Capita profits from outsourcing boom

CAPITA reported an 18 per cent rise in first-half profits yesterday as it benefited from government and companies outsourcing to cut costs.<br /><br />The group reported a pre-tax profit of &pound;141.7m, on the back of an 11 per cent rise in revenues to &pound;1.31bn.<br /><br />The results came in below analysts&rsquo; expectations, but chief executive Paul Pindar said the company was sticking to its full-year profits target of &pound;320m.<br /><br />&ldquo;We certainly expect to meet analyst expectations for 2009. I think the consensus number is sensible and would represent around 17 per cent growth which would be a reasonable performance,&rdquo; said Pindar.<br /><br />The group said it would make more acquisitions to add to the &pound;92.7m worth of purchases it made in the first half.