British security services company G4S may face another barrage of criticism over last year's London Olympics debacle when it releases its 2012 results on Wednesday.
G4S landed itself in hot water after the company had to call in soldiers on leave as it failed to hire enough security guards as part of its Olympic contract.
Last month it admitted the total cost of the shambles amounted to £38m more than the £50m it expected.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
"G4S has faced a series of setbacks in the UK, with the mishandled Olympics contract followed by a failure to secure recent high profile prisons and police opportunities," Investec said last month.
However, the broker said it believed concerns were overdone and that the group was poised to benefit from a greater flow of programmes in 2013.
The analyst raised its rating on the stock from 'hold' to 'buy' in February and increased its target price from 280p to 330p.
Revenues are expected to rise £8.0bn, up from £7.5bn a year earlier, while pre-tax profit is pegged to drop to £423m from £435m.
Earnings before interest, tax, depreciation and amortisation (EBITDA) is also expected to fall to £540m from £546m.
"[Last year] proved to be an annus horribilis for G4S, with the Olympics scandal dominating investor attention," Investec added.
"Though the valuation discount has started to unwind, we believe there is more to come in 2013."
Wednesday March 13
INTERIMS
Brooks Macdonald Group, PureCircle Ltd. (DI)
INTERIM EX-DIVIDEND DATE
Ashmore Group, Asian Citrus Holding, Cash Converters International Ltd, Craneware, Dechra Pharmaceuticals, Genus, Hargreaves Lansdown, Interior Services Group, News Corp. 'A' Shares, News Corp. 'B' Shares, Standard Life UK Smaller Companies Trust, Stewart & Wight, Tracsis, Wilmington Group
QUARTERLY PAYMENT DATE
Unilever
QUARTERLY EX-DIVIDEND DATE
British Assets Trust, Land Securities Group, XP Power Ltd. (DI)
INTERNATIONAL ECONOMIC ANNOUNCEMENTS
Business Inventories (US) (13:30)
Import and Export Price Indexes (US) (13:30)
Import and Export Price Indexes (US) (12:30)
Industrial Production (EU) (10:00)
Retail Sales (US) (13:45)
GMS
Cash Converters International Ltd
FINALS
888 Holdings, Cello Group, Ferrexpo, French Connection Group, Frutarom Industries Ltd GDR (Reg S), G4S, MirLand Development Corporation, OJSC Cherkizovo Group GDR (Reg S), Powerflute Oyj (DI), StatPro Group
SPECIAL EX-DIVIDEND PAYMENT DATE
Asian Citrus Holding
AGMS
Electronic Data Processing, Octopus Eclipse VCT 1
FINAL EX-DIVIDEND DATE
Avesco Group, AZ Electronic Materials SA (DI), British American Tobacco, British Polythene Industries, CQS Rig Finance Fund Ltd., Domino's Pizza Group, FBD Holdings, Fidelity European Values, Meggitt, Mithras Inv Trust, MTI Wireless Edge Ltd., Paddy Power, Safestore Holdings, Serco Group, Standard Chartered, Synectics, Telecity Group, Temple Bar Inv Trust, William Hill
RD
-
Christmas at Chatsworth: review of The Cavendish Hotel at BaslowMoneyWeek Travel Matthew Partridge gets into the festive spirit at The Cavendish Hotel at Baslow and the Christmas market at Chatsworth
-
Tycoon Truong My Lan on death row over world’s biggest bank fraudProperty tycoon Truong My Lan has been found guilty of a corruption scandal that dwarfs Malaysia’s 1MDB fraud and Sam Bankman-Fried’s crypto scam
