11 May 2009
G4S PLC
INTERIM MANAGEMENT STATEMENT
G4S, the international security solutions group, will be updating
analysts and investors today on trading for the year to date,
including an overview of financial performance to 31 March 2009.
In the first quarter of 2009 overall revenues grew 36% at actual
exchange rates compared to the same period last year and by 18% at
constant exchange rates. Operating profits were up 48% at actual
rates and up 24% at constant rates. The group operating margin
improved by 0.4% at actual rates and by 0.3% at constant rates.
Management will be indicating that there have been no material
changes in trading performance or market conditions across the
various G4S businesses since the preliminary results announcement in
March.
An overview of the financial performance for the three months to 31
March 2009 is as follows:
Organic Growth
Overall organic growth was 6% with around 3.5% in developed markets
and around 13.5% in New Markets.
§ In secure solutions, organic growth was 5% as a result of
lower growth in Europe and North America commercial services, offset
by a continued strong performance in government and New Markets
§ Cash solutions continued to deliver strong organic growth
at around 10%.
Margins
Overall margins were ahead by 0.3% (at constant exchange rates) on
the same period last year.
§ Secure solutions margins were up strongly in developed
markets due to an increased focus on costs, stronger growth in higher
margin businesses and the benefit of cost synergies coming through
from acquisitions made last year. Overall margins in New Markets
improved with a very strong performance in Africa and the Middle East
§ In cash solutions, trading continued to be strong with
margins broadly unchanged
Acquisitions & Divestments
Acquisitions for the year to date include SecuraMonde, a banknote and
high security printing specialist, based in the UK and Sunshine Youth
Services, a provider of outsourced juvenile justice services, based
in the US. The total amount invested in acquisitions and buy-outs of
minority interests for the year to date is approximately £36 million.
These capability-building acquisitions will support the delivery of
the accelerated growth strategy for the group.
Outlook
Despite the fact that some of our businesses are facing tough market
conditions, we have had a strong start to the year. We remain
confident that we can deliver a strong performance in 2009 whilst
continuing to put in place essential building blocks for future
growth.
Capital Markets Day
On 19 May, G4S will be holding a Capital Markets Day in London for
analysts and investors
AGM & Dividend
The AGM will take place on 26 May 2009 and the final dividend of 3.68
pence (DKK 0.3052) per share is proposed for payment on 5 June 2009.
For further enquiries, please contact:
Helen
Parris
+44 (0) 1293 554400
Media Enquiries:
Kevin Smith, Citigate Dewe
Rogerson
+44 (0) 7973 672649
High resolution images are available for the media to view and
download free of charge from www.vismedia.co.uk.
Notes to Editors:
G4S is the world's leading international security solutions group,
which specialises in outsourced business processes in sectors where
security and safety risks are considered a strategic threat.
G4S is the largest employer quoted on the London Stock Exchange and
has a secondary stock exchange listing in Copenhagen. G4S has
operations in over 110 countries and over 585,000 employees. For
more information on G4S, visit www.g4s.com.
An investor and analyst conference call is taking place today at
09.00 (UK time). To register for the conference call, please click on
the following link and follow the instructions:
https://eventreg1.conferencing.com/webportal3/reg.html?Acc=998166&Conf=165994
Results for the six months to 30 June 2009 will be published on 24
August 2009.
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Interim Management Statement .
| Source: G4S plc