17th Sep 2014 10:25
LONDON (Alliance News) - RM PLC Wednesday raised its profit forecast for its second-half, after it saw trading in the third quarter of its 2014 financial year ahead of expectations.
The educational IT and resources company said it now expects to see a "significantly more profitable" second-half than it had expected at the time of its first-half results in July. At that time the company said it expected its second-half performance to be similar to its first-half, for which it posted a pretax profit of GBP6.7 million.
RM said the reshaping of its largest division, Education Technology, continued to proceed "satisfactorily," with costs running below plan. It has also incurred lower costs at the end of some of its long term managed service contracts.
Profitability in its personal computing business, which it is winding down, has continued ahead of plan.
In Education Resources revenue growth and performance has continued ahead of expectations in recent months and its Assessment and Data Services division continues to trade in line with expectations.
The company had net cash at August 31 of GBP23.2 million, down from GBP38.3 million a year earlier, after the payment of a special dividend in March.
Shares in RM PLC were trading down 1.6% at 120.00 pence Wednesday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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