Learning Technologies Share Discussion Threads

[multibagger] 18/9/2017 07:07

Fantastic results and outlook - should add another 4-5p today I would imagine :)

Learning Technologies Group PLC Interim Results 2017

18/09/2017 7:01am
UK Regulatory (RNS & others)

RNS Number : 9642Q

Learning Technologies Group plc

(AIM: LTG)

Interim Results 2017

"Successfully delivering on LTG's strategic ambitions"

Learning Technologies Group plc ("LTG" or the "Company"), a market-leader in the fast growing learning technologies sector, is pleased to announce interim results for the six months ended 30 June 2017.

Financial highlights:


-- Revenue increased to GBP21.5 million (H1
2016: GBP12.8 million) - up 68%
-- Organic revenue grew to GBP17.6 million -
up 33%
-- Recurring revenues increased to 37% (H1 2016:
24%) - up 153%
-- Revenues generated outside of the UK increased
to 46% (H1 2016: 32%) - up 140%
-- Adjusted EBIT increased to GBP4.1 million
(H1 2016: GBP2.9 million) - up 41%
-- Adjusted EBIT margin of 19.2% (H1 2017: 23.0%)
- down 380bp due to NetDimensions
-- Adjusted diluted earnings per share of 0.523
pence (H1 2016: 0.597 pence per share) -
down 7% due to NetDimensions
-- Proposed interim dividend of 0.09 pence per
share (H1 2016: 0.07 pence) - up 29%
-- Successful debt refinancing provides LTG
with GBP20 million facility for five years
-- Strong balance sheet with adjusted net debt
of GBP9.8 million - c1.1x Net Debt/LTM EBITDA

Operational highlights:


-- Excellent progress in delivering on LTG's
strategic ambition to build an international
full-service digital learning offering for
corporate and government clients
-- Successful acquisition in March 2017 of NetDimensions
brings to the Group a leading proprietary
Learning Management System and adds the final
key technical capability to LTG's service
offering
-- Integration of NetDimensions completed on
time and to plan in Q2 2017; the majority
of the annualised incremental EBIT benefits
of c$8 million (cGBP6.2 million), as stated
at the time of the acquisition being announced,
have been realised and the remainder will
be realised in Q4 2017
-- Civil Service Learning ('CSL') project being
delivered in line with expectations
-- Strong start to H2 2017 with trading ahead
of management's expectations and order book
significantly ahead of the prior year on
a like for like basis

Commenting, Jonathan Satchell, Chief Executive of LTG, said:

"The skills, motivation and knowledge of our staff are the keys to these exceptional results as they partner our clients to place learning at the heart of their business strategies. We are achieving excellent trading momentum into the second half giving us confidence in the outlook for the rest of the year. Furthermore, the transformation of NetDimensions is well on track and we therefore look forward to achieving our significant growth in 2018 with confidence."

Commenting, Andrew Brode, Chairman of LTG, said:

"The Group has made excellent progress delivering on its strategic ambition of building an international business with annual revenues in excess of GBP50 million and strong operating margins. LTG has demonstrated strong organic revenue growth across all businesses and has continued to expand its client base and international reach whilst at the same time increasing its recurring revenue base.

The acquisition of NetDimensions completes the final key technical capability that will allow the Group to offer its corporate and government clients a truly comprehensive service. The ambitious integration of NetDimensions has been completed on time and the Board is confident that this will result in a strong margin performance in the second half of the year.

The Board continues to look at acquisition opportunities where the Group will be able to leverage its established technical capabilities and working practices in domain specific market sectors, supported by its industry leading employees.

The Board is therefore confident in the Group's prospects and expects to report enhanced progress during the remainder of 2017."

Learning Technologies Group will be hosting a Capital Markets Day on Tuesday 3rd October for investors and analysts. Please email Bertie Berger at Hudson Sandler on [e-mail] for further information.

[megasonic] 17/9/2017 23:59

Looking forward to tomorrow's report. Should be solid fundamentals. Hopefully carry on the momentum from Friday's strong close.GLA

[mfhmfh] 13/9/2017 09:02

Trading update on 21.07.17 said results would be on 18.09.17.

Berenberg target price 65p.

Numbs target price 60p.

Hopefully above will be upgraded.

