Capita
CPI · Main Market · Industrial Goods and Services · mcap £356m · 296.0p 3 open situations →
- EV
- £410m
- EV / EBIT
- –
- Net debt
- £58.3m
- FCF yield
- -30.2%
- Revenue
- £2.3bn
- Cash returned
- 0.3%
- Share price 1y
- −10%
- Insiders 12m
- sold £445k
- Next report
- around 9 Mar
Capita runs outsourced administration, customer service and technology contracts, mainly for UK government and large companies. It handles pensions, training, IT and contact centres.
Open · 3
Closed book Life & Pensions exit
Capita went live on the Civil Service Pension Scheme with an 86,000-case backlog (10 Mar 2026) and agreed an improvement plan with the Cabinet Office (18 May 2026). On 9 Jul 2026 it quantified a £25m-£40m hit to 2026 adjusted operating profit and pushed positive FCF to 2027. H1 results (4 Aug 2026) held guidance. On 2 Oct 2026 Capita noted a new NAO review, reported operational progress in August and September, and said remediation remains its top priority.
- Cash impact
- £35m-£50m on 2026 free cash flow 4 Aug 2026 ↗
- Cost drivers
- Surge resource, remediation, pension consulting disruption, delayed cost efficiencies 4 Aug 2026 ↗
- FCF guidance
- Positive free cash flow excluding business exits expected in 2027 2 Oct 2026 ↗
- Government scrutiny
- Ministerial Statement 6 Jul 2026; Public Accounts Committee 8 Jul 2026 9 Jul 2026 ↗
- H1 2026 profit
- Adjusted operating profit £32.2m, down 31.6% (reported 4 Aug 2026) 4 Aug 2026 ↗
- New scrutiny
- NAO review of CSPS administration, noted 2 Oct 2026; builds on NAO investigation of June 2025 2 Oct 2026 ↗
Next: Capital Market Event · 4 Nov 2026
- 2 Oct 2026 CSPS recovery ongoing; NAO review announced
- 4 Aug 2026 Costs flowing through H1; guidance held, recovery ongoing
- 3 Aug 2026 Completed 31 July 2026
- 9 Jul 2026 Separation progressing; completion expected before H1
Schroders Plc selling down
Next: 11.1517% still held
- 11 Sep 2026 11.1517%
- 9 Jul 2026 12.8723%
- 13 Jan 2026 13.5957%
- 19 Dec 2025 14.4398%
Synergy Business Process Services contract
Capita was selected on 4 March 2026 to deliver the Synergy Business Process Services contract for four UK government departments. It is worth £370m over 10 years if all extensions are taken, with phased starts from March 2026. It adds long-dated public-sector revenue.
- Size
- £370 million over 10 years 4 Mar 2026 ↗
- Term
- Seven years plus three optional one-year extensions 4 Mar 2026 ↗
- Customers
- DWP, Ministry of Justice, Home Office, Defra 4 Mar 2026 ↗
- Services
- HR, payroll, recruitment, finance, procurement, service desk support 4 Mar 2026 ↗
- Start
- Phased tranches, beginning March 2026 4 Mar 2026 ↗
- 4 Mar 2026 Selected; phased start from March 2026
Closed · 5
Company filings. Not investment advice.