Interim Management Statement

 | Source: G4S plc G4S plc 




10 May 2011

                                    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 2011.

In  the first quarter  of 2011, overall revenues  grew 4.7% at constant exchange
rates  compared to the same  period last year, and  grew 3.8% at actual exchange
rates. The group operating margin was slightly lower.

An  overview of the financial performance for the three months to 31 March 2011
is as follows:

Organic Growth

Overall  organic  growth  was  4% with  New  Markets  growth at 8% and developed
markets at 2%.

  * In  secure solutions, organic growth was  5% with strong performances in the
    UK  and  New  Markets  and  a  continued  improvement  in  North America and
    Continental Europe

  * Cash  solutions organic growth  was -1%, with  good underlying growth in New
    Markets  being offset by  a 3% decline in  developed markets. The decline in
    developed  markets was  due to  sustained low  interest rates  continuing to
    cause  volume pressure in  markets such as  the UK, Ireland and Scandinavia.
    The  previously announced contract  losses in Romania  and South Africa also
    had a negative impact.

Margins

Profits  for the first three months  were above 2010 levels, but overall margins
were slightly lower (on both a constant and actual exchange rate basis) compared
to the same period last year due to lower cash solutions margins.

  * Secure solutions margins were maintained
  * In  cash solutions, margins were 1% lower  due to the volume issues outlined
    above.

Material Events, Transactions and Financial Position

There have been no material events, transactions or changes in the financial
position of the group since the 2010 annual results were announced on 15 March
other than as outlined in this statement.



Outlook

As expected, organic growth has started to improve in developed secure solutions
markets  and strong  organic growth  continues in  developing markets.  Based on
recent  contract awards and our bid pipeline,  we expect the organic growth rate
to continue to improve during 2011.

AGM & Dividend

The AGM will take place on 19 May 2011 and the final dividend of 4.73 pence (DKK
0.4082) per share is proposed for payment on 3 June 2011 (6 June in Denmark).

Results for the six months to 30 June 2011 will be published on 24 August 2011.

Capital Markets Day

On  25 May, G4S will be holding a Capital Markets Day in London for analysts and
investors



For further details, please contact:

Helen Parris+44 (0) 1293 554423

Media enquiries

David   Allchurch   or   John   Sunnucks,   Tulchan  Group
+44(0) 0207 353 4200

Conference Call

An  investor  and  analyst  conference  call  is taking place today at 09.00 (UK
time).  Participants should  dial in  10-15 minutes before  the conference start
time.

                            Live call at 9am     Replay (available for 7 days)

UK Standard International   + 44 (0)20 3140 0722 +44 (0)20 3140 0698

UK Free Call                0800 368 1916        0800 368 1890

Denmark Free Call           808 89 215           +45 7 014 2885

USA Free Call               1 866 978 9967       +1 877 846 3918

Conference ID/Replay number N/A                  376833#






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