Unaudited Interim Results

SERVOCA Plc

("Servoca" or the "Group")

Specialist Outsourcing and Recruitment Solutions Provider

Unaudited Interim Results

for the six months ended 31 March 2015

Highlights

· Revenue £28.12m (2014: £22.39m), an increase of 25.6%

· Gross profit £7.84m (2014: £6.28m), an increase of 24.8%

· Profit before taxation* up 150% to £1.03m (2014: £0.41m)

· Strong growth in recruitment operations with Education and Healthcare businesses continuing to perform exceptionally well

· Net Debt reduced to £1.60m (March 2014: £2.91m, September 2014: £2.63m), a reduction of 45%

· Basic EPS of 0.66p* (2014: 0.28p), an increase of 136%

* before amortisation and share based payments

Andy Church, CEO, commented:-

"As indicated in our recent trading update, the Group has experienced a great start to the year with results significantly ahead of the same period last year. Strong sales growth has helped to increase pre-tax profits by over 150% and the business is well positioned for continued progress.

Our Education and Healthcare recruitment operations have performed exceptionally well and carry good momentum into the second half of the year. Trading conditions across these key markets continue to remain positive and full year profitability is once again expected to significantly benefit from the pivotal September period for our Education businesses"

For further enquiries:

Servoca Plc

Andrew Church, CEO 020 7747 3030

finnCap Ltd

Geoff Nash/James Thompson 020 7220 0500

Malar Velaigam (corporate broking)

Newgate Threadneedle

Tim Thompson/Robyn McConnachie/Lois Engstrand 020 7653 9850

This document is available from the Company's website: www.servoca.com, on the "Shareholder Documents" page in the section headed "Investor Relations".

Unaudited Interim Results

SERVOCA Plc

Interim Statement

For the six months ended 31 March 2015

Introduction

We are pleased to report that for the six months ended 31 March 2015 we have continued to see significant improvement in the performance of the Group.

Exceptional organic growth in our revenues and gross profits from our Education and Healthcare Recruitment businesses has helped increase pre-tax profits by more than 150% over the same period last year. We are seeing strong demand for our services in both of these areas and the investment made in previous years in our internal capabilities is driving higher profitability and scale.

The Group is also benefitting from an improved management focus on those areas which the Board believe hold the greatest growth potential. With this in mind, the Group sold its Doctors recruitment business to management during November and made a small bolt-on acquisition of an Education recruitment business towards the end of February. Neither transaction was material but the Board believes profitability will continue to benefit from this focus.

Financial review

During the six months to 31 March 2015, revenues were £28.12m (2014: £22.39m), an increase of 25.6%, which resulted in a gross profit of £7.84m (2014: £6.28m), an increase of 24.8%.

Administrative expenses (before amortisation and share based payments) for the current period were £6.78m (2014: £5.84m), an increase of 16.1%.

The profit before tax, (before amortisation and share based payments) increased to £1.03m

(2014: £0.41m), an increase of over 150%.

Basic earnings per share (before amortisation and share based payments) for the period to 31 March 2015 were 0.66p (2014: 0.28p), an increase of 136%.

Net debt at 31 March 2015 was £1.60m (March 2014: £2.91m, September 2014: £2.63m).

The Company is continuing with its share buy back program and at the date of this report, holds 310,100 shares in treasury.

Operational highlights

Strategy and delivery

The focus during the period has remained the development of the Group's capabilities in those areas that the Board believes afford good growth opportunities.

Outsourcing

Our Outsourcing activities are primarily based in two areas; Domiciliary Care and Security.

In our statement for the year-ended 30 September 2014 we reported that our Domiciliary Care business had seen market conditions stabilise. We also reported that the business had seen positive momentum in the second half of the year with all financial measures showing an increase on the first half. We are pleased to report that, despite the challenges still faced by reduced levels of government funding in many parts of the country, the business delivered double digit revenue and gross profit growth over the same period last year. This helped deliver a 20% increase in operating profits.

Unaudited Interim Results

SERVOCA Plc

Interim statement (continued)

For the six months ended 31 March 2015

Outsourcing (continued)

Our Security business has experienced a solid start to the year with revenues and gross profits slightly up on the same period last year with operating profit broadly similar. The business continues to experience above industry standard margins as a consequence of our focus on our Electronic and Event Security offerings.

Recruitment

Our recruitment businesses supply into the Education, Healthcare and Police markets.

Our Education businesses continue to go from strength to strength and performance during the period was outstanding. Revenues increased by 41% over the same period last year, gross profits were up by 43% and as a consequence operating profits were significantly ahead of the period ended 31 March 2014. The operation continues to benefit from strong demand for its services and continued investment in increased sales headcount, management and new branch openings. This business area contributes significantly more scale and profitability than any other area of the Group's operations.

