Capita 2013 profits up 14 per cent; wins 588m pounds in new 2014 contracts

27th Feb 2014 07:03

Outsourcing specialist Capita said it had won 588m pounds-worth of new contracts so far in 2014 as it lifted pre-tax profits by 14 per cent to 215m pounds for the 2013 full year. Revenues rose 15% to £3.85bn and operating profits increased to £516m from £312m in 2102."We are seeing particularly high levels of activity in the private sector, across utilities, telecoms and financial services, and also in central government and the justice market," the company said in a statement.Deputy Chief Executive Andy Parker said the UK market for "customer and process management" remained encouraging with major opportunities broadly spread across private and public sector markets.Capita said the new contract wins included a nine-year deal to operate a single public services in Scotland worth £325m and a £145m five-year arrangement to operate London's road congestion charging and traffic enforcement schemes starting November 2015.The London deal is expected to generate about £145m in revenue, the company revealed.The group said it had won £3.3bn in new contracts in 2013, compared with £4bn in the previous year. Of this total, 81% were new deals and the remainder extensions to existing contracts.Three other 2014 contract wins include an interim services agreement with the UK Ministry of Justice to run the existing electronic tagging operations for offenders prior to implementation of a new electronic monitoring contract.The dividend was increased by 13% to 26.5pFP