<SEC-DOCUMENT>0001654954-23-013511.txt : 20231030
<SEC-HEADER>0001654954-23-013511.hdr.sgml : 20231030
<ACCEPTANCE-DATETIME>20231030064836
ACCESSION NUMBER:		0001654954-23-013511
CONFORMED SUBMISSION TYPE:	6-K
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20231030
FILED AS OF DATE:		20231030
DATE AS OF CHANGE:		20231030

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			PEARSON PLC
		CENTRAL INDEX KEY:			0000938323
		STANDARD INDUSTRIAL CLASSIFICATION:	BOOKS: PUBLISHING OR PUBLISHING AND PRINTING [2731]
		IRS NUMBER:				000000000
		STATE OF INCORPORATION:			X0
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		6-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-16055
		FILM NUMBER:		231357149

	BUSINESS ADDRESS:	
		STREET 1:		80 STRAND
		CITY:			LONDON ENGLAND
		STATE:			X0
		ZIP:			WC2R 0RL
		BUSINESS PHONE:		442070102000

	MAIL ADDRESS:	
		STREET 1:		80 STRAND
		CITY:			LONDON ENGLAND
		STATE:			X0
		ZIP:			WC2R 0RL
</SEC-HEADER>
<DOCUMENT>
<TYPE>6-K
<SEQUENCE>1
<FILENAME>a6262r.htm
<DESCRIPTION>2023 NINE MONTH TRADING UPDATE
<TEXT>
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UNITED STATES</font></div>
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SECURITIES AND EXCHANGE COMMISSION</font></div>
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Washington, D.C. 20549</font></div>
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<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
FORM 6-K</font></div>
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REPORT OF FOREIGN PRIVATE ISSUER</font></div>
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PURSUANT TO RULE 13a-16 OR 15d-16 UNDER</font></div>
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<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
THE SECURITIES EXCHANGE ACT OF 1934</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">For the
month of October 2023</font></div>
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<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
PEARSON plc</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">(Exact
name of registrant as specified in its charter)</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">N/A</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">(Translation
of registrant's name into English)</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
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<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
80 Strand</font></div>
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<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
London, England WC2R 0RL</font></div>
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<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
44-20-7010-2000</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">(Address
of principal executive office)</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">Indicate
by check mark whether the Registrant files or will file annual
reports</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">under
cover of Form 20-F or Form 40-F:</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">Form
20-F
X&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;
&#xA0;Form 40-F</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
<div style="text-align: center; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Indicate
by check mark whether the Registrant by furnishing the
information</font></div>
<div style="text-align: center; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">contained
in this Form is also thereby furnishing the information to
the</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">Commission
pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">Yes&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;&#xA0;
&#xA0;No X</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
<div><font style="font-family: Times New Roman; font-size: 10">&#xA0;</font></div>
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<font style="font-family: Times New Roman; font-size: 13px"><font style="color: #000000; font-size: 24px">
Pearson 2023 Nine Month Trading Update</font><font style="color: #000000">&#xA0;</font><font style="color: #000000; font-size: 24px">(Unaudited)</font></font></div>
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<table cellpadding="0" cellspacing="0" style="text-align: left; width: 100%; font-family: Times New Roman; font-size: 13px; margin: 0px auto 0px 0px;">
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<font style="font-family: Times New Roman; font-size: 16px"><font style="color: #007FA3; font-size: 16px">
30</font><font style="font-size: 70%; vertical-align: top; color: #007FA3">th</font><font style="color: #007FA3; font-size: 16px">&#xA0;October
2023</font></font></div>
</td>
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<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
Strong operational momentum and financial performance continues;
full year profit guidance upgraded</font></div>
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&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">Highlights</font></div>
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<div style="text-align: left; margin-left: 12px; margin-right: 0px; text-indent: 0px">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
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<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="font-weight: bold">
