Feeds

RM shares take a caning following Board warning

When will somebody think of the children

Protecting users from Firesheep and other Sidejacking attacks with SSL

Specialist education IT supplier RM has issued a warning that results for the year ending September may fall below expectations as market conditions remain challenging on both sides of the pond.

The market reacted badly to the interim management statement for the trading period from April Fools' Day to 21 July, sending the share price spiralling downwards by more than 14 per cent.

RM is a highly seasonal business, with the summer quarter typically its most important. The firm said: "Education market conditions continue to be difficult in the UK and the USA."

"Due to the seasonality of many of the Group's businesses, it is difficult to predict accurately the outcome for the current period until after the summer. However, the Board has undertaken a forecast review and the balance of probabilities suggests an outcome that may be below the Board's previous expectations".

Market watchers had predicted a 7 per cent fall in revenues to £351m for fiscal 2011 and EPS of 13 pence.

RM said net debt more than halved from £22.1m in June 2010 to £11m last month.

The firm was hit hard by the collapse of the British government's Building Schools for the Future programme last year – it was the biggest supplier on the framework – and kickstarted a redundancy programme soon after it ended.

However, RM said it is continuing a "comprehensive spending review", the results of which will be available by the autumn. "The Board will take the necessary actions to mitigate the changes in the market environment," it said.

"Shareholders should anticipate a potentially difficult and unpredictable period in the near term," the firm warned. ®

Website security in corporate America

More from The Register

next story
Hey, Scots. Microsoft's Bing thinks you'll vote NO to independence
World's top Google-finding website calls it for the UK
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
Apple CEO Tim Cook: TV is TERRIBLE and stuck in the 1970s
The iKing thinks telly is far too fiddly and ugly – basically, iTunes
Israeli spies rebel over mass-snooping on innocent Palestinians
'Disciplinary treatment will be sharp and clear' vow spy-chiefs
Huawei ditches new Windows Phone mobe plans, blames poor sales
Giganto mobe firm slams door shut on Microsoft. OH DEAR
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Found inside ISIS terror chap's laptop: CELINE DION tunes
REPORT: Stash of terrorist material found in Syria Dell box
OECD lashes out at tax avoiding globocorps' location-flipping antics
You hear that, Amazon, Google, Microsoft et al?
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.
Security and trust: The backbone of doing business over the internet
Explores the current state of website security and the contributions Symantec is making to help organizations protect critical data and build trust with customers.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.