Pre-close statement (9389U)
January 04 2012 - 2:00AM
UK Regulatory
TIDMMMC
RNS Number : 9389U
Management Consulting Group PLC
04 January 2012
4(th) January 2012
Management Consulting Group PLC
Pre-Close Statement
Management Consulting Group PLC ("MCG" or "the Group"), the
international professional services group, today announces a
pre-close statement ahead of the announcement of the Group's 2011
preliminary results on 7th March 2012.
MCG expects to report revenue and underlying operating profit*
for the 2011 financial year in line with expectations. Alexander
Proudfoot has continued to benefit from demand from clients in the
natural resources sector, and those with operations in emerging
markets, and will report significant growth in revenues in 2011
compared with 2010. Kurt Salmon has delivered an encouraging
performance for the year in its core markets. Kurt Salmon has
extended its operations to the Chinese market with the acquisition
which was announced in October 2011 and the acquired business is
performing well.
Since 31 December 2010 approximately 50 million warrants issued
in the capital raising of June 2010 have been or are being
converted into Ordinary Shares in MCG at an exercise price of 22
pence, providing cash proceeds to MCG of approximately GBP11
million.
In addition to the cash inflows from the warrant exercises,
operational cash generation has continued to be a key focus for the
Group and as a result there has been a significant reduction in net
indebtedness during the year. Net indebtedness at 31 December 2011
is expected to be approximately GBP31 million compared with GBP54.4
million at 31 December 2010. The Group has recently refinanced its
borrowing facilities and now has in place an GBP85 million revolver
facility until July 2016.
*The term 'underlying' is defined as "before non-recurring
items, the amortisation of acquired intangible assets and the
impairment of acquired goodwill from continuing operations".
Nick Stagg, Chief Executive commented:
"Both Kurt Salmon and Alexander Proudfoot have made good
progress during 2011, despite continuing economic uncertainty. The
Group has generated strong cash flows during the year, further
reducing its indebtedness, and is in a strong financial position.
MCG will continue to benefit from its broadly diversified business
in terms of both geography and sector focus."
For further information please contact:
Management Consulting Group PLC Tel: +44 20 7710 5000
Nick Stagg, Chief Executive
Chris Povey, Group Finance Director
FTI Consulting Tel: +44 20 7831 3113
Ben Atwell, Susan Quigley
Notes to editors:
Management Consulting Group PLC (MMC.L) provides professional
services across a wide range of industries and sectors.
It comprises two independently managed practices: Alexander
Proudfoot and Kurt Salmon. Alexander Proudfoot develops and
implements operational improvements to its clients to increase
productivity and reduce costs. Kurt Salmon provides consultancy
services to a wide range of industries in both the private and
public sectors. The Group operates worldwide. For further
information, visit www.mcgplc.com.
This information is provided by RNS
The company news service from the London Stock Exchange
END
TSTUGUGCGUPPGMW
Management Consulting (LSE:MMC)
Historical Stock Chart
From Jun 2024 to Jul 2024
Management Consulting (LSE:MMC)
Historical Stock Chart
From Jul 2023 to Jul 2024