20th Jul 2006 07:01
Capita Group PLC20 July 2006 20 July 2006 THE CAPITA GROUP PLC Interim Results for the 6 months to 30 June 2006 CONSIDERABLE PROGRESS IN FIRST 6 MONTHS Financial Highlights 6 months to 6 months to Change 30 June 2006 30 June 2005 Turnover £845.0m £687.3m +23%Operating profit* £103.2m £81.0m +27%Profit before tax* £92.4m £74.5m +24%Earnings per share* 10.47p 8.06p +30%Interim dividend per share 2.7p 2.1p +29% Key points • Operating margins* increased to 12.2% (2005: 11.8%)• Operating cash flow of £121.5m (2005: £95.4m)• £806m major contract wins and renewals in first 7 months of 2006• Replenished bid pipeline of £2.8bn• Active public and private sector markets• Share buybacks of 7.2% of issued share capital returns £214m to shareholders * before share based payment charge of £4.1m and amortisation of separately identifiable intangible assets of £3.2m Rod Aldridge, Non-Executive Chairman of The Capita Group Plc, commented: "Capita has made considerable progress in the first 6 months of the year,reflected in another period of excellent financial results. There is goodvisibility of Capita's financial performance for 2006 and the Board believesshareholders will be very pleased with the results for the year as a whole. "Our businesses are in superb shape to deliver incremental growth and the marketfor BPO opportunities continues to be extremely active. The Board thereforeanticipates delivering strong growth in 2007." For further information: The Capita Group Plc Tel: 020 7799 1525Paul Pindar, Chief ExecutiveShona Nichols, Corporate Communications DirectorCapita Press Office Tel: 0870 2400 488 Financial Dynamics Tel: 020 7269 7291Andrew Lorenz / Richard Mountain Chairman's Statement Results Capita has made considerable progress during the 6 months to 30 June 2006. Wehave secured a significant volume of new business, thereby strengthening ourposition as the UK's market leader in providing business process outsourcing(BPO) services to the public and private sectors. During the period, turnover increased by 23% to £845.0m (6 months to 30 June2005: £687.3m). Operating profits before the share based payment charge andamortisation of separately identifiable intangible assets rose by 27% to £103.2m(2005: £81.0m) and net profits before taxation, share based payment charge andintangible amortisation grew by 24% to £92.4m (2005: £74.5m). Earnings per sharebefore share based payment charge and intangible amortisation grew by 30% to10.47p (2005: 8.06p). We remain very excited by the continued opportunities to develop the Group andwe will continue to build long term, sustainable value for our shareholders,customers and our employees. Creating value for shareholders To ensure we are creating value for shareholders, we focus on a number of keymeasures. We believe that the disciplines set out below collectively form anintegral part of building value for our shareholders on a consistent basis overthe long term. • We have continued our long term trend of improving operating margins, which have again increased during the period to 12.2% (2005: 11.8%). This is a pleasing performance given the higher than usual level of implementation costs associated with the start up of a record number of new contracts. The improving margin reflects the continued increase in economies of scale in the business. • The strength of Capita and its business model is reflected in our excellent underlying cash flow, with £121.5m (2005: £95.4m) generated by operations, representing an operating profits to operating cash conversion rate of 118% (2005: 118%). • We aim to contain capital expenditure at or below 4% of revenue, although there may be rare occasions when we exceed this where our financial strength can be used to our competitive advantage. During the period, we met this objective with net capital expenditure being 3.9% (2005: 4.1%) of revenue. • We focus on driving a steadily increasing return on capital, which in turn should exceed our cost of capital. Over the last 12 months, our post tax return on average capital employed (including debt) has improved to 18.7% (12 months to 30 June 2005: 17.2%). This compares to our weighted average cost of capital which is currently estimated at 7.8%. • A key element in the creation of shareholder value is a progressive dividend policy. The Board has declared an interim dividend of 2.7p net per ordinary share (2005: 2.1p), a 29% increase. The dividend will be payable on 6 October 2006 to shareholders on the register at the close of business on 1 September 2006. • There may be circumstances in which market conditions allow us to add further value for shareholders through share buybacks, thus ensuring we have an efficient capital structure which will minimise our long term cost of capital. At our Annual General Meeting in April, shareholders