus 1% in the interest rate charged on borrowings will result in a 
reduction or increase in profit and equity of £40,000 (2011: plus or minus £20,000).
Credit risk
Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Group. In 
order to minimise this risk the Group endeavours only to deal with companies and public sector bodies which are demonstrably 
creditworthy and this, together with the aggregate financial exposure, is continuously monitored. The maximum exposure to credit 
risk is the value of the outstanding amount of the Group’s financial assets £22,341,000 (2011: £20,100,000).
The majority of the Group’s trade receivables are from government health, defence, education and local authorities. The Group has 
trade receivables resulting from sales of products and services, which management consider to be of low risk, other receivables 
consist predominantly of deposits and prepayments. Management does not consider there is any concentration of risk within either 
trade or other receivables.
As at 31 May 2012 there were four customers who individually accounted for 5% or more of total outstanding trade receivables  
(2011: three customers). These four customers comprised 44% of trade receivables (2011: three customers 46%).
Deposits of cash are placed only with financial institutions whose credit rating is high. 
Notes to the financial statements continued Allocate Software plc 
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Financial Statements
Company Information
23. Financial instruments continued
Liquidity risk
Deposits with the Group’s bankers are placed when cash is available surplus to immediate requirements. In addition, the Group has 
a loan facility of £4,000,000 (2011: £2,000,000). At the statement of financial position date the amount drawn down was £4,000,000, 
being the loan used to fund the acquisitions of Dynamic Change Limited and Zircadian Holdings Limited. 
The provision of cash for the payment of day to day business commitments is carefully monitored and forecasts are made of future 
cash requirements. There are no significant single amounts due for payment in the foreseeable future other than those arising in the 
normal course of business. The loan facility is repayable on or before 12 August 2013. 
Financial liabilities mature according to the following schedule:
2012
Within 
one year 
£’000
One to 
two years 
£’000
Two to 
five years 
£’000
Over 
five years 
£’000
Trade and other payables 3,556 – – –
Borrowings 100 4,025 – –
2011
Within 
one year 
£’000
One to 
two years 
£’000
Two to
 five years 
£’000
Over 
five years 
£’000
Trade and other payables 3,494 – – –
Borrowings 2,048 – – –
Capital risk management
The Group’s capital management objectives are to ensure its ability to continue as a going concern and to provide an adequate 
return to shareholders. The Group will also seek to minimise the cost of capital and attempt to optimise the capital structure which 
currently comprises equity raised through the AIM market of the London Stock Exchange. The details of the Group’s issued share 
capital and any share issues are disclosed in Note 18.
The Group monitors cash balances and prepares regular forecasts which are reviewed by the Board. Since the year end the Directors 
have proposed the payment of a dividend. In order to adjust or maintain the capital structure the Group may adjust the amount of 
dividends paid to shareholders, return capital to shareholders issue shares or sell assets to reduce debt. 
Company
The Company’s financial instruments comprise cash and liquid resources, short term receivables, borrowings and payables.  
These all arise directly from the Company’s operations. 
It is and has been throughout the period under review, the Company’s policy that no other trading in financial instruments  
shall be undertaken.
The main risks arising from the Company’s financial instruments are interest rate, liquidity risk and foreign currency risk. The Board 
reviews and agrees policies for managing each of these risks and they are summarised below. These policies were fully reviewed by 
the Board during the year and no significant changes were required. Allocate Software plc 
Annual Report 2012
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Corporate Governance
Financial Statements
Company Information
23. Financial instruments continued
Financial instruments by category
2012 
£’000
2011 
£’000
Financial assets:
Trade and other receivables – loans and receivables 11,963 8,681
Trade and other receivables – non-financial assets 628 798
Total trade and other receivables 12,591 9,479
Cash and cash equivalents – loans and receivables 4,726 4,958
Financial liabilities:
Non-current financial liabilities – borrowings 4,000 –
Current financial liabilities
Borrowings – other financial liabilities – 2,000
Trade and other payables – other financial liabilities 3,914 2,640
Trade and other payables – non financial liabilities 11,447 6,241
Total trade and other payables 15,361 8,881
There is no material difference between the book value and the fair value of these financial assets and financial liabilities.
Market risk
Foreign exchange risk
The Company’s exposure to foreign exchange risk has decreased during the year. 
