Serco to deliver double-digit growth in 2009

12 November 2009

Support services giant Serco has said that it is on track to deliver double-digit revenue growth and improved margins in full-year 2009.

In an interim trading statement covering the period since the end of June, the FTSE-100 company forecast that revenue would grow by more than 10 per cent to hit £5bn and that its operating margins would increase by 0.3 per cent to 5.6 per cent.

Growth is being driven by the wide range of business opportunities created by the pressure that the recession is placing on organisations to cut costs, Serco says.

So far in the second half of 2009, Serco has secured £1bn of contracts. This brings the year-to-date total to £4.5bn, with £3.4bn of that in signed contracts and £1.1bn in preferred bidder appointments.

Christopher Hyman, chief executive of Serco Group, said: “We have continued to make strong progress through the second half of the year.

“Governments and large commercial organisations around the world continue to face challenges in delivering better services and improving productivity, and with our breadth and depth of skills, we are well placed to help them meet those challenges.

“The success we have enjoyed so far this year is testament to that and I remain positive on our prospects for the future.”

Serco’s share price dipped by 0.94 per cent in early trading to reach 528.5p per share (9:52am).