REG - Serco Group PLC - 2015 full year results <Origin Href="QuoteRef">SRP.L</Origin> - Part 6

SercoAnnouncement

25/02/2016 07:12

- Part 6: For the preceding part double click  ID:nRSY0914Qe 

  -                        -            
 Impairment of working capital items (non-cash)                           -                               -                        -            148.8                           -                        148.8        
 Total non cash items                                                     (13.2)                          141.6                    128.4        772.2                           581.5                    1,353.7      
 Operating cash inflow/(outflow) before movements in working capital      82.5                            (45.9)                   36.6         86.4                            (80.0)                   6.4          
 Decrease/(increase) in inventories                                       5.6                             -                        5.6          (1.4)                           -                        (1.4)        
 Decrease in receivables                                                  20.6                            -                        20.6         8.7                             18.8                     27.5         
 (Decrease)/increase in payables                                          (48.8)                          (10.7)                   (59.5)       9.7                             20.8                     30.5         
 Movements in working capital                                             (22.6)                          (10.7)                   (33.3)       17.0                            39.6                     56.6         
 Cash generated by operations                                             59.9                            (56.6)                   3.3          103.4                           (40.4)                   63.0         
 Tax (paid)/repaid                                                        (2.7)                           -                        (2.7)        0.6                             -                        0.6          
 Non cash R&D expenditure                                                 (0.7)                                                    (0.7)        (0.5)                           -                        (0.5)        
 Net cash (outflow)/inflow from operating activities                      56.5                            (56.6)                   (0.1)        103.5                           (40.4)                   63.1         
 
 
Additions to fixtures and equipment during the year amounting to £5.2m (2014: £12.5m) were financed by new finance leases. 
 
18. Assets Held For Sale 
 
As part of the Strategy Review, certain assets and liabilities have been designated as non-core and are held for sale.  As
at 31 December 2015 this is limited to the Middle East elements of the offshore private sector BPO operations and the
remaining onshore private sector BPO businesses, all of which is expected to be sold in 2016. 
 
Following the agreement to dispose of the offshore private sector BPO operations it was determined that the Environmental
Services and Leisure businesses would no longer be disposed for both strategic and financial reasons.  As a result, these
operations were transferred out of held for sale at 15 December 2015, the point at which this decision was made and
publically announced. 
 
The balances included as held for sale are as follows: 
 
                                           At 31 December 2015    At 31 December 2014  
                                     Note  £m                     £m                   
 Assets                                                                                
 Goodwill                            12    7.8                    279.1                
 Other intangible assets                   0.4                    5.0                  
 Property, plant and equipment             0.9                    94.5                 
 Deferred tax assets                       -                      11.0                 
 Other non current assets                  0.2                    26.8                 
 Inventories                               -                      2.7                  
 Current tax                               4.7                    4.2                  
 Cash and cash equivalents                 5.2                    22.4                 
 Other current assets                      20.6                   119.0                
 Assets classified as held for sale        39.8                   564.7                
 
 
 Liabilities                                                                                     
 Other current liabilities                                                    (7.4)     (96.1)   
 Current tax liabilities                                                      (0.1)     (21.8)   
 Provisions                                                               14  (24.5)    (30.0)   
 Obligations under finance leases                                             (0.5)     (37.1)   
 Loans                                                                        -         (24.8)   
 Deferred tax liabilities                                                     -         (2.5)    
 Other non current liabilities                                                -         (7.6)    
 Liabilities directly associated with assets classified as held for sale      (32.5)    (219.9)  
 
 
This information is provided by RNS
The company news service from the London Stock Exchange