Beleaguered education IT supplier RM had no surprises in its fiscal Q1 trading update, bearing in mind that its sales tend to stroll in during the second half of the year.
The firm has carved up non-core parts of the operation and flogged or closed them, launched a redundancy programme and got rid of two chief execs since a strategic review started in September.
This course correction was taken "too slowly", RM admitted when it posted massive losses of £23.4m for the previous financial year, adding that it had not "fully appreciated" the impact of public sector austerity measures.
So investors could be forgiven for a collective sigh of relief this morning as RM updated the City on progress made in its Q1 ended 23 March.
"Trading in the first quarter of RM's 2012 financial year was in line with management expectations for this stage of the year," the business said.
The group has also revealed it has signed a three-year revolving credit facility with Barclays as the HSBC "acquisition facility" of £13m has been repaid.
Total net funds stood at £12.4m as of the end of February.
So far RM has sold its AMI Education Solutions biz to Jonas Computing in January for £650,000, flogged Dacta to Tolo Toys Learning for €270,000 and its 49 per cent stake in LEGO Education Europe to LEGO A/S for €4.4m, plus the €2.2m repayment of a loan. ®