E-learning specialist Learning Technologies Group PLC (LON:LTG) has reported good progress with its new contract with the civil service.
The company, in partnership with accountancy firm KPMG, was chosen last year to set up a new trading platform (CSL) for 400,000 civil servants.
At the time time, it said it was its largest contract ever.
“LTG has maintained strong operating cash flows, whilst investing in the upfront costs of the CSL project,” it added today.
“We have already created a substantial number of learning components and will have delivered the entire library by the year-end."
Revenues from CSL should begin to accrue in in the final quarter of 2016 with the majority of returns expected in 2017 and 2018, it added.
Elsewhere, new acquisition Rustici has performed ahead of expected in the first six months of 2016 while associate Watershed was also said to be doing well.
Learning Tech added it was too early to judge the impact of Brexit, though a third of business is undertaken for clients outside of the UK.
A growing percentage of revenues are denominated in dollars and euros it added with dollar inflows used as a hedge.
Andrew Brode, chairman, said: "LTG has made significant progress in the first half of 2016.
“With the acquisition of Rustici and investment in Watershed in January, LTG is delivering on its ambition to build a diversified international learning technology business of scale."
“The board is optimistic about the prospects for LTG in the second half of 2016 and beyond."