Business Description:
Oakton Limited (OKN) is a consulting and technology firm providing IT solutions, business consulting, financial management and assurance services to a range of industry sectors including Construction and Property, Education, Financial services, Government, Healthcare, Resources, Telecommunications, Utilities, and Wholesale and retail business. OKN has offices in Melbourne, Sydney, Canberra, Brisbane and Hyderabad (India).

Strategy Analysis:
OKN uses its relatively low-cost structure to deliver competitive IT and business consulting services especially in the Financial Services, Government and telecommunications sectors. The company has deep expertise and markets itself as the specialist in the business applications segment. There is a strong focus on the explicit accumulation, and efficient sharing and re-using of knowledge/intellectual property. OKN has grown successfully through acquisition adding clients and additional service lines. There is a strong focus on increasing the number of services per client. The establishment of a low-cost offshore services facility in Hyderabad has enabled OKN to win an increasing share of bigger, longer duration contracts, many now in the one to two year range. Oakton reported NPAT down 35.1% to $13.11m for the year ended 30 June 2011. Revenues from ordinary activities were $187.66m, down 0.4% from last year. Diluted EPS was 14 cents compared to 21.8 cents last year. Net operating cash flow was $13.06m compared to $20.61m last year. The final dividend declared was 5 cents, taking the full year dividend to 8.5 cents compared with 6.5 cents last year.