Manchester headquartered Northcoders, a market leader in technology training in the UK, has announced its Final Results for the year ended 31 December 2024. Group revenue increased by 24% to £8.8 million, (FY23: £7.1 million) driven by continued success in diversifying revenues and rolling out new course in high growth areas
Other financial highlights include: Gross profit increased by 34% to £5.9 million (FY23: £4.4 million) with a gross profit margin of 67% (FY23: 63%) reflecting a balance between the efficiencies achieved by NCore and the economic challenges of inflation and rising operational costs; and adjusted EBITDA* increased significantly to £1.0 million (FY23: £0.1 million), in line with market expectations, and returned a positive profit after tax of £0.4 million (loss after tax FY23: £1.0 million). Northcoders’ cash balance as at 31 December 2024 was £1.2 million (FY23: £1.6 million) and its net assets increased to £5.3 million (FY23: £4.8 million).
FY24 Operational Highlights
- Further increase in number of individuals trained, increased to 3,976 (FY23: 2,852) driven by the constantly evolving offering that brings in new formats and technical courses (Java and C#)
- Reputation continued to grow as one of the highest quality training providers in the UK market reflected in the number of hiring partners rising to 510 (FY23: 465)
- The B2C Training Bootcamp division continued to provide the bridge for UK consumers to enter the increasingly attractive technology sector
- Counter®, the Group’s consultancy brand, continued to gain momentum with the challenger brand winning five mandates in the Period
- NCore platform continued to drive efficiencies by increasing the student to tutor ratio, whilst improving excellence in the Group’s courses by increasing the contact time offered
Current Trading and Outlook
- In the latter part of FY24 and into Q1 FY25, there has been a positive shift in corporate engagement, with more of the Group’s hiring partners taking on junior engineers and encouraging progress in its Counter® programme
- Post period end three contracts won, two with Skipton Building Society and one with Manchester Airports Group
- On 5 March 2025 the Group announced that it had successfully secured a new £1.5m debt finance agreement to support the next stage of growth
- Northcoders launched its new B2C Training Bootcamp course focusing on AI and Machine Learning which will start in June 2025
- The Group’s current Department of Education contract provides visibility until June 2025 and there is confidence, although not certainty, that decisions about future structures will have been made by then, with national extension conversations underway
Commenting on the Final Results, Chris Hill (pictured), CEO of Northcoders, said: "Our record FY24 results are a testament to Northcoders' growing national reputation as a leading provider of high-quality technology training. Despite a challenging hiring market, we are successfully diversifying revenues and increasing profitability within the Group. Our growing curriculum of technology training courses, including in high demand areas like AI and Machine Learning, is supporting the inherent scalability of the Northcoders business model.
“As the UK looks to address the digital skills gap to drive innovation and economic recovery, the role Northcoders plays in developing tomorrow’s technology talent has never been more important. By empowering individuals from all backgrounds to pursue careers in technology, we will more equitably and rapidly evolve the digital landscape. Looking ahead, FY25 has started promisingly. Whilst macro-economic challenges remain in the short term, we continue to be confident that, as the market improves, our quality training solutions and strategy will drive value for our shareholders.”