AEC Education plc
08 December 2005
Press Release 8 December 2005
AEC Education plc
Forecast Results for the 12 months ending 30 December 2005
AEC Education plc ('AEC' or the 'Company'), the provider of educational courses
to postgraduate degree level in Singapore and Malaysia, announces that, as
trading for the 2nd half of 2005 will not be as good as expected and the company
has made significant investment in new product development during the period
which has been written off as expended, profits for the financial period ending
30 December 2005 will be substantially below those of last year.
Highlights
1. The Group's revenues from continuing operations are forecast to increase
by 11%.
2. A large range of products are ready for launch early in 2006. These
include
A new Doctorate Degree programme
2 new Master's Degree courses
A Bachelor's Degree course in Travel and Tourism
A Certificate and Diploma in nursing
New courses for ACCA and its Technician level CAT
A range of 8 new on - line Distance Learning programmes across a wide
range of business skills and English Language on a prepaid card basis.
For further information:
AEC Education plc
Ramasamy Jayapal, Finance Director Tel +65(62203500)
William Swords, Chairman +44(7775787427)
Notes to Editors
Founded in 1985 in Singapore and Malaysia, AEC is the UK holding company for a
number of companies that provide business educational services to approximately
16,000 students in the Asia-Pacific region: the fastest-growing source market
for international students. The group offers class-based instruction at the
largest educational campus in Singapore's Central Business District and distance
learning up to postgraduate level. In addition, it provides degree
qualifications on behalf of several leading international universities,
targeting the large volumes of overseas students that the Singaporean government
has announced in the Global Schoolhouse Vision it intends to increase.
AEC's aim is to be a leader in quality education through facilitating learning,
fostering creativity and developing knowledge, skills and confidence in its
students. Its receipt of four rare Singapore Quality Class Awards shows the
Group's recognition by the Singaporean Government as a prestigious and
forward-moving company.
In August 2005, AEC was awarded the Case Trust for Private Education
Organizations, a student protection scheme for foreign students. This is a
further step by AEC in its recognition as a quality provider in the education
industry.
Chairman's Statement
Financial Review
Forecast results for the 12 months period to 30 December 2005
show an increase in turnover of 11%. Pre tax profit is expected to be
substantially lower than last year. We reported in the interim results that
Revenue was adversely affected by the volatility of the training market in
Singapore and this caused overseas students to adopt a wait and see attitude.
The increase of 11% expected in revenues indicates that this trend has now been
reversed and this combined with the launch of the new products should provide
increased organic growth from the beginning of next year.
The reduction in margin was initially created by the trading environment but is
largely the result of continuing investment in product development and in
increasing the management team to strengthen the drive for growth. All of these
costs have been written off during the period.
Outlook
During the period, the Group has significantly increased its range of products
and partnerships and is ready for the launch of these early next year. These and
the continuing work to actively explore suitable partnerships and acquisitions
give the Board confidence that the business will show a better performance
overall next year.
The Board is committed to maintaining the pace of development and to broadening
its service offerings by continuing to pursue opportunities around the world as
they become available.
William Swords
This information is provided by RNS
The company news service from the London Stock Exchange KFKNBBDDFBK
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