Trading Statement

22 October 2015

CAMBIAN TRADING UPDATE

The Board of Cambian announces that, following receipt of its September management accounts and the re-forecast for the remainder of the year, it believes that Underlying EBITDA for the year to 31 December 2015 will be not less than £54m, representing growth of 7.5% on the prior year, and Adjusted EBITDA for the year to 31 December 2015 will be not less than £49m; (2014 £48.4m). These numbers represent a shortfall to previous expectations.

The reasons for this shortfall are a significant increase in organic investment in new places, with growth capital expenditure of over £50m expected in the year, which has resulted in increased development losses, and in addition the impact of staff vacancies which has reduced the number of admissions in our Schools and Children's Services.

Saleem Asaria, CEO, commented "We now have a total of 3,022 places under our management and we are confident that our increased investment in people and systems will underpin growth in 2016 and onwards."

Ends

Enquiries:

Cambian Group plc +44 (0) 20 8735 6150

Saleem Asaria, Chief Executive

Andrew Griffith, Chief Financial Officer

Tulchan Communications +44 (0) 20 7353 4200

Stephen Malthouse

Notes to Editors

About Cambian Group plc:

The Cambian Group is one of the UK's leading specialist behavioural health service providers. Founded in 2004, it has grown to become a significant partner to the UK Government. The Group's services have a specific focus on children and adults who present high severity needs with challenging behaviours and complex care requirements. Cambian employs approximately 7,000 people across a portfolio of over 300 purpose-designed facilities and 10 fostering offices located in England and Wales.