Underlying Group revenue growth</font><font style="font-weight: bold; font-size: 70%; vertical-align: top; color: #000000">1</font><font style="font-size: 13px">&#xA0;</font><font style="font-weight: bold">of
5%, excluding OPM</font><font style="font-weight: bold; font-size: 70%; vertical-align: top; color: #000000">2</font><font style="font-size: 13px">&#xA0;</font><font style="font-weight: bold">and
the Strategic Review</font><font style="font-weight: bold; font-size: 70%; vertical-align: top; color: #000000">3</font><font style="font-size: 13px">&#xA0;</font><font style="font-weight: bold">businesses,
with particularly strong performances in Pearson VUE and Pearson
Test of English.</font></font></div>
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</tr><tr>
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<div style="text-align: left; margin-left: 12px; margin-right: 0px; text-indent: 0px">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
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<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
Full year Group adjusted operating profit guidance upgraded by
c.&#xA3;20m to &#xA3;570m - &#xA3;575m at &#xA3;:$ of 1.24. Current
Vuma consensus is &#xA3;552m at &#xA3;:$ of 1.24<font style="font-size: 70%; vertical-align: top; color: #000000">4</font>.</font></div>
</td>
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<td style="vertical-align: top; width: 2%;">
<div style="text-align: left; margin-left: 12px; margin-right: 0px; text-indent: 0px">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
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<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
Initiated &#xA3;300m share buyback programme.</font></div>
</td>
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<div style="text-align: left; margin-left: 12px; margin-right: 0px; text-indent: 0px">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
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<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
We are hosting an investor seminar focused on our Assessment &amp;
Qualifications business on Monday 6th November at the New York
Stock Exchange.</font></div>
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<font style="font-weight: bold; color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="font-weight: bold; color: #000000; font-size: 13px">
Andy Bird, Pearson's</font><font style="color: #000000">&#xA0;</font><font style="font-weight: bold; color: #000000; font-size: 13px">Chief
Executive, said:</font></font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="color: #000000; font-size: 13px">
"This</font><font style="color: #000000">&#xA0;</font><font style="color: #000000; font-size: 13px">third quarter performance
illustrates the continuing momentum across our businesses, led by
Pearson VUE and Pearson Test of English. Our Higher Education
business reported as expected and remains on plan to return to
growth next year. We've received positive initial feedback from our
Generative AI tools and are evolving our AI capabilities to create
further opportunities to maximise the potential of our trusted,
proprietary content and data sets. I would like to thank every
employee for supporting me over the last three years and creating a
period of sustained growth and strategic progress. Pearson is well
positioned for the next stage of its growth and development and
poised to take advantage of long-term future
opportunities."</font></font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; color: #FF0000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
<font style="color: #000000; font-size: 13px">Underlying revenue
growth</font><font style="font-size: 70%; vertical-align: top; color: #000000">1</font><font style="color: #000000; font-size: 13px">&#xA0;of
5%, excluding OPM</font><font style="font-size: 70%; vertical-align: top; color: #000000">2</font><font style="color: #000000; font-size: 13px">&#xA0;and
Strategic Review</font><font style="font-size: 70%; vertical-align: top; color: #000000">3</font><font style="color: #000000; font-size: 13px">&#xA0;businesses;
2% in aggregate</font></font></div>
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<tr>
<td style="vertical-align: top; width: 1%;">
<div style="text-align: left; margin-left: 36px; margin-right: 0px; text-indent: -24px;">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
<td style="vertical-align: top; width: 99%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Assessment
&amp; Qualifications revenue was up 8% largely driven by a strong
performance in Pearson VUE with good growth in IT and healthcare,
alongside the commencement of new contracts. There was also good
growth across US Student Assessments, Clinical and UK &amp;
International Qualifications, due to new contract wins, good
government funding and price increases respectively.</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 1%;">
<div style="text-align: left; margin-left: 36px; margin-right: 0px; text-indent: -24px;">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
<td style="vertical-align: top; width: 99%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
Virtual Learning revenue decreased 20%, primarily due to an 81%
expected decrease in the OPM business given the previously
announced ASU contract loss. Virtual Schools declined 4%, with Q3
impacted by enrolments for the 2023/24 academic year, which were
lower due to the previously cited loss of a larger partner school.
