idoxplc.com
Idox plc
Second Floor, 1310 Waterside,  
Arlington Business Park,  
Theale, RG7 4SA
T +44 (0) 870 333 7101 
F +44 (0) 870 333 7131 
E investors@idoxplc.com
Annual Report
& Accounts 2014
Idox plc  Annual Report & Accounts 2014
10290 IDOX AR14 1 Cover AW02.indd   1 20/01/2015   11:39
Strategic Report
1 Financial and Operational Highlights
2 Idox plc at a Glance
4 Chairman’s Statement
6 Chief Executive’s Report
8 Chief Financial Officer’s Report
10 Business Model and Principal Risks
11 Key Performance Indicators
Governance
12 Board of Directors
14 Directors’ Report
18 Report on Remuneration
21 Corporate Governance Report
26 Report of the Audit Committee
Financial Statements
27 Independent Auditor’s Report to the Members of Idox plc
28 Consolidated Statement of Comprehensive Income
30 Consolidated Balance Sheet
32 Consolidated Statement of Changes in Equity
34 Consolidated Cash Flow Statement 
35 Notes to the Accounts
80 Independent Auditor’s Report to the Members of Idox plc 
81 Company Balance Sheet
82 Notes to the Company Financial Statements
Company Information
92 Company Information
Idox plc, through its two operating divisions,  
is a supplier of complex information 
management solutions and services to the 
UK public sector, as well as asset-intensive 
corporate industries around the world.
Public Sector Software 
The Public Sector Software division 
(PSS) provides market leading specialist 
document management software and 
related services to over 90% of UK local 
authorities in the fields of land and property 
management, regulatory services, waste 
management, social care and finance. 
The division also runs the leading grants 
information provider in both the UK and  
the Netherlands, and provides solutions  
for government elections and European-
wide compliance and e-learning.
Engineering Information 
Management
The Idox Engineering Information 
Management (EIM) division is represented 
by McLaren Software. McLaren provides 
complex information management solutions 
for major capital projects and asset 
operations, as well as infrastructure projects 
and facilities management. Its solutions help 
reduce risk and improve safety, profitability, 
compliance and performance. McLaren 
solutions are available in the cloud, on 
premise or privately hosted. 
Contents
About Idox
10290 IDOX AR14 2 Front AW01.indd   4 20/01/2015   09:58 10290 IDOX AR14 4 Back AW01.indd   93 20/01/2015   09:56
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Idox plc
Second Floor, 1310 Waterside,  
Arlington Business Park,  
Theale, RG7 4SA
T +44 (0) 870 333 7101 
F +44 (0) 870 333 7131 
E investors@idoxplc.com
Annual Report
& Accounts 2014
Idox plc  Annual Report & Accounts 2014
10290 IDOX AR14 1 Cover AW02.indd   1 20/01/2015   11:39
Strategic Report
1 Financial and Operational Highlights
2 Idox plc at a Glance
4 Chairman’s Statement
6 Chief Executive’s Report
8 Chief Financial Officer’s Report
10 Business Model and Principal Risks
11 Key Performance Indicators
Governance
12 Board of Directors
14 Directors’ Report
18 Report on Remuneration
21 Corporate Governance Report
26 Report of the Audit Committee
Financial Statements
27 Independent Auditor’s Report to the Members of Idox plc
28 Consolidated Statement of Comprehensive Income
30 Consolidated Balance Sheet
32 Consolidated Statement of Changes in Equity
34 Consolidated Cash Flow Statement 
35 Notes to the Accounts
80 Independent Auditor’s Report to the Members of Idox plc 
81 Company Balance Sheet
82 Notes to the Company Financial Statements
Company Information
92 Company Information
Idox plc, through its two operating divisions,  
is a supplier of complex information 
management solutions and services to the 
UK public sector, as well as asset-intensive 
corporate industries around the world.
Public Sector Software 
The Public Sector Software division 
(PSS) provides market leading specialist 
document management software and 
related services to over 90% of UK local 
authorities in the fields of land and property 
management, regulatory services, waste 
management, social care and finance. 
The division also runs the leading grants 
information provider in both the UK and  
the Netherlands, and provides solutions  
for government elections and European-
wide compliance and e-learning.
Engineering Information 
Management
The Idox Engineering Information 
Management (EIM) division is represented 
by McLaren Software. McLaren provides 
complex information management solutions 
for major capital projects and asset 
operations, as well as infrastructure projects 
and facilities management. Its solutions help 
reduce risk and improve safety, profitability, 
compliance and performance. McLaren 
solutions are available in the cloud, on 
premise or privately hosted. 
Contents
About Idox
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• Revenues up 6% to £61m (2013: £57m); 
  – Organic revenue growth and market share gains in the PSS division
  –  Revenue growth achieved in EIM division against a backdrop of  
difficult market conditions
• Adjusted EBITDA* up 9% to £16.4m (2013: £15.1m) 
• Profit before tax £7.6m (2013: £7.5m) 
• Adjusted EPS** 3.25p (2013: 3.53p), Basic EPS 1.65p (2013: 2.17p)***
•  Final proposed dividend of 0.425p (2013: 0.40p), total for year 0.75p  
(2013: 0.70p), 7% increase over last year
•  Successfully provided the majority of electoral services for the  
Scottish referendum
• Substantially reorganised and refocused EIM division
•  Negotiated £40m new banking facilities with Royal Bank of Scotland  
and Silicon Valley Bank
•  Completed acquisition of Digital Spirit GmbH a leading supplier of  
compliance solutions
*  Adjusted EBITDA is defined as earnings before amortisation, depreciation, restructuring, acquisition, 
corporate finance and share option costs
** Adjusted EPS excludes amortisation, restructuring, acquisition, corporate finance and share option costs
***  The current year includes a normalised tax charge (2013: £0.9m tax credit for overseas tax losses) and no  
write back of deferred consideration (2013: £0.7m). 
Financial and Operational Highlights
10290 IDOX AR14 2 Front AW01.indd   1 20/01/2015   09:58 Idox plc Annual Report and Accounts 2014 02
At a Glance
Glasgow, UK: 
Research & Development, 
Engineering Information 
Management, Public  
Sector Software
Wilmslow, UK: 
Public Sector Software
Crawley, UK: 
Engineering Information 
Management
Theale, UK: 
Global H.Q.
Idox customer locations
Idox offices
Rennes, France:  
Engineering Information 
Management
Brussels, Belgium:  
Public Sector Software
Paris, France:  
Engineering Information 
Management
Derry, Northern Ireland: 
Public Sector Software
San Francisco, USA:  
Engineering Information 
Management
Calgary, Canada:  
Engineering Information 
Management
Houston, USA:  
Engineering Information 
Management
Frankfurt, Germany: 
Engineering Information 
Management
Berlin, Germany: 
Public Sector Software
Strategic Report
10290 IDOX AR14 2 Front AW01.indd   2 20/01/2015   09:58 Idox plc Annual Report and Accounts 2014 03
Goor, Holland:  
Public Sector Software
Perth, Australia:  
Engineering Information Management
Pune, India:  
Software Development
Utrecht, Holland:  
Public Sector Software
10290 IDOX AR14 2 Front AW01.indd   3 20/01/2015   09:58 Idox plc Annual Report and Accounts 2014 04
I am pleased to report that Idox restored good 
growth and profit progression in 2014 following 
a difficult year in 2013, matching the market 
guidance given at the end of 2013. Our core 
Public Sector Software Division (PSS) enjoyed 
an impressive year seeing organic revenue 
growth of 8%. The Engineering Information 
Management Division (EIM) only saw marginal 
growth in a challenging year in its global markets 
of 4% on a constant currency basis, and by 1% 
on a reported basis following adjustments for 
adverse exchange rate movements. The division 
did maintain an adjusted EBITDA margin of 23% 
due to the reorganisation, product improvements 
and cost rationalisations which were undertaken 
in 2013. The Group’s continuing operations 
generated £7.6m profit before tax on revenues 
up 6% to £61m.
Idox is now a Group with a simplified corporate 
structure comprising two major divisions, PSS 
and EIM. We apply our specialist information 
management skills to our chosen markets in the 
UK and around the world, with approximately 
two thirds of business in the UK from public 
sectors and one third in the global EIM business. 
In the year under review our UK public sector 
business benefitted from a high level of new 
activity, not the least in the Group’s Elections 
Business; which included providing the 
electronic management for the Referendum in 
Scotland. In our traditional Land and Property 
business we once again increased our market 
share with a number of competitive wins, 
including Trafford, St. Helens and Ealing, and 
we saw growth in managed and hosted services 
and Cloud based solutions to local authorities, 
such as Birmingham, South Norfolk, Aylesbury, 
Shropshire and Highland.
In EIM we have been challenged again by a 
fall in activity in the Oil & Gas sector, which 
currently represents just 33% of the EIM division’s 
business. Despite this, in our main market of 
North America, and also in Africa, we have added 
some notable business wins amongst the Oil & 
Gas majors, such as BG Group and Pembina, 
and we were appointed as the supplier of choice 
for a fully off-premise hosted solutions by a major 
US independent E&P company, a leader in the 
emerging shale gas and alternative extraction 
industry. In addition, outside this sector, we 
have made further gains with new client wins 
in the Utilities sector and other sectors such as 
Infrastructure. These include Mustang and Eli Lilly. 
As part of our executive leadership development 
we were delighted to appoint Jane Mackie 
as our new Group Chief Financial Officer in 
February following a formal executive search 
conducted outside and within the Group. This 
is the first time we have made an appointment 
to the board as a result of an internal promotion 
and it is a clear sign of the developing scale 
and sophistication of the Idox Group. Jane 
was previously Group Financial Controller and 
joined Idox in 2005 from Grant Thornton UK 
LLP. She has already put in place new banking 
arrangements with the Royal Bank of Scotland 
and Silicon Valley Bank which were announced 
in September and which will give us the 
additional headroom to resume an enhanced 
planned acquisition programme following the 
“ Idox was restored to 
good growth and profit 
progression in 2014” 
Chairman’s Statement
Strategic Report
10290 IDOX AR14 2 Front AW01.indd   4 20/01/2015   09:58 Idox plc Annual Report and Accounts 2014 05
past year of consolidation within the Group. The 
first result of this was the acquisition of Digital 
Spirit GmbH which was announced in October.
The Board, in reviewing the risk management 
of the Group, has noted the improvements 
in the UK and North American economies, 
but also the greater uncertainties elsewhere 
in the world and more recently the significant 
fall in oil prices along with its impact on many 
emerging economies and the Oil & Gas industry. 
Historically these do shift over time and while 
the majority of the business remains UK public 
sector focused, which plays to our current 
strengths, we continue to believe that a degree 
of diversification is prudent. We are pleased 
that we have a growing relationship with North 
American shale and alternative energy providers 
as well as long-term deep customer relationships 
in the Utilities sector including Nuclear, Hydro 
and fossil generation as well as an emerging 
business in the Transmission and Distribution 
markets. This should help mitigate against any 
further fall in demand from the Oil & Gas market, 
should the oil price continue to slide, although at 
present it still remains a very large addressable 
market for us.
In developing the business and its governance 
we are about to commence a formal board 
recruitment process utilising external consultants 
to recruit additional non-executive directors with 
a view to ensuring the continuation of high level 
board representation with which to take the 
Group forward. Idox is now a much larger Group 
than five years ago and, with our ambitions 
to continue this growth path in an accretive 
and measured way, the future non-executive 
leadership is a vital element. We have started 
this a little later than planned as our focus over 
the last few months has been to bring the Group 
back on a sustainable earnings growth path. 
In view of this resumption in earnings growth, 
the Board proposes, subject to shareholder 
approval at the Group’s Annual General 
Meeting, a final dividend of 0.425p, bringing 
the total for the year to 0.75p. This represents 
an uplift of 7% over the previous year, and is 
in line with both our improved trading and our 
progressive dividend policy.
I would like to thank our executive leadership 
team and all our staff for getting the Group back 
onto a path of sustainable growth, following 
the setbacks in 2013. We are now far better 
positioned to continue this by benefitting from 
the opportunities in the UK and North America 
in particular, and are ready to take up business 
elsewhere in the world, despite a very uncertain 
global economic outlook.
Martin Brooks
Chairman
16 January 2015
Revenue
£60,677k 
2013: £57,319k
2010: £27,883k
2011: £35,231k
2012: £55,382k
2013: £57,319k
2014: £60,677k
10290 IDOX AR14 2 Front AW01.indd   5 20/01/2015   09:58 Idox plc Annual Report and Accounts 2014 06
The Group has had a successful year in its 
further transition from a software only business 
to a specialist workflow solutions business in 
its core markets of public sector, infrastructure, 
utilities and Oil & Gas. This year saw our total 
revenues from managed services pass 8% in 
public sector and the completion of our first 
hosted, managed solution in EIM.
The Group’s strategy remains focused on markets 
where it can demonstrate highly specialised 
knowledge and where we can better serve our 
customers by adding value in content, quality 
of service and efficiency. We also continue to 
strengthen our position in the related area of 
compliance solutions and grants consultancy.
In all our markets there continued to be common 
austerity drivers, either due to government cost 
savings, or due to the current global trend to 
lower prices in order to reduce costs. Idox has 
developed, and continues to enhance solutions 
that reduce re-work, lowers risk, cuts cost and 
guarantees prompt delivery and implementation. 
We have achieved this through delivering 
standardisation, integration and streamlining 
implementation across all our solutions and 
services. We believe that this allows our 
customers to simplify operations, and through 
the integration of data, speed up decision 
making processes. 
This change in focus to solutions and on-domain 
expertise is in explicit response to changes in 
public services, and more recently, corporate 
expenditure, away from IT-led services to total 
managed services. The difficulty in the traditional 
approach of competing for internal specialist IT 
resources for the implementation of operational 
solutions is being exacerbated by the scarcity of 
resources due to cost constraints. This leads to 
delays in making change and driving efficiencies 
as operational expenditure is held up, and 
furthermore, the speed of change is slowed by the 
lack of expertise and the time taken to understand 
how to resolve the problem. Often the outcome 
is a best endeavoured solution which may miss 
the mark adding to the risk and cost. Increasingly, 
customers are realising that specialist providers 
of managed solutions know best, as they 
make services immediately available, and can 
now switch on solutions quickly in a hosted 
environment, thus making it easier and less  
risky to respond.
We believe this change in approach has been 
held back until now due to the concerns over 
security and connectivity. However the cyber 
security specialists are educating the market that 
by housing all your data in one place poses a 
greater risk, and therefore it should be distributed 
to reduce exposure. Connectivity is the same 
regardless of distance and as this becomes the 
more established view, we believe the market for 
managed solutions will accelerate.
Across our public sector market we have built 
a strong and improving reputation for delivery, 
quality of solution, speed of delivery and best 
practice for key roles. Our goal is to continue 
to build on this and extend our customers’ 
perception of Idox as a capable, credible partner 
with whom they have confidence in working.
Our goal is to provide even better solutions  
in partnership with our strategic partners through 
a continued investment in project management 
resources, infrastructure, content and domain 
Chief Executive’s Report
“ Idox has a strong and 
improving reputation for 
meeting customer needs, 
quality of solution and 
speed of delivery.”
Strategic Report
10290 IDOX AR14 2 Front AW01.indd   6 20/01/2015   09:58 Idox plc Annual Report and Accounts 2014 07
experts. This year, through the reorganisation 
of our EIM Division, we are now extending this 
proven approach across all our areas of expertise.
Public sector revenues grew 8% due to the 
continued growth in managed services, with a 
further 52 competitor systems wins from the likes 
of Trafford, St Helens and Ealing. We expect to 
build upon this above trend growth in 2015 with 
further market share wins and more managed 
services solutions.
The Grants business grew strongly in new 
accounts in 2014 and for the first time in two years 
funding rates have remained unchanged. This 
is already translating to higher services volumes 
and billings for 2015. Our Compliance business 
will benefit from the consolidation achieved by the 
acquisition of Digital Spirit in October 2014 and we 
expect this to drive revenues in the second half of 
the year after full integration.
The EIM division’s focus in 2014 has been on 
customer care and delivery of solutions, namely: 
Investment in project management, clearer 
product roadmaps and a closer integration 
between development, product management and 
customers. The team has substantially changed 
this year with new faces and internal promotions 
lead by Peter Russell-Smith who joined us at 
the start of the year. The emphasis in 2015 is to 
grow by penetrating further existing accounts and 
developing a clearer and better partner supplier 
relationship with them. The focus in sales has also 
shifted more towards the USA given the strength 
of their economy and the current investment in 
shale gas and infrastructure.
EIM revenues from Oil & Gas represent 11% of 
Group revenues in 2014 and this is forecast to 
be lower in 2015, reflecting the dramatic slowing 
of investment in the sector and also our reduced 
investment made during the year in order to 
diversify our risk and expand in Infrastructure 
and Utilities. 
The Group continues to focus on improvements 
in effectiveness and disciplines and cash 
management. This has resulted in revenues 
and contribution per head being 5% and 8%, 
respectively, ahead of the previous year and this 
is forecast to rise further in 2015.
Outlook
The current trading environment in Public Sector 
remains unchanged, with the pre-Christmas 
public sector spending announcements in-line 
with our expectations. Our customers have 
asked for help in finding better ways of meeting 
their obligations and we are here to resolve 
these matters as their partner in providing public 
services. Therefore, we believe it remains a 
positive environment for change, which allows 
Idox the opportunity to look at doing things 
differently and therefore provides a significant 
opportunity for growth. 
Public sector IT spend is forecast to be flat in 
2015. There continues to be investment in new 
and front line services, but not in infrastructure. 
In EIM total capital projects are down in Oil & Gas 
but have not collapsed altogether, and the trend 
to standardisation to reduce costs will continue 
and the tougher markets will, we believe, 
encourage the market to adopt change faster. 
There continues to be growing investments in 
Infrastructure and Utilities. 
We believe our continuing approach to adapt  
to customer needs and to move more towards 
end-to-end total solutions is driven from 
knowledge, the application of technology and 
investment in training and staff improvement.  
The result of this is to deliver better solutions 
in public services, the demand for which, we 
believe, will fuel further growth. The application 
of these similar approaches and disciplines into 
our other verticals will, we hope, be adopted by 
these customers, as long as we focus on the 
continual improvement of our customer care  
and management.
The business is both geographically spread 
and diversified across different verticals and is 
therefore protected, to an extent, by this division. 
That is not to say we have not already taken the 
appropriate steps to protect our margins and 
focus on the core areas of growth.
Richard Kellett-Clarke
Chief Executive Officer
16 January 2015
10290 IDOX AR14 2 Front AW01.indd   7 20/01/2015   09:58 Idox plc Annual Report and Accounts 2014 08
Financial review
Group revenues from continuing operations grew 
by 6% to £61m (2013: £57m) due to organic 
growth in the PSS division, strong election 
activity and the impact of one acquisition 
made during 2013. The Group maintained the 
geographical split of its revenues with 31% 
generated outside of the UK (2013: 33%). 
Gross profit earned was 4% higher at £54m 
(2013: £52m) and the Group saw a decrease 
in gross margin from 91% to 89% as a result of 
the increase in lower margin managed service 
election revenues. Earnings before amortisation, 
depreciation, restructuring, acquisition, corporate 
finance and share option costs (“Adjusted 
EBITDA”) increased by 9% to £16.4m (2013: 
£15m) with Adjusted EBITDA margins of 27% 
(2013: 26%).
Performance by segment
The PSS division, which accounted for 68% 
of Group revenues (2013: 66%), delivered 
revenues of £41m (2013: £38m). Product and 
services revenue grew organically by 8% on 
the previous year driven by further market 
share gains and a significant number of local 
council contract wins for managed services 
and hosting. Election activity increased on the 
prior year by nearly double due to the Individual 
Electoral Registration project, and the low margin 
managed services for the European elections 
and the Scottish Referendum. The Grants 
business in the UK and Netherlands saw  
double digit growth on the prior period. 
Recurring revenues within the PSS division were 
47% (2013: 52%). Divisional Adjusted EBITDA 
increased by 12.5% to £12.0m (2013: £10.6m), 
delivering a 29% margin, a 1% increase on 2013 
(28%) due to cost efficiencies. 
The EIM division accounted for 32% of Group 
revenues (2013: 34%) and had revenue growth 
of 1% to £19.5m (2013: £19.2m). On a constant 
currency basis, revenue grew 4% on the prior 
year with 52% of revenues generated in the US 
(2013: 46%). Professional services revenue grew 
16% due to a substantial reorganisation and 
refocus in the year. 
The level of recurring revenues in the EIM 
business from maintenance and Software- 
as-a-Service (“SaaS”) were 49% (2013: 51%). 
Divisional Adjusted EBITDA for the EIM division 
was flat at £4.4m (2013: £4.4m), 27% of the 
Group total with margins held at 23% (2013: 23%). 
