Wey Education beating expectations ahead of year-end
Wey Education
47.25p
00:27 26/05/21
Online educational services company Wey Education updated the market on the year ending 31 August on Friday, reporting that trading had continued to be “very positive” since its interim numbers in May, and was ahead of expectations.
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The AIM-traded firm said group turnover was expected to be more than £8m for the year, making for growth of more than 30% from the previous year.
Group profit before tax, after adjusting for share-based payments and the amortisation of acquired intangibles, was expected to exceed market expectations of £0.5m, swinging from a £0.6m loss in the 2019 financial year.
The company said it had made a number of significant investments in the current year, including increased spend on marketing initiatives in the second half, and intended to continue that investment in order to deliver growth in the 2021 financial year and beyond.
Additionally, the costs of the appointments of a director of marketing and a director of education had been absorbed in the current financial year, with a view to benefitting future years.
“Performance across the group has remained strong and we have continued to invest in education quality and marketing,” said chairman Barrie Whipp.
“We expect to exceed market forecasts for profitability and the excess would have been higher had we not continued to invest now for future growth.
“The task at hand is to continue with our investment programme in order to ensure that we take advantage of Wey's prominent position in the online education sector, which is more relevant now than at any time in the company's history.”
At 0857 BST, shares in Wey Education were up 10.39% at 25.61p.