renewed our authority to re-purchase up to 10% of our issued share capital. To date this year, the Group has bought back 47m shares (representing 7.2% of the issued share capital) at an average price of £4.53. Through this means, £214m has been returned to shareholders over the last 5 months. • We continue to see a very healthy flow of acquisition opportunities. Our focus remains firmly on small to medium sized transactions, priced at a level which adds value for shareholders. During the period, we undertook 7 transactions, investing a total of £36.2m (net of cash acquired). Our pipeline of potential acquisitions is very encouraging and it is likely there will be further small acquisitions in the second half of the year. Creating organic growth & developing through acquisitions Of the 23% increase in turnover in the first 6 months of 2006, 17% was achievedthrough organic growth and the remaining 6% was derived from acquisitions. We have two complementary approaches to creating organic growth. First, ourcentrally managed Major Sales Team seeks to secure contracts typically with avalue of £10m or above. These contracts are complex, integrated projects thatrequire a wide range of the Group's skills and which generate high quality,recurring revenues. Secondly, each of our businesses employs sales teams focused upon securinggrowth from both existing and new customers. Customers range across our 8 chosenmarkets (local government, central government, education, transport, health,life & pensions, insurance and other private sector organisations) and ourretention rate is exemplary. Additionally, we achieve growth through acquiring businesses which enable us tobuild on our existing capabilities or establish a presence in a new market area. • Securing major contracts Securing and renewing major contracts is an important component of our growth.This year, we have announced £655m of major contract wins and renewals,including a 10 year contract worth £132m with the BBC, a 3 year contract worth£120m with the DTI, a 7 year contract worth £120m with DSG international plc anda 15 year contract worth £100m with Fujitsu, as part of a consortium providingservices to the Northern Ireland Civil Service. We are continuing to enjoy a buoyant period of activity and I am pleased toreport today that we have signed a number of new contracts with new and existingclients: o Rossendale Borough Council - we have been selected as preferredsupplier to provide revenues and benefits administration and customer servicesto the Council in a contract worth £12.6m over 10 years. o Westminster City Council - our revenues and benefits administrationcontract has been re-awarded for an additional 7 years to 2015 in a contractworth £50m to the Group. o In December 2005, Birmingham City Council chose Capita as theirstrategic partner to support business transformation and ICT within the Council.A special purpose vehicle, Service Birmingham, was set up by Capita and a 10year, £475m contract to deliver ICT transformation was signed in April 2006.Governance arrangements were also put in place for additional businesstransformation programmes to be proposed and implemented. The business case forthe first of these programmes, to transform corporate services, was approvedthis week. This programme is additional to the initial ICT contract and has beenallocated a budget of £88m over 3 years. Delivery of the corporate servicestransformation programme will be supported by Service Birmingham and itssub-contractor Axon. As a consequence of this activity, the total value of major contracts won andextended in the first 7 months of 2006 totals £806m (2005: £240m), representing£624m in new business and £182m in contract extensions and re-awards. In the 4.5 years to 31 December 2010, we have only 4 material contracts (definedas generating annual revenue in excess of 1% of 2005 turnover) due for renewal.The first of these falls due in 2007 and we are currently involved in a bid toextend this. Over the last 8 months, there has been a significant volume of contractdecisions and Capita has been successful in the majority of these. As aconsequence, a key focus in recent months has been to replenish the bidpipeline, which we have done successfully. We are currently working on livemajor bids with a total value of £2.8bn across the public and private sectors.This total only includes bid situations in which Capita is shortlisted as one of4 or fewer competitors and caps our largest bids at £500m. Very strong revenue growth for 2006 is already underpinned. We are now focusedon securing further strong growth for 2007. • Major contract update In the first half of the year, we have successfully transferred a number ofcomplex services. These include: o Our contract with Zurich's UK Life business, which commenced