Profit before tax
Adjusted EBITDA increased 9% to £16.4m (2013: 
£15.1m). Administrative expenses increased 5% 
to £46m (2013: £43m) with 1% of this increase 
due to a full twelve months contribution in the 
year of Artesys. Staff costs increased by 2% 
on a like for like basis partly due to a reduction 
in development salaries being capitalised 
by £0.4m. Despite an increase in bad debts 
charge to £0.4m (2013: £0.1m), other overheads 
decreased by 5% on a like for like basis with  
cost efficiencies achieved through office 
synergies in the UK. 
Financing costs decreased 5% to £1.1m (2013: 
£1.2m) and includes interest payable of £0.7m 
(2013: £0.9m) and amortisation of the loan 
facility fees of £0.23m (2013: £0.16m) following 
the renegotiation of the new bank facility. 
Reported profit before tax was up 1% to £7.6m 
(2013: £7.5m). Amortisation of intangibles 
increased £0.6m due to a full year of Artesys, 
higher research and development additions in 
2013 and higher software licence additions. 
Restructuring charges of £0.4m (2013: £0.5m) 
relate to the internal reorganisation of the EIM 
division and the streamlining of corporate 
Chief Financial Officer’s Report
Strategic Report
10290 IDOX AR14 2 Front AW01.indd   8 20/01/2015   09:58 Idox plc Annual Report and Accounts 2014 09
functions between London and Newbury into 
the combined Theale office. Acquisition costs 
normalised at £0.1m (2013: (£0.6m)) following 
the one off benefit in 2013 of £0.8m related 
to the release of earn-out obligations on the 
Opt2Vote acquisition which did not become 
payable. Corporate finance costs relate to the 
one off fees from negotiating a new, two bank, 
four year banking facility of £40m.
The Group continues to invest in developing 
innovative technology solutions and has 
incurred capitalised Research and Development 
costs of £1.0m (2013: £1.3m). Research and 
Development costs expensed in the period  
were £5.4m (2013: £4.8m).
Taxation
The Group’s effective tax rate for the year was 
22.9% compared to (12.8%) in 2013. During the 
period all brought forward trading tax losses 
in the UK were utilised, resulting in a greater 
proportion of UK profits being subject to tax. 
The lower effective tax rate in 2013 was due to 
the recognition of historic deferred tax assets 
within the US entities of the EIM business in 
relation to losses and other timing differences. 
Other factors decreasing the tax rate in 2013 
include the recognition of tax losses in the EIM 
business in the UK and an adjustment to the 
deferred tax asset recognised in respect of share 
options. As trading losses in the UK have all 
been utilised during the year, this will result in a 
greater proportion of profits being taxable and an 
increase in the effective tax rate going forward. 
There was an increase to trading losses arising 
overseas, leaving £3.3m available to be utilised  
in the future, mainly in the US.
Earnings per share and dividends
Adjusted earnings per share fell 8% to 3.25p 
(2013: 3.53p). Diluted adjusted earnings per 
share fell 8% to 3.11p (2013: 3.38p). 
Basic earnings per share fell 24% to 1.65p  
(2013: 2.17p). Diluted earnings per share fell  
by 23% to 1.59p (2013: 2.07p). 
Earnings per share were impacted by the tax 
charge in the year compared to the tax credit in 
2013 and the release of the earn out obligations 
in 2013. 
The Board proposes a final dividend of 0.425p, 
an increase of 7% on the total dividend from 
prior year. The final dividend will be paid on  
24 April 2015 to shareholders on the register  
at 10 April 2015. 
Balance sheet and cashflows
The Group’s balance sheet continued 
to strengthen during the period and at 
31 October 2014 net assets were £48.6m 
compared to £44.7m at 31 October 2013. 
Cash generated from operating activities  
before tax as a percentage of Adjusted EBITDA 
was 81%, up from 79% in the previous year. 
The Group ended the period with net debt of 
£15.8m (2013: £19.8m), which was ahead of 
forecast before drawing down £2m to fund the 
Digital Spirit acquisition on 22 October 2014 and 
after total dividends of £2.6m. During the year 
a new four year banking facility was negotiated 
with Royal Bank of Scotland and Silicon Valley 
Bank. The Group’s total signed debt facilities at 
31 October 2014 stood at £40m, a combination 
of a £17m term loan and £23m revolving credit 
facility, split £25m Royal Bank of Scotland and 
£15m Silicon Valley Bank. 
Deferred income, representing invoiced 
maintenance and SaaS contracts yet to be 
recognised in revenue stood at £13.3m at 
31 October 2014 (2013: £14.0m). Accrued 
income, representing future cash flows from 
managed service contracts in the PSS division 
increased to £8.8m (2013: £7.6m).
Jane Mackie
Chief Financial Officer
16 January 2015
10290 IDOX AR14 2 Front AW01.indd   9 20/01/2015   09:58 Idox plc Annual Report and Accounts 2014 10
Our Business Model
To provide specialist workflow document management collaboration solutions and services to the 
UK public sector and highly regulated asset intensive industries around the world and in the wider 
corporate sector.
Our strategy is to become the partner of choice due to our domain expertise, continued innovation, 
quality of service and guaranteed delivery. Through this focus on quality and delivery we expect to 
demonstrate to our customers’ improvements in operational efficiency and return on investment which 
will in return result in us increasing our market share, growing both organically and internationally.
Principal Risks and Uncertainties
The Board review the principal risks and uncertainties on a regular basis. The principal risks and 
uncertainties affecting the Group include the following:
Principal risks Management of risks
Economic conditions in markets suppress  
organic growth
Diversification of customers and  
geographical markets
Competitor products deliver increased capabilities Investment in research and development 
Barriers to entry in new markets Strategic partnerships
Loss of skills and knowledge Investment in and consultation of staff
Product failure Robust market research, product testing  
and competitor awareness
Performance management
Failure to complete sales pipeline Robust process in place to fully qualify orders
The principal risks involved in delivering our strategy are actively managed and monitored against  
our risk appetite.
• Political – the Group has a large customer base in local government. A change in spending 
priorities by the current or a future Government could materially impact the Group. However this 
risk is mitigated due to the contractual nature of the recurring revenue in the Group. The Group has 
increased diversification of its customer base through acquisitions to mitigate against political risks.
• Economic – the software area of the business could be adversely affected if the government 
reduces the grants to local authorities in an economic downturn. However, all indications are that 
the government will maintain and may increase the grants during such a period. The Group has 
increased diversification through acquisitions to mitigate against economic risks.
• Competitors – the Group has certain competitors for its software products. To mitigate this risk, the 
Group continues to invest in and develop its software. Competitor risk is also mitigated through the 
long term nature of customer relationships and recurring software maintenance revenue.
• Acquisitions – the Group could be materially impacted if an acquisition does not perform in line 
with expectations. To mitigate this risk, for each acquisition due diligence and integration planning 
is undertaken and all potential synergies identified.
Business Model and Principal Risks
Strategic Report
10290 IDOX AR14 2 Front AW01.indd   10 20/01/2015   09:58 Idox plc Annual Report and Accounts 2014 11
Key financial performance indicators for continuing operations, including the management of 
profitability and working capital, monitored on an ongoing basis by management are set out below.
Indicator 2014 2013 Measure
Revenue (£000) 60,677 57,319
Profitability ratios
Gross margin 89% 91% Gross profit as a percentage of revenue
Adjusted EBITDA 27% 26% Profit before interest, tax, depreciation, amortisation, 
restructuring costs, acquisition costs, corporate finance 
costs and share option costs as a percentage of revenue
Other indicator
Debtor days 62 65 Year end trade debtors divided by revenue,  
multiplied by 365 days
Non-financial Indicators
Idox Group practises an integrated management system centred around its ISO accreditations as follows:
Quality Management The Group quality policy has been accredited to BS EN ISO 9001:2008 
for the development and the sale of products for document, content and 
information management.
Environmental Management The Group environmental management system has been assessed and 
approved to accredited BS EN ISO 14001:2004, the approved systems 
applying to the following: the development and sale of products for 
document, content and information management.
Information Security 
Management
The Group information security management policy has been accredited  
to BS EN ISO 27001:2005, the approved systems applying to the following: 
for the development and the sale of products for document, content and 
information management.
Composition of the Board
The Board of Directors is comprised of 33% female staff members. 
Signed on behalf of the Board by:
Richard Kellett-Clarke
Chief Executive Officer
16 January 2015
Key Performance Indicators
10290 IDOX AR14 2 Front AW01.indd   11 20/01/2015   09:58 Idox plc Annual Report and Accounts 2014 12
1 2
4
5
6
3
Board of Directors
1 Martin Brooks (Aged 64)
Chairman 
Martin Brooks was previously founding chief 
executive of Financial Times Information, creating 
the global market leader in securities valuation 
data on acquiring Interactive Data Corporation. 
Before joining the FT and a 30 year career in 
TMT businesses, including six years as MD of 
Extel Financial, he served with the 7th Gurkha 
Rifles. He has also been an adviser or director to 
other organisations including the ICAEW, where 
he chaired its publishing arm and is currently 
chairman of the Cornwall Development Company 
and a trustee of the Gurkha Museum.
2 Richard Kellett-Clarke (Aged 60)
Chief Executive Officer 
Richard Kellett-Clarke has 31 years of  
directorial experience. He joined Idox first 
as CFO in 2006, then COO in 2007. He was 
appointed CEO in November 2007. Before this 
he has held a number of CFO appointments 
with Brady plc, Pickwick Group plc, and in 
subsidiaries of Pearson plc and Invensys plc. 
In addition, he was a founder and Managing 
Director of AFX NEWS Ltd, now part of 
Thomson Reuters, IT Director of Financial Times 
Information, and Founding Director of Sealed 
Media Ltd, an Internet start up. In 2011 he 
joined the board of dotDigital Group plc as  
a Non–Executive Director.
Governance
10290 IDOX AR14 3 Middle pt1 AW01.indd   12 20/01/2015   09:57 Idox plc Annual Report and Accounts 2014 13
4 Rt. Hon. Peter Lilley MP (Aged 71)
Non-Executive Director 
Peter Lilley, MP for Hitchin and Harpenden,  
was Parliamentary Private Secretary to Ministers 
for Local Government and after a period at 
the Treasury served as Secretary of State for 
Trade and Industry and Secretary of State for 
Social Security until 1997. He serves on the 
Advisory Board of YiMei Capital. He is the senior 
independent Non-Executive Director of Idox and 
chairs the Nominations Committee. 
5 Professor Dame Wendy Hall (Aged 62)
Non-Executive Director 
Wendy Hall is Professor of Computer Science 
and Executive Director of the Web Science 
Institute at the University of Southampton. She is 
a Fellow of the Royal Society and Royal Academy 
of Engineering and is the holder of a number of 
honorary degrees and other awards. Wendy has 
been a member of the Prime Minister’s Council 
for Science and Technology and is currently a 
member of the Global Commission on Internet 
Governance. She has been involved with several 
start-up companies, including Active Navigation 
and Garlik, which attracted many million pounds 
of investment, and serves on a number of other 
Boards including the British Library, Dstl and the 
Digital Catapult. In 2014 she was voted the most 
influential woman in IT in the UK.
3 Jane Mackie (Aged 34)
Chief Financial Officer 
Jane Mackie first joined the finance team of Idox  
in 2005 and was appointed as Group Financial 
Controller and Company Secretary in 2009. 
Jane was appointed as Chief Financial Officer 
in February 2014. Prior to this Jane was an 
assistant audit manager at Grant Thornton in 
Glasgow where she qualified as a Chartered 
Accountant in 2004. Jane has a first class 
degree in Accounting from the University of 
Strathclyde, where she graduated in 2001.
6 Jeremy Millard (Aged 43)
Non-Executive Director 
Jeremy Millard is a partner of Smith Square 
Partners LLP, where he provides corporate 
finance advice to companies primarily in the 
Technology sector. Prior to this, he spent five 
years at Rothschild, based in their London office, 
advising clients on all aspects of corporate 
finance, including on a number of major cross-
border transactions encompassing Europe, 
North America and the Middle East. Between 
2001 and 2007, Jeremy worked at Hawkpoint 
Partners, where he had a strong focus on 
advising mid-market UK listed companies. He 
has also worked for the UK Ministry of Defence 
and Mars Snack Foods, qualified as a chartered 
accountant in 1999, and holds an M.Eng from 
Cambridge University. He is the Chairman of the 
Audit Committee. 
10290 IDOX AR14 3 Middle pt1 AW01.indd   13 20/01/2015   09:57 Idox plc Annual Report and Accounts 2014 14
Governance
The Directors are pleased to submit their report and audited financial statements for the year ended 
31 October 2014.
Results and Dividends
The Group audited financial statements for the year ended 31 October 2014 are set out on pages 
28 to 79. The Group’s profit for the year after tax amounted to £5,843,000 (2013: £8,364,000). The 
Directors paid a dividend of 0.325 pence per share in the first half of the 2014 financial year, in respect 
of the year ended 31 October 2014. The Directors will propose, at the forthcoming AGM, a final 
dividend of 0.425 pence per share in respect of the year ended 31 October 2014. 
Directors and their Interests
The Directors who served during the year and their beneficial interests (including those of their 
immediate families) in the Company’s 1p ordinary share capital were as follows:
Number of shares
31 October 2014 1 November 2013
R Kellett-Clarke*** 12,562,911 9,904,336
J Mackie 43,169 37,110
M Brooks ** 7,970,027 7,970,027
Rt. Hon. P B Lilley MP* 533,000 533,000
Prof W Hall 27,225 27,225
J Millard – –
*  45,150 (2013: 45,150) of these shares are held through a Self Invested Pension Plan and 59,250 (2013: 59,250) shares are 
held through certain members of his family.
**  3,198,948 (2013: 3,198,948) of these shares are held through a Self Invested Pension Plan and 3,019,231 (2013: 3,019,231) 
shares are held through certain members of his family.
***  2,761,667 (2013: 2,761,667) of these shares are held through Self Invested Pension Plans and 4,204,231 (2013: 1,553,231) 
shares are held through certain members of his family and a family trust.
In addition to the shareholdings listed above, the Directors have been granted options over ordinary 
shares. Full details of these options are given in the Report on Remuneration on pages 18 to 20.
Details of the Directors’ service contracts can be found in the Report on Remuneration on pages  
18 to 20.
Directors’ Report
For the year ended 31 October 2014
10290 IDOX AR14 3 Middle pt1 AW01.indd   14 20/01/2015   09:57 Idox plc Annual Report and Accounts 2014 15
Substantial Shareholdings
As at 31 October 2014 the Company was aware of the following interests in 3% or more of its issued 
share capital:
Shareholder Number of shares % Holding 
Liontrust Asset Management 52,482,857 14.73%
Investec Wealth & Investment 28,204,082 7.91%
Herald Investment Management 27,940,149 7.84%
Kestrel Partners 22,365,730 6.28%
Living Bridge EP LLP 17,433,409 4.89%
Octopus Investments 13,599,526 3.82%
Highclere International Investors 13,346,840 3.75%
Aviva Investors 13,311,893 3.74%
Hargreave Hale 12,998,500 3.65%
Charles Stanley 11,378,388 3.19%
Transaction in own shares
During the year, the Group purchased 2,338,219 of its own ordinary shares of 1 pence to be held 
as treasury shares in order to satisfy future employee share option exercises. In May 2014, the 
Group purchased 1,000,000 shares at a price of 40.468 pence per share. In June 2014, the Group 
purchased 838,219 shares at a price of 44 pence per share. In August 2014, the Group purchased 
500,000 shares at a price of 44.625 pence per share. 
During the year an employee exercised share options which the Group satisfied using treasury shares. 
The number of shares issued was 35,000 at a nominal value of £8,257. 
The maximum number of shares held at any time during the year was 2,355,219 which had a nominal 
value of £1,000,632. 
Health, Safety and Environmental Policies
The Group recognises and accepts its responsibilities for health, safety and the environment (H,S&E) 
and has a dedicated team which provides advice and support in this area. The team members 
regularly attend external H,S&E courses and internal reviews are performed on a regular basis to 
ensure compliance with best practice and all relevant legislation.
Disabled Employees
Applications for employment by disabled persons are always fully considered, bearing in mind the 
aptitudes and abilities of the applicant concerned. 
In the event of members of staff becoming disabled, every effort is made to ensure that their 
employment with the Group continues and that appropriate training is arranged. It is the policy of the 
Group that the training, career development and promotion of disabled employees should, as far as 
possible be identical with that of other employees. 
10290 IDOX AR14 3 Middle pt1 AW01.indd   15 20/01/2015   09:57 Idox plc Annual Report and Accounts 2014 16
Governance
Employee Consultation
The Group consults employees through the National Company Council (NCC). The NCC sits regularly 
during the year and is made up of representatives voted on the Council by employees. An employee 
consultation policy is also in place. Employees are encouraged to present their views and suggestions 
in respect of the Group’s performance and policies. In addition, the Group has an intranet which 
facilitates faster and more effective communication.
An Employee Share Investment Trust is in place to allow employees a tax efficient way of investing in 
the Company. The Company purchases matching shares which become the property of the employee 
after a three year vesting period.
Financial Risk Management Objectives and Policies
The Group uses various financial instruments which include cash, equity investments, bank loans 
and 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 Group’s operations. 
The main risks arising from the Group’s financial instruments are credit risk, liquidity risk, exchange 
rate risk and interest rate risk. The Directors review these risks on an ongoing basis. This policy has 
remained unchanged from previous years.
Credit Risk
The Group’s principal financial assets are cash and trade debtors. The credit risk associated with 
cash is limited as the counterparties have high credit ratings assigned by international credit-rating 
agencies. The principal credit risk arises therefore from its trade debtors. 
In order to manage credit risk, the management review the debt ageing on an ongoing basis,  
together with the collection history and third party credit references where appropriate. 
Liquidity Risk
The Group seeks to manage financial risk by ensuring sufficient liquidity is available to meet 
foreseeable needs and to invest cash assets safely and profitably.
Exchange Rate Risk
The Group monitors its exposure to exchange rate risk on an ongoing basis. The Group has  
minimal exposure to foreign exchange risk as a result of natural hedges arising between sales  
and cost transactions.
Interest Rate Risk
The Group’s bank borrowings bear interest at rates linked to the LIBOR. To protect cash flows  
against movements in LIBOR the Group has a hedging policy in place.
Directors’ Report continued
For the year ended 31 October 2014
10290 IDOX AR14 3 Middle pt1 AW01.indd   16 20/01/2015   09:57 Idox plc Annual Report and Accounts 2014 17
Going Concern
The Directors have reviewed the Group’s budget, cash flow forecasts, available banking facilities 
and level of recurring revenue and consider that the Group has adequate resources to continue in 
business for the foreseeable future. During the year the bank facilities were refinanced and the Group 
has a new four year facility in place. The Directors continue to adopt the going concern basis in 
preparing the financial statements. 
Website Disclaimer
The maintenance and integrity of the Idox plc website is the responsibility of the Directors. The work 
carried out by the auditor does not involve consideration of these matters and, accordingly, the auditor 
accepts no responsibility for any changes that may have occurred to the financial statement since they 
were initially presented on the website. Legislation in the United Kingdom governing the preparation 
and dissemination of the financial statements may differ from legislation in other jurisdictions.
Auditor
A resolution to reappoint Grant Thornton UK LLP as auditor and to authorise the Directors to agree 
their remuneration will be placed before the forthcoming Annual General Meeting of the Company.
By order of the Board
Jane Mackie Registered office
Company Secretary 2nd Floor 
16 January 2015 1310 Waterside 
 Arlington Business Park 
 Theale 
 Reading 
 RG7 4SA
10290 IDOX AR14 3 Middle pt2 AW01.indd   17 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 18
Governance
Remuneration Committee
The Remuneration Committee operates within defined terms of reference. The Remuneration 
Committee comprises the Chairman and two Non-Executive Directors and normally meets four  
times a year. It is chaired by Peter Lilley.
Remuneration Policy
The policy of the Group is to set levels of remuneration to attract, retain and motivate Executive 
Directors and key staff. The packages are designed to be competitive in value to those offered to 
the Directors of similar sized public companies in related sectors. It is the Board’s policy to align the 
interests of managers with those of our shareholders in the grant of option and other equity rewards 
which underlying securities grantees are very much encouraged to retain over the longer term.
The components of the Executive Directors’ remuneration packages are currently a basic salary, 
bonus, money purchase pension contributions and benefits in kind. The benefits include car 
allowance, private medical cover, life cover and critical illness cover. The bonus elements are 
dependent on the Executive Directors achieving performance criteria set out by the Remuneration 
Committee. The criteria include targets for revenue and profits as well as for cash balances.  
In addition, the Group operates share option schemes for the Executive Directors. 
