UK's Capita plunges after pension contract issues hit profit outlook
09/07/2026 08:31
BUZZ-UK's Capita plunges after pension contract issues hit profit outlook ** Shares of outsourcing firm Capita CPI.L down 18% at 229 pence
** Stock is top loser on FTSE small-caps .FTSC index, which is down 0.07%
** Co says failures on its flagship civil service pension scheme contract would hit annual adjusted operating profit by £25 mln to £40 mln ($33.55 mln-$53.68 mln)
** Says effects of the pension contract problems would impact its free cash flow by £35 million to £50 million this year
** "We recognise the service on Civil Service Pension Scheme has not been good enough, we are working closely with the Cabinet Office on all aspects of the scheme, and this remains our number one priority" - CEO Adolfo Hernandez
** YTD, CPI down ~31%
($1 = 0.7451 pounds)
(Reporting by Megha Kumari in Bengaluru)
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