Pre-close Statement
Pre-close statement
26 June 2012
Ahead of Serco's half year end on 30 June 2012, we will be holding our
customary pre-close meetings with analysts over the coming days. No new
material information will be disclosed. The Group remains on track to meet
expectations for 2012: we continue to expect another year of strong total
revenue growth, including further good organic growth, together with an
Adjusted operating margin increase similar to 2011.
Our recently created global BPO business has demonstrated the strength of its
strategic positioning, achieving excellent new contract wins that will add
significant future revenues. In our regional frontline operations we have seen
further strong growth in AMEAA, an improving outlook in the UK, but conditions
in the US federal market remain very tough for our Americas division.
Accordingly, for the first half of the year, we expect a small reduction in the
Group's organic revenue. Acquisitions will contribute growth of approximately
6% to the Group's total revenue. The Adjusted operating margin, before the
implementation costs of organisational changes, is expected to be broadly flat
compared to the corresponding period in 2011.
As previously indicated, our financial performance (including revenue growth,
margin progression and free cash generation) will be weighted to the second
half of the year when we expect a strong financial result. This reflects
excellent performance over the last few months in securing new contract awards
that will flow through to organic revenue growth; the successful conclusion of
our change programme; and the benefit of recent acquisitions.
Serco will release its 2012 half year results on Wednesday 29 August 2012. As
previously described, our reporting will now reflect the new corporate
structure, comprising the Global Services division, alongside a single UK &
Europe division, and our Americas and AMEAA divisions. Segmental income
statement information for the comparable reporting periods is published today
on www.serco.com.
Ends
For further information please contact Serco:
Stuart Ford, Head of Investor Relations T +44 (0) 208 334 4122
Marcus De Ville, Head of Media Relations T +44 (0) 208 334 4388
About Serco
Serco is a FTSE 100 international service company, which combines commercial
know-how with a deep public service ethos.
Around the world, we improve essential services by managing people, processes,
technology and assets more effectively. We advise policy makers, design
innovative solutions, integrate systems and - most of all - deliver to the
public.
Serco supports governments, agencies and companies who seek a trusted partner
with a solid track record of providing assured service excellence. Our people
offer operational, management and consulting expertise in the aviation, BPO,
defence, education, environmental services, facilities management, health, home
affairs, information and communications technology, knowledge services, local
government, science and nuclear, transport, welfare to work and the commercial
sectors.
More information can be found at www.serco.com
Latest directors dealings
- 10 hours ago Oxford Nanopore Technologies
- 10 hours ago AVI Global Trust
- 11 hours ago LSL Property Services
- 11 hours ago Bluebird Merchant Ventures (DI)
- 11 hours ago Power Probe PLC