Directors’ Remuneration 
2014
Basic  
salary  
and fees 
2014
£000
Bonus*
2014
£000
Benefits  
in kind
2014
£000
Total 
2014
£000
Pension 
2014
£000
Executive Directors
Richard Kellett-Clarke 321 – 12 333 –
Jane Mackie  
(appointed 27 February 2014) 74 – 6 80 5
Non-Executive Directors
Martin Brooks** 105 – 1 106 –
Peter Lilley 35 – – 35 –
Wendy Hall 35 – – 35 –
Jeremy Millard 35 – – 35 –
605 – 19 624 5
Report on Remuneration
For the year ended 31 October 2014
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2013
Basic  
salary  
and fees 
2013
£000
Bonus*
2013
£000
Benefits  
in kind 
2013
£000
Total 
2013
£000
Pension 
2013
£000
Executive Directors
Richard Kellett-Clarke 275 190 12 477 –
William Edmondson  
(resigned 31 October 2013) 163 112 10 285 16
Non-Executive Directors
Martin Brooks** 105 50 1 156 –
Peter Lilley 35 – – 35 –
Wendy Hall 35 – – 35 –
Jeremy Millard  
(appointed 11 June 2013) 15 – – 15 –
Christopher Wright  
(retired 28 February 2013) 23 – – 23 –
651 352 23 1,026 16
*  Bonus payments disclosed related to prior year performance due to the timing of award. 
** Chairman
The amounts in respect of pension represent money purchase pension contributions.
During the year Richard Kellett-Clarke exercised share options resulting in a taxable gain of £827,000 
(2013: £Nil). The consideration was held as shares. No other directors exercised share options in the 
year ended 31 October 2014 or 31 October 2013. 
Non-Executive Directors
The Board, based on a recommendation by the Chairman of the Remuneration Committee or, in the 
case of the Chairman, the remainder of the Board, determines the remuneration of the Non-Executive 
Directors. The Non-Executive Directors are not eligible to join the pension scheme. 
Service Contracts
The Executive Directors have entered into service contracts with the Group that are terminable by 
either party on not less than six months prior notice. 
10290 IDOX AR14 3 Middle pt2 AW01.indd   19 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 20
Governance
Share Options 
The Directors believe it is important to incentivise key management and employees. 
The following options have been granted to the Directors over ordinary 1p shares in the Company:
Director
At start 
of year
New 
directors
Granted 
during 
the year Exercised Lapsed
At end  
of year
Exercise  
price
Exercise 
date  
from
Exercise 
date  
to
Richard Kellett-Clarke 769,231 – – (769,231) – – 13p Aug 2008 Aug 2018
Richard Kellett-Clarke 666,667 – – (666,667) – – 15p Aug 2008 Aug 2018
Richard Kellett-Clarke 2,439,024 – – (1,615,102) – 823,922 10.25p Mar 2010 Mar 2020
Richard Kellett-Clarke 2,500,000 – – – – 2,500,000 20p Mar 2011 Mar 2021
Richard Kellett-Clarke 300,000 – – – – 300,000 44p Sep 2012 Sep 2022
Martin Brooks 275,000 – – – – 275,000 15p Dec 2007 Dec 2017
Martin Brooks 423,077 – – – – 423,077 13p Aug 2008 Aug 2018
Martin Brooks 366,667 – – – – 366,667 15p Aug 2008 Aug 2018
Martin Brooks 975,610 – – – – 975,610 10.25p Mar 2010 Mar 2020
Martin Brooks 1,000,000 – – – – 1,000,000 20p Mar 2011 Mar 2021
Martin Brooks 300,000 – – – – 300,000 44p Sep 2012 Sep 2022
Peter Lilley 243,902 – – – – 243,902 10.25p Mar 2010 Mar 2020
Peter Lilley 250,000 – – – – 250,000 20p Mar 2011 Mar 2021
Jane Mackie – 195,122 – – – 195,122 10.25p Mar 2010 Mar 2020
Jane Mackie – 500,000 – – – 500,000 18p Mar 2011 Mar 2021
Jane Mackie – – 500,000 – – 500,000 39.12p Mar 2014 Mar 2024
Totals 10,509,178 695,122 500,000 (3,051,000) – 8,653,300
The mid market price of the Company’s shares at close of business on 31 October 2014 was 38.75p 
and the low and high share prices during the year were 28.50p and 46.75p respectively.
The Company recognised total expenses of £467,000 (2013: £511,000) related to equity-settled 
share-based payment transactions during the year. Expenses of £365,000 (2013: £495,000) related 
to share options granted and £102,000 (2013: £16,000) related to share options exercised.
The pre tax aggregate gain on exercise of share options during the year was £827,000 (2013: £Nil).
Directors’ Share Interests
The Directors’ shareholdings in the Company are listed in the Directors’ Report on page 14.
Report on Remuneration continued
For the year ended 31 October 2014
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Corporate Governance
As the Group is quoted on the AIM Market it 
is therefore not required to comply with the 
provisions of the UK Corporate Governance 
Code (the “Code”) issued in September 2012. 
We do not comply with the UK Corporate 
Governance Code. However, we have reported 
on our Corporate Governance arrangements by 
drawing upon best practice available, including 
those aspects of the UK Corporate Governance 
Code we consider to be relevant to the company 
and best practice.
Board of Directors
The Code requires the Group to have an effective 
Board whose role is to develop strategy and 
provide leadership to the Group as a whole, as 
well as ensuring a framework of controls exist 
which allow for the identification, assessment and 
management of risk, ultimately taking collective 
responsibility for the success of the Group.
The Board is responsible for the overall  
strategy and direction of Idox Group plc as  
well as for approving potential acquisitions, 
major capital expenditure items, disposals, 
annual budgets, annual reports, interim 
statements and financing matters. 
The Board considers the appropriateness of 
its accounting policies on an annual basis. The 
Board believes that its accounting policies are 
appropriate in particular in relation to income 
recognition and research and development.
Financial results with comparisons to budget 
and forecast results are reported to the Board 
on a monthly basis together with a commercial 
report on operational issues. Significant 
variances from budget or strategy are 
discussed at Board meetings and actions  
set in place to address them.
The Board met nine times throughout the year 
to discuss a formal schedule of business with all 
Directors in attendance. The Board is supplied 
in a timely manner with information in a form and 
of a suitable quality appropriate to enable it to 
discharge its duties. Advice from independent 
sources is available if required. The Group has a 
highly committed and experienced Board, which 
is supported by a senior management team,  
with the qualification and experience necessary 
for the running of the Group. 
Role of Chairman and 
Chief Executive Officer
The Code requires that there should be a clear 
division of responsibilities between the running of 
the Board and the executive responsible for the 
Group’s business, so as to ensure that no one 
person has unrestricted powers of decision.
The Chairman is responsible for the leadership 
of the Board, ensuring its effectiveness and 
setting its agenda. Once strategic and financial 
objectives have been agreed by the Board, it 
is the Chief Executive Officer’s responsibility to 
ensure they are delivered upon. To facilitate this 
the Chief Executive Officer regularly meets the 
Executive Management Team which additionally 
comprises the other executive Directors and 
senior members of the management team. The 
day to day operations of the Group are managed 
by the Executive Management Team.
Composition of and Appointments  
to the Board
The Code requires that there should be a 
balance of Executive and Non-Executive 
Directors and when appointing new Directors to 
the Board there should be a formal, rigorous and 
transparent procedure. 
The Board comprises the Non-Executive 
Chairman, the Chief Executive Officer, the 
Chief Financial Officer and three Non-Executive 
Directors. Short biographies of the Directors are 
given on pages 12 and 13.
The Board is satisfied with the balance between 
Executive and Non-Executive Directors. 
The Board considers that its composition is 
appropriate in view of the size and requirements 
of the Group’s business and the need to maintain 
a practical balance between Executive and Non-
Executive Directors.
Corporate Governance Report
For the year ended 31 October 2014
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Governance
Composition of and Appointments  
to the Board continued
Each member of the Board brings different skills 
and experience to the Board and the Board 
Committees. The Board is satisfied that there is 
sufficient diversity in the Board structure to bring 
a balance of skills, experience, independence 
and knowledge of the Group.
The Code requires that the Board undertake 
a formal and rigorous annual evaluation of its 
own performance and that of its committees 
and individual Directors. The Board continue to 
annually review the composition of the Board to 
ensure there is adequate diversity to allow for 
the proper functioning of the Board and that the 
Board works effectively together as a unit. 
When a new appointment to the Board is 
made, consideration is given to the particular 
skills, knowledge and experience that a 
potential new member could add to the 
existing Board composition. A formal process 
is then undertaken, which may involve external 
recruitment agencies, with appropriate 
consideration being given, in regards to 
Executive appointments, to internal and external 
candidates. Before undertaking the appointment 
of a Non-Executive Director, the Chairman 
establishes that the prospective Director can give 
the time and commitment necessary to fulfil their 
duties, in terms of availability both to prepare for 
and attend meetings and to discuss matters at 
other times.
Board Committees
The Board has established two committees 
to deal with specific aspects of the Board’s 
responsibilities: Audit and Remuneration 
Committees. The Report of the Audit Committee 
can be found on page 26. The Audit Committee 
is chaired by Jeremy Millard and included Wendy 
Hall and Peter Lilley. 
The Remuneration Committee is chaired by 
Peter Lilley and includes Wendy Hall and Jeremy 
Millard. This Committee has responsibility for 
making recommendations to the Board of 
the remuneration packages of the Executive 
Directors which includes:
• making recommendations to the Board on 
any changes to service contracts;
• approving and overseeing any share related 
incentive schemes within the Group;
• ensuring that remuneration is in line with 
current industry practice; and
• ensuring remuneration is both appropriate 
to the level of responsibility and adequate to 
attract and/or retain Directors and staff of  
the calibre required by the Group.
The Audit Committee met four times in the  
year and the Remuneration Committee met  
four times.
The Board has also established a Nominations 
Committee which is chaired by Peter Lilley and 
includes Wendy Hall and Jeremy Millard.
Re-election
Under the Code, Directors should offer 
themselves for re-election at regular intervals 
and, under the Company’s Articles of 
Association, at every Annual General Meeting 
at least one third of the Directors who are 
subject to retirement by rotation are required 
to retire and may be proposed for re-election. 
New Directors, who were not appointed at the 
previous Annual General Meeting, automatically 
retire at their first Annual General Meeting and if 
eligible, can seek re-appointment.
Three Directors will retire from office at the 
Company’s forthcoming Annual General Meeting 
and stand for re-appointment.
Corporate Governance Report continued
For the year ended 31 October 2014
10290 IDOX AR14 3 Middle pt2 AW01.indd   22 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 23
Internal Control
The Board takes responsibility for establishing 
and maintaining reliable systems of control in all 
areas of operation. These systems of control, 
especially of financial control, can only provide 
reasonable, but not absolute, assurance against 
material misstatement or loss. 
The key matters relating to the system of internal 
control are set out below:
• Idox plc has established an operational 
management structure with clearly  
defined responsibilities and regular 
performance reviews;
• the Group operates a comprehensive system 
for reporting financial and non-financial 
information to the Board including preparation 
and review of strategy plans and the 
preparation and review of annual budgets;
• financial results are monitored against 
budgets, forecasts and other performance 
indicators with action dictated accordingly  
at each meeting;
• a structured approval process based on 
assessment of risk and value delivered; and
• sufficient resource is focused to maintain  
and develop internal control procedures  
and information systems, especially in 
financial management.
The Board considers that there have been no 
substantial weaknesses in internal financial 
controls that have resulted in any material losses, 
contingencies or uncertainties which need to 
be disclosed in the accounts.
The Group supports an internal audit function 
that performs annual audits on its management 
systems. This function is supported by a 
management review of the audit findings. 
The Board confirms that there is an ongoing 
process for identifying, evaluating and managing 
the significant risks faced by the Group, and that 
this process has been in place for the year under 
review and up to the date of approval of the 
Annual Report and Accounts. This process  
is regularly reviewed by the Board. 
Statement of Directors’ Responsibilities
The Directors are responsible for preparing 
the Strategic Report and Annual Report 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 to prepare 
the financial statements in accordance with 
International Financial Reporting Standards 
(IFRSs) as adopted by the European Union. The 
Directors have elected to prepare the company 
financial statements under UK Generally Accepted 
Accounting Practice (“UK GAAP”). 
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 for the Group financial statements 
and whether United Kingdom Generally 
Accepted Accounting Practice (United 
Kingdom Accounting Standards and 
applicable laws), have been followed for 
the Parent Company financial statements, 
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.
10290 IDOX AR14 3 Middle pt2 AW01.indd   23 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 24
Governance
Statement of Directors’ Responsibilities 
continued
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.
The Directors confirm that: 
• so far as each Director is aware, there is 
no relevant audit information of which the 
company’s auditor is unaware; and
• the Directors have taken all the steps that 
they ought to have taken as Directors in 
order to make themselves aware of any 
relevant audit information and to establish 
that the company’s auditor is 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. 
Information and Development
The Code requires that the Board should be 
supplied in a timely manner with information in  
a form and of a quality appropriate to enable it  
to discharge its duties.
The Chairman is responsible for ensuring that 
all the Directors continually update their skills, 
their knowledge and familiarity with the Group 
in order to fulfil their role on the Board and the 
Board’s Committees. Updates dealing with 
changes in legislation and regulation relevant to 
the Group’s business are provided to the Board 
by external advisors, the Chief Financial Officer 
and Company Secretary.
All Directors have access to the advice and 
services of the Company Secretary, who is 
responsible to the Board for ensuring the Board 
procedures are properly complied with and that 
the discussions and decisions are appropriately 
minuted. Directors may seek independent 
professional advice at the Group’s expense  
in furtherance of their duties as Directors.
Training in matters relevant to their role on  
the Board is available to all Board Directors.  
New Directors are provided with an induction  
in order to introduce them to the operations  
and management of the business.
Shareholder Relations
Idox plc is committed to open communication 
with all its shareholders. The Directors hold 
regular meetings with institutional shareholders 
to discuss and review the Group’s activities 
and objectives. Communication with private 
shareholders is principally through the Annual 
General Meeting, where participation is 
encouraged and where the Board is available to 
answer questions. Idox plc maintains up-to-date 
information on the Investor Relations section of 
its website www.idoxplc.com.
Every shareholder has access to a full annual 
report each year end and an interim report at 
the half year end. Care is taken to ensure that 
any price sensitive information is released to all 
shareholders, institutional and private, at the 
same time in accordance with London Stock 
Exchange requirements. 
Idox plc strives to give a full, timely and realistic 
assessment of its business in a balanced way,  
in all price-sensitive reports and presentations. 
Corporate Governance Report continued
For the year ended 31 October 2014
10290 IDOX AR14 3 Middle pt2 AW01.indd   24 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 25
AIM Rule Compliance Report
Idox plc is quoted on AIM and as a result  
the Group has complied with the AIM Rules,  
in particular AIM Rule 31 which requires  
the following:
• sufficient procedures, resources and controls 
to enable its compliance with the AIM Rules;
• seek advice from Nominated Advisor 
(“Nomad”) regarding its compliance with  
the Rules whenever appropriate and take  
that advice into account;
• provide the Nomad with any information it 
reasonably requests in order for the Nomad 
to carry out its responsibilities under the 
AIM Rules for Nominated Advisors, including 
any proposed changes to the Board and 
Provision of draft notifications in advance;
• ensure that each of the Directors accepts full 
responsibility, collectively and individually, for 
compliance with the AIM rules; and
• ensure that each Director discloses without 
delay all information which the Group 
needs in order to comply with AIM Rule 17 
(Disclosure of Miscellaneous Information) 
insofar as that information is known to the 
Director or could with reasonable diligence 
be ascertained by the Director.
10290 IDOX AR14 3 Middle pt2 AW01.indd   25 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 26
Governance
Membership and Meetings
The Audit Committee is a committee of the 
Board and is comprised of three Non-Executive 
Directors: Jeremy Millard, Peter Lilley and 
Wendy Hall. During the year Jeremy Millard 
replaced Peter Lilley as the Chairman of the 
Audit Committee. 
The Audit Committee invites the Executive 
Directors, the Chairman, the external auditor  
and other senior managers to attend its meetings 
as appropriate. The Company Secretary is also 
the Secretary of the Audit Committee.
The Audit Committee is considered to have 
sufficient, recent and relevant financial 
experience to discharge its functions.
During the period under review, the Audit 
Committee met four times.
Role, Responsibilities and  
Terms of Reference
The Audit Committee’s role is to assist the Board 
in the effective discharge of its responsibilities for 
financial reporting and internal control.
The Audit Committee’s responsibilities include:
• to review the integrity of the annual 
and interim financial statements of the 
Group ensuring they comply with legal 
requirements, accounting standards and AIM 
rules, and any other formal announcements 
relating to the Group’s financial performance;
• to review the Group’s internal financial control 
and risk management systems;
• monitor and review the requirement for an 
internal audit function;
• to review the arrangements for staff to 
whistle-blow on financial reporting and  
other matters;
• safeguard the auditor’s objectivity and 
independence when non-audit services  
are provided; and
• oversee the relationship with the  
external auditor, including approval of 
their remuneration, agreeing the scope  
of the audit engagement, assessing their 
independence, monitoring the provision  
of non-audit services, and considering their 
reports on the Group’s financial statements.
The Audit Committee operates within agreed 
terms of reference, which can be found on the 
Company’s website.
Independence of External Auditor
The Committee keeps under review the 
relationship with the external auditor including:
• the independence and objectivity of the 
external auditor, taking into account the 
relevant UK professional and regulatory 
requirements and the relationship with the 
auditor as a whole, including the provision  
of the non-audit services; and
• the consideration of audit fees and any  
fees for non-audit services.
The Audit Committee develops and 
recommends to the Board the Group’s policy 
in relation to the provision of non-audit services 
by the auditor, and ensures that the provision 
of such services does not impair the external 
auditor independence.
Jeremy Millard
Chairman of the Audit Committee
16 January 2015
Report of the Audit Committee
For the year ended 31 October 2014
10290 IDOX AR14 3 Middle pt2 AW01.indd   26 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 27
Financial Statements
We have audited the group financial statements 
of Idox plc for the year ended 31 October 2014 
which comprise the Consolidated Statement of 
Comprehensive Income, Consolidated Balance 
Sheet, Consolidated Statement of Changes 
in Equity, Consolidated Cash Flow Statement 
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.
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 pages 23 
to 24, the Directors are responsible for the 
preparation of the group 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 group 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 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  
Financial Reporting Council’s website at  
www.frc.org.uk/auditscopeukprivate.
Opinion on financial statements
In our opinion the group financial statements:
• give a true and fair view of the state of the 
group’s affairs as at 31 October 2014 and  
of its profit for the year then ended; 
• have been properly prepared in accordance 
with IFRSs as adopted by the European 
Union; and
• 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 
Strategic Report and Directors’ Report for 
the financial year for which the group financial 
statements are prepared is consistent with the 
group 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:
• 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.
Other matter
We have reported separately on the parent 
company financial statements of Idox plc for  
the year ended 31 October 2014. 
Stephen Maslin
Senior Statutory Auditor
for and on behalf of Grant Thornton UK LLP 
Statutory Auditor, Chartered Accountants 
London
16 January 2015
Independent Auditor’s Report to the Members of Idox plc
For the year ended 31 October 2014
10290 IDOX AR14 3 Middle pt2 AW01.indd   27 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 28
Financial Statements
Consolidated Statement of Comprehensive Income
For the year ended 31 October 2014
Note
2014 
£000
2013 
£000
Continuing operations
Revenue 2 60,677 57,319
Cost of sales (6,413) (5,298)
Gross profit 54,264 52,021
Administrative expenses (45,774) (43,437)
Operating profit 8,490 8,584
Analysed as:
Earnings before depreciation, amortisation,  
restructuring, acquisition costs, corporate finance  
costs and share option costs 16,393 15,054
Depreciation 3 (813) (722)
Amortisation 3 (5,953) (5,388)
Restructuring costs 4 (365) (525)
Acquisition costs 5 (148) 664
Corporate finance costs 5 (157) –
Share option costs 24 (467) (499)
Finance income 6 233 138
Finance costs 6 (1,144) (1,209)
Profit before taxation 7,579 7,513
Income tax (expense)/credit 8 (1,736) 851
Profit for the year from continuing operations 5,843 8,364
Discontinued operations
Net results for the year from discontinued operations 9 – (519)
Loss on disposal of discontinued operations 9 – (322)
Net result for the year from discontinued operations – (841)
Total operations
Net result for the year attributable to owners of the parent 5,843 7,523
Other comprehensive income for the year
Items that will be reclassified subsequently to profit or loss:
Exchange (losses)/gains on retranslation of foreign operations (107) 43
Other comprehensive income for the year, net of tax (107) 43
Total comprehensive income for the year attributable  
to owners of the parent from continuing operations 5,736 7,566
10290 IDOX AR14 4 Back AW01.indd   28 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 29
Note
2014 
£000
2013 
£000
Earnings per share from continuing and discontinued 
operations attributable to owners of the parent  
during the year
Basic earnings per share
From continuing operations 10 1.65p 2.41p
From discontinued operations 10 – (0.24p)
From total operations 1.65p 2.17p
Diluted earnings per share
From continuing operations 10 1.59p 2.30p
From discontinued operations 10 – (0.23p)
From total operations 1.59p 2.07p
The accompanying accounting policies and notes form an integral part of these financial statements.
