Logica reports revenue up 4% for the nine months to September

02 november 2011


Headlines1

  • Group orders up 10% for the nine months to September driven by continued strong growth in Outsourcing
  • Revenue for the nine months to September up 4%, with third quarter revenue up 2% on last year to £914 million
    • Outsourcing revenue growth still strong, up 10% on a year to date basis and up 8% in the quarter
    • Consulting and Professional Services broadly stable for the nine months to September despite third quarter revenue down 3% and mixed trends across our markets
    • Revenue up in all geographies except the Benelux on a year to date basis, with particularly strong third quarter growth in the UK
  • Revenue growth expected to be above 3% for the year, with adjusted operating margin now to be in the range of 6.5% to 7.0%
  • Year end net debt/EBITDA expected to be comfortably below 1.0x; strong second half cash conversion expected

For the three months and nine months ended 30 September 2011, results were as follows:

NINE MONTHS TO 30 SEPTEMBER
2011 actual Growth YTD ’11 on ‘10 pro forma better/ (worse)%*
Orders (£m) 3,267 10
Revenue (£m) 2,910 4

THREE MONTHS TO 30 SEPTEMBER
2011 actual 2010 pro forma* Growth ’11 on ‘10 pro forma better/ (worse) %* 2010 reported Growth ’11 on ‘10 reported better/ (worse)%
799 788 1 758 5
914 897 2 863 6

*Q3 2010 revenue adjusted to Q3 2011 exchange rates and including the impact of acquisitions and disposals

For definition of pro forma, adjusted operating profit, adjusted operating margin and basic adjusted EPS, please see notes on page 6.


Commenting on today’s announcement, Andy Green, CEO said:

“Logica has continued to respond to client needs and to win new orders, with Outsourcing orders up 22% so far this year and a solid book to bill in Consulting and Professional Services. This will continue to drive growth in revenue in the fourth quarter.

The pockets of softness that became apparent in September mean we now expect 2011 margin to be in the range of 6.5% and 7.0%, with the clear actions we are taking in the Benelux and Sweden expected to drive benefits over the medium term.”

View full press release (in PDF)
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For further information, please contact:

Logica investor / media relations: Karen Keyes/Jose Cano
+44 (0) 7801 723682 /+44 (0) 20 7446 1338

Brunswick: Sarah West/Jonathan Glass
+44 (0) 20 7404 5959

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