International revenue growth takes RM through £200m

Full integration of The Consortium acquisition contributes to 19 per cent growth

A surge in international business saw RM fly past the £200m-revenue barrier last year, the firm has said in a stock exchange filing.

For the year ending 30 November 2018, RM saw revenue grow 19 per cent year on year to £221m. The company attributed this revenue growth to the first full-year integration of Trowbridge-based care and education arm The Consortium, which RM acquired from Connect for £56.5m in 2017.

This turnover figure comes in ahead of analyst expectations of £215.5m.

The Consortium purchase was merged into RM's Resources division, which develops and supports curriculum resources.

RM also has its legacy IT division, RM Education;, and RM Results, which provides management of marking for the education sector.

RM reported adjusted EBIT of £27.5m, representing 29 per cent growth on 2017's figure.

The Resources division saw 45 per cent growth, which stemmed from the full-year benefit of the acquisition as well as international revenue growth.

RM reported that international revenue growth was fuelled by strong performances in the Results and Resources arms.

David Brooks, RM CEO, said: "This has been a successful year for RM across all three divisions, which saw organic revenue growth for the group.

"In RM Resources we completed the first full year of integration of the Consortium acquisition successfully, won seven new contracts in RM Results, and delivered double-digit operating margins in RM Education.

"Looking ahead, we are confident of progressing in each of our chosen market sectors, building on the strong platform we have established."