 
10290 IDOX AR14 4 Back AW01.indd   29 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 30
Financial Statements
Consolidated Balance Sheet
At 31 October 2014
Note
2014  
£000
2013  
£000
ASSETS
Non-current assets
Property, plant and equipment 11 1,449 850
Intangible assets 12 66,794 69,484
Deferred tax assets 13 1,570 2,509
Other receivables 15 2,262 1,723
Total non-current assets 72,075 74,566
Current assets
Trade and other receivables 15 18,846 17,344
Cash and cash equivalents 16 5,855 3,399
Total current assets 24,701 20,743
Total assets 96,776 95,309
LIABILITIES
Current liabilities
Trade and other payables 17 4,788 4,662
Other liabilities 18 16,649 16,790
Provisions 19 18 56
Current tax 1,003 985
Derivative financial instruments 20 – 66
Borrowings 21 7,397 3,732
Total current liabilities 29,855 26,291
Non-current liabilities
Deferred tax liabilities 13 4,038 4,870
Borrowings 21 14,293 19,462
Total non-current liabilities 18,331 24,332
Total liabilities 48,186 50,623
Net assets 48,590 44,686
10290 IDOX AR14 4 Back AW01.indd   30 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 31
Note
2014  
£000
2013  
£000
EQUITY
Called up share capital 23 3,587 3,493
Capital redemption reserve 1,112 1,112
Share premium account 11,741 10,355
Treasury reserve (1,001) (12)
Share options reserve 1,636 1,955
Merger reserve 1,294 1,294
ESOP trust (213) (142)
Foreign currency retranslation reserve 38 145
Retained earnings 30,396 26,486
Total equity 48,590 44,686
The financial statements were approved by the Board of Directors and authorised for issue on 
16 January 2015 and are signed on its behalf by:
Richard Kellett-Clarke      
Chief Executive Officer       
The accompanying accounting policies and notes form an integral part of these financial statements.
Company name: Idox plc  Company number: 03984070 
10290 IDOX AR14 4 Back AW01.indd   31 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 32
Financial Statements
Consolidated Statement of Changes in Equity
At 31 October 2014
Called 
up share 
capital 
£000
Capital 
redemption 
reserve 
£000
Share 
premium 
account 
£000
Treasury 
reserve 
£000
Share 
options 
reserve 
£000
Merger 
reserve 
£000
ESOP  
trust 
£000
Foreign 
currency 
retranslation 
reserve 
£000
Retained 
earnings 
£000
Total
 £000
Balance at 1 November 2012 3,485 1,112 10,197 (107) 1,825 1,294 (95) 102 21,087 38,900
Issue of share capital 8 – 158 – – – – – – 166
Transfer on exercise of share options – – – 95 (83) – – – 31 43
Purchase of treasury shares – – – – 290 – – – 206 496
Share options granted – – – – (77) – – – 77 –
ESOP trust – – – – – – (47) – – (47)
Equity dividends paid – – – – – – – – (2,438) (2,438)
Transactions with owners 8 – 158 95 130 – (47) – (2,124) (1,780)
Profit for the period – – – – – – – – 7,523 7,523
Other comprehensive income 
Exchange gains on retranslation of foreign operations – – – – – – – 43 – 43
Total comprehensive income for the period – – – – – – – 43 7,523 7,566
Balance at 31 October 2013 3,493 1,112 10,355 (12) 1,955 1,294 (142) 145 26,486 44,686
Issue of share capital 94 – 1,386 – – – – – – 1,480
Share options granted – – – – 365 – – – – 365
Transfer on exercise of share options – – – 8 (684) – – – 663 (13)
Purchase of treasury shares – – – (997) – – – – – (997)
Deferred tax movement on share options – – – – – – – – (21) (21)
ESOP trust – – – – – – (71) – – (71)
Equity dividends paid – – – – – – – – (2,575) (2,575)
Transactions with owners 94 – 1,386 (989) (319) – (71) – (1,933) (1,832)
Profit for the period – – – – – – – – 5,843 5,843
Other comprehensive income 
Exchange gains on retranslation of foreign operations – – – – – – – (107) – (107)
Total comprehensive income for the period – – – – – – – (107) 5,843 5,736
At 31 October 2014 3,587 1,112 11,741 (1,001) 1,636 1,294 (213) 38 30,396 48,590
The accompanying accounting policies and notes form an integral part of these financial statements.
10290 IDOX AR14 4 Back AW01.indd   32 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 33
Called 
up share 
capital 
£000
Capital 
redemption 
reserve 
£000
Share 
premium 
account 
£000
Treasury 
reserve 
£000
Share 
options 
reserve 
£000
Merger 
reserve 
£000
ESOP  
trust 
£000
Foreign 
currency 
retranslation 
reserve 
£000
Retained 
earnings 
£000
Total
 £000
Balance at 1 November 2012 3,485 1,112 10,197 (107) 1,825 1,294 (95) 102 21,087 38,900
Issue of share capital 8 – 158 – – – – – – 166
Transfer on exercise of share options – – – 95 (83) – – – 31 43
Purchase of treasury shares – – – – 290 – – – 206 496
Share options granted – – – – (77) – – – 77 –
ESOP trust – – – – – – (47) – – (47)
Equity dividends paid – – – – – – – – (2,438) (2,438)
Transactions with owners 8 – 158 95 130 – (47) – (2,124) (1,780)
Profit for the period – – – – – – – – 7,523 7,523
Other comprehensive income 
Exchange gains on retranslation of foreign operations – – – – – – – 43 – 43
Total comprehensive income for the period – – – – – – – 43 7,523 7,566
Balance at 31 October 2013 3,493 1,112 10,355 (12) 1,955 1,294 (142) 145 26,486 44,686
Issue of share capital 94 – 1,386 – – – – – – 1,480
Share options granted – – – – 365 – – – – 365
Transfer on exercise of share options – – – 8 (684) – – – 663 (13)
Purchase of treasury shares – – – (997) – – – – – (997)
Deferred tax movement on share options – – – – – – – – (21) (21)
ESOP trust – – – – – – (71) – – (71)
Equity dividends paid – – – – – – – – (2,575) (2,575)
Transactions with owners 94 – 1,386 (989) (319) – (71) – (1,933) (1,832)
Profit for the period – – – – – – – – 5,843 5,843
Other comprehensive income 
Exchange gains on retranslation of foreign operations – – – – – – – (107) – (107)
Total comprehensive income for the period – – – – – – – (107) 5,843 5,736
At 31 October 2014 3,587 1,112 11,741 (1,001) 1,636 1,294 (213) 38 30,396 48,590
The accompanying accounting policies and notes form an integral part of these financial statements.
10290 IDOX AR14 4 Back AW01.indd   33 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 34
Financial Statements
Consolidated Cash Flow Statement
At 31 October 2014
2014 
£000
2013 
£000
Cash flows from operating activities
Profit for the period before taxation 7,579 7,513
Adjustments for:
Depreciation 813 723
Amortisation 5,953 5,388
Finance income (48) (33)
Finance costs 856 973
Interest rate swap liability (66) (70)
Debt issue costs amortisation 233 159
Share option costs 365 499
Movement in receivables (1,300) (1,675)
Movement in payables (1,078) (1,663)
Cash generated by operations 13,307 11,814
Tax on profit paid (1,807) (1,728)
Cash generated from discontinued operations – (285)
Net cash from operating activities 11,500 9,801
Cash flows from investing activities
Acquisition of subsidiaries (1,586) (2,064)
Cash acquired on acquisition of subsidiaries 93 285
Deferred consideration paid relating to subsidiaries acquired in prior period – (585)
Purchase of property, plant and equipment (909) (774)
Purchase of intangible assets (1,647) (1,696)
Disposal of discontinued operation – 312
Finance income 48 33
Net cash used in investing activities (4,001) (4,489)
Cash flows from financing activities
Interest paid (892) (853)
New loans 22,000 8,900
Loan related costs (532) (123)
Loan repayments (23,337) (11,322)
Equity dividends paid (2,575) (2,438)
Purchase of own shares (1,084) (141)
Sale of own shares 1,483 382
Net cash flows from financing activities (4,937) (5,595)
Net movement on cash and cash equivalents 2,562 (283)
Cash and cash equivalents at the beginning of the period 3,399 3,640
Exchange (gains)/losses on cash and cash equivalents (106) 42
Cash and cash equivalents at the end of the period 5,855 3,399
The accompanying accounting policies and notes form an integral part of these financial statements.
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1 ACCOUNTING POLICIES
General information
Idox plc is a leading supplier of software and services for the management of local government 
and other organisations. The company is a public limited company which is listed on the London 
Alternative Investment Market and is incorporated and domiciled in the UK. The address of its 
registered office is 2nd Floor, 1310 Waterside, Arlington Business Park, Theale, Reading, RG7 4SA. 
The registered number of the company is 03984070.
The financial statements are prepared in pound sterling.
Basis of preparation
These financial statements have been prepared in accordance with International Financial Reporting 
Standards (IFRS) as adopted by the European Union (EU) and the Companies Act 2006 applicable to 
companies reporting under IFRS. 
The financial statements have been prepared under the historical cost convention as modified by the 
revaluation of certain financial assets and liabilities, being derivatives at fair value through profit or loss.
As set out on page 17 of the Directors’ Report, the financial statements have been prepared on a 
going concern basis.
International Financial Reporting Standards and Interpretations issued but not yet effective
At the date of authorisation of these financial statements, the following new standards, amendments 
and interpretations to existing standards have been published that are mandatory for forthcoming 
financial periods, but which the Group has not adopted early. These are not expected to have a 
material impact on the Group’s consolidated financial statements:
• IFRS 10 Consolidated Financial Statements (effective 1 January 2014)
• IFRS 11 Joint Arrangements (effective 1 January 2014)
• IFRS 12 Disclosure of Interest in Other Entities (effective 1 January 2014)
• Amendments to IAS 27 (revised) – Separate Financial Statements (effective 1 January 2014)
• Amendments to IAS 28 (revised) – Investments in Associates and Joint Ventures (effective 
1 January 2014) 
• Amendments to IFRS 10, IFRS 11 and IFRS 12 – Transition Guidance (effective 1 January 2014)
• Amendments to IFRS 10, IFRS 12 and IAS 27 – Investment Entities (effective 1 January 2014)
Notes to the Accounts
For the year ended 31 October 2014
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Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
1 ACCOUNTING POLICIES CONTINUED
Adoption of new and revised standards
There were no additional standards, amendments and interpretations that had a material impact on the 
Group’s financial statements during the year. The following standards, amendments and interpretations 
were effective in the year but had no material impact on the Group’s financial statements:
• Amendment to IAS 12 – Deferred tax – Recovery of Underlying Assets
• IFRS 13 Fair Value Measurement 
• Amendments to IFRS 7 – Disclosures – Offsetting Financial Assets and Financial Liabilities
• IAS 19 (revised) Employee Benefits 
• Amendments to IFRS 1 – Government Loans
• IFRIC 20 – Stripping Costs in the Production Phase of a Surface Mine
• Annual Improvements 2009–2011 Cycle 
Critical accounting estimates and judgements
Estimates and judgements are continually evaluated and are based on historical experience 
and other factors, including expectations of future events that are believed to be reasonable  
under the circumstances.
The Group makes estimates and assumptions concerning the future. The resulting accounting 
estimates and assumptions will, by definition, seldom equal the related actual results. The Group has 
evaluated the estimates and assumptions that have been made in relation to the carrying amounts 
of assets and liabilities in these financial statements. The estimates and assumptions which have the 
most significant impact on the financial statements which are recognised in the financial statements 
are as follows:
(i) Intangible assets
The Group recognises intangible assets acquired as part of business combinations at fair value at the 
date of acquisition. The determination of these fair values is based upon management’s judgement 
and includes assumptions on the timing and amount of future incremental cash flows generated by 
the assets and selection of an appropriate cost of capital. Furthermore, management must estimate 
the expected useful lives of intangible assets and charge amortisation on those assets accordingly. 
In determining the useful economic life of the intangible software assets, management has given 
consideration to the length of time that its own software is typically used within its market. In addition, 
management reviewed competitor products and the length of time they had also been in use.
Consideration was also given as to the likelihood that a new competitor could enter the market with 
a new product. This was considered unlikely due to the up-front capital investment which would be 
required to develop a new product, the requirement for reference sites to demonstrate the product, 
and the long life cycles which products have in the market. For details on the estimates made in 
relation to intangible assets, see note 12.
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(ii) Development costs
The Group reviews half yearly whether the recognition requirements for development costs have 
been met. This is necessary as the economic success of any product development is uncertain and 
may be subject to future technical problems at the time of recognition. Judgements are based on 
the information available at each balance sheet date. In addition, all internal activities related to the 
research and development of new software products are continuously monitored by the Directors. 
See note 12 for further information.
(iii) Impairment of goodwill
The Group is required to test, at least annually, whether goodwill has suffered any impairment. The 
recoverable amount is determined based upon value-in-use and net realisable value calculations. The 
value-in-use method requires the estimation of future cash flows and the choice of a suitable discount 
rate in order to calculate the present value of these cash flows. Pre-tax discount rates have been 
applied and are based on WACC calculations. See note 12 for further commentary.
(iv) Revenue recognition
The Group recognises revenue on certain contracts such as service agreements, prior to an invoice 
being raised, where work has been completed and there is a high degree of certainty of the contract 
being completed and the invoice raised and cash received. See paragraph headed ‘Revenue’ below 
for more detail on how the Group accounts for revenue. 
(v) Contingent consideration
The contingent consideration provision is the maximum undiscounted amount which will be paid, 
which represents fair value. Where an acquisition involves a potential payment of contingent 
consideration the estimate of any such payment is based on its fair value. To estimate the fair value 
an assessment is made as to the amount of contingent consideration which is likely to be paid having 
regard to the criteria on which any sum due will be calculated. 
(vi) Deferred tax
The Group has tax losses available to offset future taxable profits. In estimating the amount of 
deferred tax to be recognised as an asset the Group estimates the future profitability of the relevant 
business unit.
Basis of consolidation
The Group accounts consolidate the accounts of the Company and its subsidiary undertakings drawn 
up to 31 October each year. Subsidiaries are those entities over which the Group has the power 
to control the financial and operating policies. Idox plc obtains and exercises control over all of its 
subsidiaries through ownership of 100% of the voting rights.
All inter-company transactions are eliminated on consolidation. 
For business combinations occurring since 1 November 2009, the requirements of IFRS 3R have 
been applied. The consideration transferred by the Group to obtain control of a subsidiary is 
calculated as the sum of the acquisition date fair values of assets transferred, liabilities incurred and 
the equity interests issued by the Group, which includes the fair value of any asset or liability arising 
from a contingent consideration arrangement. Acquisition costs are expensed as incurred.
10290 IDOX AR14 4 Back AW01.indd   37 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 38
Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
1 ACCOUNTING POLICIES CONTINUED
Revenue
Revenue represents the amounts receivable in respect of goods and services provided during the 
year, stated net of value added tax. Where work has been done, but a billing milestone has not 
been reached, the income has been accrued and included in amounts recoverable within trade  
and other receivables. 
Revenue is measured at the fair value of the right to consideration. The Group derives its revenue 
streams from software solutions, information solutions and in the prior year, recruitment services. 
Continuing operations:
Software licence revenue is recognised when the licence is despatched to the customer. Where  
the licence is bespoke, revenue is recognised when the licence is delivered and the customer  
has accepted the licence as fully functional.
Software consultancy revenue is recognised on a stage of completion basis. Stage of completion is 
determined by time spent by service delivery consultants or by reference to the project milestones 
either included in the contract itself or included within a separate detailed project delivery plan. 
Revenue relating to goods delivered as part of software solutions provided is only recognised once 
the goods have been received by the customer.
Revenue relating to goods delivered for elections is recognised when the goods have been received 
by the customer. Consultancy revenue for elections is recognised on a stage of completion basis. 
The revenues for maintenance and managed service contracts are spread evenly over the life of the 
agreement, which is typically one year. 
Revenue derived from information solutions content is recognised over the life of the subscription, which 
is typically one year. Revenue from projects is recognised over the life of the project in accordance with 
the stage of completion which is determined by reference to the project delivery plan.
Revenue relating to grant applications is recognised on a ‘no win-no fee’ basis. Revenue is only 
recognised when confirmation that the grant application has been successful is received. 
Discontinued operations:
Recruitment revenue from permanent placements was recognised in the month when the placement 
started. Revenue from contract recruitment was recognised as the service was performed.
10290 IDOX AR14 4 Back AW01.indd   38 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 39
Contract revenue
The amount of profit attributable to the stage of completion of a long term contract is recognised only 
when the outcome of the contract can be foreseen with reasonable certainty. Management make a 
judgement on the fair value of the work completed to enable revenue on long term contracts to be 
recognised in the correct periods. Stage of completion is determined based on management’s best 
estimate of effort expended and progress against project plans at the year end. Provision is made for 
any losses as they are foreseen. 
The contracts for software solutions often contain multiple elements such as software, consultancy 
and maintenance. Management make appropriate judgements and estimates in relation to the fair 
value of each of these elements in accordance with IAS 18.
Management have reviewed the requirements of IFRS 15 Revenue from Contracts from Customers 
which will replace IAS 18 in the financial year commencing 1 November 2017 and they do not expect 
this to result in any significant changes to the Group’s revenue recognition policies. 
Segmental reporting
Operating segments are reported in a manner consistent with the internal reporting provided to 
the chief operating decision-maker. The chief operating decision-maker has been identified as the 
steering committee, which comprises the Chief Executive Officer and the Chief Financial Officer.
Goodwill
Goodwill is stated after separate recognition of identifiable intangible assets. It is calculated as the 
excess of the sum of a) fair value of consideration transferred, b) the recognised amount of any non-
controlling interest in the acquiree and c) acquisition-date fair value of any existing equity interest in 
the acquiree, over the acquisition-date fair values of identifiable net assets. If the fair values of the 
identifiable net assets exceed the sum calculated above, the excess amount (i.e. gain on a bargain 
purchase) is recognised in profit or loss immediately.
Cash-generating units to which goodwill has been allocated are tested for impairment at least 
annually. All other 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.
Goodwill is carried at cost less accumulated impairment losses. Unallocated goodwill on acquisitions 
relates mainly to workforce valuation, synergies and economies of scale obtained on combining 
acquisitions with existing operations.
Goodwill written off to reserves prior to the date of transition to IFRS remains in reserves. There is no 
re-instatement of goodwill that was amortised prior to transition to IFRS. Goodwill previously written 
off to reserves is not written back to profit or loss on subsequent disposal.
10290 IDOX AR14 4 Back AW01.indd   39 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 40
Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
1 ACCOUNTING POLICIES CONTINUED
Other intangible assets
Intangible assets with a finite useful life are amortised to the consolidated statement of comprehensive 
income on a straight-line basis over their estimated useful lives, which are reviewed on an annual 
basis. Amortisation commences when the asset is available for use. The residual values of intangible 
assets are assumed to be zero.
(i) Research and development
Expenditure on research (or the research phase of an internal project) is recognised in profit or loss 
in the period in which it is incurred. Development costs incurred are capitalised when all the following 
conditions are satisfied:
• completion of the intangible asset is technically feasible so that it will be available for use or sale;
• the Group intends to complete the intangible asset and use or sell it;
• the Group has the ability to use or sell the intangible asset;
• the intangible asset will generate probable future economic benefits. Among other things, this 
requires that there is a market for the output from the intangible asset or for the intangible asset 
itself, or, if it is to be used internally, the asset will be used in generating such benefits;
• there are adequate technical, financial and other resources to complete the development and to 
use or sell the intangible asset, and
• the expenditure attributable to the intangible asset during its development can be measured reliably.
Development costs not meeting the criteria for capitalisation are expensed in profit or loss as incurred. 
The cost of an internally generated intangible asset comprises all directly attributable costs necessary 
to create, produce, and prepare the asset to be capable of operating in the manner intended by 
management. Amortisation commences upon completion of the asset, and is shown separately on 
the statement of comprehensive income.
Careful judgement by the Directors is applied when deciding whether the recognition requirements 
for development costs have been met. This is necessary as the economic success of any product 
development is uncertain and may be subject to future technical problems at the time of recognition. 
Judgements are based on the information available at each balance sheet date. In addition, all 
internal activities related to the research and development of new software products are continuously 
monitored by the Directors.
Amortisation is calculated using the straight line method over a period of 5 years.