inFebruary of this year, is progressing well. The 2 stage transition programme wasdelivered smoothly, an excellent achievement given the scale of the operation.In the first 5 months of the contract, we have delivered improvements in serviceand quality. o The BBC HR contract, supporting certain recruitment, payroll and HRadministration and occupational health services, commenced in April. Thecreation of a centralised HR services centre in Belfast is on schedule to golive from September. The focus of the contract is to re-engineer processes andintroduce systems which will support the BBC's e-enablement of HR services andits drive for cost efficiencies. o Our additional contract with DSG international plc to run theirtechnical support centre in Nottingham commenced in March. All staff have beentransferred and the initial transformation plan is on schedule to complete atthe end of July. In the first 4 months under our management, we are alreadymeeting or exceeding all service performance targets and have introduced anumber of technology and quality initiatives to improve the customer experience. • Development across our businesses Our major businesses across the Group have maintained or grown market share inthe first half through securing new business and developing existingrelationships. In the financial services, insurance, property and softwareservices markets, we have also expanded through acquisition. Some businesshighlights from the first half are detailed below. We have performed strongly across the local government and education markets. Inparticular, Capita Local Government Services has enjoyed an exceptionallybuoyant period, achieving a strong run of contract wins and extensions includingcouncil tax and benefits administration contracts with Havant Borough Counciland business rates collection for the Royal Borough of Kensington & Chelsea. Capita Hartshead, our occupational pensions administration business, has madegood progress, securing £14m of new business and contract renewals in the firsthalf of the year. New contracts include pensions administration for BombardierTransportation UK Ltd, TDG plc and Delta Pensions Nominees Limited with acombined membership in excess of 42,000 people. We have also signed a contractwith the Pension Protection Fund ("PPF") to provide compensation administrationand payment services. The PPF was established by the Government to paycompensation to members of eligible defined benefit pension schemes, where thereis a qualifying insolvency event in relation to the employer. Wherever possible, we draw together services from across our businesses to addfurther value for clients. For example, our 'Enabler' programme which draws onthe capabilities of our life & pensions, SIPP, unit trust and general insuranceadministration services and recently acquired software firms, Quay Software andWebline, will deliver electronic trading for providers and advisers, improvingcontrol, cutting costs and enhancing service. Also in the financial services arena, we recently acquired the investment fundadministration businesses of Sinclair Henderson from iimia Investment GroupPlc. The acquisition adds significantly to Capita's current fund administrationcapabilities, with the enlarged business having combined assets underadministration of some £25 billion. As a result, Capita Financial Group willadminister approximately 20 per cent of the authorised open ended funds in theUK and will be positioned in second place in the investment trust administrationmarket. Capita Symonds is now the 5th largest multidisciplinary property andinfrastructure consultancy in the UK. The business has grown well over the first6 months of the year, securing a number of new contracts. In March, CapitaSymonds was named as preferred bidder for Lancashire County Council's flagshipBuilding Schools for the Future programme as part of the Catalyst Educationconsortium. We will provide partnering and education services as lead consultantfor the design team. In May, the BBC selected Capita Symonds to supply projectmanagement and planning supervision services for a wide range of small tomedium-sized construction projects across its UK property portfolio. For acombination of reasons, we took the decision to withdraw from our Dubai RapidLink contract and we have provided in full for the costs of our early exit.Consequently, margins for Capita Symonds are lower than last year, but areanticipated to recover in the second half of the year. Board changes This will be the 35th and final time that I have presented results toshareholders as I intend to retire from the Group on 31 July 2006. Under mychairmanship, Capita has grown from a start up in 1984 to a FTSE 100 companytoday and has shaped the BPO marketplace in the UK. During Capita's 17 years as a public company, shareholders