Excluding the impact of this school, enrolments were up
2%.</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 1%;">
<div style="text-align: left; margin-left: 36px; margin-right: 0px; text-indent: -24px;">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
<td style="vertical-align: top; width: 99%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Higher
Education revenue was down 5%, in line with expectations, driven by
pricing mix impact and the previously highlighted deferral of
revenue into Q4 this year due to a revenue recognition shift driven
by Pearson+ and platform product growth.<font style="font-size: 13px">&#xA0;</font><font style="color: #000000">Pearson+ continued to perform well, with c.30%
growth in paid subscriptions to 30</font><font style="font-size: 70%; vertical-align: top; color: #000000">th</font><font style="color: #000000">&#xA0;September
versus prior year Fall semester. On a calendar year basis this
represents c.80% growth in paid subscriptions to
30</font><font style="font-size: 70%; vertical-align: top; color: #000000">th</font><font style="color: #000000">&#xA0;September.</font></font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 1%;">
<div style="text-align: left; margin-left: 36px; margin-right: 0px; text-indent: -24px;">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
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<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">English
Language Learning revenue increased 34% largely driven by excellent
Pearson Test of English (PTE) volume growth, alongside strong
performance in Institutional and Mondly.</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 1%;">
<div style="text-align: left; margin-left: 36px; margin-right: 0px; text-indent: -24px;">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
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<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Workforce
Skills revenue grew 8%, with a solid performance in both Vocational
Qualifications and Workforce Solutions.</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 1%;">
<div style="text-align: left; margin-left: 36px; margin-right: 0px; text-indent: -24px;">
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</td>
<td style="vertical-align: top; width: 99%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Revenue
in businesses under Strategic Review<font style="font-weight: bold; font-size: 70%; vertical-align: top; color: #000000">3</font><font style="font-size: 13px">&#xA0;</font>decreased
60% as expected.</font></div>
</td>
</tr></table>
</div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; color: #000000; font-family: Times New Roman; font-size: 13px">
Share buyback</font></div>
<div style="text-align: left">
<table cellpadding="0" cellspacing="0" style="text-align: left; width: 100%; font-family: Times New Roman; font-size: 13px; margin: 0px auto 0px 0px;">
<tr>
<td style="vertical-align: top; width: 2%;">
<div style="text-align: left; margin-left: 36px; margin-right: 0px; text-indent: -24px;">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
<td style="vertical-align: top; width: 98%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Previously
announced buyback to repurchase &#xA3;300m of shares commenced,
with &#xA3;115m of shares repurchased as at 27<font style="font-size: 70%; vertical-align: top">th</font>&#xA0;October
2023.&#xA0;</font></div>
</td>
</tr></table>
</div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; color: #000000; font-family: Times New Roman; font-size: 13px">
Strong financial position</font></div>
<div style="text-align: left">
<table cellpadding="0" cellspacing="0" style="text-align: left; width: 100%; font-family: Times New Roman; font-size: 13px; margin: 0px auto 0px 0px;">
<tr>
<td style="vertical-align: top; width: 2%;">
<div style="text-align: left; margin-left: 36px; margin-right: 0px; text-indent: -24px;">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
<td style="vertical-align: top; width: 98%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Pearson's
financial position remains robust, with a strong balance
sheet.&#xA0;</font></div>
</td>
</tr></table>
</div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; color: #000000; font-family: Times New Roman; font-size: 13px">
2023 outlook - full year guidance upgraded</font></div>
<div style="text-align: left">
<table cellpadding="0" cellspacing="0" style="text-align: left; width: 100%; font-family: Times New Roman; font-size: 13px; margin: 0px auto 0px 0px;">
<tr>
<td style="vertical-align: top; width: 2%;">
<div style="text-align: left; margin-left: 36px; margin-right: 0px; text-indent: -24px;">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
<td style="vertical-align: top; width: 98%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="color: #000000">
Group revenue growth, excluding</font><font style="font-size: 13px">&#xA0;</font><font style="color: #000000">OPM</font><font style="font-size: 70%; vertical-align: top; color: #000000">2</font><font style="color: #000000">&#xA0;and
Strategic Review</font><font style="font-size: 70%; vertical-align: top; color: #000000">3</font><font style="color: #000000">&#xA0;businesses,
will be at the higher end of the low to mid-single digit range we
have guided to.</font></font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 2%;">
<div style="text-align: left; margin-left: 36px; margin-right: 0px; text-indent: -24px;">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
<td style="vertical-align: top; width: 98%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="color: #000000">
Full year Group adjusted operating profit guidance upgraded by
