Trouble at RM?

[strawberry]

Jobs under threat at RM Education &#40From thisisoxfordshire)

Can't imagine it's going to be a long term problem for them but it does show , as expected, the BSF bubble went pop in a big way.

[sparkeh]

The headline is a little misleading?
The company has said it can't guarantee jobs over the next 12 months, but in this climate not many companies can.

[Hightower]

How is the headline misleading - there appears to be trouble at rm, at least for those employed by the company?

[MK-2]

The headline is a little misleading?
The company has said it can't guarantee jobs over the next 12 months, but in this climate not many companies can.

no, the company gave no comment about job security in the next 12 months.

it says bosses refused to give job security because of a slump in share prices, so its not misleading there really

[sparkeh]

Ah well guess we are reading it differently.

Due to the seasonality of many of the group’s businesses, it is difficult to predict accurately the outcome for the current period until after the summer.

Perhaps wait until after this period to see if they are in 'trouble'. Also:

following the trading statement, there was no warning to Milton Park staff of redundancies or job losses.

[strawberry]

Not guaranteeing jobs isn't a major suprise, RM had a big clear out the same week BSF was chopped. So any further bad news and they will almost definately adjust the workforce. What is a bigger problem is the 20% share price drop, It seems disproportionate to the results.

[CyberNerd]

What is a bigger problem is the 20% share price drop, It seems disproportionate to the results.

That's not at all disproportionate; RM are on a sliding scale downwards. They do very little to enhance teaching and learning within schools and charge far too much for their services. IMO they are in the pockets of council executives - and lets faces it; when the tories are done, there's not going to be many LEA's intact to pay RM's shareholders.

I could say the same for capita, but I see why they charge academies full price to re-buy the lock in fee.

[EdWhittaker]

An update on this thread:
Not sure if RM is in trouble? Well, their share price has tumbled over 60% and it's selling off its stake in Lego Education and Dacta Toys Lego buys out partner in schools unit - Business News - Business - The Independent

[mb2k01]

Also looking to sell off AMI (Sub who supply cashless catering / e-reg / printing integration etc)
300 people recently made redundant too.

[X-13]

The more people talk about how they're "in trouble" the more likely it is that they'll get into trouble.

Shareholders jump ship because of the rumours, which makes the rumours true.

[EdWhittaker]

The more people talk about how they're "in trouble" the more likely it is that they'll get into trouble.

Shareholders jump ship because of the rumours, which makes the rumours true.

I don't think it rumour. Anyway, have a look at RM's own website RM plc Share Price

[MK-2]

The more people talk about how they're "in trouble" the more likely it is that they'll get into trouble.

Shareholders jump ship because of the rumours, which makes the rumours true.

Well in the case of RM, spread the word, light the beacons, fluffle the pigeons, fire up the wireless and tell people about it

[CyberNerd]

Well in the case of RM, spread the word, light the beacons, fluffle the pigeons, fire up the wireless and tell people about it

are you a hedge fund manager?

[EdWhittaker]

Well in the case of RM, spread the word, light the beacons, fluffle the pigeons, fire up the wireless and tell people about it

I'll second that!

[MK-2]

are you a hedge fund manager?

No no, just someone who despises this particular company and the way they operate