Pembridge Hall School

[Aichko2018]

Hello Everyone,
If your daughter is going to Pembridge Hall, please share her experience as a pupil and your experience as a parent.
Many thanks!

Are you related to the school

No. (😂😂😂😂)

I was lucky enough to find someone with the time to reply to say that someone else will not be replying

I do have both the time (that, we can all agree 👍) and the inclination to call out conspiracy theorists who may or may not be whom they say they are. (“conspiracy theorists who may or may not be whom they say they are”? Are you talking about yourself? 🤣🤣🤣Will you be calling yourself out? 🤣🤣🤣 Please don’t be so paranoid! Relax, we are not Russian spies and you are not even related to the school, nothing to worry)

Your reaction is actually really worrying

Worrying to you? I'm glad. (Great to know that you are glad, being always so angry is not good for your health!) Then I'll keep pointing out why there is little to no information in your cherry-picked data points (yep, £12.5 million losses but “move along, nothing to be seen here, everything will be just fine”, oh yes, and you also told us that they play with accounting tricks, how reassuring for a school!) and you'll keep repeating them until someone agrees with the conclusion you want. (the responses that I am getting, particularly yours, are very informative for all of us, keep them coming!)

My work here is done. I think everyone can see just how seriously they should take your posts.

Zoida - so that's it, you are clearly not taking the place you have been offered. End of your story. Now stop trolling please, it does not look good.

Cherrmumintherain- The story has not ended as much the people "not related" to the school are getting increasingly nervous and would like it to end. It is you who chose to lecture us with some vague arguments on why losing £12m is not a problem for Private Equity schools. I then asked you a few questions that I repeat below. You cannot expect to say things like they are good at tax, funding is not a problem or they are too big to go down and expect that we just accept them as if we were your pupils since a simple inspection of the figures show that they are incorrect. Rather than being angry at us, you should answer. Otherwise we will think that you have no answer:

• You say "That a company is loss making at P/L level does not mean much, especially if it is owned by PE as they generally carry debt and they are very good at optimising the tax size of things". Could you please elaborate on why making that level of losses (£12.6m for a company with a revenue of £100m) is not a problem because "they carry debt and are good at maximising taxes"?

• Also my understanding is actually that they made £3.5m of tax losses due to a rule change. If that is being good at taxes, then I am very good too :-) but don't tell my husband. How do you explain that?

• You say that the 12% cost increase is due to the expansion but costs went up 15% even if I deduct the expansion costs that they list. Why shouldn't they look more carefully into costs going forward? That's a big issue for me in terms of choosing the school.

• You also say that one has to look "whether they can fund their strategy and having had a very quick look it seems fine" Could you please elaborate on why this is the case and why their funding seems fine? My friend actually said that funding could be a big problem in the short term.

• You say that "This is a big school group with a lot of good brands, a lot has to happen before they go down in my opinion." Are you arguing that Alpha Plus is too big to fail?

• You also say that "they will not know after a couple of years if their expansion strategy is working, but in my view this is more an Alpha Group point and less a school specific point". If the group is making losses why should it not affect the individual schools? They form part of the same company.

• Also you say that it may take a couple of years but the expansion started in 2014, shouldn't we already be seeing some results? The results are actually deteriorating rather than improving. I would not like my DD to go through a couple of years of austerity as by the time that they know whether the expansion is working my DD will already be in the next school.

Zoida
I wonder what is your real agenda and I suspect I am not the only one!!

Cheermum - I think it's pretty clear that Zoida's DD doesn't have an offer from PH. Some people take rejection very badly

it's all very alarmist, last time I checked, Wetherby and Pembridge Hall are pretty much full. As far as I know, it was about 14 girls from PHS who switched to Bute last year, not 20. It was an unusually high number, maybe it means the teaching and level of abilities at PHS is quite good!! I am sure they have filled the places with other children moving to London in the meantime, so I doubt there was a big dent. PHS is large, they have 60 children per year group, so you'll always have a bit of turnover, especially in such an international part of London.

Some parents are very keen on sending their children to "the best" school in London, and they will always look to switch to an even better school, even if their child is perfectly happy where they are and doing quite well. Just look at the thread "NLCS vs SPGS" on the other forum. You have people whose children are doing great at NLCS, which is the "second best" girls' school in the country, and they will put a lot of energy into getting their daughter into SPGS at 11+, because they think it is "even better" because it is number 1. It doesn't mean that NLCS is struggling or suffering from it, you will just always have parents who want to get the best deal, especially in schools where you find a high share of wealthy, ambitious families.

I agree that one should be cautious about schools that put profits first, and I would generally prefer charitable or family owned schools, but there are less and less of these in London. I still think it is slightly exaggerated to think that Alpha Plus is struggling, it is called long - term investment, of course if you expand and set up new schools, you need to invest money, and you expect it to pay back over a 5 or 10 year horizon, not the following year. There was certainly demand for Wetherby and Chepstow House expansion, there is lots of demand for Wetherby Senior and Wetherby Prep, so I don't think this is the group of schools one should feel too worried about!

