LogicaCMG provides management and IT consultancy, systems development and integration as well as outsourced management of targeted business processes. LogicaCMG creates and implements solutions for global clients that embrace the best technological solutions for tangible business results. We know our clients expect mission-critical, integrated business solutions. 

Demand for IT Services continues to improve
Book to bill ratio 1.15:1
Revenue £1,243.1 million (2005: £891.7 million), growth of 39.4%
Pro forma revenue growth for the group was 5.2%, with particularly strong performances in the Netherlands and France 
Operating profit (including restructuring costs and amortisation of acquisition related intangibles) was £42.0 million (2005: £40.8 million, growth of 2.9%)
22.0% increase in adjusted operating profit (excluding restructuring costs and amortisation of acquisition related intangibles) on a pro forma basis, up to £77.1 million (2005: £40.8 million, up 89.0%)
Adjusted operating margins maintained or improved in all regions
Unilog integration proceeding well, with encouraging initial revenue synergies
First half dividend raised to 2.20p from 2.11p, an increase of 4.3%
Basic earnings per share (including restructuring costs and amortisation of acquisition related intangibles) were 0.7p (2005: 2.7p restated for the bonus element of the rights issue) 
Adjusted basic earnings per share (excluding restructuring costs and amortisation of acquisition related intangibles) were 3.7p, up from 2.4p in H1 2005 (restated for the bonus element of the rights issue)

Commenting on the results, Dr Martin Read, Chief Executive, said:

"It has been a good first half, with 22% underlying growth in adjusted operating profit on a pro forma basis. The Unilog integration and cost savings are proceeding well and we have seen encouraging initial revenue synergies. 

"We recently announced the acquisition of WM-data which will give us a leading position in the Nordics, the fourth largest IT services market in Western Europe. This acquisition will deliver strong returns over the coming years."

Financial Headlines

For the six months ended 30 June 2006, LogicaCMG plc financial results were as follows:

Revenue £1,243.1 million (2005: £891.7 million) - 39.4% higher than H1 2005 and 5.2% higher on a pro forma basis
Basic earnings per share were 0.7p, including restructuring costs and amortisation of acquisition related intangibles (2005: 2.7p restated for the bonus element of the rights issue)
Adjusted basic earnings per share at 3.7p, increased from 2.4p in H1 2005 (restated for the bonus element of the rights issue)
Book to bill ratio 1.15:1
Operating profit was £42.0 million including restructuring costs and amortisation of acquisition related intangibles (2005: £40.8 million, growth of 2.9%)
Adjusted operating profit was £77.1 million (22.0% higher than H1 2005 on a pro forma basis) (2005: £40.8 million, up 89.0%)
Group operating margin was 3.4% (2005: 4.6%)
Group adjusted operating margin was 6.2% (up from 5.3% in H1 2005 on a pro forma basis) (2005: 4.6%)
Cash used in operations was £5.7 million (2005: cash generated from operations £12.2 million)
Net cash inflow from trading operations was £7.7 million, compared to £10.8 million in H1 2005 on a pro forma basis (2005: £19.9 million)
Net debt, at 30 June 2006, stood at £424.7 million (£96.1 million at 31 December 2005)
Interim dividend of 2.20p compared to H1 2005 of 2.11p (restated for bonus element of the rights issue)