The table below shows the Company’s currency exposures. These consist of the monetary assets and liabilities of the Company that 
are not denominated in the Company’s reporting currency, which is UK pounds Sterling.
Euro 
£’000
Swedish 
Krona 
£’000
Australian 
Dollars 
£’000
US 
Dollars 
£’000
Malaysian 
Ringgits 
£’000
2012 5 549 556 897 497
2011 36 – 1,709 1,302 311
Foreign exchange positions are regularly monitored and managed, through mitigating (where possible) the Company’s foreign 
currency assets and liabilities to appropriate levels. The Company’s approach to foreign currency risk management is set out in the 
Report of the Directors.
For a movement of plus or minus 5% in the above exchange rates, the carrying values would be changed as set out below. Profit and 
equity would be impacted by these amounts.
Resulting change 
2012 
£’000
2011 
£’000
Euro – 2
Swedish Krona 26 –
Australian Dollars 26 81
US Dollars 43 62
Malaysian Ringgits 24 15
Interest rate risk
The Company finances itself through a combination of equity and short term debt. The Company’s policy is to borrow on a floating 
rate basis and, if appropriate, it will enter into arrangements to fix the cost of borrowings. The Company has not used interest rate 
derivatives in the year. At 31 May 2012, the Company had a revolving loan facility which is at floating rates based on HSBC Bank’s 
Sterling base rate plus 2.0%. 
The Directors do not intend to use swap arrangements to mitigate the risk of interest rate movements as any likely movement in the 
interest rate of this will not be significant. A movement of plus or minus 1% in the interest rate charged on borrowings will result in a 
reduction or increase in profit and equity of £40,000 (2011: plus or minus £20,000).
Notes to the financial statements continued Allocate Software plc 
Annual Report 2012
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Financial Statements
Company Information
23. Financial instruments continued
Credit risk
Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Company. In 
order to minimise this risk the Company endeavours only to deal with companies and public sector bodies which are demonstrably 
creditworthy and this, together with the aggregate financial exposure, is continuously monitored. The maximum exposure to credit 
risk is the value of the outstanding amount of the Company’s financial assets £16,689,000 (2011: £13,639,000).
The Company has trade receivables resulting from sales of products and services, which the management consider to be of low risk, 
other receivables consist predominantly of deposits and prepayments. A substantial majority of trade receivables are due from 
national or local government bodies in the health and defence sectors. The management do not consider that there is any 
concentration of risk within either trade or other receivables.
Deposits of cash are placed only with financial institutions whose credit rating is high. 
Liquidity risk
Deposits with the Company’s bankers are placed when cash is available surplus to immediate requirements. In addition, the  
Group has a loan facility of £4,000,000 (2011: £2,000,000). At the statement of financial position date the amount drawn down  
was £4,000,000.
The provision of cash for the payment of day to day business commitments is carefully monitored and forecasts are made of future 
cash requirements. There are no significant single amounts due for payment in the foreseeable future other than those arising in the 
normal course of business. The loan is repayable on or before 12 August 2013. 
Fair value
The fair values of all financial assets and liabilities at 31 May 2012 and 31 May 2011 were not materially different from their book 
values.
24. Operating lease commitments
The table shows the total of future minimum lease payments under non-cancellable operating leases for each of the following periods:
Group
2012 
£’000
2011 
£’000
Land and buildings:
Within one year 357 443
Two to five years 324 320
681 763
Equipment:
Within one year 14 15
Two to five years 15 11
29 26
Company
2012 
£’000
2011 
£’000
Land and buildings:
Within one year 333 418
Two to five years 305 302
638 720
Equipment:
Within one year 1 –
Two to five years 1 –
2 – Allocate Software plc 
Annual Report 2012
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Financial Statements
Company Information
25. Related party transactions
(i) Remuneration of Key Management Personnel
Group and Company
2012 
£’000
2011 
£’000
Short term employee benefits 1,179 1,141
Post-employment benefits 58 28
Remuneration benefits 3 3
Share-based payments 193 111
1,433 1,283
The Group and Company consider that the Directors are their key management personnel and further details of their remuneration 
is disclosed in the Directors’ report.
No dividends were paid to Directors in the year (2011: nil).