(ii) Customer relationships
Customer relationships represent the purchase price of customer lists and contractual relationships 
purchased on the acquisition of CAPS Solutions Limited, Plantech Limited, J4B Software and 
Publishing Limited, Strand Electoral Management Services Limited, Grantfinder Limited, McLaren 
Software Limited, Lalpac Limited, Interactive Dialogues NV, Opt 2 Vote Limited, Currency Connect 
Holding BV, FMx Limited, Artesys International SA, CTSpace Group and Digital Spirit GmbH. These 
relationships are carried at cost less accumulated amortisation and accumulated impairment losses. 
Amortisation is calculated using the straight line method over a period of 20, 10 and 5 years.
10290 IDOX AR14 4 Back AW01.indd   40 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 41
(iii) Trade names
Trade names represent the named intangible asset recognised on the acquisition of CAPS  
Solutions Limited, Plantech Limited, J4B Software and Publishing Limited, Strand Electoral 
Management Services Limited, Grantfinder Limited, McLaren Software Limited, Lalpac Limited, 
Interactive Dialogues NV, Opt 2 Vote Limited, Currency Connect Holding BV, FMx Limited, Artesys 
International SA, CTSpace Group and Digital Spirit GmbH. These trade names are carried at cost 
less accumulated amortisation and accumulated impairment losses. Amortisation is calculated 
using the straight line method over a period of 20, 10 and 5 years.
(iv) Software
Software represents the UNI-form, ACOLAID, Enterprise Engineer, CAFM Explorer, electoral and 
licensing software purchased on the acquisition of CAPS Solutions Limited, Plantech Limited, 
McLaren Software Limited, Strand Electoral Management Services Limited, Lalpac Limited, Interactive 
Dialogues NV, Opt 2 Vote Limited, Currency Connect Holding BV, FMx Limited, Artesys International 
SA, CTSpace Group and Digital Spirit GmbH. The software is carried at cost less accumulated 
amortisation and accumulated impairment losses. Amortisation is calculated using the straight line 
method over a period of 5 and 10 years. Software also includes software licences purchased which 
are amortised using the straight line method over a period of 3 years.
(v) Database
Database represents the grant information database purchased on the acquisition of J4B Software 
& Publishing Limited and Grantfinder Limited. The database is carried at cost less accumulated 
amortisation and accumulated impairment losses. Amortisation is calculated using the straight line 
method over a period of 5 years.
(vi) Order backlog
Order backlog represents the managed service contracts and subscription deferred revenue 
purchased on the acquisition of 11 land and property information solution contracts and Grantfinder 
Limited. Amortisation on the managed service deferred revenue is calculated based on the weighting 
and length of each contract purchased. Subscription deferred revenue is calculated using the straight 
line method over a period of 5 years.
Impairment
For the purposes of assessing impairment, assets are grouped at the lowest levels for which there 
are separately identifiable cash flows (cash-generating units). As a result, some assets are tested 
individually for impairment and some are tested at cash-generating unit level. 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 monitors the 
related cash flows.
Goodwill, other individual assets or cash-generating units that include goodwill, other intangible 
assets with an indefinite useful life, and those intangible assets not yet available for use are tested 
for impairment at least annually. All other 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.
10290 IDOX AR14 4 Back AW01.indd   41 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 42
Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
1 ACCOUNTING POLICIES CONTINUED
Impairment continued
An impairment loss is recognised for the amount by which the asset’s 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.
Property, plant and equipment
Items of property, plant and equipment are stated at cost less accumulated depreciation.
Depreciation is charged to the income statement using the following rates and bases so as to write  
off the cost or valuation of items of property, plant and equipment over their expected useful lives.  
The rates that are generally applicable are:
Computer hardware 50% and 100% straight line
Fixtures, fittings and equipment 25% straight line
Library books and journals 33 1/3% straight line
Motor vehicles 25% straight line
Useful economic lives and residual values are reviewed annually.
Employee benefits
Defined contribution pension plans
Contributions paid to private pension plans of certain employees are charged to the income statement 
in the period in which they become payable. Contributions paid to the Group personal pension plans 
of employees are charged to the income statement in the period in which they become payable.
Share-based payment transactions
All share-based payment arrangements granted after 7 November 2002 that had not vested prior to 
1 November 2006 are recognised in the financial statements.
All goods and services received in exchange for the grant of any share-based payment are measured 
at their fair values. Where employees are rewarded using share-based payments, the fair values of 
employees’ services are determined indirectly by reference to the fair value of the instrument granted 
to the employee. This fair value is appraised at the grant date and excludes the impact of non-market 
vesting conditions (for example, profitability and sales growth targets).
All equity-settled share-based payments are ultimately recognised as an expense in the income 
statement with a corresponding credit to the share option reserve.
If vesting periods or other non-market vesting conditions apply, the expense is allocated over the 
vesting period, based on the best available estimate of the number of share options expected to 
vest. Estimates are revised subsequently if there is any indication that the number of share options 
expected to vest differs from previous estimates. Any cumulative adjustment prior to vesting is 
recognised in the current period. No adjustment is made to any expense recognised in prior  
periods if share options that have vested are not exercised.
Upon exercise of share options, the proceeds received net of attributable transaction costs are 
credited to reserves.
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Reserves
Equity comprises the following:
• “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.
• “Capital redemption reserve” represents when the entire deferred ordinary share capital was 
bought in exchange for one ordinary 1p share. 
• “Merger reserve” which arose as a result of a Group reconstruction that occurred on 
17 November 2000. This represents the issued share capital and share premium account 
in the Company’s subsidiary undertaking, Idox Software Limited.
• “Share options reserve” represents shares to be issued on potential exercise of those share 
options that have been accounted for under “IFRS 2 Share Based Payments”.
• “ESOP trust” represents share capital purchased to satisfy the obligation of the employee share 
scheme. Purchased shares are classified within the ESOP trust reserve and presented as a 
deduction from total equity.
• “Retained earnings” represents retained profits.
• “Treasury reserve” represents shares repurchased by the company to be held for redistribution  
as share options.
• “Foreign currency translation reserve” represents exchange gains and losses on retranslation  
of foreign operations. 
Taxation
Tax on the profit or loss for the year comprises current and deferred tax. Current tax is charged to 
profit or loss except where it relates to tax on items recognised in other comprehensive income or 
directly in equity, in which case it is charged to equity or other comprehensive income.
Current tax is the tax currently payable based on taxable profit for the year. 
Deferred income taxes are calculated using the liability method on temporary differences. Deferred 
tax is generally provided on the difference between the carrying amounts of assets and liabilities and 
their tax bases. However, deferred tax is not provided on the initial recognition of goodwill, nor 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 shares 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. In addition, tax losses available 
to be carried forward as well as other income credits to the Group are assessed for recognition as 
deferred tax assets.
Deferred tax liabilities are provided in full, with no discounting. Deferred tax assets are recognised to 
the extent that it is probable that the underlying deductible temporary differences will be able to be 
offset against future taxable income. Current and 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 balance sheet date.
Changes in deferred tax assets or liabilities are recognised as a component of tax expense in profit or 
loss, except where they relate to items that are charged or credited directly to other comprehensive 
income or equity in which case the related deferred tax is also charged or credited directly to other 
comprehensive income or equity.
10290 IDOX AR14 4 Back AW01.indd   43 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 44
Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
1 ACCOUNTING POLICIES CONTINUED
Operating leases
Leases where the lessor retains substantially all the risks and rewards of ownership are classified 
as operating leases. All leases held by the Group are operating in nature. Amounts paid under 
operating leases are charged to the statement of comprehensive income on a straight line basis 
over the lease term.
Dividend distributions
Interim dividends in respect of equity shares are recognised in the financial statements in the period in 
which they are paid.
Final dividends in respect of equity shares are recognised in the financial statements in the period that 
the dividends are formally approved.
Foreign currency translation
The functional and presentation currency of Idox plc and its United Kingdom subsidiaries is the pound 
sterling (£). Transactions in foreign currencies are initially recorded at the functional currency rate 
ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies 
are retranslated at the functional currency rate of exchange ruling at the balance sheet date. All 
differences are taken to profit or loss.
In the consolidated financial statements, the assets and liabilities of non-sterling functional currency 
subsidiaries, are translated into pound sterling at the rate of exchange ruling at the balance sheet 
date. The results of non-sterling functional currency subsidiaries are translated into pound sterling 
using average rates of exchange. Exchange adjustments arising are taken to a separate component  
of equity and reported in other comprehensive income.
Capital policy
The Group’s objectives when managing capital are to safeguard the Group’s ability to continue as a 
going concern in order to provide returns for shareholders and benefits for other stakeholders and  
to maintain a capital structure that optimises the cost of capital. In order to maintain or adjust the  
capital structure, the Group may adjust the amount of dividends paid to shareholders, return capital  
to shareholders or issue new shares. 
Financial instruments
Financial assets and financial liabilities are recognised on the Group’s balance sheet when the  
Group has become a party to the contractual provisions of the instrument.
Financial assets
Financial assets are classified according to the substance of the contractual arrangements entered into. 
10290 IDOX AR14 4 Back AW01.indd   44 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 45
Trade and other receivables
Trade receivables do not carry any interest and are initially stated at their fair value, as reduced by 
appropriate allowances for estimated irrecoverable amounts. All receivables are considered for 
impairment. Provision against trade receivables is made when there is objective evidence that the 
Group will not be able to collect all amounts due in accordance with the original terms of those 
receivables. The amount of the write-down is determined as the difference between the assets 
carrying value and the present value of estimated future cash flows.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and on deposit and are subject to an 
insignificant risk of changes in value. 
Financial liabilities and equity
Financial liabilities and equity instruments are classified according to the substance of the contractual 
arrangements entered into. An equity instrument is any contract that evidences a residual interest  
in the assets of the Group after deducting all of its financial liabilities.
Bank borrowings
Interest-bearing bank loans and overdrafts are recorded initially at fair value, net of direct transaction 
costs. Such instruments are subsequently carried at their amortised cost and finance charges, 
including premiums payable on settlement or redemption, are recognised in profit or loss over  
the term of the instrument using an effective rate of interest.
Trade and other payables
Trade and other payables are not interest-bearing, are initially stated at their fair value and 
subsequently at amortised cost.
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of direct 
issue costs.
Derivative financial instruments
The Group’s activities expose the entity primarily to interest rate risk. The Group used interest rate 
swap contracts to manage these exposures. The Group does not use derivative financial instruments 
for speculative purposes. The use of financial derivatives is governed by the Group’s policies approved 
by the Board of Directors, which provide written principles in the use of financial derivatives. Derivative 
financial instruments are accounted for at fair value through profit or loss. The Group does not apply 
hedge accounting. 
10290 IDOX AR14 4 Back AW01.indd   45 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 46
Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
2 SEGMENTAL ANALYSIS CONTINUED
As at 31 October 2014, the Group is primarily organised into two main operating segments, which  
are detailed below. On 1 July 2013 the Recruitment segment was sold. As Recruitment was a 
separately identifiable operating segment the results for the period ended 31 October 2013 have  
been reclassified as a discontinued operation. 
Financial information is reported to the chief operating decision maker, which comprises the Chief 
Executive Officer and the Chief Financial Officer, monthly on a business unit basis with revenue and 
operating profits split by business unit. Each business unit is deemed an operating segment as each 
offers different products and services.
• Public Sector Software (PSS) – delivering software and information service solutions to local 
government customers and public sector organisations across a broad range of departments 
• Engineering Information Management (EIM) – delivering engineering document management and 
control solutions to asset intensive industry sectors
Segment revenue comprises sales to external customers and excludes gains arising on the disposal 
of assets and finance income. Segment profit reported to the Board represents the profit earned by 
each segment before the allocation of taxation, Group interest payments and Group acquisition costs. 
The assets and liabilities of the Group are not reviewed by the chief operating decision maker on a 
segment basis.
The Group does not place reliance on any specific customer and has no individual customer that 
generates 10% or more of its total Group revenue.
The segment revenues by geographic location for the year ended 31 October 2014 are as follows:
Revenues from external customers
Continuing 
operations 
£000
Discontinued 
operations 
£000
Total 
operations 
£000
United Kingdom 41,628 – 41,628
USA 10,051 – 10,051
Europe 7,519 – 7,519
Australia 595 – 595
Rest of World 884 – 884
60,677 – 60,677
10290 IDOX AR14 4 Back AW01.indd   46 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 47
The segment revenues by geographic location for the year ended 31 October 2013 are as follows:
Revenues from external customers
Continuing 
operations 
£000
Discontinued 
operations 
£000
Total 
operations 
£000
United Kingdom 38,369 1,226 39,595
USA 8,862 – 8,862
Europe 7,990 76 8,066
Australia 1,470 – 1,470
Rest of World 628 5 633
57,319 1,307 58,626
Revenues are attributed to individual countries on the basis of the location of the customer. 
The segment results by business unit for the year ended 31 October 2014 are as follows:
PSS 
£000
EIM 
£000
Total 
operations 
£000
Revenues from external customers 41,219 19,458 60,677
Cost of sales (4,709) (1,704) (6,413)
Gross profit 36,510 17,754 54,264
Administrative expenses (24,539) (13,332) (37,871)
Profit before interest, tax, depreciation, amortisation, 
impairment, share option costs, acquisition costs  
and restructuring costs 11,971 4,422 16,393
Depreciation (671) (142) (813)
Amortisation (4,695) (1,258) (5,953)
Share option costs (322) (145) (467)
Restructuring (183) (182) (365)
Acquisition costs (144) (4) (148)
Profit before interest and taxation 5,956 2,691 8,647
Finance income 45 3 48
Finance costs 114 (86) 28
Segment profit (see reconciliation below) 6,115 2,608 8,723
10290 IDOX AR14 4 Back AW01.indd   47 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 48
Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
2 SEGMENTAL ANALYSIS CONTINUED
The segment results by business unit for the year ended 31 October 2013 are as follows:
PSS 
£000
EIM 
£000
Total  
(continuing 
operations)
£000
Recruitment 
(discontinued 
operation) 
£000
Total  
operations 
£000
Revenues from external customers 38,077 19,242 57,319 1,307 58,626
Cost of sales (3,431) (1,867) (5,298) (717) (6,015)
Gross profit 34,646 17,375 52,021 590 52,611
Administrative expenses (24,004) (12,963) (36,967) (643) (37,610)
Profit before interest, tax, 
depreciation, amortisation, 
impairment, share option  
costs, acquisition costs and 
restructuring costs 10,642 4,412 15,054 (53) 15,001
Depreciation (589) (133) (722) (1) (723)
Amortisation (4,138) (1,250) (5,388) – (5,388)
Impairment of goodwill – – – (457) (457)
Share option costs (415) (84) (499) (12) (511)
Restructuring (335) (190) (525) – (525)
Acquisition costs 841 (89) 752 – 752
Profit before interest and taxation 6,006 2,666 8,672 (523) 8,149
Finance income 132 (64) 68 – 68
Finance costs (86) (29) (115) – (115)
Segment profit  
(see reconciliation below) 6,052 2,573 8,625 (523) 8,102
Reconciliations of reportable profit
2014
£000
2013
£000
Total profit for reportable segments 8,723 8,102
Group acquisition costs – (88)
Corporate finance costs (157) –
Net financial costs (987) (1,024)
Discontinued operations loss* – 523
Profit before taxation 7,579 7,513
Group acquisition costs comprise legal fees in relation to aborted acquisitions. Corporate finance 
costs are in relation to the new banking facility. Net financial costs relate to Group bank loan interest, 
bank facility fee amortisation and fair value gain on financial derivatives which have not been included 
in reportable segments. 
* Discontinued operations loss excludes Group costs allocated to the segment relating to acquisition costs relating to disposal. 
10290 IDOX AR14 4 Back AW01.indd   48 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 49
3 OPERATING PROFIT FOR THE YEAR
Operating profit for the year has been arrived at after charging:
2014 
£000
2013
 £000
Auditor’s remuneration:
Fees payable to the company auditor for the audit of the 
parent company and consolidated annual accounts 53 51
The audit of the company’s subsidiaries, pursuant to legislation 55 65
Other services pursuant to legislation 40 30
148 146
Tax services – compliance 49 76
Tax services – advisory 2 3
Operating lease rentals – buildings 1,071 868
Depreciation – owned 813 722
Amortisation of intangibles 5,953 5,388
Equity-settled share-based payments 467 499
Research & development costs 5,473 4,888
4 DIRECTORS AND EMPLOYEES
Staff costs during the year were as follows:
Continuing 
operations 
2014 
£000
Discontinued 
operations 
2014 
£000
Total 
2014 
£000
Wages and salaries 25,599 – 25,599
Social security costs 2,558 – 2,558
Pension costs 1,014 – 1,014
29,171 – 29,171
During the year share based payment charges of £467,000 were incurred in respect of continuing 
operations and £Nil in respect of discontinued operations.
Staff costs during the prior year were as follows:
Continuing 
operations 
2013 
£000
Discontinued 
operations 
2013 
£000
Total  
2013
 £000
Wages and salaries 24,398 418 24,816
Social security costs 2,465 47 2,512
Pension costs 1,241 21 1,262
28,104 486 28,590
During the prior year, share based payment charges of £499,000 were incurred in respect of 
continuing operations, and £12,000 in respect of discontinued operations.
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Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
4 DIRECTORS AND EMPLOYEES CONTINUED
During the year the Group incurred restructuring costs in respect of continuing operations of 
£365,000 (2013: £525,000). The restructuring costs represent redundancy payments to former staff. 
In 2014 and 2013 there were no restructuring costs incurred in respect of discontinued operations. 
The average number of employees of the Group during the year was 554 and was made up as follows:
Continuing 
operations 
2014
No.
Discontinued 
operations 
2014 
No.
Total 
2014
No.
Office and administration (including Directors of  
the company and its subsidiary undertakings) 23 – 23
Sales 59 – 59
Development 115 – 115
Operations 223 – 223
Solutions 134 – 134
Recruitment – – –
554 – 554
The average number of employees of the Group during the prior year was 558 and was made up  
as follows:
Continuing 
operations 
2013  
No.
Discontinued 
operations 
2013  
No.
Total 
2013  
No.
Office and administration (including Directors of  
the company and its subsidiary undertakings) 24 – 24
Sales 68 – 68
Development 117 – 117
Operations 197 – 197
Solutions 142 – 142
Recruitment – 10 10
548 10 558
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Remuneration in respect of Directors was as follows:
2014 
 £000
2013  
£000
Emoluments 624 1,026
Pension contributions 5 16
Share based payment charge 116 127
745 1,169
In addition to the remuneration stated above, the Group incurred social security costs in respect of 
Directors of £79,000 (2013: £134,000). 
During the year ended 31 October 2014 one director exercised share options resulting in a taxable 
gain of £827,000. This share option exercise was held as shares. No directors exercised share options 
in the year ended 31 October 2013. 
The amounts set out above include remuneration in respect of the highest paid Director as follows:
2014 
£000
2013 
£000
Aggregate emoluments 333 477
Pension contributions – –
333 477
During the year the Group incurred social security costs in respect of the highest paid director of 
£44,000 (2013: £64,000).
During the year the highest paid director exercised share options resulting in a taxable gain of 
£827,000 (2013: £Nil). The share option exercise was held as shares. 
Details of the remuneration for each Director are included in the remuneration report which can be 
found on pages 18 to 20 but does not form part of the audited accounts.
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Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
5 ACQUISITION COSTS AND CORPORATE FINANCE COSTS
Following the implementation of IFRS 3 R all acquisition related costs are expensed in the period 
incurred rather than added to the cost of investment. Acquisition costs relating to individual 
acquisitions are disclosed in Note 25. 
Acquisition costs in 2013 included the following contingent considerations which were released  
during the previous year in respect of previous year acquisitions:
£000
Opt2Vote Limited 800
Lalpac Limited 50
850
Corporate finance costs are in relation to bank financing costs which have been expensed in the period. 
6 FINANCE INCOME AND COSTS
2014 
£000
2013 
£000
Interest receivable 4 6
Fair value gain on financial liabilities recognised in profit or loss 66 70
Dividends receivable 17 15
Foreign exchange differences 119 35
Other income 27 12
Finance income from continuing operations 233 138
Bank loans interest payable (724) (900)
Bank charges and loan facility fees (393) (222)
Fair value loss on financial assets recognised in profit or loss (27) (86)
Foreign exchange differences – (1)
Finance costs from continuing operations (1,144) (1,209)
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7 DIVIDENDS
2014 
£000
2013 
£000
Final dividend paid in respect of the year ended 31 October 2013  
and 31 October 2012 1,417 1,394
Pence per ordinary share 0.40p 0.40p
Interim dividend paid in respect of the year ended 31 October 2014  
and 31 October 2013 1,158 1,044
Pence per ordinary share 0.325p 0.30p
The Directors have proposed the payment of a final dividend of 0.425p per share, which would 
amount to £1,515,000 (2013: 0.40p).
