2nd Dec 2005 06:59
Serco Group plcPre-close Trading Update2 December 2005Ahead of its financial year-end on 31 December 2005 and its pre-close meetingswith analysts, Serco Group plc ("Serco") today releases the following update oncurrent trading:During the second half of the year, Serco has continued to generate strongorganic growth and benefited from the contributions and synergies of recentacquisitions. As a consequence, Serco is on track to deliver its expectationsfor 2005.Since 1 July, Serco has won or been appointed preferred bidder for contractsvalued at approximately ‚£1.2bn. These include large and complex contracts suchas the Atomic Weapons Establishment extension, Scottish electronic monitoringand the Docklands Light Railway rebid. Serco has also won strategicallysignificant contracts which open up new markets for growth, such as theCyclamen programme in homeland defence. Serco continues to win many othercontracts, examples of which are included in a separate news update releasedtoday, available from www.serco.com.Serco Solutions and Serco Inc have delivered pleasing performances in thesecond half and are trading in line with our expectations. Serco Solutions'revenues have shown good growth compared with the first half of 2005 and thenew skills brought to Serco are bringing benefits, including winning the SmallBusiness Service contract and securing membership of a consortium bidding forthe e-Borders programme. Serco Inc continues to receive a strong flow of taskorders, as well as expanding or extending existing contracts. In addition, ourincreased scale and capability in North America are allowing us to bid newopportunities which previously could not have been pursued.Overall, market conditions remain strongly in our favour. We have a significantbid pipeline and a wide range of further opportunities to grow revenues and toincrease margins. We are confident of delivering double-digit growth for theforeseeable future.EndsFor further information, contact: +44 (0) 1256 745 900Richard Hollins, Head of Investor RelationsGraham Capper, Head of Media and Public RelationsDominic Cheetham, Director of Corporate CommunicationsNotes to editors:Serco is a leading international service company, operating in a broad range ofsectors including home affairs, defence, aerospace, transport, science, ITservices, education, local government and health. More information can be foundat www.serco.com.ENDSERCO GROUP PLCRelated Shares:
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