have enjoyed a totalshareholder return of 165 times, equating to a 35% per annum compound return.Our employee numbers have grown from 98 to 26,000 and it has been my privilegeto work with some exceptionally talented and committed people. Our client basehas grown from a handful to over 25,000 organisations across the UK and theserelationships are hugely valued and enduring. On 1 August, Eric Walters will take over the reins as Non-Executive Chairman.Eric has been a Director of Capita for over 5 years and has a deep understandingof our business and our culture. I wish Eric well in his new role and I handover in confidence, with the knowledge that the company is in the best healthand the best position it has enjoyed in its history. The value that we have created for our shareholders and other stakeholders inCapita is a direct result of the competence and commitment that our staff giveto the company. The culture within Capita and its people is a key differentiatorfrom our competition. We have a stable and consistent management team, aremarkably low turnover of senior people and an excellent spirit throughout thecompany. I would like to thank everyone for the vital role they play in Capita's successand to wish them all well for the future. Future prospects There is good visibility of Capita's financial performance for 2006 and theBoard believes shareholders will be very pleased with the results for the yearas a whole. Our businesses are in superb shape to deliver incremental growth and the marketfor BPO opportunities continues to be extremely active. The Board thereforeanticipates delivering strong growth in 2007. Rodney M Aldridge OBENon-Executive Chairman Interim condensed consolidated income statementfor the 6 months to 30 June 2006 2006 2005 Before Before amortisation Amortisation amortisation Amortisation and share and share and share and share based based based based payment payment Total payment payment Total Notes £m £m £m £m £m £m Continuing operations:Revenue 3 845.0 - 845.0 687.3 - 687.3 Operating profit 3 103.2 (7.3) 95.9 81.0 (4.4) 76.6 Finance costs (10.8) - (10.8) (6.5) - (6.5) Profit fromcontinuing operationsbefore taxation 92.4 (7.3) 85.1 74.5 (4.4) 70.1 Income tax expense (25.6) 1.7 (23.9) (20.9) 1.3 (19.6) Profit for the period 66.8 (5.6) 61.2 53.6 (3.1) 50.5 Attributable to:Equity holders of the parent 66.9 (5.6) 61.3 53.4 (3.1) 50.3Minority interest (0.1) - (0.1) 0.2 - 0.2 66.8 (5.6) 61.2 53.6 (3.1) 50.5Earnings per share (EPS) - Basic 4 10.47p (0.87)p 9.60p 8.06p (0.47)p 7.59p - Diluted 4 10.29p (0.86)p 9.43p 7.92p (0.46)p 7.46p Interim condensed consolidated statement of recognised income and expensefor the 6 months to 30 June 2006 2006 2005 £m £m Actuarial gain/(loss) on defined benefit pension schemes 19.7 (13.7)Exchange differences on translation of foreign operations (0.3) (0.2)Tax on items taken directly to equity (5.5) 4.1Net income/(expense) recognised directly in equity 13.9 (9.8)Profit for the period 61.2 50.5Total income and expense for the period 75.1 40.7Attributable to:Equity holders of the parent 65.5 40.5Minority interest (0.1) 0.2 65.4 40.7 Interim condensed consolidated balance sheetat 30 June 2006 30 June 30 June 2006 2005 (restated) Notes £m £mNon-current assetsProperty, plant and equipment 163.3 138.3Intangible assets 605.0 516.4Financial assets 17.3 0.2Deferred taxation 15.0 36.6 800.6 691.5Current assetsTrade and other receivables 435.9 323.3Total assets 1,236.5 1,014.8Current liabilitiesTrade and other payables 451.3 352.4Financial liabilities 128.9 60.9Income tax payable 34.4 24.6 614.6 437.9Non-current liabilitiesFinancial liabilities 354.8 145.2Provisions 4.0 4.8Employee benefits 22.0 54.6 380.8 204.6Total liabilities 995.4 642.5Net assets 241.1 372.3Capital and reservesIssued capital 8 12.6 13.5Share premium 8 269.2 251.5Treasury shares 8 (0.4) (0.2)Capital redemption reserve 8 1.1 0.1Foreign currency translation 8 - (0.1)Retained earnings 8 (41.5) 106.9Equity shareholders' funds 241.0 371.7Minority interest 8 0.1 0.6Total equity 241.1 372.3 Interim condensed consolidated cash flow statementfor the 6 months to 30 June 2006 2006 2005 (restated) Notes £m £mCash flows from operating activitiesOperating profit on continuing activities before interest and taxation 95.9 76.6Depreciation 21.2 16.5Amortisation of intangible assets 3.2 1.2Share based payment expense 4.1 3.2Pension charge 7.7 5.3Pension contributions (8.9) (8.4)Movement in provisions 0.7 (0.6)Movement in debtors and creditors (2.4) 1.6Cash generated from operations 121.5 95.4Income tax paid (20.0) (22.4)Net interest paid (10.8) (6.5)Net cash generated from operating activities 90.7 66.5Net cash used in investing activitiesPurchase of property, plant and equipment (31.9) (24.1)Purchase of intangible fixed assets (1.4) (4.0)Acquisition of subsidiary