8 INCOME TAX
The tax charge is made up as follows:
Continuing operations
2014 
£000
2013 
£000
Current tax
UK corporation tax on profits for the period 1,439 1,611
Foreign tax on overseas companies 489 624
Over provision in respect of prior periods (75) (652)
Total current tax 1,853 1,583
Deferred tax
Origination and reversal of temporary differences (4) (2,195)
Adjustment for rate change (104) (165)
Adjustments in respect of prior periods (9) (74)
Total deferred tax (117) (2,434)
Total tax charge 1,736 (851)
10290 IDOX AR14 4 Back AW01.indd   53 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 54
Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
8 INCOME TAX CONTINUED
The differences between the total tax charge above and the amount calculated by applying the 
standard rate of UK corporation tax to the profit before tax, together with the impact on the effective 
tax rate are as follows:
2014
£000
% ETR
movement
2013
£000
% ETR
movement
Profit before taxation on continuing operations 7,578 7,153
Loss before taxation on discontinued operations – (523)
Loss before taxation on disposal of  
discontinued operations – (322)
Profit before taxation on continuing  
and discontinued operations 7,578 6,668
Profit on ordinary activities multiplied by the  
standard rate of corporation tax in the UK of  
21.83% (2013: 23%) 1,654 21.83 1,534 23.00
Effects of:
Share option deduction (325) (4.29) (36) (0.53)
Tax losses utilised in year – – (48) (0.72)
International losses not recognised 166 2.19 – –
Recognition of historic deferred tax – – (1,744) (26.15)
Other timing differences 222 2.93 – –
Expenses not deductible for tax purposes 52 0.69 424 6.35
Prior year over-provision (77) (1.02) (726) (10.88)
Non-taxable income (4) (0.05) (360) (5.40)
Adjustment for tax rate differences in  
foreign jurisdictions 40 0.53 42 0.63
R&D enhanced relief (6) (0.08) (43) (0.64)
Foreign tax suffered 14 0.18 69 1.03
Deferred tax on acquisitions/disposal – – 37 0.56
1,736 22.91 (851) (12.75)
The effective tax rate for the period was 22.91% (2013: -12.75%). During the period all brought forward 
trading tax losses in the UK were utilised, resulting in a greater proportion of UK profits being subject 
to tax. The lower effective tax rate in 2013 was due to the recognition of historic deferred tax assets 
within the US entities of the EIM business in relation to losses and other timing differences amounting 
to £4,492,000. Other factors decreasing the tax rate in 2013 include the recognition of tax losses in 
the EIM business in the UK of £2,439,000 and an adjustment to the deferred tax asset recognised in 
respect of share options of £473,000. 
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Movement on trading losses during 2014 are as follows:
UK 
unrelieved 
trading 
losses
£000
Foreign 
unrelieved 
trading 
losses
£000
Total 
unrelieved 
trading 
losses
£000
Tax  
effect 
£000
Recognised trading losses
As at 1 November 2013 2,652 2,943 5,595 1,175
Recognised during the year – 346 346 76
Utilised during the year (2,652) – (2,652) (579)
Adjustment for difference between 
standard rate of tax at 21.83% and 
deferred tax rate at 20% – – – (14)
– 3,289 3,289 658
Unrecognised trading losses
Losses not recognised – (166) (166) (33)
– (166) (166) (33)
As noted above all UK trading losses of £2,652,000 were utilised during the year. The foreign losses 
recognised during the year of £346,000 arise mainly in the US and it is anticipation that the Group 
will benefit from these tax losses in future. Across the year the total deferred tax asset in respect of 
unrelieved trading losses has decreased from £1,175,000 to £658,000.
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Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
9 DISCONTINUED OPERATIONS
The Group announced on 1 July 2013 the sale of the recruitment business, TFPL Limited. The 
TFPL business represented an identifiable division of the Group and as such has been disclosed 
as a discontinued operation for the year ended 31 October 2013. A single amount is shown on the 
consolidated statement of comprehensive income representing the post-tax result of the discontinued 
operation for the period until disposal. Additionally the post-tax loss arising from the disposal of 
the operation has been recognised within the discontinued operations section of the consolidated 
statement of comprehensive income. 
Discontinued operation financial performance
Period to 
1 July 2013 
£000
Revenue 1,307
Costs of sale (717)
Depreciation and amortisation (1)
Impairment (457)
Other operating expenses (655)
Operating result (523)
Finance costs –
Result from discontinued operations before taxation (523)
Tax expense 4
Net operating result from discontinued operations (519)
Disposal of discontinued operation £000 £000
Total consideration 300
Payment received to settle net assets 100
Net consideration for shares 400
Less: Assets associated with discontinued operations (101)
Costs associated with disposal
– Staff bonuses (34)
– Professional fees (88)
– Other expenses and provisions (499)
(621)
Loss on disposal before taxation (322)
Taxation –
Loss on disposal after taxation (322)
10290 IDOX AR14 4 Back AW01.indd   56 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 57
During the year ended 31 October 2013 the TFPL business incurred £420,000 in relation to the 
Group’s net operating cash flows, paid £Nil in respect of investing activities and paid £Nil in respect  
of financing activities.
A reconciliation of the loss on disposal to the cash flow from the disposal is given in the table below:
Receipt from disposal of discontinued operations £000
Loss on disposal after taxation (322)
Assets associated with discontinued operations 101
Non-cash expenses associated with disposal 533
Cash inflow from disposal of discontinued operations 312
10 EARNINGS PER SHARE
The earnings per ordinary share is calculated by reference to the earnings attributable to ordinary 
shareholders divided by the weighted average number of shares in issue during each period, as follows:
Continuing operations
2014 
£000
2013
£000
Profit for the year 5,843 8,364
Basic earnings per share
Weighted average number of shares in issue 353,448,442 347,231,721
Basic earnings per share 1.65p 2.41p
Weighted average number of shares in issue 353,448,442 347,231,721
Add back:
Treasury shares 1,005,841 368,667
ESOP shares 1,263,989 1,018,343
Weighted average allotted, called up and fully paid share capital 355,718,272 348,618,731
Diluted earnings per share
Weighted average number of shares in issue  
used in basic earnings per share calculation 353,448,442 347,231,721
Dilutive share options 15,015,960 16,020,147
Weighted average number of shares in issue  
used in dilutive earnings per share calculation 368,464,402 363,251,868
Diluted earnings per share 1.59p 2.30p
10290 IDOX AR14 4 Back AW01.indd   57 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 58
Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
10 EARNINGS PER SHARE CONTINUED
Discontinued operations
2014
 £000
2013
 £000
Loss for the year – (841)
Basic earnings per share
Weighted average number of shares in issue 353,448,442 347,231,721
Basic earnings per share – (0.24p)
Weighted average number of shares in issue 353,448,442 347,231,721
Add back:
Treasury shares 1,005,841 368,667
ESOP shares 1,263,989 1,018,343
Weighted average allotted, called up and fully paid share capital 355,718,272 348,618,731
Diluted earnings per share
Weighted average number of shares in issue  
used in basic earnings per share calculation 353,448,442 347,231,721
Dilutive share options 15,015,960 16,020,147
Weighted average number of shares in issue  
used in dilutive earnings per share calculation 368,464,402 363,251,868
Diluted earnings per share – (0.23p)
10290 IDOX AR14 4 Back AW01.indd   58 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 59
Total operations
2014 
£000
2013 
£000
Profit for the year 5,843 7,523
Basic earnings per share
Weighted average number of shares in issue 353,448,442 347,231,721
Basic earnings per share 1.65p 2.17p
Weighted average number of shares in issue 353,448,442 347,231,721
Add back:
Treasury shares 1,005,841 368,667
ESOP shares 1,263,989 1,018,343
Weighted average allotted, called up and fully paid share capital 355,718,272 348,618,731
Diluted earnings per share
Weighted average number of shares in issue  
used in basic earnings per share calculation 353,448,442 347,231,721
Dilutive share options 15,015,960 16,020,147
Weighted average number of shares in issue  
used in dilutive earnings per share calculation 368,464,402 363,251,868
Diluted earnings per share 1.59p 2.07p
2014 
£000
2013
 £000
Adjusted earnings per share
Profit for the year 5,843 7,523
Add back:
Amortisation 5,953 5,388
Impairment – 457
Share option costs 467 511
Acquisition costs 148 (664)
Corporate finance costs 157 –
Restructuring costs 365 525
Tax effect (1,458) (1,477)
Adjusted profit for year 11,475 12,263
Weighted average number of shares in issue – basic 353,448,442 347,231,721
Weighted average number of shares in issue – diluted 368,464,402 363,251,868
Adjusted earnings per share 3.25p 3.53p
Adjusted diluted earnings per share 3.11p 3.38p
10290 IDOX AR14 4 Back AW01.indd   59 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 60
Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
11 PROPERTY, PLANT AND EQUIPMENT
Computer 
hardware 
£000
Fixtures, 
fittings and 
equipment 
£000
Motor 
vehicles
 £000
Library 
books and 
journals 
£000
Total
 £000
Cost 
At 1 November 2012 1,467 445 23 234 2,169
Additions 703 4 – 67 774
Additions on acquisition – 36 – – 36
Disposals (1,314) (308) (12) (87) (1,721)
At 31 October 2013 856 177 11 214 1,258
Additions 587 273 – 78 938
Additions on acquisition 459 44 – – 503
Disposals (47) – – (56) (103)
At 31 October 2014 1,855 494 11 236 2,596
Depreciation
At 1 November 2012 976 221 3 152 1,352
Provided in the year 542 105 9 67 723
Eliminated on disposal (1,314) (308) (7) (84) (1,713)
Fair value adjustment 36 5 5 – 46
At 31 October 2013 240 23 10 135 408
Provided in the year 609 134 1 69 813
Eliminated on disposal (18) – – (56) (74)
At 31 October 2014 831 157 11 148 1,147
Net book amount at  
31 October 2014 1,024 337 – 88 1,449
Net book amount at  
31 October 2013 616 154 1 79 850
The Group has pledged the above assets to secure banking facilities granted to the Group.
The depreciation charge for the year includes £Nil in respect of discontinued operations (2013: £1,000).
10290 IDOX AR14 4 Back AW01.indd   60 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 61
12 INTANGIBLE ASSETS 
Goodwill
£000
Customer 
relationships
£000
Trade 
names
£000
Software
£000
Development 
costs
£000
Database
£000
Order 
backlog
£000
Total
£000
Cost 
At 1 November 2012 44,931 17,944 7,460 9,406 3,391 569 4,200 87,901
Additions – – – 351 1,345 – – 1,696
Additions on acquisition 1,314 21 301 358 8 – – 2,002
Disposals (3,875) – – (45) – – – (3,920)
Fair value adjustment 760 – – – – – – 760
At 31 October 2013 43,130 17,965 7,761 10,070 4,744 569 4,200 88,439
Revaluation of  
opening balance – – – – (8) – – (8)
At 1 November 2013 43,130 17,965 7,761 10,070 4,736 569 4,200 88,431
Additions – – – 681 974 – – 1,655
Additions on acquisition 739 465 206 206 – – – 1,616
At 31 October 2014 43,869 18,430 7,967 10,957 5,710 569 4,200 91,702
Amortisation and  
impairment losses
At 1 November 2012 3,565 3,905 1,712 3,208 1,358 388 2,394 16,530
Amortisation for the year – 1,911 751 1,223 763 112 628 5,388
Impairment 457 – – – – – – 457
Disposals (3,375) – – (45) – – – (3,420)
At 31 October 2013 647 5,816 2,463 4,386 2,121 500 3,022 18,955
Amortisation for the year – 1,796 764 1,522 902 54 915 5,953
At 31 October 2014 647 7,612 3,227 5,908 3,023 554 3,937 24,908
Carrying amount at 
31 October 2014 43,222 10,818 4,740 5,049 2,687 15 263 66,794
Carrying amount at 
31 October 2013 42,483 12,149 5,298 5,684 2,623 69 1,178 69,484
During the year, goodwill and intangibles were reviewed for impairment in accordance with  
IAS 36, Impairment of assets. There were no impairment charges identified as a result of this  
review (2013: £457,000). The impairment charge in the prior year relates to the discontinued 
operations of TFPL Recruitment.
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Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
12 INTANGIBLE ASSETS CONTINUED 
The remaining useful lives and carrying value of the above intangible assets is as follows:
2014
Remaining 
amortisation 
period
(years)
2013
Remaining 
amortisation 
period 
(years)
2014
Carrying  
value 
£000
2013
Carrying  
value 
£000
CAPS intangibles
Customer relationships 12.5 13.5 3,665 3,958
Trade names 12.5 13.5 1,560 1,685
Software 2.5 3.5 760 1,065
Plantech intangibles
Customer relationships 13 14 752 810
Trade names 13 14 338 364
Software 3 4 252 336
J4B intangibles
Customer relationships (product) 0 0.5 0 12
Customer relationships (project) 4.5 5.5 59 72
Trade names 4.5 5.5 92 113
Database 0 0.5 0 41
Grantfinder intangibles
Trade name 5.5 6.5 128 151
Database 0.5 1.5 15 47
Customer contracts and relationships 0.5 1.5 130 390
Order backlog 0.5 1.5 130 390
Strand intangibles
Trade name 0.8 1.8 53 124
Software 0.8 1.8 67 155
Customer relationships 5.8 6.8 1,335 1,567
LAMP contracts intangibles
Backlog order book 3 6 133 789
McLaren intangibles
Customer relationships 6 7 621 722
Trade names 1 2 231 437
Software 1 2 173 328
Lalpac intangibles
Customer relationships 6.5 7.5 1,069 1,234
Trade names 6.5 7.5 107 123
Software 6.5 7.5 213 246
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2014
Remaining 
amortisation 
period
(years)
2013
Remaining 
amortisation 
period 
(years)
2014
Carrying  
value 
£000
2013
Carrying  
value 
£000
Interactive Dialogues intangibles
Customer relationships 7 8 247 282
Trade names 7 8 144 164
Software 7 8 288 329
CT Space intangibles
Customer relationships 2 2 250 375
Trade names 7 8 867 991
Software 7 8 1,040 1,189
Opt2Vote intangibles
Customer relationships 2.4 2.6 370 522
Trade names 7.4 8.4 391 444
Software 7.4 8.4 522 592
Currency Connect intangibles
Customer relationships 7.4 8.4 1,463 1,661
Trade names 7.4 8.4 193 220
Software 7.4 8.4 208 236
FMx intangibles
Customer relationships 2.9 3.8 393 529
Trade names 7.9 8.9 178 198
Software 7.9 8.9 262 297
Artesys intangibles
Customer relationships 0.4 1.4 4 15
Trade names 8.4 9.4 253 283
Software 8.4 9.4 301 337
Digital Spirit intangibles
Customer relationships 2 – 460 –
Trade names 10 – 205 –
Software 10 – 205 –
Development costs 5 5 2,687 2,623
Software costs 3 3 758 555
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Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
12 INTANGIBLE ASSETS CONTINUED 
Impairment test for goodwill
For this review goodwill was allocated to individual Cash Generating Units (CGU) on the basis of 
the Group’s operations as disclosed in the segmental analysis. As the Board review results on a 
segmental level the Group is monitoring goodwill on the same basis. 
The carrying value of goodwill by each CGU is as follows:
Cash Generating Units (CGU)
2014
£000
2013
£000
Public Sector Software 27,226 26,487
Engineering Information Management 15,996 15,996
43,222 42,483
The recoverable amount of all CGU’s has been determined using value-in-use calculations. These 
calculations use pre-tax cash flow projections based on financial budgets approved by management 
covering the next five financial years. The key assumptions used in the financial budgets relate to 
revenue and EBITDA growth targets. Cash flows beyond this period are extrapolated using the 
estimated growth rates stated below. Growth rates are reviewed in line with historic actuals to  
ensure reasonableness and are based on an increase in market share. 
For value in use calculations, the growth rates and margins used to estimate future performance are 
based on management’s best estimate of short term performance based on an assessment of market 
opportunities and macro-economic conditions. In the year to 31 October 2014, the Weighted Average 
Cost of Capital for each CGU has been used as an appropriate discount rate to apply to cash flows. 
The same basis was used in the year to 31 October 2013.
The assumptions used for the value in use calculations are as follows and are considered appropriate 
for each of the risk profiles of the respective CGU:
Cash generating unit (CGU)
Discount rate 
2014
Growth rate 
2014
Discount rate 
2013
Growth rate 
2013
Public Sector Software 12.64% 2% 10.11% 2%
Engineering Information Management 11.92% 2% 10.24% 2%
Individual Weighted Average Cost of Capital were calculated for each CGU and adjusted for the 
market’s assessment of the risks attaching to each CGU’s cash flows. The Weighted Average Cost  
of Capital is recalculated at each period end. 
An impairment charge of £457,000 was recorded in the prior year against goodwill in relation to the 
disposal of TFPL Recruitment. This has been disclosed within the discontinued operation results for 
that year. There have been no impairment charges identified for the year ended 31 October 2014.
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Sensitivities have been run on cash flow forecasts for all CGU’s. Management are satisfied that the 
key assumptions of revenue and EBITDA growth rates are achievable and that reasonable possible 
changes to those key assumptions would not lead to the carrying amount of the relevant CGU 
exceeding the recoverable amount. A 0% growth rate would result in the following headroom:
Cash generating unit (CGU)
Growth rate  
0% headroom
£000
Public Sector Software 52,218
Engineering Information Management 17,224
Sensitivities have also been run on the discount rate applied and management are satisfied that a 
reasonable increase in the discount rate would not lead to the carrying amount of the relevant CGU 
exceeding the recoverable amount. 
13 DEFERRED INCOME TAX
Deferred tax assets and liabilities are summarised as follows:
2014 
£000
2013 
£000
Deferred tax assets 1,570 2,509
Deferred tax liabilities (non current) (4,038) (4,870)
(2,468) (2,361)
The movement in the year in the net deferred tax provision was as follows:
2014 
£000
2013 
£000
At 1 November (2,361) (4,684)
Credit to income for the year (20) 2,199
Adjustment for changes in rate 104 164
Prior year adjustment 9 95
Other movements (5) (12)
Charged to goodwill for the year (175) (123)
Transferred to equity (20) –
At 31 October (2,468) (2,361)
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Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
13 DEFERRED INCOME TAX CONTINUED
The movement in deferred income tax assets and liabilities during the year is as follows:
Share-
based 
payments
£000
Other 
temporary 
differences
£000
Tax 
losses 
carried 
forward
£000
Accelerated 
tax 
depreciation
£000
Total 
deferred 
tax 
 asset
£000
Total 
deferred 
tax 
liability
£000
At 1 November 2012 82 9 941 385 1,417 (6,101)
Charge to income 517 442 311 82 1,352 929
Changes in rate (104) (39) (111) (40) (294) 458
Deferred tax recognised  
on acquisition – – 34 – 34 (156)
At 31 October 2013 495 412 1,175 427 2,509 (4,870)
At 1 November 2013 495 412 1,175 427 2,509 (4,870)
Charge to income (17) (342) (462) 1 (820) 854
Changes in rate (24) (20) (56) (20) (120) 153
Deferred tax recognised  
on acquisition 1 1 (175)
At 31 October 2014 454 50 658 408 1,570 (4,038)
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14 FINANCIAL ASSETS AND LIABILITIES
Categories of financial assets and liabilities
The disclosures detailed below are as required by IFRS 7 Financial Instruments: Disclosures. The 
carrying amounts presented on the consolidated balance sheet relate to the following categories of 
assets and liabilities:
Financial assets Note
2014 
£000
2013 
£000
Non-current:
Amounts recoverable on contracts 15 2,262 1,723
2,262 1,723
Current:
Trade and other receivables 15 17,215 15,837
Cash and cash equivalents 16 5,855 3,399
23,070 19,236
Financial liabilities Note
2014 
£000
2013 
£000
Financial liabilities measured at amortised cost:
Non-current:
Bank borrowings 21 14,293 19,462
14,293 19,462
Current:
Bank borrowings 21 7,397 3,732
Derivative financial instruments 
at fair value through profit or loss 20 – 66
Trade and other payables 17 4,788 4,662
Other liabilities 18 1,639 1,499
Other liabilities at fair value through profit or loss * 18 156 –
13,980 9,959
*  Hierarchy 3 being inputs for the asset or liability which are not based on observable market data. The liability relates to a 
deferred consideration on the acquisition of Digital Spirit GmbH.
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Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
15 TRADE AND OTHER RECEIVABLES
2014 
£000
2013 
£000
Trade receivables, gross 10,242 10,269
Allowance for credit losses (144) (728)
Trade receivables, net 10,098 9,541
Amounts recoverable on contracts 6,628 5,919
Other receivables 489 377
Financial assets 17,215 15,837
Prepayments 1,631 1,507
Non-financial assets 1,631 1,507
Trade and other receivables due within one year 18,846 17,344
2014 
£000
2013 
£000
Amounts recoverable on contracts 2,262 1,723
Trade and other receivables due after one year 2,262 1,723
Amounts recoverable on contracts represent work completed and delivered to the customer,  
but due to the contractual payment terms have not yet been invoiced.