Cheermumintherain- I told you! The story has not ended yet...

Rather than fantasising about secret agendas (remember that Expat96 does not like conspiracy theories and may get upset ) , could you please answer the questions? It is a great debate and we will read them carefully!

Expat96- See, there is no need to be angry ! Funny that the "not related" to PH crowd talks about taking rejections badly! I still have not rejected the offer and I already have a full team of "not related" to PH people that are upset because I am wondering about the effect of the £12m losses on the school and are making all efforts to dissuade us from discussing them in mumsnet.

Summarising. The established facts so far are:

• A significant number of teachers and pupils have left PH for a different school

• The company has lost £12.6m

Expat96 - Completely agree with your assessment. There is an inside story here. Mad trolling will not change the facts or outcome however

So can anyone tell us what IS the reason?

I’m a interested parent with a girl needing a school in a couple of years. Have an older child so have contact with parents and hear the gossip.

Cheermumintherain- Please, please, please... enlighten us by answering the questions

Cheermum - it looks like PH dodged a bullet here by rejecting Zoida's DD. Can you imagine listening to this nonsense for the next seven years?

Mewslife the movement of students and teachers that was described at the beginning of this thread is unusual and deserves serious scrutiny. I would want an explanation if I were in your position. Alpha Plus's nominal earnings is a red herring. You are, of course, free to waste your time listening to a crank with an axe to grind. But I'd focus on whether you can get something from the school gossip you mentioned earlier.

Expat96 - a bullet well dodged. Couldn't possibly imagine. Credit to that, they got it right!

Zoida, your timing was amazing! All these posts yesterday, and just today a story about Alpha Plus group appears in the Financial Times! You must be a complete visionary PHS applicant, or indeed the conspiracy theorists are on to something! Clearly you are an insider who does not wish the Alpha Plus group well! Mumsnet HQ should investigate.

sanam2010- Are you another person that is "not related" to PH? It seems that tensions are running high at PH HQ. I wrote my first post on Tuesday after a friend told me about the losses. Mominatrix then kindly referred to the company's financial accounts. Thanks for sharing the FT article and please read my post, the only similarity is the amount of losses that is indicated in the accounts. Feel free to investigate as much as you want or to point out if any of the information that I write is incorrect as you did when you explained that it was not 20 girls but 14 that left the school. Could you please explain why people should not comment about the financial results of any company?

hi zoida, you can indeed search my past messages on mumsnet and find out that i am not related to PHS in any way. I have lots of friends and colleagues who have their children at all the london prep schools though, so I am well informed. I have never seen financial reports discussed on a mumsnet education forum actually, so I do find it very strange. At least, I hope this thread has given you clarity re school choice. My children are at a school run by a charitable trust, by the way!

From the FT article:

"Despite the company making significant losses in 2018, the bond prices have scarcely weakened. Both of the bonds are trading at above their issue prices, and neither of them have ever dropped below that level."

Alpha Plus has no share price as it is a private company. The bond price is the closest thing to a market opinion on the company. For now, at least, the financial markets are saying that there's nothing to see.

Sanam2010- Thanks for the clarification but the information in your FT post is incorrect. You state that I wrote the post yesterday but I wrote it on Tuesday. I would be truly grateful if you could rectify that information in your comment, otherwise I will have to report you myself as you are accusing me of something that I have not done, not even the timing that you describe is correct. I f you are an honest person as I believe you are, please clarify that in the FT.

Regarding the fact that you have never seen financial statements discussed at Mumsnet, please ask Mominatrix as she provided us with the link to the statements. I had only heard about the losses and was alarmed but the figure that I mentioned later turned out to be correct, otherwise I would have gladly amended it.

Good choice with the non-profit school by the way and thanks for your previous comment about the number of girls,etc. I thought that it was insightful as opposed to some other comments. Xx

Wow I was not expecting this way of debate.
If I may:
1-I visited the school and they have 3 form for each year with 22 girls. It doesn't seem they were in need to fill a gap even they mentioned that due to the Brexit some families announced they might leave.
2- If 14 or 20 girls were able to enter in Bute it means PH has a good academic level as Bute is a selective school.
3- The girls seemed to like their school and to be happy.
4- The headmaster showed a very good knowledge of the senior schools characteristics and differences.

Zoida, rest assured. Sanam and Mominatrix have been around for a while. Their DC seem to have gone to much the same schools as mine, and though at times I would disagree with their views, these views clearly are based on experience. Which is, I assume, what OP is looking for.

OP. The really important things to look for in a school are, in order:

1. Do you think you child will be happy, and will learn to engage in and enjoy education, including wider curriculum things like sport, drama and music.

1. Will the school get your DC onto the next stage. And here again there is a nuance. You really dont want a child squeezed into SPGS if they will then spend 7 years bumping along the bottom, or if Latymer Upper or G&L would suit them better.