c.&#xA3;20m to &#xA3;570m - &#xA3;575m at &#xA3;:$ of
1.24</font><font style="font-size: 70%; vertical-align: top; color: #000000">4</font><font style="color: #000000">.</font></font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 2%;">
<div style="text-align: left; margin-left: 36px; margin-right: 0px; text-indent: -24px;">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
<td style="vertical-align: top; width: 98%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
Remain on track to achieve &#xA3;120m of cost efficiencies in 2023,
with Group margin to improve to mid-teens for 2023.</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 2%;">
<div style="text-align: left; margin-left: 36px; margin-right: 0px; text-indent: -24px;">
<font style="font-size: 13px">&#x25CF;</font></div>
</td>
<td style="vertical-align: top; width: 98%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
Tax rate expected to be in the range of 23-24%, and interest charge
expected to be c.&#xA3;35m.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px;">&#xA0;</font></div>
</td>
</tr></table>
</div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
&#xA0;</div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<div style="text-align: left">
<table cellpadding="0" cellspacing="0" style="text-align: left; width: 50%; font-family: Times New Roman; font-size: 13px; margin: 0px auto 0px 0px;">
<tr>
<td colspan="3" style="vertical-align: top; width: 30%; border-top: 1pt solid rgb(68, 114, 196);">
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">Financial
summary</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px;">&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Underlying growth
for the third quarter and nine months ended 30th September 2023
compared to the equivalent period in 2022</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px;">&#xA0;</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
Revenue</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 24px; margin-right: 0px; text-indent: -24px;">
<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">Q3</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 24px; margin-right: 0px; text-indent: -24px;">
<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">Nine
months</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Assessment
&amp; Qualifications</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">11%</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">8%</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Virtual
Learning</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">(29)%</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">(20)%</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Higher
Education</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">(8)%</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">(5)%</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">English
Language Learning</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">21%</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">34%</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Workforce
Skills</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">3%</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">8%</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Strategic
Review<font style="font-size: 70%; vertical-align: top; color: #000000">3</font></font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">(67)%</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">(60)%</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
Total</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
2%</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
2%</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="font-weight: bold; font-size: 13px">
Total, excluding OPM</font><font style="font-weight: bold; font-size: 70%; vertical-align: top; color: #000000">2</font>&#xA0;<font style="font-weight: bold; font-size: 13px">and
Strategic Review</font><font style="font-weight: bold; font-size: 70%; vertical-align: top; color: #000000">3</font></font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
3%</font></div>
</td>
<td style="vertical-align: top; width: 10%;">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
5%</font></div>
</td>
</tr></table>
</div>
<div><font style="font-family: Times New Roman; font-size: 13px;">&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="font-size: 70%; vertical-align: top; color: #000000">
[1]</font><font style="color: #000000">Throughout this announcement
growth rates are stated on an underlying basis unless otherwise
stated. Underlying growth rates exclude currency movements, and
portfolio changes.</font></font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="font-size: 70%; vertical-align: top; color: #000000">
2</font><font style="color: #000000">We have completed the sale of
the Pearson Online Learning Services (POLS) business and as such
have removed from underlying measures throughout. Within this
specific measure we exclude our entire OPM business (POLS and ASU)
to aid comparison to guidance.</font></font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="font-size: 70%; vertical-align: top; color: #000000">
3</font><font style="color: #000000">Strategic Review is revenues
in international courseware local publishing businesses being wound
down, which will continue to be reported separately until
dissipated.</font></font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="font-size: 70%; vertical-align: top; color: #000000">
4</font><font style="color: #000000">2023 consensus on the Pearson
website; adjusted operating profit of &#xA3;568m at &#xA3;:$ 1.20.
