Trading Statement

RM PLC
10 March 2004


                                                                 10th March 2004

  RM plc: turnover and profit ahead of previous year for the six months to the
                                31st March 2004


RM plc, the leading supplier of information and communications technology (ICT)
and other services to UK education, is providing an update on trading following
the first five months of the year and prior to the end of its half year on the
31st March 2004. Both turnover and profits for the six months to the 31st March
2004 will be significantly ahead of the equivalent period last year.

Turnover for the first half of the year is likely to be more than 25% higher
than last year, reflecting strong contributions from the strategic projects won
in 2003 (as well as the impact of the acquisition of Forvus and Peakschoolhaus).

Expectations for full-year strategic projects turnover are unchanged. However,
shipments of separable elements related to the projects, especially hardware,
have occurred earlier in the year than originally planned. As a result their
impact will be greater than anticipated in the first half of the year and
correspondingly lower in the second half.

Two further factors are likely to result in the Group making an unusually high
proportion of the full year profit in the first half this year. The weakening of
the US dollar during the period is expected to result in a one-off benefit to
gross margin during the first half of the year, however this is a temporary
effect against a continuing downward trend for hardware average selling prices.
Following the European Commission's favourable decision in November 2003
regarding the BBC Digital Curriculum, the Group is expecting to make additional
investment in software research and development, which would impact costs in the
second half.

Tim Pearson, RM's CEO, commented:

'I'm very pleased to be reporting such a robust trading performance for the RM
Group in the first half of the year, particularly against a background of tough
market conditions for educational ICT. However, it should be noted that, whilst
the exchange rate benefit will be reflected in the full year results, much of
the expected increase in first half profits is a result of the timing of the
delivery of strategic projects.

'Looking ahead, we have commented before that we expect individual school
budgets to remain tight in the next government financial year. We are not,
therefore, anticipating growth in the schools ICT market in the second half of
the year. Nonetheless, the year as a whole will benefit from our strategic
projects activities and our newer subsidiaries, including the recently acquired
Sentinel Products.'
                                    - Ends -

For further information, please contact:
Mike Greig/Phil Hemmings, RM plc          07831 176255 / 07768 353835
Andrew Fenwick/Fiona Laffan, Brunswick    020 7404 5959

Notes to editors:

RM expects to announce results for the six months to 31st March in May 2004.




                      This information is provided by RNS
            The company news service from the London Stock Exchange