1. Do you get a feel that the staff room is happy. It is here, judging from earlier posts, where the warning bells may be ringing. I don't know. You are really looking for teachers who appear open, and enthusiastic. Staff turnover rates (though, say, DCs prep had an amazing co-incidence of maternity leaves one year) may be an indication, but it can also be feel. Do you feel the head would be approachable if there were issues. Do you think your DC would feel comfortable with their teachers. (Remember one child's pressurised hothouse is another child being constructively stretched.)

There has been huge demand for schools like PH. If any fail because of Brexit, it will be some of the newer ones, or some of the less glittery jewels in the Alpha Plus crown. In the eyes of many parents getting 14 into Bute would be seen as a huge achievement. Lots will have applied from across West London, so it suggests PH pupils are up to speed academically and socially. I have my own views on the uber-ambitious elements in West London, and am very relieved DC emerged more or less unscathed, and indeed with some of high aspirations of their peers and their understanding that you need to work for goals. I dont know much about the culture at Pembridge, but some schools suit some people, others suit others. You need to rely on instinct, and I think it is helpful to think "good enough really is good enough". There is an amazing density of seriously good schools in West London, and too much time can be wasted wondering whether Putney High is better than G&L, and indeed SPGS does not trump all others for many girls. It is about the right school for the right child.

So glad it is over for us. And OP you sound as if you are thinking along the right lines.

Zoida - as an accountant, expat96 explanation to you on what profit and strategy means is spot on! Cheermum as well. Yes profits/losses carry some weight when analysing accounts but only truly relates to operational decisions of a single year. It does not represent a 100% picture of the successes or failures of an entire business, as you seem to be trying to push. Cash flow is the king of a business. If you came in here talking about that, then you would be on to something. If you have expansion cost that you chose to expense in one year rather than spread the cost over several years (two different accounting rules) you would see a big jump in costs in that year. In other words (for those who’d like to learn) two companies with the same spending can end up with two bottom line figures just by using different rules. There are also provisions which are classed as an expense but have no cash value against it. This is basic accounting 101 and there are solid legit reason for them and for those who know how to read accounting. A P&L is not a bank account. For a bit more clarity....does Amazon look like it’s about to go under administration? Nope but they have been reporting significant losses to super slim profits for most of its existence. Do you know why? Well any more and I would have to charge for this accountancy lesson.
As for the PHS, I also visited a few months ago and the school was full, kids were enjoying learning and the most impressive part was every kid who was asked a question presented well and was eloquent. After my own research into the Bute exodus I was able to determine that parents obsessed about getting their child into St Paul’s at 11+ see Bute as a higher probability in doing so since the bulk of their girls head off to there. And it’s not because PH gets poor exit results (many girls get multiple offers from other top senior schools including scholarships), they get really good results. There is no guarantee that by the time your child does 11+ they would get into St Paul’s even if they attended Bute. Just keep in mind there are several top senior schools so don’t place your hopes all in one basket. You will only have yourself to disappoint. Also note, any school, business or charity can collapse at anytime. Including those declaring profits but strapped for cash. Good luck to all.

The negative this I will say about PHS (for balance) is that the fees are too high for the facilities that they offer, when I visited.

OnceUponaTime101- Sorry darling but I am also an accountant specialised in distressed companies and I have to politely disagree with your self-congratulatory "accounting lesson". It is quite extraordinary that you are so condescending when you do not provide a single figure to justify your views.

All accounting data is relevant and has to be analysed carefully. That applies to losses as much as it does to cash flow or total equity and it would be foolish to ignore that high level of losses on the basis that "cash-flow is the king" and losses are just "operational decisions". Plus Alpha Plus' cash flow situation is not good either and continues to deteriorate. I can see in the statement of cash-flows that the parent company had to pump £6.2m to avoid a liquidity squeeze. Is that a good sign? What cash-flow figures are you talking about?

Alpha Plus is not expensing everything in one year as you argue but over a period of time. They even publish each year a description of what they call "expansion costs" that were just £5.6m for 2018 and £8m for 2017. They have been spreading the costs that way during the last five years. I have no reasons to doubt that you can read accounting, but did you actually read Alpha Plus' accounts?

You refer to companies "strapped for cash" collapsing and I am glad that you raise that issue as solvency is actually one of the main issues that anyone should be concerned about when looking into Alpha Plus' accounts. In ten months they will have to repay a £48m bond. This comes at a time in which they have negative working capital and their only relevant assets (London Prime Property) are losing rapidly in value and becoming less liquid which is a big problem because of the bond covenants that are linked to those values. Plus the "on-going concern" wording in their accounts can only be described as very weak.

Would be delighted to discuss the figures in detail with you. I think that there are some very relevant and legitime questions about this company's financial situation, particularly about its solvency, but very glad to hear your views about the actual figures.

For the avoidance of doubt, I came here via the links in the FT article as I thought that the FT-Mumsnet connection was amusing.

All the best to all participating Mums. Xx