Every 1c movement in &#xA3;:$ rate equates to approximately
&#xA3;4m adjusted operating profit. Therefore Vuma consensus at
&#xA3;:$ 1.24 is &#xA3;552m.</font></font></div>
</div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 16px;">&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">Assessment
&amp; Qualifications</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
In Assessment &amp; Qualifications, revenue increased
8%.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="color: #000000; font-size: 13px">
Pearson VUE revenue was up 11% driven by</font><font style="color: #000000">&#xA0;</font><font style="color: #000000; font-size: 13px">particularly good performance in
IT and healthcare, alongside the commencement of new contracts. The
integration of PDRI continued to progress well, with further
multi-year US federal government contract wins across a number of
federal agencies, including the US Air Force, Drug Enforcement
Administration, Bureau of Alcohol, Tobacco, Firearms and
Explosives, and Department of Homeland
Security.</font></font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
In US Student Assessment, revenue increased 8% driven by
commencement of new contracts following new business
wins.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="color: #000000; font-size: 13px">
In Clinical Assessment, revenue increased 4% supported
by</font><font style="color: #000000">&#xA0;</font><font style="color: #000000; font-size: 13px">good government funding and
continued focus on health and wellbeing.</font></font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
In UK and International Qualifications, revenue increased 8% driven
by price increases and good international growth.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
As previously stated, contract timing in Assessment &amp;
Qualifications has seen delivery in earlier quarters meaning Q4
growth will be lower than average. That said, we now expect full
year revenue growth to be mid-single digit.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">Virtual
Learning</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
In Virtual Learning, revenue decreased 20%.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
Virtual Schools revenue was down 4%, driven by enrolment declines
for the 2022/23 academic year and lower district partnership
renewals, offset by good retention rates. Enrolments for the
2023/24 academic year were lower due to the previously cited loss
of a larger partner school. Excluding the impact of this school,
enrolments were up 2%. Applications for our Connections Academy
Career Pathways programme have been encouraging.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
Revenues in our Online Program Management business were down 81% on
an underlying basis due to the loss of revenue following the wind
down of the ASU contract. Pearson Online Learning Services revenues
are no longer included in underlying measures following the
completion of the disposal.</font></div>
<div><font style="font-family: Times New Roman; font-size: 10">&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
The termination of the ASU contract will continue to impact growth
in Q4. Full year revenue growth expectations for Virtual Schools
remain unchanged.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">&#xA0;</font>
<font style="font-family: Times New Roman; font-size: 16px;"><br>
</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">Higher
Education</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="color: #000000">
In Higher Education</font><font style="font-weight: bold; color: #000000">,</font><font style="color: #000000">&#xA0;revenue declined 5%.</font></font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="color: #000000; font-size: 13px">
In the US, we saw declines in line with expectations, driven by
pricing mix impact and the previously highlighted deferral of
revenue into Q4 due to revenue recognition shift given the growth
of Pearson+ and platform products. Excluding this phasing impact,
revenue would have declined low single digit, in line with our
expectations for the full year. Recently published National Student
Clearinghouse data suggests Fall 2023 enrolments in Pearson's
addressable market are up 1%, meaning the year to date enrolment
impact is flat. There was encouraging growth in our platform
products and Pearson+ continued to perform well, with c.30% growth
in paid subscriptions to 30</font><font style="font-size: 70%; vertical-align: top; color: #000000">th</font><font style="color: #000000; font-size: 13px">&#xA0;September
versus prior year Fall semester. On a calendar year basis this
represents c.80% growth in paid subscriptions to
30</font><font style="font-size: 70%; vertical-align: top; color: #000000">th</font><font style="color: #000000; font-size: 13px">&#xA0;September.
