Serco Group PLC (LSE:SRP), the outsourcing specialist, has yet to recover from the loss of its Australian immigration contract in November, which it accompanied with a warning it faces £20 million of additional costs due to the Budget.
If the Australian contract had been retained, Serco added it would have contributed around £165 million of revenue in 2025 and £18 million of underlying operating profit.
How the outsourcer is going to replace that lost business will be the key point of interest in Thursday's full pre-close update, but with the shares (at 142p) comfortably at a low for the year, the market is suggesting it’s not going to be easy.