Feeds

RM reports first-half loss, nasty sales dip

But ups its divvy, forecasts goodness ahead

Mobile application security vulnerability report

Education technology provider RM saw revenue decline 15 per cent in the first six months of the company's fiscal year.

Sales fell to £133m for the period ended 31 March, compared to £156.4m for the same H1 in 2010.

It was also hit with a first-half pre-tax loss of £1.4m, after restructuring charges of £1.8m and a £1.2m charge for share-based payments. In the same period in 2010, RM reported profit of £1.2m.

"We experienced challenging market conditions in our core markets in the first half, as customers continued to respond to changes in policy and funding in both the UK and the US," said RM boss Terry Sweeney, who was reiterating earlier financial statements about the current state of the firm's business.

"We have realigned our cost base through a restructuring programme to reflect the changed conditions and to protect group profitability," he added.

Despite RM's chief admitting that the company continues to face problems in its US and UK wings of the biz, due to the Coalition's relocation of education funds and sluggish performance Stateside, the supplier raised its interim dividend by six per cent to 1.47 pence.

It also predicted full-year profit to be in line with market expectations.

"RM continues to win new strategic customers, and to extend current relationships across all our divisions. Demonstrating the resilience of our business, we have seen 12 per cent growth in our forward committed revenues to £436m. This reflects the value that our customers see RM adding through our expertise and deep understanding of education," said Sweeney.

Shares in RM on the London Stock Exchange are currently trading down 7.33 per cent at 123.25 pence. ®

The Power of One Brief: Top reasons to choose HP BladeSystem

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Amazon Reveals One Weird Trick: A Loss On Almost $20bn In Sales
Investors really hate it: Share price plunge as growth SLOWS in key AWS division
Bose says today is F*** With Dre Day: Beats sued in patent battle
Music gear giant seeks some of that sweet, sweet Apple pie
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
prev story

Whitepapers

Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.