As reported in our statement for the year ended 30 September 2014, our Healthcare operation enjoyed a material improvement in profitability and a return to growth last year. The disposal of our Doctors recruitment business in the early part of this year has also enabled an improved management focus on our remaining Nursing businesses. Our Nursing operations supply into both the private and public sector and have continued to experience strong demand for their services. This has again led to an outstanding improvement in performance over the same period last year. Revenues increased by 64%, gross profits were up 70% and this resulted in another significant improvement to operating profits.

Our Education and Healthcare recruitment businesses continue to increase in scale.

Our Police business, which operates in a niche market, continued to see margin pressure which impacted gross profits despite revenues remaining relatively stable. It continues to make a solid contribution to the Group.

Outlook

Our Education and Healthcare recruitment businesses have enjoyed a great start to the year and carry strong momentum into the second half. As ever, full-year profitability is expected to significantly benefit from the pivotal September period for our Education businesses.

The Board remains confident in its expectations for the full year.

Bob Morton Andrew Church

Chairman Chief Executive Officer

16 June 2015 16 June 2015

Unaudited Interim Results

SERVOCA Plc

Consolidated statement of comprehensive income

For the six months ended 31 March 2015

Unaudited Interim Results

SERVOCA Plc

Consolidated statement of financial position

At 31 March 2015

Unaudited Interim Results

SERVOCA Plc

Consolidated statement of changes in equity

For the six months ended 31 March 2015

Unaudited Interim Results

SERVOCA Plc

Consolidated statement of cash flows

For the six months ended 31 March 2015

Unaudited Interim Results

SERVOCA Plc

Notes forming part of the financial information

For the six months ended 31 March 2015

1 Accounting periods

The accounting reference date of the Group is 30 September. The current interim results are for the six months ended 31 March 2015. The comparative interim results are those for the six months ended 31 March 2014. The comparative year end's results are for the year ended 30 September 2014.

2 Going concern

The directors have prepared trading and cash flow forecasts for the period to 30 September 2016 which indicate adequate headroom in borrowing facilities. Accordingly, they continue to adopt the going concern basis in preparing these financial statements.

3 Financial information

The interim financial information for the six months ended 31 March 2015 does not constitute statutory accounts as defined in Section 434 of the Companies Act 2006.

The financial information for the periods ended 31 March 2015 and 31 March 2014 are unaudited. The comparative figures for the year ended 30 September 2014 are not the full statutory accounts for the period. A copy of the statutory accounts for that year has been delivered to the Registrar of Companies. The auditors have reported on those accounts; their reports were unqualified, did not contain an emphasis of matter paragraph and did not contain a statement under Section 498 of the Companies Act 2006.

4 Basis of preparation and accounting policies

The interim financial statements have been prepared using the recognition and measurement principles of IFRS as endorsed for use in the European Union.

The accounting policies adopted in the preparation of this interim financial information are consistent with those followed in the preparation of the Group's annual financial statements for the year ended 30 September 2014 and no new standards or interpretations that have come into effect in the interim period has a material impact on the results of the business.

Unaudited Interim Results

SERVOCA Plc

Notes forming part of the financial information

For the six months ended 31 March 2015

5 Segmental information

The Group's format for reporting segment information is by business segment, being by type of service supplied. The operating divisions are organised and managed by reporting segment where applicable and by divisions within a reporting entity where necessary. The information presented is consistent with that used by the chief operating decision maker. All revenues are generated from external customers.

The Outsourcing segment provides services to the Domiciliary Care and Security sectors.

The Recruitment segment provides recruitment services to the Healthcare, Education and Police sectors.

 Unallocated includes holding company director costs, group legal costs, central share based payment charges and a share of central property costs.

Unaudited Interim Results

SERVOCA Plc

Notes forming part of the financial information

For the six months ended 31 March 2015

5 Segmental information (continued)

Unaudited Interim Results

SERVOCA Plc

Notes forming part of the financial information

For the six months ended 31 March 2015

6 Earnings per share

The calculation of earnings per share for the period ended 31 March 2015 is based on a weighted average number of ordinary shares in issue during the period of:

The above number of shares is used in all of the earnings per share calculations below.

Additional disclosure is also given in respect of earnings per share before share based payments and amortisation as the directors believe this gives a more accurate presentation of maintainable earnings.

Unaudited Interim Results

SERVOCA Plc

Notes forming part of the financial information

For the six months ended 31 March 2015

7 Other financial liabilities and provisions

8 Share capital

The Company acquired 835,103 of its own shares in the period (2014: 150,613) and sold 760,616 of its own shares in the period (2014: nil). The number of shares held as 'treasury shares' at the period end was 225,100 (2014: 150,613). The company has the right to re-issue these shares at a later date.

9 Cash and cash equivalents and net debt