Capita delays investor event to December as pension contract work continues

what happened

Britain's outsourcing group Capita has pushed back its capital markets event, originally set for November 4, to December, Reuters reported. The company says it is concentrating on improving service on the troubled civil service pension scheme contract. The new date will coincide with its regular trading update.

Regulators have been scrutinising Capita in recent months over how it handled the scheme. Earlier, in July, it cut its profit outlook after the UK government threatened to reclaim costs of fixing the problems. Capita says it is adding automation, tightening governance and rolling out a retirement modelling tool within weeks. It is also working with the Cabinet Office on a recovery plan aimed at member experience and stable operations.

why it matters

For investors, the delay pushes detailed information on strategy, new operating segments and financial targets back to December. Lingering problems on a large public contract add uncertainty to the company's outlook, so the December update will be watched closely. The story concerns a single company in the niche outsourcing market.

market impact

Capita shares: the postponed event and contract uncertainty add caution among the company's investors

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