We have also seen strong growth in Inclusive Access with revenue
associated with not-for-profit institutions up 26% year-on-year and
now representing 30% of US Higher Education revenue. We see this
channel as an opportunity for Pearson+ in the
future.</font></font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
Generative AI study tools designed to help students better learn
and understand challenging subjects were launched in beta within
select titles for Pearson+ and Mastering for Fall back-to-school.
Whilst it is still early days, engagement with these study tools to
date has been encouraging and we are gaining valuable insights from
students which will help to shape future product
developments.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
We continue to expect low-single digit revenue decline for the full
year.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">English
Language Learning</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
In English Language Learning, revenue was up 34%.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
PTE momentum continued following a strong first half performance,
with volume growth primarily driven by Australia and India, and
with growth in most other markets. PTE is now being accepted for
Canadian Student Direct Stream visa applications. We are ready to
begin delivering PTE for economic immigration visa applications as
soon as we receive confirmation of an operational start date from
Immigration, Refugees and Citizenship Canada. We are excited by the
size of the Canadian opportunity and will be investing in building
our brand awareness in this competitive market.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
Within Institutional, performance was strong, with particularly
good growth in LATAM and Middle East markets.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #212121; font-family: Times New Roman; font-size: 13px">
Our Online Self-Study business, Mondly, continues to perform well,
with some early successes in the B2B market, and we are trialling
several beta products using AI for speaking practice.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #212121; font-family: Times New Roman; font-size: 13px">
Full year 2023 revenue growth expected to be at least 25%. We are
investing a portion of the operating leverage to support future
growth opportunities.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">Workforce
Skills</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
In Workforce Skills, revenue was up 8%.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
There was solid performance in both the Vocational Qualifications
and Workforce Solutions businesses.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
We now expect full year revenue growth to be high-single
digits.</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">Upcoming
Investor Seminar</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="color: #000000; font-size: 13px">
We are hosting an investor seminar focused on our Assessment &amp;
Qualifications business on Monday 6</font><font style="font-size: 70%; vertical-align: top; color: #000000">th</font><font style="color: #000000; font-size: 13px">&#xA0;November
at the New York Stock Exchange. The presentation will take place
from 09:00 - 10:30 EST. Please RSVP to amy.plavecky@pearson.com if
you wish to join in-person. Alternatively, register here to receive
log in details if you would prefer to join the presentation
virtually:</font><font style="color: #000000">&#xA0;</font><font style="text-decoration: underline; color: #0000FF; font-size: 13px">https://pearson-nyc.connectid.cloud/</font><font style="color: #000000; font-size: 13px">.</font></font></div>
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<font style="color: #000000; font-family: Times New Roman; font-size: 13px">
&#xA0;</font> <font style="font-family: Times New Roman; font-size: 13px;"><br>
</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">Directorate
Change</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="color: #000000; font-size: 13px">
Omar Abbosh will assume the role of Chief Executive Officer and
Executive Director on 8</font><font style="font-size: 70%; vertical-align: top; color: #000000">th</font><font style="color: #000000; font-size: 13px">&#xA0;January
2024, succeeding Andy Bird.</font></font></div>
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Investor Relations</font></div>
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Russell</font></div>
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Caddy</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;+44
(0) 7785 451 266</font></div>
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Terry</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;+1
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Virtual event</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">Pearson's
2023 nine month trading update is taking place today at 08:30
(GMT). Register to receive log in details:
https://pearson.connectid.cloud/register</font></div>
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<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">About
Pearson</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #000000; font-family: Times New Roman; font-size: 13px">At
Pearson, our purpose is simple: to add life to a lifetime of
learning. We believe that every learning opportunity is a chance
for a personal breakthrough. That's why our Pearson employees are
committed to creating vibrant and enriching learning experiences
designed for real-life impact. We are the world's leading learning
company, serving customers in c.200 countries with digital content,
assessments, qualifications, and data. For us, learning isn't just
what we do. It's who we are. Visit us at
