Forecast Result

AEC Education plc 08 December 2005 Press Release 8 December 2005 AEC Education plc Forecast Results for the 12 months ending 30 December 2005 AEC Education plc ('AEC' or the 'Company'), the provider of educational courses to postgraduate degree level in Singapore and Malaysia, announces that, as trading for the 2nd half of 2005 will not be as good as expected and the company has made significant investment in new product development during the period which has been written off as expended, profits for the financial period ending 30 December 2005 will be substantially below those of last year. Highlights 1. The Group's revenues from continuing operations are forecast to increase by 11%. 2. A large range of products are ready for launch early in 2006. These include A new Doctorate Degree programme 2 new Master's Degree courses A Bachelor's Degree course in Travel and Tourism A Certificate and Diploma in nursing New courses for ACCA and its Technician level CAT A range of 8 new on - line Distance Learning programmes across a wide range of business skills and English Language on a prepaid card basis. For further information: AEC Education plc Ramasamy Jayapal, Finance Director Tel +65(62203500) William Swords, Chairman +44(7775787427) Notes to Editors Founded in 1985 in Singapore and Malaysia, AEC is the UK holding company for a number of companies that provide business educational services to approximately 16,000 students in the Asia-Pacific region: the fastest-growing source market for international students. The group offers class-based instruction at the largest educational campus in Singapore's Central Business District and distance learning up to postgraduate level. In addition, it provides degree qualifications on behalf of several leading international universities, targeting the large volumes of overseas students that the Singaporean government has announced in the Global Schoolhouse Vision it intends to increase. AEC's aim is to be a leader in quality education through facilitating learning, fostering creativity and developing knowledge, skills and confidence in its students. Its receipt of four rare Singapore Quality Class Awards shows the Group's recognition by the Singaporean Government as a prestigious and forward-moving company. In August 2005, AEC was awarded the Case Trust for Private Education Organizations, a student protection scheme for foreign students. This is a further step by AEC in its recognition as a quality provider in the education industry. Chairman's Statement Financial Review Forecast results for the 12 months period to 30 December 2005 show an increase in turnover of 11%. Pre tax profit is expected to be substantially lower than last year. We reported in the interim results that Revenue was adversely affected by the volatility of the training market in Singapore and this caused overseas students to adopt a wait and see attitude. The increase of 11% expected in revenues indicates that this trend has now been reversed and this combined with the launch of the new products should provide increased organic growth from the beginning of next year. The reduction in margin was initially created by the trading environment but is largely the result of continuing investment in product development and in increasing the management team to strengthen the drive for growth. All of these costs have been written off during the period. Outlook During the period, the Group has significantly increased its range of products and partnerships and is ready for the launch of these early next year. These and the continuing work to actively explore suitable partnerships and acquisitions give the Board confidence that the business will show a better performance overall next year. The Board is committed to maintaining the pace of development and to broadening its service offerings by continuing to pursue opportunities around the world as they become available. William Swords This information is provided by RNS The company news service from the London Stock Exchange KFKNBBDDFBK
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