Trading Update

RNS Number : 6268Z

Learning Technologies Group PLC

10 February 2014

 



Learning Technologies Group plc

Positive trading, healthy order book

Learning Technologies Group plc ("LTG" or "the Group"), the rapidly growing e-learning business, is pleased to announce a trading update for the year ended 31 December 2013. It is expected that the Group will announce full year results in April 2014. The period under review incorporates the transaction with In-Deed Online plc and the Group's successful Admission to AIM on 8^th November 2013.

LTG has traded well during the year with total revenues of £7.7 million, significantly ahead of the previous year (£6.9 million).  Net profit margins also improved substantially. 

Q4 was particularly strong for revenue and new contract wins which has continued into 2014. Of note was the US business which, having begun to generate profits in October 2013, less than a year after its launch, has won substantial contracts in January 2014.  Our joint venture in Brazil saw new contract wins grow strongly from R$600,000 to R$4.8 million, with further growth expected during 2014.

The Group continues to be managed prudently and net cash at the year-end was £1.2 million, comfortably ahead of budget.

LTG is pleased to confirm that gomo2.0, our latest SaaS based multi-device authoring tool, was launched last week at the industry's major trade show, LT2014. Mike Alcock, an authoring tool pioneer who founded and led Atlantic Link before it was sold to Kaplan IT in 2010, has joined the Group as Managing Director of gomo Learning Limited. The Board is confident that with the right leadership now in place gomo will generate significant recurring revenue in the medium term.

Looking forward, the Group's order book has continued to strengthen. The total order book is £4.4 million (January 2013, £3.5 million) with record order books in each of the Group's three geographies.

Although very early in the financial year the Board is confident of significant further profitable progress across the business in 2014.

Andrew Brode, Chairman said:

"LTG's excellent performance in 2013 provides a strong platform for the Group's expansion and the growth of the business towards its goal of at least £50 million revenue. We are making good progress on our strategy of consolidating the fragmented e-learning industry through the selective acquisition of competitive and complementary businesses and look forward to updating the market in due course."

10 February 2014

Enquiries

Learning Technologies Group plc	[phone]
Jonathan Satchell, Chief Executive Officer
Numis Securities Limited	[phone]
Stuart Skinner (Nominated Adviser)
James Serjeant (Corporate Broker)
Instinctif Partners	[phone]
Matthew Smallwood

 

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