(ii) Intercompany Transactions
The Company had the following intercompany transactions:
2012 
£’000
2011 
£’000
Intercompany sales 3,680 5,093
Intercompany purchases (231) (457)
Intercompany dividend income 832 338
Intercompany interest expense (21) (5)
Intercompany interest income 130 –
4,390 4,969
At the year end the Company had the following balances with subsidiaries:
2012 
£’000
2011 
£’000
Allocate Software Inc. 615 399
Allocate Software Technology Systems Limited 194 107
Allocate Software Sendrian Berhad 497 311
Allocate Software Pty Ltd (556) 1,709
Dynamic Change Limited (372) (1)
Time Care AB (549) 259
Zircadian Holdings Limited 424 –
Zircadian Limited (34) –
Net balances 219 2,784
In addition, as part of the net investment in Note 15, an amount of £2,096,000 (2011: £nil) is a long term loan with Allocate Software 
Pty Ltd and this long term loan, as well as the long term loan from Time Care AB included above, is interest-bearing. All other 
intercompany balances are non-interest bearing and are repayable on demand. 
26. Transfers of trade and assets
On 1 June 2011 the trade and assets of Dynamic Change Limited were transferred to Allocate Software plc with consideration equal 
to the net assets value transferred.
On 1 March 2012 the trade and assets of Zircadian Limited were transferred to Allocate Software plc with consideration equal to the 
net assets value transferred.
27. Contingent liabilities
Neither the Group nor the Company had any contingent liabilities at either 31 May 2012 or 31 May 2011.
28. Comparatives
For the year ended 31 May 2012 the Group has changed the presentation of the income statement to provide, in the opinion of  
the Directors, a clearer and more meaningful presentation of the Group’s performance. As a result of this it has been necessary  
to reclassify the comparatives to ensure a consistent presentation of the 2011 Income Statement. This change in presentation does 
not impact on the 2011 revenue, profit or total comprehensive income.
Notes to the financial statements continued Allocate Software plc 
Annual Report 2012
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Corporate Governance
Financial Statements
Company Information
29. Events after the statement of financial position date
On 30 July 2012 the Group acquired 100% of the share capital of RealTime Health Limited, a UK supplier of patient flow management 
software to the NHS. The maximum total consideration, based on zero net assets, of up to £7,200,000 is structured as an initial 
payment of £1,200,000 and an earn-out of up to £6,000,000 in tranches. The initial consideration comprises a cash payment of 
£1,200,000 paid from existing cash resources. Deferred consideration of up to £6,000,000 in cash is contingent upon the meeting of 
conditions, including achieving a number of demanding billings targets, during the 24 months following acquisition. Included within 
acquisition costs in the Income Statement is £76,000 incurred prior to 31 May in relation to the acquisition of RealTime Health.
As at the date of approval of the financial statements, the initial accounting has not been completed for this business combination. 
Consequently it has not been possible to disclose the following information required by IFRS 3 ‘Business Combinations’: a 
description of the goodwill arising; the fair values of assets and liabilities acquired; details of contingent liabilities (if any); total 
goodwill deductible for tax purposes; and transactions recognised separately from the acquisition of assets and assumption  
of liabilities in the business combination. 
30. Capital commitments
Neither the Group nor the Company had any capital commitments at either 31 May 2012 or 31 May 2011. Allocate Software plc 
Annual Report 2012
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Overview
Business Review
Corporate Governance
Financial Statements
Company Information
Directors and advisers
Company registration number: 2814942
Registered office: 180 Piccadilly
London
W1J 9ER
Directors: I J Bowles
J I Lang
M J S Loveland
T H Osborne
A R D Pringle
A A Swann
R W King
C D Gale
Secretary: C D Gale
Nominated adviser and broker: Numis Securities Limited
10 Paternoster Square
London
EC4M 7LT
Bankers: HSBC Bank plc
65 Packhorse Road
Gerrards Cross
Buckinghamshire
SL9 8PH
Solicitors: Taylor Wessing LLP
5 New Street Square 
London 
EC4A 3TW
Auditor: Grant Thornton UK LLP
Registered Auditors
Chartered Accountants
Grant Thornton House
Melton Street
Euston Square
London
NW1 2EP
Website: www.allocatesoftware.com   Allocate Software plc
180 Piccadilly
London
W1J 9ER
Tel: +44 (0)20 7355 5555
Fax: +44 (0)20 7355 5588
www.allocatesoftware.com