[tarrant777] 13/9/2017 08:37

Numis's note this morning says that H1 results will be published next Mon, and as house broker I guess they must know!

[multibagger] 13/9/2017 08:27

Thanks Tarrant777...do we have a date for the half year results ? Don't they have to issue a "Notice of Results" announcement before...last year they did on 15 Aug 2016 and announced on 06 Sep 2016.

[tarrant777] 13/9/2017 08:21

Positive notes and comments yesterday from the analyst at Canaccord and this morning from Numis in advance of the company's half year figures due to be published next week.Both have target prices for the stock well north of current levels and both consider it possible that upgrades in expectation for the full year may be required after the H1 figures are released.

[bestace] 05/9/2017 12:29

Yes but that doesn't invalidate everything in the note, and no one is forcing you to read it.

[jeffian] 05/9/2017 11:29

I'm not sure I like Edison. Isn't it paid-for 'research'?

[bestace] 05/9/2017 11:21

Edison initiates coverage:

[multibagger] 01/9/2017 13:00

A single trade for 2.47m shares @v 47.375p gone through...not your average PI :)

[multibagger] 01/9/2017 08:15

Thanks Glaws2

...may possibly explain buying interest today. Nice to see a resurgence of buying interest over the last week or so....

Good luck all :)

[glaws2] 01/9/2017 08:12

Berenberg has initiated coverage of Learning Technologies Group with a Buy rating, price target 65.00

[jeffian] 16/8/2017 11:06

It is, and if I held 13m, I'd be talking it up too!

[tarrant777] 16/8/2017 00:36

I'm too young to know anything about Mandy Rice Davies, but as a smaller punter, 13m shares is to me, a big handful!

[jeffian] 15/8/2017 13:57

"a big holder....(13m shares)"

As Mandy Rice-Davies famously commented, "He would say that, wouldn't he?"!

[tarrant777] 15/8/2017 13:17

Actually, I spoke to a big holder yesterday (13m shares) who is also of the opinion that a run up in the price in Sept in advance of the half-year results is a strong possibility. However, what do any of us know in these fairly unpredictable times!

[microscope] 15/8/2017 10:31

Height of the holiday season so i'd expect things to remain quiet trading-wise for another couple of weeks. The old adage sell in May come back on St Leger day which applies to the market in general still tends to hold true.

The Leger is usually the first weekend in September and then the schools go back so it's back to 'busy' after that. And we were told in the last update just how incredibly well this company is doing.

Absolutely no reason not to remain very confident in the future for this business imho.

Infact i wouldn't be surprised if we get a nice run-up to results on 18th September, which fits this timetable nicely

[philoosh] 15/8/2017 09:44

I'm patient....ish

[tarrant777] 01/8/2017 09:28

Surprising that given the most recent very positive news flow from this company, and the brokers target price/buy recommendation that the share price does not yet start with a 5.Patience always was a great virtue!

[mfhmfh] 27/7/2017 13:29

numis target price 60p

[mfhmfh] 27/7/2017 13:29

positive article today in shares mag

[netcurtains] 27/7/2017 11:22

Slightly off topic but a very related company "WEY Education".
You might be interested that WEY's chairman is doing a directors talk today.



I do think the two companies are linked so relevant.

[multibagger] 24/7/2017 08:15

Cheers fbrj....welcome aboard !

AB and JS know how to grow a business and position themselves very successfully in the sector and they are the main reason for my investment as well.

The only issue is what happens after ABs time, as he is getting on - I still feel that the business is strong enough with a growth trajectory that allows strong growth to continue. He and JS have been working together a long time, so may be JS's apprenticeship is close to complete ;)...but am reassured that JS in his own right is very successful at business...

Onwards and upwards....

Good luck all :)

[fbrj] 24/7/2017 01:02

mb - thanks for that link. Satchell certainly sounds enthusiastic and confident. I have been a big fan of RWS (another Brode company) - and held that since Nov 2013 - which has gone from 150p to 390p over that period and has a current market cap of £900m. Have only been here since January this year and have slowly been accumulating since then. RWS and LTG are now my 2 largest holdings.....and so will be following this with keen interest!

[multibagger] 23/7/2017 22:40

Jonathan Satchell interview on trading update....