Business
Half Year Results 2019
Half Year Results 2019.
About this update from Capita Plc
[{"type":"text","content":"\n \nCapita plc\n\nHalf-Year Results 2019\n\nSummary\n\n2019 half-year results in line with our expectations\n\n• Revenue1 £1,851.6m; profit before tax1 £126.1m\n\n• Order intake £830m; order book £6,650.6m.\n\n2019 full-year guidance maintained\n\n• Profit before tax1 expected to be between £265m and £295m2\n\n• On plan to deliver cumulative cost competitiveness savings of £175m by end 2019\n\n• £525m Defence Fire & Rescue Project and £145m DWP PIP extension wins in Q3.\n\n2020 targets reiterated\n\n• Achieve double-digit operating profit margins1\n\n• At least £200m of sustainable free cash flow3.\n\nCapita's transformation is on track\n\n• Second year of multi-year transformation\n\n• Investment in people yielding benefits - reduced employee turnover and higher employee satisfaction\n\n• Corporate governance strengthened, with two employee directors appointed to the Board\n\n• Strengthened client relationships\n\n• Further progress made on improving the performance of contracts\n\n• Increased investment in growth, systems and digital capability\n\n• Foundations for growth now in place.\n\nJon Lewis, Chief Executive Officer, said:\n\n\"Capita is now in the second year of a multi-year transformation and we remain on track to hit the targets we set in 2018.\n\n\"Having addressed the balance sheet and made disposals last year, we have continued to strengthen the business in 2019. We are beginning to see the benefits from: strengthening our functions; changing the culture and enhancing governance; improving relationships with our clients; recruiting significant talent to key roles; and investing in people and new client propositions.\n\n\"We have made significant progress in a short period of time. There is still much work to do but the foundations we are laying now will put us in a position to succeed and grow. There is huge potential for our business as companies invest more in digital transformation. With Capita’s credentials and client-base, the long-term opportunity for growth is significant.\"\n\nFinancial outlook\n\nCapita's financial outlook remains unchanged.\n\nCapita is in the second year of a multi-year transformation and the successful delivery of this programme remains a key focus area for the Group. We continue to expect profit before tax1 to be between £265m and £295m a...