undertakings and businesses (14.6) (23.0)Investment (12.5) -Cash acquired with subsidiary undertakings (0.3) 0.9Purchase of trade investments in insurance captives (5.2) - (65.9) (50.2)Net cash used in financing activitiesIssue of ordinary share capital 8 11.2 3.5Share buybacks 8 (214.5) (13.1)Share transaction costs 8 (0.8) -Dividends 5 (31.7) (23.8)Capital element of finance lease rental payments 7 (0.1) -Asset based securitised financing 7 3.9 -Repayment of loan notes and long term loans 7 (3.2) (4.5)Proceeds on issue of bonds 7 102.8 - (132.4) (37.9)Net decrease in cash and cash equivalents (107.6) (21.6)Cash and cash equivalents at the beginning of the period (19.3) (26.1)Cash and cash equivalents at 30 June (126.9) (47.7)Cash and cash equivalents comprise:Overdraft 7 (126.9) (47.7)Total (126.9) (47.7) Notes to the interim condensed consolidated financial statementsat 30 June 2006 1. Corporate information The Capita Group Plc is a public limited company incorporated and domiciled inEngland whose shares are publicly traded. The interim condensed consolidatedfinancial statements of the company and its subsidiaries ('the group') wereauthorised for issue in accordance with a resolution of the directors on 19 July2006. 2. Basis of preparation and accounting policies Basis of preparation The interim condensed consolidated financial statements for the 6 months to 30June 2006 have been prepared on the basis of the accounting policies set out inthe group's latest annual financial statements for the year ended 31 December2005. These accounting policies are drawn up in accordance with InternationalAccounting Standards (IAS) and International Financial Reporting Standards(IFRS) as issued by the International Accounting Standards Board with theexception of IAS 34 Interim Financial Reporting which has not been applied inthese interim condensed consolidated financial statements. The interim condensed consolidated financial statements do not include all theinformation and disclosures required in the annual financial statements andshould be read in conjunction with the group's annual financial statements as at31 December 2005. Significant accounting policies The accounting policies adopted in the preparation of the interim condensedconsolidated financial statements are consistent with those followed in thepreparation of the group's annual financial statements for the year ended 31December 2005, except for the adoption of the following amendments mandatory forannual periods beginning on or after 1 January 2006: • IAS 39 - Financial Instruments: Recognition and Measurement ('IAS 39') - Amendment for financial guarantee contracts - which amended the scope of IAS 39 to include financial guarantee contracts issued. The amendment addresses the treatment of financial guarantee contracts by the issuer. Under IAS 39, as amended, financial guarantee contracts are recognised initially at fair value and generally remeasured at the higher of the amount determined in accordance with IAS 37 Provisions, Contingent Liabilities and Contingent Assets and the amount initially recognised less, when appropriate, cumulative amortisation recognised in accordance with IAS 18 Revenue; • IAS 39 - Amendment for hedges of forecast intragroup transactions - which amended IAS 39 to permit the foreign currency risk of a highly probable intragroup forecast transaction to qualify as the hedged item in a cash flow hedge, provided that the transaction is denominated in a currency other than the functional currency of the entity entering into that transaction and that the foreign currency risk will affect the financial statements; • IAS 39 - Amendment for the fair value option - which restricted the use of the option to designate any financial asset or any financial liability to be measured at fair value through profit and loss. The adoption of these amendments did not affect the group results of operationsor financial position. 3. Segmental reporting Analysis of segment revenue Resourcing Commercial Corporate Integrated Professional Property Services Services Services Services Services Services Total2006 £m £m £m £m £m £m £mContinuing 101.2 141.2 146.5 214.7 140.3 101.1 845.0 2005Continuing 105.0 119.5 96.3 177.5 100.9 88.1 687.3 Notes to the interim condensed consolidated financial statementsat 30 June 2006 3. Segmental reporting (continued) Analysis of segment result Resourcing Commercial Corporate Integrated Professional Property Services Services Services Services Services Services Total2006 £m £m £m £m £m £m £mContinuing 9.8 14.3 25.6 30.6 17.7 5.2 103.2 2005Continuing 8.5 10.2 17.0 25.2 12.6 7.5 81.0 During the year the group transferred its human resource and payroll businessfrom the Corporate Services to the Resourcing Services division. The impact ofthis change on the comparatives was to increase revenue in Resourcing Servicesby £14.6m and the segment result by £2.3m and to reduce the equivalent items inCorporate Services by the same amount. 