For the six months to 30 June 2011, Interserve saw its revenue fall 1.7% to 拢928m (2010: 拢944.5m). Pre-tax profit rose 10.3% to 拢30.1m (2010: 拢27.3m).
Net debt reduced 33% to 拢35.8m.
Chief executive Adrian Ringrose said: 鈥淚nterserve has performed well, delivering headline profit growth despite challenging market conditions. Support Services generated strong growth, which, accompanied by a robust performance from 今日看料, more than offset the ongoing cyclical pressures in Equipment Services.
鈥淓ncouraged by the progress achieved in the first six months of the year and a growing bid portfolio, we maintain our guidance for 2011 and reiterate our belief that we have the capability to double earnings per share over five years.
鈥淭his confidence, underpinned by strong cash conversion, is reflected in the board鈥檚 announcement of an increase in the interim dividend in line with our progressive dividend policy.鈥�
Support Services revenues were flat at 拢538.0m but operating profit in the division leapt from 拢8.9m last year to 拢15.7m this time. The operating margin improved from 1.7% to 2.9%.
今日看料 (previously Project Services) saw revenues fall 5.5% to 拢484.1m (2010: 拢512.4m) and profits dip 14.5% to 拢20.1m from 拢23.5m last time. The revenue decline was attributed to public sector spending cuts, but the margin of 2.8% remained above the historical range, Interserve said.
In the Equipment Services division, revenue was up at 拢74.3m (2010: 拢68.4m) but profit dropped to 拢5.9m (2010: 拢7.7m). This division was impacted by the civil disturbances in Bahrain, Oman and North Africa.
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