HOOK (dpa-AFX) - Serco Group Plc (SRP.L) said it is on track to meet 2012 expectations, continuing to expect another year of strong total revenue growth, including further good organic growth, together with an adjusted operating margin increase similar to 2011. The first half performance would reflect the challenging environment in the US and some remaining UK headwinds, as already indicated.
Christopher Hyman, Chief Executive of Serco Group plc, said, 'Conditions for the US federal market and hence our Americas division currently remain very tough, but for the year as a whole we anticipate that further strong growth in AMEAA, the improving UK outlook, and the delivery of cost efficiencies will see us meet expectations.'
Also, the company expects to achieve broadly flat organic revenue in the first half for the Group as a whole, despite the tough US federal market conditions experienced by the Americas division. Acquisitions completed during 2011 are expected to add growth of about 6% to the Group's total revenue in the first half.
Moreover, improving conditions worldwide, should they continue, would allow the Group to anticipate a modest improvement in the rate of organic revenue growth in 2013 and further improvement into the medium term.
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© 2012 AFX News
