AEC Education plc
The Board of AEC, the educational programmes provider, issues the following update on trading for the period to 30 June 2013.
Results for the first half of the financial year show a much improved performance from the European operations, with London returning to profitability, the new operation in Ireland breaking into profit in June and the Cyprus joint venture trading profitably. These territories are expected to continue to be profitable in the second half of the financial year.
However the performance of the Singapore operation has been affected by the cessation of enrolment of students for the MBA programme whilst English language entry requirements are reassessd. This and the pending approval for new programmes from the Council of Private Education (“CPE”), the Singapore Government Body that regulates the Private Education Sector, means that revenue during this period will be materially below last year’s level and the Singapore operation is expected to record a loss before tax of c.£450,000 for the first half. The Directors are in discussion with the CPE on the outstanding issues and are seeking timely resolution. Until then the performance of the operation in Singapore will continue to be severely affected although management is taking action to mitigate the losses. The performance of the operation in Malaysia continues to improve on last year, with increased enrolments from the Middle East and North Africa. It is, therefore, expected to be profitable in the first half and to continue to improve in the second half of the financial year.
Despite the improving performance of the European and Malaysian operations, the poor performance of the Singapore business (and the expected legacy losses arising this year from Malvern House Training Solutions Ltd) means that management anticipates that results for the full financial year will be about breakeven.For further information contact:
AEC Education plc Liam Swords, +44 (0) 7775 787427 WH Ireland Limited (NOMAD) +44 (0)161 832 2174 Dan Bate Biddicks +44 (0) 20 3178 6378 Katie Tzouliadis