Feeds

Logica ups profits on falling revenues

German jobs to go...

  • alert
  • submit to reddit

Intelligent flash storage arrays

Logica managed to increase profits despite seeing revenues fall just over five per cent in the first half of the year.

For the six months ended 30 June 2004 LogicaCMG brought in revenues of £809.2m, down 5.1 per cent on the same period last year. Statutory operating profit was £34.2m compared to a loss of £52.7m for the first half of 2003. Interim dividends are unchanged at 2.3p per share.

The UK contributed 42 per cent of group revenues and saw good growth particularly in outsourcing and government. Benelux countries, 23 per cent of revenues, returned to growth and improved margins. Logica's German business faces restructuring and the loss of 300 jobs to return it to profitability in 2005.

Dr Martin Read, LogicaCMG's chief executive, said: "Both the order intake and the prospect pipeline continue to strengthen. We are pleased to report that the strong performance of the UK has been maintained and the Benelux has returned to growth with an accompanying margin improvement.

In IT services we achieved the highest book to bill ratio since the merger, providing us with a good platform for the second half. We anticipate that margins in the second half will be ahead of those acheived in the first half half despite the impact of poor performance in Germany and ahead of 8 per cent for the year as a whole. The actions we are taking in Germany will benefit the second half..."

More detail here. ®

Related stories

Logica warns on wireless profits
IBM, Logica spar for £80m MoD deal
Logica to bring MMS to land lines

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.