**Summary of Serco Group PLCs 2025 Full Year Results:**
Serco Group PLC reported strong financial performance for 2025, with revenue of ยฃ4.9 billion, up 3% at constant currency, and underlying operating profit of ยฃ272 million, up 1% at constant currency. The company achieved organic growth of 1%, with significant contract wins and growth offsetting immigration reductions in the UK and Australia. Key highlights include
**Revenue and Profit Growth** Revenue increased to ยฃ4.9 billion, with underlying operating profit at ยฃ272 million. Reported operating profit rose 89% to ยฃ246 million.
**Cash Flow** Strong free cash flow of ยฃ219 million, ahead of guidance, with a trading cash conversion of 112%.
**Order Intake and Book** Order intake was ยฃ5.5 billion, with a book-to-bill ratio of 114%. The order book increased to ยฃ14.5 billion, 9% higher than 2024.
**Financial Position** Adjusted net debt was ยฃ206 million, with leverage at 0.7x net debt to EBITDA, significantly <mark style="background-color:yellow">below</mark> the target range of 1-2x.
**Shareholder Returns** Completed a ยฃ50 million share buyback in 2025 and announced a new ยฃ75 million buyback for 2026. Recommended a final dividend of 3.05 pence per share, an 8% increase.
**Strategic Progress** Strengthened position in key markets, particularly defence, with a pipeline of ยฃ12.1 billion, up 8% and the highest in over a decade. North American pipeline more than doubled.
**Operational Excellence** Contract retention rates over 90%, improved safety performance, and strong colleague engagement. Successful integration of the MT&S acquisition.
**Guidance for 2026** Reiterated guidance with revenue of around ยฃ5 billion, organic growth of 3%, and underlying operating profit of ยฃ300 million, driven by contract ramp-ups and productivity improvements.
Sercos CEO, Anthony Kirby, emphasized the companys strategic and operational progress, highlighting its role as a trusted partner to governments globally. The company is well-positioned for growth in 2026, with a robust financial position and a focus on sustainable growth, competitiveness, and operational excellence.
Here is the HTML table code comparing Serco Group PLC's financials and debt year on year:
**Notes:** * The tables compare key financials and debt metrics for Serco Group PLC between 2025 and 2024.
* The first table shows revenue, profits, earnings per share, dividends, and free cash flow.
* The second table focuses on debt metrics, including adjusted net debt, reported net debt, and leverage.
* The changes are presented as percentages, with constant currency changes provided where applicable.
* The leverage ratio is significantly below the target range, indicating a strong financial position.