16th Sep 2013 10:25
LONDON (Alliance News) - AEC Education PLC Monday posted a drop in revenue in the six months ended June 30 as growth in Europe was offset by certification issues at its Singapore College.
The group posted revenues of GBP5.7 million, down from GBP9.0 million in the previous year. It narrowed its pretax losses to GBP555,000 from GBP670,000.
Loss per share increased to 1.64 pence from 1.20 pence.
AEC Education said that its teaching operations in London had returned to profitability, but that its overall results for the half year had been harmed by problems at its Singapore operation. The Council of Private Education in Singapore issued AEC Education a six-month suspension of its EduTrust certification, starting in August. This suspension was the result of issues around English-language entry requirements and other compliance issues identified in its management.
This suspension has meant that AEC Education was unable to recruit foreign students, which are its typical applicants. It will continue to address these issues, it said, and has implemented an immediate change in management at the Singapore college.
"Notwithstanding the issues at our operations in Singapore, we are encouraged by progress across our operations in London, Dublin, Cyprus and Malaysia," said Chairman Liam Swords in a statement. "We anticipate further progress across these units and will be working hard to address the challenges at our Singapore College."
Shares in the education investment holding company were trading down 11% at 3.00 pence Monday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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