Record orders for Serco
Outsourcing group Serco expects to have delivered a 14 per cent growth in revenue to £3.2 billion over the course of 2019.
Serco, which operates leisure centres in Shropshire and runs waste collection services in Sandwell, has also seen s 30 per cent rise in underlying trading profit to around £120 million and record order intake of more than £5bn this year.
Revenue growth was particularly strong in the in the second half of the year approaching 20 per cent,
Continued strong growth is expected in 2020 with revenue expected to rise to between £3.4bn and 3.5bn and underlying trading profit expected to grow by about 20 per cent to around £145m.
Rupert Soames, Serco group chief executive, said: "The results that we expect to report for 2019 will represent the second successive year of strong growth in revenue and profits, while our positive outlook for 2020 means that we expect to double our underlying trading profit from the £69m achieved in 2017 to the £145m we plan to deliver in 2020.
"Once again, we see the advantage of having a broad international footprint, with excellent growth in both our North America and Asia Pacific divisions, and the ability to successfully execute acquisitions such as NSBU in the US.
"The UK also delivered a good performance, returning to organic growth in the second half, which is the first time since 2013. Perhaps the most notable aspect of 2019, however, is the record order intake of over £5bn, representing over 150 per cent of annual revenues, which demonstrates the confidence our customers have in us to deliver critical, sensitive and complex public services. Between the start of 2017 and the end of 2019, our order book will have increased by more than 40 per cent from £10bn to over £14bn."
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