British support services and building firm Interserve
Interserve, whose services range from cleaning stores at Sainsbury's to building shopping malls in the Middle East, said that despite reasonable opportunities it had yet to see the big shift in thinking towards outsourcing, particularly among local authorities, that many analysts had predicted would come from tough government austerity measures.
The group said on Wednesday that underlying pretax profit for 2011 was 72.8 million pounds ($115.30 million).
Across its three divisions, revenues in its support services division were flat, while a 10 percent rise in equipment services was largely negated by a slump in its construction arm where many markets remain subdued internationally.
Its full-year profit compared to a consensus of 72 million pounds pretax profit, according to analysts at Peel Hunt.
The firm, which employs around 50,000 staff and won over 2 billion pounds of work in 2011, said it had a forward order book of 5.6 billion pounds and expected a stable 2012 as it chased work in new markets such as justice.
Shares in the FTSE 250 listed firm, which raised its full-year dividend by 5.6 percent to 19 pence, closed at 292 pence on Tuesday, valuing the business at around 380 million pounds. ($1 = 0.6314 British pounds)
(Reporting by Neil Maidment; editing by James Davey)