Expectations for FY Unchanged

RM PLC 25 March 2008 25 March 2008 RM plc: pre-close update for the six months ending 31 March 2008 - management's expectations for the full year unchanged As part of its normal programme of communications with shareholders, RM is issuing an update on current trading prior to the end of the first half of its financial year on 31 March 2008. RM is a seasonal business, with the majority of revenues and an even greater proportion of profit occurring in the second half. As a result, and as in previous years, first half performance is not a good indicator of full-year outcome. Management's expectations for the year as a whole remain unchanged. However, as indicated in the Group's Interim Management Statement, issued on 6 February 2008, a number of factors have combined to mean seasonality will be more marked than in the last two years. • BSF bid costs will be approximately £4.5m for the year as a whole, with the increase over the prior year falling largely in the first half (first half 2007 BSF bid costs were £1.6m). • Order intake levels for learning platforms are significantly ahead of plan; however, it is taking longer than anticipated to convert these orders into revenues and the first-half investment in this area is larger than anticipated. • The Group's education resources business, which is planned to grow rapidly this year, will be more second-half weighted than previously expected. BSF remains RM's major area of investment and is progressing extremely well. Of six ICT contracts that have reached selected bidder stage since the beginning of the financial year, the Group has won three - ahead of its target - demonstrating the attractiveness of its BSF proposition. The programme continues to gain momentum and Partnerships for Schools, the government agency responsible for delivery, reports that there are now 11 BSF schools open. Tim Pearson, CEO of RM, commented: ''As has happened in other years, the first half of 2008 has had its challenges and there's more left to do in the second half of the year. That said, we still expect that the full year outcome will be in line with our expectations. 'Looking further ahead, the recent Budget reinforced the government's long-term commitment to education and confirmed the spending levels indicated in last year's Spending Review. Our excellent BSF track record, combined with strong progress across the Group, means that we're well-positioned for the future.' - Ends - For further information, please contact: Mike Greig/Phil Hemmings, RM plc 08450 700300 Mark Antelme, Brunswick 020 7404 5959 Notes: 1. Founded in 1973, the RM Group is a leading provider of educational products and services to schools, colleges and universities, local government and central government education departments and agencies. RM works closely with educationalists to create new products, processes and technology which improve teaching and learning. RM is listed on the main market of the London Stock Exchange under the symbol RM.L 2. RM expects to announce interim results for the six months to 31 March 2008 on 12 May 2008. 3. RM's interim results for 2007 included an exceptional pension credit which increased reported profit by £3.5m. This information is provided by RNS The company news service from the London Stock Exchange

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