pearsonplc.com</font></div>
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<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: -4px; text-indent: 0px">
<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">Notes</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="font-weight: bold; color: #000000; font-size: 13px">
Forward looking statements:</font><font style="color: #000000">&#xA0;</font><font style="color: #000000; font-size: 13px">Except for the historical
information contained herein, the matters discussed in this
statement include forward-looking statements. In particular, all
statements that express forecasts, expectations and projections
with respect to future matters, including trends in results of
operations, margins, growth rates, overall market trends, the
impact of interest or exchange rates, the availability of
financing, anticipated cost savings and synergies and the execution
of Pearson's strategy, are forward-looking statements. By their
nature, forward-looking statements involve risks and uncertainties
because they relate to events and depend on circumstances that will
occur in future. They are based on numerous assumptions regarding
Pearson's present and future business strategies and the
environment in which it will operate in the future. There are a
number of factors which could cause actual results and developments
to differ materially from those expressed or implied by these
forward-looking statements, including a number of factors outside
Pearson's control. These include international, national and local
conditions, as well as competition. They also include other risks
detailed from time to time in Pearson's publicly-filed documents
and you are advised to read, in particular, the risk factors set
out in Pearson's latest annual report and accounts, which can be
found on its website (www.pearsonplc.com). Any forward-looking
statements speak only as of the date they are made, and Pearson
gives no undertaking to update forward-looking statements to
reflect any changes in its expectations with regard thereto or any
changes to events, conditions or circumstances on which any such
statement is based. Readers are cautioned not to place undue
reliance on such forward-looking statements.</font></font></div>
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<font style="color: #007FA3; font-family: Times New Roman; font-size: 16px">
&#xA0;</font></div>
<div><font style="font-family: Times New Roman; font-size: 10">&#xA0;</font></div>
<div style="text-align: justify; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
<div><font style="font-family: Times New Roman; font-size: 10">&#xA0;</font></div>
<div style="text-align: center; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-weight: bold; font-family: Times New Roman; font-size: 13px">
SIGNATURE</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
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<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Pursuant
to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.</font></div>
<div><font style="font-family: Times New Roman; font-size: 10">&#xA0;</font></div>
<div style="text-align: justify; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
<div>
<table cellpadding="0" cellspacing="0" style="width: 100%; font-family: Times New Roman; font-size: 13px">
<tr>
<td style="vertical-align: top; width: 69%">
<div><font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
</td>
<td style="vertical-align: top; width: 31%">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">PEARSON
plc</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 69%">
<div><font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
</td>
<td style="vertical-align: top; width: 31%">
<div><font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 69%">
<div style="text-align: left; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px"><font style="font-size: 13px">
Date:&#xA0;</font><font style="color: #000000; font-size: 13px; background-color: #FFFFFF">30
October 2023</font></font></div>
</td>
<td style="vertical-align: top; width: 31%">
<div><font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
</td>
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<td style="vertical-align: top; width: 69%">
<div><font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
</td>
<td style="vertical-align: top; width: 31%">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">By: /s/
NATALIE WHITE</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 69%">
<div><font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
</td>
<td style="vertical-align: top; width: 31%">
<div><font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
</td>
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<td style="vertical-align: top; width: 69%">
<div><font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
</td>
<td style="vertical-align: top; width: 31%">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">------------------------------------</font></div>
</td>
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<td style="vertical-align: top; width: 69%">
<div><font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
</td>
<td style="vertical-align: top; width: 31%">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Natalie
White</font></div>
</td>
</tr><tr>
<td style="vertical-align: top; width: 69%">
<div><font style="font-family: Times New Roman; font-size: 13px">&#xA0;</font></div>
</td>
<td style="vertical-align: top; width: 31%">
<div style="text-align: right; margin-left: 0px; margin-right: 0px; text-indent: 0px">
<font style="font-family: Times New Roman; font-size: 13px">Deputy
Company Secretary</font></div>
</td>
</tr></table>
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