All of the closing Group trade receivables are in UK sterling with the exception of:
2014 2013
Euros €2,347,000 €3,275,000
Australian dollars AUD37,000 AUD101,000
Emirati dirham AED152,000 AED79,000
US dollars $2,224,000 $3,382,000
Canadian dollars $1,000 $1,000
Credit quality of financial assets
The maximum exposure for the Group to credit risk for trade receivables at the reporting date by type 
of customer was:
2014 
£000
2013 
£000
Local authorities and other public bodies 4,560 4,430
Private companies 5,682 5,839
10,242 10,269
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The ageing of trade receivables at the reporting date for the Group was:
Gross 
2014 
£000
Impairment 
2014 
£000
Gross 
2013
 £000
Impairment 
2013
 £000
Not past due 6,662 – 5,699 –
Past due 0 to 30 days 1,413 – 1,172 –
Past due 31 to 60 days 289 – 306 –
More than 61 days 1,878 144 3,092 728
10,242 144 10,269 728
Movements in the provision for impairment of receivables for the Group were as follows:
2014
 £000
2013 
£000
At 1 November 2013 728 616
Charge for the year 383 114
Relating to acquisitions – 98
Utilised (967) (100)
At 31 October 2014 144 728
The provision allowance in respect of trade receivables is used to record impairment losses unless 
the Group is satisfied that no recovery of the amount owing is possible. At that point the amounts 
are considered irrecoverable and are written off against the trade receivable directly. Where trade 
receivables are past due an assessment is made of individual customers and the outstanding balance. 
The credit quality of the holders of the Cash at bank is A and AA rated. 
16 CASH AND CASH EQUIVALENTS
2014 
£000
2013 
£000
Cash at bank and in hand 5,855 3,399
Cash and cash equivalents per cash flow statements 5,855 3,399
17 TRADE AND OTHER PAYABLES
2014
 £000
2013 
£000
Trade payables 2,504 2,527
Accruals 2,284 2,135
4,788 4,662
The carrying values of trade and other payables are considered to be a reasonable approximation of 
fair value. Accruals represent liabilities which have been recognised at the balance sheet date. The 
majority of this will be paid during the next six months.
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Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
18 OTHER LIABILITIES
2014 
£000
2013 
£000
Social security and other taxes 1,599 1,339
Other payables 1,795 1,499
Deferred income 13,255 13,952
16,649 16,790
Deferred income represents software revenue where billing milestones have been reached but  
the appropriate proportion of work has not been completed and maintenance, managed service 
and subscription revenues which are spread over the period, typically one year, for which the 
service is supplied.
19 PROVISIONS
2014 
£000
2013 
£000
At 1 November 2013 56 76
Provision made during the year 11 4
Provision utilised during the year (49) (24)
At 31 October 2014 18 56
The opening and closing provisions relate to estimated dilapidation costs expected to arise on exit of 
leased properties.
20 DERIVATIVE FINANCIAL INSTRUMENTS
The carrying amounts for the Group’s derivative financial instruments may be further analysed as follows:
2014
 £000
2013 
£000
Fair value:
Interest rate swap – Fair value hierarchy level 2 – 66
Derivative financial liabilities – 66
The Group used an interest rate swap to manage its exposure to interest rate movements on its bank 
borrowings during the current and preceding financial year. The swap was terminated during the year 
ended 31 October 2014. 
The fair value of the interest rate swap liability at 31 October 2013 was estimated at £66,000. 
Contracts with notional values of £12m fixed interest payments at an average rate of 1.33% for  
periods up until 2015.
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21 BORROWINGS
All borrowings are held at amortised cost and after set-off for unamortised loan facility fees:
2014
£000
2013
£000
Current:
Bank borrowings 7,397 3,732
Non-current:
Bank borrowings 14,293 19,462
Total borrowings 21,690 23,194
During the year the Group moved its banking facilities from Bank of Scotland Plc to a two-bank  
facility with Royal Bank of Scotland and Silicon Valley Bank. 
The existing Bank of Scotland facilities were repaid in full during the year. The facilities which were 
repaid consisted of one term loan and two revolving credit facilities. The average interest rate paid 
during the year was: term loan 3.03%; working capital revolving credit facility 3.00%; acquisition 
revolving credit facility 3.04%. 
The new banking facilities consist of a term loan and a revolving credit facility.
At the balance sheet date, the term loan had an outstanding balance of £17,000,000 and during  
the period the loan was held the average interest rate was 3.06%.
At the balance sheet date the revolving credit facility had an outstanding balance of £5,000,000  
and during the period the loan was held the average interest rate was 3.06%. 
There are unamortised loan fees of £390,000 at the balance sheet date. 
As security for the above loans, Royal Bank of Scotland and Silicon Valley Bank hold a fixed and 
floating charge over the assets of Idox plc and certain of its subsidiaries, a guarantee supported by 
Idox plc and certain of its subsidiaries and a share pledge in respect of the entire issued share capital 
of each subsidiary company.
The Group also has two term loans in place with Oseo, France. At the balance sheet date the total 
outstanding amount was £80,000 and the average interest rate paid during the period the facility was 
held was 6.48%. 
The Directors’ estimate that the fair value of the Group’s borrowing is not significantly different to the 
carrying value. 
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Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
22 RISK MANAGEMENT OBJECTIVES AND POLICIES
The Group’s principal financial instruments comprise cash and cash equivalents, short term deposits, 
bank borrowings and interest rate swaps. The main purpose of these financial instruments is to 
finance the Group’s operations. The Group has other financial instruments which mainly comprise 
trade receivables and trade payables which arise directly from its operations.
Risk management is carried out by the finance department under policies approved by the Board of 
Directors. The Group finance department identifies, evaluates and manages financial risks. The Board 
provides guidance on overall risk management including foreign exchange risk, interest rate risk, 
credit risk, and investment of excess liquidity.
The impact of the risks required to be discussed under IFRS 7 are detailed below:
Market risk
(i) Foreign exchange risk
Foreign exchange risk arises when future commercial transactions or recognised assets or liabilities 
are denominated in a currency that is not the functional currency of the operations. The Group has 
minimal exposure to foreign exchange risk as a result of natural hedges arising between sales and 
cost transactions.
(ii)  Cash flow and fair value interest rate risk
The Group is exposed to interest rate risk in respect of cash balances held with banks and other 
highly rated counterparties.
The Group’s main interest rate risk arises from long-term borrowings. Borrowings issued at variable rates 
expose the Group to cash flow interest rate risk. Borrowings issued at fixed rates expose the Group 
to fair value interest rate risk. During 2014 and 2013, all the Group’s borrowings at variable rate were 
denominated in UK Sterling. To protect cash flows against movements in interest rates the Group used 
an interest LIBOR swap agreement. This swap agreement was terminated during the year.
Credit risk
The Group’s maximum exposure to credit risk is limited to the carrying amount of financial assets 
recognised at the reporting date, as summarised below:
Classes of financial assets – carrying amounts
2014 
£000
2013 
£000
Cash and cash equivalents 5,855 3,399
Trade receivables 10,098 9,541
Amounts recoverable on contracts 8,890 7,642
Other receivables 489 377
Financial assets at fair value 25,332 20,959
Credit risk is managed on a Group basis. Credit risks arise from cash and cash equivalents and 
deposits with banks and financial institutions, as well as credit exposures to customers, including 
outstanding receivables and committed transactions. 
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The Group’s credit risk is primarily attributable to its trade receivables. It is the policy of the Group to 
present the amounts in the balance sheet net of allowances for doubtful receivables, estimated by the 
Group’s management based on prior experience and the current economic environment. The Group 
reviews the reliability of its customers on a regular basis, such a review takes into account the nature 
of the Group’s trading history with the customer.
The credit risk on liquid funds is limited because the majority of funds are held with two banks with 
high credit-ratings assigned by international credit-rating agencies. Management does not expect any 
losses from non-performance of these counterparties.
None of the Group’s financial assets are secured by collateral or other credit enhancements.
Liquidity risk
The Group closely monitors its access to bank and other credit facilities in comparison to its 
outstanding commitments on a regular basis to ensure that it has sufficient funds to meet obligations 
of the Group as they fall due.
The Board receives regular debt management forecasts which estimate the cash inflows and 
outflows over the next twelve months, so that management can ensure that sufficient financing is in 
place as it is required. Surplus cash within the Group is put on deposit in accordance with limits and 
counterparties agreed by the Board, the objective being to maximise return on funds whilst ensuring 
that the short-term cashflow requirements of the Group are met.
Detailed analysis of the debt facilities taken out and available to the Group are disclosed in note 21. 
As at 31 October 2014, the Group’s financial liabilities have contractual maturities (including interest 
payments where applicable) as summarised below:
Current Non-current
Within  
6 months 
£000
6–12  
months 
£000
1–5  
years 
£000
Later than 
5 years 
£000
Bank borrowings 5,057 2,915 15,671 –
Trade and other payables 4,788 – – –
This compares to the maturity of the Group’s financial liabilities in the previous reporting period as 
follows:
Current Non-current
Within  
6 months 
£000
6–12  
months 
£000
1–5  
years 
£000
Later than 
5 years 
£000
Bank borrowings 362 4,050 20,457 –
Trade and other payables 4,662 – – –
The above amounts reflect the contractual undiscounted cashflows, which may differ from the 
carrying values of the liabilities at the reporting date.
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Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
22 RISK MANAGEMENT OBJECTIVES AND POLICIES CONTINUED
Capital risk management
The Group’s objectives when managing capital are to safeguard the Group’s ability to continue as a 
going concern in order to provide returns for shareholders and benefits for other stakeholders and to 
maintain an optimal capital structure to reduce the cost of capital. In order to maintain or adjust the 
capital structure, the Group may adjust the amount of dividends paid to shareholders, return capital  
to shareholders, issue new shares or sell assets to reduce debts.
Capital for the reporting periods under review is summarised as follows:
2014 
£000
2013 
£000
Total equity 48,590 44,686
Less unrestricted cash and cash equivalents (note 16) (5,855) (3,399)
42,735 41,287
Total equity 48,590 44,686
Borrowings (note 21) 21,690 23,194
70,280 67,880
Capital-to-overall financing ratio 0.61 0.61
23 SHARE CAPITAL
2014 
£000
2013 
£000
Authorised:
650,000,000 ordinary shares of 1p each (2013: 650,000,000) 6,500 6,500
Allotted, called up and fully paid:
As at 1 November 3,493 3,485
Issued and allotted during the year 94 8
358,733,615 ordinary shares of 1p each (2013: 349,313,142) 3,587 3,493
Movement in issued share capital in the year
During the year to 31 October 2014, eleven employees exercised share options. To satisfy the exercise 
of six tranches of these options, the company issued and allotted 9,420,473 new ordinary shares of 
1p each.
The company has one class of ordinary shares which carry no right to fixed income.
At 31 October 2014 there were 2,489,915 (2013: 2,153,622) shares in issue under ESOP. During the 
year the average issue share price was 39p (2013: 44p).
At 31 October 2014 there were 2,355,219 (2013: 52,000) shares held in treasury.
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24 SHARE OPTIONS
The company has an unapproved share option scheme for all employees (including Directors). All 
share options are exercisable at a price equal to the average market price of the company’s shares 
on the date of grant. The vesting period is quarterly from the date of grant. Per the contractual 
agreements, the options are settled in equity once exercised.
An Employee Share Investment Trust is in place to allow employees a tax efficient way of investing in 
the Company. The Company purchases matching shares which become the property of the employee 
after a three year vesting period. 
Details of all share options over 1p Ordinary shares, falling within the measurement and recognition 
criteria of IFRS 2 “Share-based Payment”, including their contractual life and exercise prices are  
as follows:
At start  
of year Granted Exercised Lapsed
At end  
of year
Exercise 
price
Exercise 
date from
Exercise 
date to
866,000 – – – 866,000 7.50p May 2007 May 2017
452,000 – (35,000) – 417,000 8.125p Jun 2007 Jun 2017
275,000 – – – 275,000 15.00p Dec 2007 Dec 2017
1,192,308 – (769,231) – 423,077 13.00p Aug 2008 Aug 2018
1,033,334 – (666,667) – 366,667 15.00p Aug 2008 Aug 2018
8,105,366 – (3,622,907) – 4,482,459 10.25p Mar 2010 Mar 2020
11,200,000 – (4,066,670) (383,330) 6,750,000 20.00p Mar 2011 Mar 2021
1,099,998 – (44,998) – 1,055,000 18.00p Mar 2011 Mar 2021
850,000 – (303,328) (26,672) 520,000 35.00p Apr 2012 Apr 2022
750,000 – – (150,000) 600,000 44.00p Sep 2012 Sep 2022
450,000 – – – 450,000 35.75p Jul 2013 Jul 2023
– 500,000 – – 500,000 39.12p Mar 2014 Mar 2024
– 700,000 – – 700,000 39.00p Apr 2014 Apr 2024
– 610,000 – – 610,000 39.00p Jul 2014 Jun 2024
26,274,006 1,810,000 (9,508,801) (560,002) 18,015,203
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Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
24 SHARE OPTIONS CONTINUED
The following table sets out the number of share options and associated weighted average exercise 
price (WAEP) outstanding during the year:
2014 2013
No. WAEP Pence No. WAEP Pence
Outstanding at the beginning of the year 26,274,006 17.17 27,224,006 16.87
Granted during the year 1,810,000 39.03 450,000 35.75
Exercised during the year (9,508,801) 15.79 (1,233,330) 16.96
Lapsed during the year (560,002) 27.14 (166,670) 20.00
Outstanding at the end of the year 18,015,203 19.78 26,274,006 17.17
Exercisable at the end of the year 16,940,481 18.57 24,044,840 15.98
The share options outstanding at the end of the year have a weighted average remaining contractual 
life of 6 years. The share options exercised during the year had a weighted average exercise price of 
15.79p and a weighted average market price of 37.39p.
The fair values were calculated using the Black-Schöles Pricing Model and the following information:
Date  
of issue
Number 
granted
No.
Weighted 
average 
share 
price
Pence
Weighted 
average 
exercise 
price
Pence
Expected 
volatility
%
Expected 
life
Years
Risk free 
rate
%
Expected 
dividend 
yield
%
Weighted 
average 
fair value 
at grant 
date
£
Mar 14 500,000 38.62 39.12 35 8 4.65 0.6 0.18
Apr 14 700,000 41.50 39.00 35 8 4.65 0.6 0.20
Jul 14 610,000 43.62 39.00 35 7.5 4.44 0.6 0.21
Expected volatility was determined by calculating the historical volatility of the company’s share 
price over the previous 3 years. The expected life used in the model is adjusted, based on the 
management’s best estimate, for the effects of non-transferability, exercise restrictions and 
behavioural considerations.
The Group recognised a total charge of £467,000 (2013: £511,000) related to equity-settled share-
based payment transactions during the year. A charge of £365,000 (2013: £495,000) related to share 
options granted and £102,000 (2013: £16,000) related to share options exercised. In 2014, a charge  
of £Nil (2013: £12,000) relating to equity-settled share-based payment transactions were in respect  
of discontinued operations. These charges all related to share options granted. 
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25 ACQUISITIONS
Digital Spirit GmbH
On 22 October 2014 the Group acquired the entire share capital of Digital Spirit GmbH for a total 
consideration of €2.2m (£1.7m) in cash. Digital Spirit provides compliance software and content to 
corporate, public and commercial customers across Europe. The acquisition is complementary to 
Idox’s e-learning software business, Interactive Dialogues, which it acquired in November 2011. 
Goodwill arising on the acquisition of Digital Spirit has been capitalised and consists largely of the 
workforce value, synergies and economies of scale expected from combining the operations of Digital 
Spirit with Idox. None of the goodwill recognised is expected to be deductible for income tax purposes. 
The purchase of Digital Spirit has been accounted for using the acquisition method of accounting.
Book  
value 
£000
Provisional fair 
value adjustments 
£000
Fair  
value
 £000
Intangible assets – 877 877
Property, plant and equipment 503 – 503
Trade receivables 565 – 565
Other receivables 176 – 176
Cash at bank 93 – 93
TOTAL ASSETS 1,337 – 2,214
Trade payables (54) – (54)
Other liabilities (554) – (554)
Deferred income (325) – (325)
Social security and other taxes (103) – (103)
Deferred tax liability – (175) (175)
TOTAL LIABILITIES (1,036) (175) (1,211)
NET ASSETS 1,003
Purchased goodwill capitalised 739
Total consideration 1,742
Satisfied by:
Cash to vendor 1,586
Earn out consideration 156
Total consideration 1,742
The fair values stated above are provisional. The fair value adjustment for the intangible assets relates 
to customer relationships, trade names and software. A related deferred tax liability has also been 
recorded as a fair value adjustment.
The fair value of trade debtors is equal to the gross contractual amounts receivable. An initial review  
of trade debtors has not indicated any recoverability issues.
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Financial Statements
Notes to the Accounts continued
For the year ended 31 October 2014
25 ACQUISITIONS CONTINUED
The revenue included in the consolidated statement of comprehensive income since 22 October 2014, 
contributed by Digital Spirit was £92,000. Digital Spirit also made a loss of £20,000 for the same 
period. If Digital Spirit had been included from 1 November 2013, it would have contributed revenue  
of £5,412,000 and a loss after tax of £856,000. 
The earn out period is 1 January 2014 to 31 December 2014. The earn out arrangement requires  
the Group to pay the former owners of Digital Spirit an amount to be determined by EBITDA in the 
earn out period, up to a maximum of €200,000 in cash. €200,000 has been recognised at the date  
of acquisition, which represents the fair value of the contingent consideration. 
Acquisition costs of £104,000 have been written off in the consolidated statement of  
comprehensive income.
Acquisition cash flows
Acquisition cash flows in the year are as follows:
Net cash  
outflow  
£000
Subsidiaries acquired during the year:
Digital Spirit GmbH 1,493
1,493
No additional fair value adjustments have been made in the year in respect of prior year acquisitions.
26 OPERATING LEASE COMMITMENTS
The future aggregate minimum lease payments under non-cancellable operating leases are as follows:
2014 
£000
2013 
£000
Amounts due:
Within one year 754 747
Between one and five years 1,792 1,561
After five years 58 25
2,604 2,333
Operating lease payments represent rentals payable by the Group for office premises and motor 
vehicle leasing charges.
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27 CAPITAL COMMITMENTS
The Group had no capital commitments at 31 October 2014 or 31 October 2013. 
28 CONTINGENT LIABILITIES 
There were no material Group contingent liabilities at 31 October 2014 or 31 October 2013.
29 RELATED PARTY TRANSACTIONS
Compensation paid to key management (which comprises the executive management team and the 
Board) of the Group:
2014 
£000
2013 
£000
Salaries and other short term employee benefits 1,433 2,114
Post-employment benefits 32 43
Share-based payments 265 198
1,730 2,355
In the year ended 31 October 2014 Martin Brooks, Chairman of Idox plc, was entitled to 
remuneration of £6,750 (2013: £6,750) as Chairman of Cornwall Development Company, which he 
elected not to take. Cornwall Development Company Ltd is a company limited by guarantee which 
is wholly owned by Cornwall Council. Cornwall Council is a customer of Idox Software Limited 
which is a wholly owned subsidiary of Idox plc.
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Financial Statements
We have audited the parent company financial 
statements of Idox plc for the year ended 
31 October 2014 which comprise the parent 
company balance sheet and the related 
notes. The financial reporting framework 
that has been applied in their preparation is 
applicable law and United Kingdom Accounting 
Standards (United Kingdom Generally Accepted 
Accounting Practice).
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 pages 
23 and 24, the Directors are responsible for the 
preparation of the parent company 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 parent 
company 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 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  
Financial Reporting Council’s website at  
www.frc.org.uk/auditscopeukprivate.
Opinion on financial statements
In our opinion the parent company 
financial statements:
• give a true and fair view of the state of the 
company’s affairs as at 31 October 2014; 
• have been properly prepared in accordance 
with United Kingdom Generally Accepted 
Accounting Practice; and
• 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 
Strategic Report and Directors’ Report for the 
financial year for which the financial statements 
are prepared is consistent with the parent 
company 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.
Other matter
We have reported separately on the group 
financial statements of Idox plc for the year 
ended 31 October 2014. 