4. Earnings per share Earnings per share have been calculated in accordance with IAS 33 Earnings pershare. The average number of shares in issue during the period was 638.6m (30June 2005: 662.8m). The diluted earnings per share have been calculated on thediluted profit for the period of £61.3m (30 June 2005 - £50.3m) and an averagediluted number of shares of 649.9m (30 June 2005 - £674.6m). As at 19 July,there were 611.1m shares in issue. 5. Dividends paid and proposed The interim dividend of 2.70p (2005: 2.10p) per share (not recognised as aliability at 30 June 2006) will be payable on 6 October 2006 to ordinaryshareholders on the register at the close of business on 1 September 2006. Thedividend disclosed in the cash flow represents the final ordinary dividend of4.90p (2005: 3.60p) per share as proposed in the 31 December 2005 financialstatements and approved at the group's AGM (not recognised as a liability at 31December 2005). 6. Business combinations The group has made a number of acquisitions in the period which are shown inaggregate. The book and fair values of the assets acquired are disclosed in thetable below. Book values Fair value to Group £m £mIntangible assets - 9.1Property, plant and equipment 2.6 1.8Deferred tax 0.1 0.1Debtors 5.4 5.2Cash and short term deposits (0.3) (0.3)Creditors (8.0) (8.2)Corporation tax (0.1) (0.1)Long term loans (2.9) (2.9)Net assets (3.2) 4.7Goodwill arising on acquisition 6.8 11.5Discharged by:Cash 11.5 11.5 The full exercise to determine the intangible assets acquired is still to becompleted, thus the above numbers are provisional; this exercise will befinalised for the full year financial statements. Further cash consideration waspaid in respect of deferred consideration accrued on previous acquisitions of£3.0m, there was no impact on goodwill. As required by IAS 12, deferred taxationhas been calculated on intangible assets provisionally recognised. The impact ofthis is to create a deferred tax liability of £2.7m and to increase goodwill bythe same amount. Notes to the interim condensed consolidated financial statementsat 30 June 2006 7. Movement in net debt Debt at 1 Other cash January Acquisitions flow Non cash 30 June 2006 2006 in period movements movements Total £m £m £m £m £mOverdrafts (19.3) (0.3) (107.3) - (126.9)Cash and cash equivalents (19.3) (0.3) (107.3) - (126.9)Loan notes (22.7) - 0.2 - (22.5)Bonds (198.6) - (102.8) (0.7) (302.1)Long term loans - (2.9) 2.9 - -Finance leases (0.2) - 0.1 - (0.1)Sub-total net debt (240.8) (3.2) (206.9) (0.7) (451.6)Asset based securitised (28.2) - (3.9) - (32.1)financing (269.0) (3.2) (210.8) (0.7) (483.7) In the period the group issued $190,000,000 of fixed rate bonds. The groupentered into cross currency swaps to convert these dollar issues into sterlingequivalents paying variable rate interest. Other cash Debt at 1 flow Non cash 30 June 2005 January 2005 movements movements Total £m £m £m £mOverdrafts (26.1) (21.6) - (47.7)Cash and cash equivalents (26.1) (21.6) - (47.7)Loan notes (27.1) 4.4 - (22.7)Bonds (123.0) - - (123.0)Finance leases (0.2) 0.1 - (0.1) (176.4) (17.1) - (193.5) 8. Capital and reserves - reconciliation of movements in equity Profit Capital Foreign and Share Treasury Share redemption currency loss Minority Total capital shares premium reserve reserve reserve Total interest equity £m £m £m £m £m £m £m £m £mAt 1 January 2005 13.4 (0.2) 248.1 0.1 0.1 98.4 359.9 0.4 360.3Profit for the period - - - - - 50.3 50.3 0.2 50.5Dividends - - - - - (23.8) (23.8) - (23.8)Exchange differences - - - - (0.2) - (0.2) - (0.2)Share buybacks - - - - - (13.1) (13.1) - (13.1)Issue of share capital 0.1 - 3.4 - - - 3.5 - 3.5Actuarial losses ondefined benefit schemes - - - - - (13.7) (13.7) - (13.7)Share based payment - - - - - 3.2 3.2 - 3.2Tax taken to equity - - - - - 5.6 5.6 - 5.6At 30 June 2005 13.5 (0.2) 251.5 0.1 (0.1) 106.9 371.7 0.6 372.3 At 1 January 2006 13.4 (0.4) 258.1 0.2 0.3 125.8 397.4 0.2 397.6Profit for the period - - - - - 61.3 61.3 (0.1) 61.2Dividends - - - - - (31.7) (31.7) - (31.7)Exchange differences - - - - (0.3) - (0.3) - (0.3)Share buybacks (0.9) - - 0.9 - (215.3) (215.3) - (215.3)Issue of share capital 0.1 - 11.1 - - - 11.2 - 11.2Actuarial gains ondefined benefit schemes - - - - - 19.7 19.7 - 19.7Share based payment - - - - - 4.2 4.2 - 4.2Tax taken to equity - - - - - (5.5) (5.5) - (5.5)At 30 June 2006 12.6 (0.4) 269.2 1.1 - (41.5) 241.0 0.1 241.1 9. The 2005 comparatives have been restated. This is to reflect the treatment of the activities of Capita Financial Managers Limited who act as an authorised trust manager. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Capita