Malvern International plc (AIM: MLVN), the global learning and skills development partner, announces its interim results for the six months ended 30 June 2020.
Strategic and operational highlights
- UK schools closed in line with Covid-19 guidelines from 22 March, impacting operations significantly in H1, with all courses, where possible, delivered online.
- Closure of schools necessitated the acceleration of the roll-out and development of Malvern Online Academy.
- New CEO, Richard Mace, appointed in June 2020 with an immediate focus on the reopening of UK schools, University Pathway courses and reviewing the online offering, together with tight cost control.
- Singapore treated as discontinued activities for the purposes of the financial result in H1 2020, following the closure of activities in the territory in August 2020.
- Like-for-like H1 revenues from continuing operations, which include the UK and Malvern Online Academy, down 30% to £1.37m (H1 2019 like-for-like: £1.94m), impacted by Covid-19.
- Like-for-like H1 loss before tax on continuing operations was £0.44m (H1 2019: profit £0.03m).
- Loss per share on continuing activities of 0.16p (H1 2019: loss 0.01p).1
- Loss for the period from discontinued operations2 (Singapore) of £0.32m (H1 2019: Singapore loss £0.22m), excluding exceptional items in relation to reversal of translation reserves of £0.29m, and net liabilities disposal of £0.28m, as explained in note 7. There will be additional costs relating to Singapore operations in H2 2020, as the operations are continuing to be wound down. These costs fall within the allocated budget to close Singapore.
- Successful restructuring of the Group’s financing facilities and fundraising of £1.15m, concluded in June, of which £100,000 was received shortly before the period and used immediately to pay creditors, with the balance of £1.05m was received shortly after the period end.
- Cash as at 30 June was £0.06m (31 December 2019: £0.08m and 30 June 2019: £0.43m).