Stephen Maslin
Senior Statutory Auditor
for and on behalf of Grant Thornton UK LLP 
Statutory Auditor, Chartered Accountants 
London
16 January 2015 
Independent Auditor’s Report to the Members of Idox plc
For the year ended 31 October 2014
10290 IDOX AR14 4 Back AW01.indd   80 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 81
Note
2014
£000
2013
£000
Fixed assets
Investments 5 73,775 72,339
Current assets
Debtors: falling due within one year 6 164 197
Debtors: falling due after one year 6 2,064 1,879
Creditors: amounts falling due within one year 7 (37,408) (31,989)
Net current liabilities (35,180) (29,913)
Total assets less current liabilities 38,595 42,426
Creditors: amounts falling due after more than one year 8 (14,500) (19,600)
Net assets 24,095 22,826
Capital and reserves
Called up share capital 9 3,587 3,493
Capital redemption reserve 11 1,112 1,112
Share premium account 11 11,741 10,355
Treasury reserve 11 (1,001) (12)
Share option reserve 11 1,636 1,955
Profit and loss account 11 7,020 5,923
Shareholders’ funds 24,095 22,826
The financial statements were approved by the Board of Directors and authorised for issue on 
16 January 2015 and are signed on its behalf by:
Richard Kellett-Clarke
Chief Executive Officer 
The accompanying accounting policies and notes form an integral part of these accounts.
Company name: Idox plc   Company number: 03984070 
Company Balance Sheet
At 31 October 2014
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Financial Statements
Notes to the Company Financial Statements
For the year ended 31 October 2014
1 ACCOUNTING POLICIES
Basis of preparation
The accounts have been prepared in accordance with applicable United Kingdom accounting 
standards and under the historical cost convention.
No profit and loss account is presented for the Company as permitted by Section 408 of the 
Companies Act, 2006. A cash flow statement has not been provided as permitted by FRS1  
(Revised) Cash Flow Statements.
FRS 20 Share based payment
All share-based payment arrangements granted after 7 November 2002 that had not vested prior  
to 1 November 2006 are recognised in the financial statements.
All goods and services received in exchange for the grant of any share-based payment are measured 
at their fair values. Where employees are rewarded using share-based payments, the fair values of 
employees’ services are determined indirectly by reference to the fair value of the instrument granted 
to the employee. This fair value is appraised at the grant date and excludes the impact of non-market 
vesting conditions (for example, profitability and sales growth targets).
Employees to whom share options have been granted provide their services in subsidiary 
companies of Idox plc. All equity settled share-based payments are recognised as an expense 
in the profit and loss account of the relevant subsidiary company. In Idox plc, the cost is allocated 
to investments in subsidiaries.
If vesting periods or other non-market vesting conditions apply, the expense is allocated over the 
vesting period, based on the best available estimate of the number of share options expected to 
vest. Estimates are revised subsequently if there is any indication that the number of share options 
expected to vest differs from previous estimates. Any cumulative adjustment prior to vesting is 
recognised in the current period. No adjustment is made to any expense recognised in prior periods  
if share options that have vested are not exercised.
Upon exercise of share options, the proceeds received net of attributable transaction costs are 
credited to reserves.
Deferred taxation
Deferred tax is recognised on all timing differences where the transactions or events that give the 
company an obligation to pay more tax in the future, or a right to pay less tax in the future, have 
occurred by the balance sheet date. Deferred tax assets are recognised when it is more likely than  
not that they will be recovered. Deferred tax is measured using rates of tax that have been enacted  
or substantively enacted by the balance sheet date.
Investments
Fixed asset investments in subsidiary undertakings are stated at cost less provision for impairment.
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Financial instruments
Financial liabilities and equity instruments are classified according to the substance of the contractual 
arrangements entered into. An equity instrument is any contract that evidences a residual interest in 
the assets of the entity after deducting all of its financial liabilities.
Where the contractual obligations of financial instruments (including share capital) are equivalent 
to a similar debt instrument, those financial instruments are classed as financial liabilities. Financial 
liabilities are presented as such in the balance sheet. Finance costs and gains or losses relating to 
financial liabilities are included in the profit and loss account. Finance costs are calculated so as to 
produce a constant rate of return on the outstanding liability.
Where the contractual terms of share capital do not have any terms meeting the definition of a 
financial liability then this is classed as an equity instrument. Dividends and distributions relating to 
equity instruments are debited direct to equity.
Interest and expenditure arising on financial instruments is recognised on the accruals basis and 
credited or charged to the profit and loss account in the financial period to which it relates. The 
company does not apply FRS 26.
2 DIRECTORS AND EMPLOYEES
There are no wages and salaries paid by the parent company.
The company has no employees and Directors are remunerated by other Group companies. Details  
of the remuneration for each Director are included in the Report on Remuneration which can be  
found on pages 18 to 20 but which do not form part of the audited accounts.
3 DIVIDENDS
2014 
£000
2013 
£000
Final dividend paid in respect of the year ended 
31 October 2013 and 31 October 2012 1,417 1,394
Pence per ordinary share 0.40p 0.40p
Interim dividend paid in respect of the year ended  
31 October 2014 and 31 October 2013 1,158 1,044
Pence per ordinary share 0.325p 0.30p
The Directors have proposed the payment of a final dividend of 0.425p per share, which would 
amount to £1,515,000 (2013: 0.40p).
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Financial Statements
Notes to the Company Financial Statements continued
For the year ended 31 October 2014
4 PROFIT FOR THE FINANCIAL YEAR
The parent company has taken advantage of section 408 of the Companies Act 2006 and has not 
included its own profit and loss account in these financial statements. The parent company’s profit for 
the year was £3,678,000 (2013: loss £1,622,000).
5 INVESTMENTS
Investment  
in Group  
undertakings 
£000
Cost or market value
At 1 November 2013 75,396
Additions 2,107
Disposals (671)
At 31 October 2014 76,832
Impairment
At 1 November 2013 and 31 October 2014 3,057
Net book amount
At 31 October 2014 73,775
At 31 October 2013 72,339
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At 31 October 2014 the company held investments in the following companies:
Country of 
registration
Class of 
share held 
Proportion 
held
Nature  
of business
i-documentsystems Trustees Limited England Ordinary 100% Corporate trustee  
of Employee share  
ownership trust
Idox Software Limited England Ordinary 100% Software services
Interactive Dialogues NV Belgium Ordinary 100% Information services
J4B Nederland BV Holland Ordinary 100% Information services
Currency Connect Holdings BV Holland Ordinary 100% Holding company
Currency Connect BV Holland Ordinary 100% Information services
De Jong & Laan Subsidieadviseurs BV Holland Ordinary 51% Information services
Digital Spirit GmbH Germany Ordinary 100% Software services
McLaren Software Limited Scotland Ordinary 100% Software services
McLaren Software Inc USA Ordinary 100% Software services
Artesys International SA France Ordinary 100% Software services
CT Space GmbH Germany Ordinary 100% Software services
CT Space SARL France Ordinary 100% Software services
CT Space Technologies Pty India Ordinary 100% Software services
Interactive Dialogues Limited England Ordinary 100% Dormant company 
Uwsubsidie BV Holland Ordinary 100% Dormant company
Strand Electoral Management Services Limited England Ordinary 100% Dormant company
Strand Enterprises Limited England Ordinary 100% Dormant company
Idox Information Solutions Limited 
(formerly J4B Software & Publishing Limited)
England Ordinary 100% Dormant company
Grantfinder Limited England Ordinary 100% Dormant company
Plantech Limited England Ordinary 100% Dormant company
Opt2Vote Limited England Ordinary 100% Dormant company
CAPS Solutions Limited England Ordinary 100% Dormant company
Lalpac Limited England Ordinary 100% Dormant company
Idox Information Services Limited England Ordinary 100% Dormant company
McLaren Software Group Limited Scotland Ordinary 100% Holding Company
McLaren Software GmbH Germany Ordinary 100% Dormant company
McLaren Consulting BV Holland Ordinary 100% Dormant company
McLaren Software SARL Switzerland Ordinary 100% Dormant company
FMx Limited England Ordinary 100% Dormant company
Buildonline Global Limited England Ordinary 100% Dormant company
Buildonline Ireland Limited Ireland Ordinary 100% Dormant company
CT Space Limited England Ordinary 100% Dormant company
CT Space Inc USA Ordinary 100% Dormant company
Citadon Inc USA Ordinary 100% Dormant company
McLaren Software Australia Pty Limited Australia Ordinary 100% Dormant company
The results of the De Jong & Laan Subsidieadviseurs BV joint venture have not been consolidated  
into the Company accounts as the amounts were immaterial in the year to 31 October 2014.
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Financial Statements
Notes to the Company Financial Statements continued
For the year ended 31 October 2014
6 DEBTORS
2014
£000
2013
£000
Falling due within one year:
Other debtors 164 197
Falling due after one year:
Other debtors 257 64
Amounts owed by Group undertakings 1,807 1,815
2,064 1,879
Included in the above for the company is £1,807,000 (2013: £1,815,000) owed by Group undertakings 
which is due after more than one year. The Directors consider this loan to be recoverable.
7 CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2014 
£000
2013 
£000
Bank loan 7,500 3,700
Amounts owed to Group undertakings 29,421 27,761
Other creditors 314 289
Accruals and deferred income 173 239
37,408 31,989
8 CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
2014 
£000
2013 
£000
Bank loan 14,500 19,600
During the year the Company moved its banking facilities from Bank of Scotland Plc to a two-bank 
facility with Royal Bank of Scotland and Silicon Valley Bank. 
The existing Bank of Scotland facilities were repaid in full during the year. The facilities which were 
repaid consisted of one term loan and two revolving credit facilities. The average interest rate paid 
during the year was: term loan 3.03%; working capital revolving credit facility 3.00%; acquisition 
revolving credit facility 3.04%. 
10290 IDOX AR14 4 Back AW01.indd   86 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 87
The new banking facilities consist of a term loan and a revolving credit facility.
At the balance sheet date, the term loan had an outstanding balance of £17,000,000 and during the 
period the loan was held the average interest rate was 3.06%.
At the balance sheet date the revolving credit facility had an outstanding balance of £5,000,000 and 
during the period the loan was held the average interest rate was 3.06%. 
There are unamortised loan fees of £390,000 at the balance sheet date. 
As security for the above loans, Royal Bank of Scotland and Silicon Valley Bank hold a fixed and 
floating charge over the assets of Idox plc and certain of its subsidiaries, a guarantee supported by 
Idox plc and certain of its subsidiaries and a share pledge in respect of the entire issued share capital 
of each subsidiary company.
The Directors’ estimate that the fair value of the Company’s borrowing is not significantly different to 
the carrying value. 
9 SHARE CAPITAL
2014 
£000
2013 
£000
Authorised:
650,000,000 ordinary shares of 1p each (2013: 650,000,000) 6,500 6,500
Allotted, called up and fully paid
As at 1 November 3,493 3,485
Issued and allotted during the year 94 8
358,733,615 ordinary shares of 1p each (2013: 349,313,142) 3,587 3,493
Movement in issued share capital in the year
During the year to 31 October 2014, eleven employees exercised share options. To satisfy the exercise 
of six tranches of these options, the company issued and allotted 9,420,473 new ordinary shares of 
1p each.
The company has one class of ordinary shares which carry no right to fixed income.
At 31 October 2014, there were 2,489,915 (2013: 2,153,622) shares in issue under ESOP. During the 
year the average issue share price was 39p (2013: 44p).
At 31 October 2014 there were 2,355,219 (2013: 52,000) shares held in treasury.
10290 IDOX AR14 4 Back AW01.indd   87 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 88
Financial Statements
Notes to the Company Financial Statements continued
For the year ended 31 October 2014
10 SHARE OPTIONS 
The company has an unapproved share option scheme for all employees (including Directors). All 
share options are exercisable at a price equal to the average market price of the company’s shares 
on the date of grant. The vesting period is quarterly from the date of grant. The options are normally 
settled in equity once exercised.
An Employee Share Investment Trust is in place to allow employees a tax efficient way of investing in 
the Company. The Company purchases matching shares which become the property of the employee 
after a three year vesting period. 
At start  
of year Granted Exercised Lapsed
At end  
of year
Exercise 
price
Exercise 
date from
Exercise 
date to
866,000 – – – 866,000 7.50p May 2007 May 2017
452,000 – (35,000) – 417,000 8.125p Jun 2007 Jun 2017
275,000 – – – 275,000 15.00p Dec 2007 Dec 2017
1,192,308 – (769,231) – 423,077 13.00p Aug 2008 Aug 2018
1,033,334 – (666,667) – 366,667 15.00p Aug 2008 Aug 2018
8,105,366 – (3,622,907) – 4,482,459 10.25p Mar 2010 Mar 2020
11,200,000 – (4,066,670) (383,330) 6,750,000 20.00p Mar 2011 Mar 2021
1,099,998 – (44,998) – 1,055,000 18.00p Mar 2011 Mar 2021
850,000 – (303,328) (26,672) 520,000 35.00p Apr 2012 Apr 2022
750,000 – – (150,000) 600,000 44.00p Sep 2012 Sep 2022
450,000 – – – 450,000 35.75p Jul 2013 Jul 2023
– 500,000 – – 500,000 39.12p Mar 2014 Mar 2024
– 700,000 – – 700,000 39.00p Apr 2014 Apr 2024
– 610,000 – – 610,000 39.00p Jul 2014 Jun 2024
26,274,006 1,810,000 (9,508,801) (560,002) 18,015,203
10290 IDOX AR14 4 Back AW01.indd   88 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 89
Details of all share options over 1p Ordinary shares, falling within the measurement and recognition 
criteria of FRS 20 “Share-based Payment”, including their contractual life and exercise prices are  
as follows:
The following table sets out the number of share options and associated weighted average exercise 
price (WAEP) outstanding during the year:
2014 2013
No.
 WAEP
Pence No.
 WAEP
Pence
Outstanding at the beginning of the year 26,274,006 17.17 27,224,006 16.87
Granted during the year 1,810,000 39.03 450,000 35.75
Exercised during the year (9,508,801) 15.79 (1,233,330) 16.96
Lapsed during the year (560,002) 27.14 (166,670) 20.00
Outstanding at the end of the year 18,015,203 19.78 26,274,006 17.17
Exercisable at the end of the year 16,940,481 18.57 24,044,840 15.98
The share options outstanding at the end of the year have a weighted average remaining contractual 
life of 6 years. The share options exercised during the year had a weighted average exercise price of 
15.79p and a weighted average market price of 37.39p.
The fair values were calculated using the Black-Schöles Pricing Model and the following information:
Date  
of issue
Number 
granted
No.
Weighted 
average 
share 
price
pence
Weighted 
average 
exercise 
price
pence
Expected 
volatility
%
Expected 
life
Years
Risk free 
rate
%
Expected 
dividend 
yield
%
Weighted 
average 
fair value 
at grant 
date
 £
Mar 14 500,000 38.62 39.12 35 8 4.65 0.6 0.18
Apr 14 700,000 41.50 39.00 35 8 4.65 0.6 0.20
Jul 14 610,000 43.62 39.00 35 7.5 4.44 0.6 0.21
Expected volatility was determined by calculating the historical volatility of the company’s share 
price over the previous 3 years. The expected life used in the model is adjusted, based on the 
management’s best estimate, for the effects of non-transferability, exercise restrictions and 
behavioural considerations.
The Group recognised a total charge of £467,000 (2013: £511,000) related to equity-settled share-
based payment transactions during the year. A charge of £365,000 (2013: £495,000) related to share 
options granted and £102,000 (2013: £16,000) related to share options exercised. In 2014, a charge of 
£Nil (2013: £12,000) relating to equity-settled share-based payment transactions were in respect  
of discontinued operations. These charges all related to share options granted. 
As the share option scheme is a group scheme, there has been no charge recognised in the parent 
company accounts. 
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Financial Statements
Notes to the Company Financial Statements continued
For the year ended 31 October 2014
11 SHARE PREMIUM ACCOUNT AND RESERVES
Capital 
redemption 
reserve
£000
Share 
premium 
account
£000
Treasury 
reserve
£000
Share 
option 
reserve
£000
Profit 
and loss 
account
£000
Total
£000
At 1 November 2013 1,112 10,355 (12) 1,955 5,923 19,333
Issue of share capital – 1,386 – – – 1,386
Share options  
reserve movement – – – (319) – (319)
Shares repurchased – – (997) – – (997)
Exercise of options 
from treasury reserve – – 8 – (6) 2
Dividends paid – – – – (2,575) (2,575)
Profit for the year – – – – 3,678 3,678
At 31 October 2014 1,112 11,741 (1,001) 1,636 7,020 20,508
The capital redemption reserve for the Group and the Company was created during 2003 when 
the entire deferred ordinary share capital was bought in exchange for one ordinary 1p share. Other 
reserves relate to the issued share capital and share premium account in the Company’s subsidiary 
undertaking, Idox Software Limited, and has been treated in accordance with FRS 6 under merger 
accounting. The share options reserve represents shares to be issued on potential exercise of those 
share options that have been accounted for under FRS20 (IFRS2) Share Based Payments.
The purpose of the treasury reserve is to enable the Board to issue share options to employees.
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12 RECONCILIATION OF MOVEMENTS IN SHAREHOLDERS’ FUNDS 
2014  
£000
2013  
£000
Profit/(loss) for the financial year 3,678 (1,622)
Issue of share capital 1,480 166
Dividends paid (2,575) (2,438)
Exercise of options from treasury reserve 2 –
Treasury shares purchased (997) (117)
Shares option reserve movement (319) 290
Net increase/(decrease) in shareholders’ funds 1,269 (3,721)
Shareholders’ funds at 1 November 2013 22,826 26,547
Shareholders’ funds at 31 October 2014 24,095 22,826
13 RELATED PARTY DISCLOSURES
As the parent company of a wholly-owned Group, the Company is exempt from the requirements of 
FRS 8 to disclose transactions with other members of the Group headed by Idox plc.
As in the prior year, no transactions with other related parties, including key management personnel, 
were undertaken with the company.
10290 IDOX AR14 4 Back AW01.indd   91 20/01/2015   09:56 Idox plc Annual Report and Accounts 2014 92
Secretary and Registered Office: J Mackie 
 2nd Floor 
 1310 Waterside 
 Arlington Business Park 
 Theale 
 Reading 
 RG7 4SA
Nominated Advisor & Broker: N+1 Singer Advisory LLP 
 1 Bartholomew Lane 
 London 
 EC2N 2AX
Auditor: Grant Thornton UK LLP 
 Grant Thornton House 
 Melton Street 
 Euston Square 
 London 
 NW1 1AP
Corporate Solicitors: Memery Crystal 
 44 Southampton Buildings 
 London 
 WC2A 1AP
Registrars: Share Registrars Limited 
 Suite E, 1st Floor 
 9 Lion and Lamb Yard 
 Farnham 
 Surrey 
 GU9 7LL
Company Registration Number: 3984070
Company Information
Company Information
For the year ended 31 October 2014
10290 IDOX AR14 4 Back AW01.indd   92 20/01/2015   09:56 idoxplc.com
Idox plc
Second Floor, 1310 Waterside,  
Arlington Business Park,  
Theale, RG7 4SA
T +44 (0) 870 333 7101 
F +44 (0) 870 333 7131 
E investors@idoxplc.com
Annual Report
& Accounts 2014
Idox plc  Annual Report & Accounts 2014
10290 IDOX AR14 1 Cover AW02.indd   1 20/01/2015   11:39
Strategic Report
1 Financial and Operational Highlights
2 Idox plc at a Glance
4 Chairman’s Statement
6 Chief Executive’s Report
8 Chief Financial Officer’s Report
10 Business Model and Principal Risks
11 Key Performance Indicators
Governance
12 Board of Directors
14 Directors’ Report
18 Report on Remuneration
21 Corporate Governance Report
26 Report of the Audit Committee
Financial Statements
27 Independent Auditor’s Report to the Members of Idox plc
28 Consolidated Statement of Comprehensive Income
30 Consolidated Balance Sheet
32 Consolidated Statement of Changes in Equity
34 Consolidated Cash Flow Statement 
35 Notes to the Accounts
80 Independent Auditor’s Report to the Members of Idox plc 
81 Company Balance Sheet
82 Notes to the Company Financial Statements
Company Information
92 Company Information
Idox plc, through its two operating divisions,  
is a supplier of complex information 
management solutions and services to the 
UK public sector, as well as asset-intensive 
corporate industries around the world.
Public Sector Software 
The Public Sector Software division 
(PSS) provides market leading specialist 
document management software and 
related services to over 90% of UK local 
authorities in the fields of land and property 
management, regulatory services, waste 
management, social care and finance. 
The division also runs the leading grants 
information provider in both the UK and  
the Netherlands, and provides solutions  
for government elections and European-
wide compliance and e-learning.
Engineering Information 
Management
The Idox Engineering Information 
Management (EIM) division is represented 
by McLaren Software. McLaren provides 
complex information management solutions 
for major capital projects and asset 
operations, as well as infrastructure projects 
and facilities management. Its solutions help 
reduce risk and improve safety, profitability, 
compliance and performance. McLaren 
solutions are available in the cloud, on 
premise or privately hosted. 
Contents
About Idox
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