10 Jan 2011 07:00
10 January 2011
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 2010 preliminary results on 7 March 2011.
MCG expects to report revenue and underlying operating profit* for the 2010 financial year in line with expectations.
The Group's net indebtedness was reduced significantly as a result of the Capital Raising completed in the first half of 2010. Cash generation has continued to be a key focus for the Group and there has been a further significant reduction in net indebtedness in the second half. Net indebtedness at 31 December 2010 was approximately £56 million compared with £74.8 million six months earlier at 30 June 2010.
\* 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:
"2010 was another challenging year for our businesses, but we took decisive action to improve our balance sheet through a capital raising in the first half, and we have further significantly reduced our net indebtedness from operating cash flows in the second half. Alexander Proudfoot is performing well and shows encouraging signs for 2011. The merger of Ineum and KSA has been successfully completed and the business is now trading as Kurt Salmon. We look forward to realising the benefits of the merger in 2011 and beyond. With a strengthened balance sheet and a lean business model we are well placed to benefit from global economic recovery."
For further information please contact:
Management Consulting Group PLC | Tel: +44 20 7710 5000 |
Nick Stagg, Chief Executive Chris Povey, Group Finance Director | |
Financial Dynamics |
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.