Thirdforce upbeat about interim results


27 Sep 2007

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Dublin-headquartered international e-learning business Thirdforce has reported an increase in sales and operating profits for the first six months of 2007.

The revenue for the six months to June 2007 was €9m, with operating profits of €653K, reversing a loss of €1.9m in the first half of 2006.

The company’s chief executive Brendan O’Sullivan has predicted that 2007 will be a banner year for ThirdForce as it will emerge as the largest Irish and UK-based independent e-learning company.

The company completed the successful acquisition of US firm MindLeaders during the first half of 2007, a purchase that cost €13.3m. Oversubscribed institutional fundraising of €15.3m transformed the balance sheet and net cash.

“In the first half of 2007 we saw revenues break €9m and had a like-for-like increase in sales of some 11pc,” said O’Sullivan. “We generated operating profits of €653,000, our balance sheet has been transformed after our €15m share issue in June and we have net cash of more than €3.5m.

“The second half of this year will see us continue to integrate MindLeaders within the ThirdForce Group and we will have a full six-month contribution from our US acquisition. We see the opportunity to sell our ThirdForce products in the US and MindLeaders products in the UK in 2008. We also see opportunity to create and deliver new products in new sectors such as the Care market,” he added.

He stated that the first half of 2007 had been a transformational period for ThirdForce, not just for the financial position of the company but also the overall strength of the business. “We see further growth ahead, both organic and by acquisition, and we are now in a strong position to pursue these growth ambitions.

“The MindLeaders acquisition has given us an entry into the American e-learning market, the biggest in the world. That acquisition has also produced an enlarged company with combined revenues last year of about US$40m, EBITDA of about US$4m, a portfolio of 2,000 e-learning courses and more than 2,500 customers in 20 countries. We look forward to further growth in the years ahead.”

By Niall Byrne