Beleaguered schools technology company RM has returned to profit, following its radical programme of restructuring.
In interim results for the six months to 31 May, the firm made a pre-tax profit of £600,000, compared to a loss of £1.8 million during the same period of 2011. Earnings per share stood at 2.9 pence (2011: 1.3 pence).
Revenues fell slightly, from £133.0 million in 2011 to £124.7 million this year, due to the disposal of a number of loss-making subsidiaries.
But net cash stood at £25.3 million (2011: £8.0 million), the highest level since 2007.
The board noted that RM's business is seasonal, and stressed that the results may not be reflective of full-year performance.
In a statement, RM described its progress against the board's objectives as "very positive", citing the disposals programme and the reduction in headcount from 2,747 to 2,280.
But it added that the wind-down of the Building Schools for the Future programme, on which RM's business has heavily relied, means that "revenue will continue to decline for some period".
To compensate for this, RM is launching a number of new initiatives. These include the cloud-based RM Books service; web-portal RM Unify; and the parent-facing RM At Home.
Over the last year RM has disposed of a number of subsidiaries, including RM Group USA, RM Asia-Pacific and ISIS. It's also sold its Lego Education Europe joint venture, as well as Dacta, the marketing company behind the venture.
In June, it named David Brooks as its new chief operating officer.