9 December 2021

RM plc FY21 full year trading update

RM plc ("RM"), a leading supplier of technology and resources to the education sector, today issues a trading update for the year ended 30 November 2021.

The Board expects full year adjusted results to be in line with market expectations1. As previously noted, COVID-19 continued to disrupt education in 2021 with exams cancelled and several weeks of partial or complete school closures. Although recovery will take time to work through the sales pipeline, primarily in the Group's Education and Results divisions, RM Resources UK performance was particularly encouraging with schools and nurseries turning to RM's specialist curriculum brand to support their catch-up agenda.

Net debt as at 30 November 2021 is expected to be below £20 million.

Neil Martin, CEO, said: "Looking at our performance in the period we continue to show resilience, which reflects the hard work and commitment of our people. Our priority remains to ensure we are well positioned to deliver sustainable growth in the future."

IAS 38

Following a review of the clarification from the IFRS Interpretations Committee regarding configuration and customisation costs in Cloud Computing Arrangements (Software as a Service) under IAS 38, RM expects that certain costs that were previously being capitalised relating to the Group's digital and automation investment programme will no longer qualify for capitalisation and will instead be expensed. Any such changes once concluded will not affect the amount of cash outflow and will be separately presented in the financial statements for the duration of the project.

The Group's results for the year ended 30 November 2021 will be released in February 2022.

Contacts:

RM plc

Neil Martin, Chief Executive Officer     08450 700 300

Mark Berry, Chief Financial Officer

Headland Consultancy (PR adviser to RM)

Stephen Malthouse (smalthouse@headlandconsultancy.com)  07734 956201

Chloe Francklin (cfrancklin@headlandconsultancy.com)   07834 974624

1 Current consensus Adjusted Profit before tax for the year ending 30 November 2021 (FY21) is £16.4m. The prior year comparative is £13.4m. FY21 and FY20 figures are stated before any adjustments associated with IAS38.

Notes to Editors

RM provides market-leading products and services to educational institutions, exam bodies and international governments which improve, enable and support education and learning.

The education sector is transforming, and RM is well positioned to capitalise on this through its three divisions:

• RM Resources is the established provider of education resources for early years, primary schools and secondary schools across the UK and to 80 countries internationally. 
• RM Results is a leading provider of assessment software, supporting exam awarding bodies, universities and governments worldwide to digitise their assessment delivery.
• RM Education is a market-leading supplier of ICT software, technology and services to UK schools and colleges.