Revenues fell again at outsourcer Serco PLC (LON:SRP) as it unwound more of its backlog of loss-making contracts.
Contract attrition was cited for the drop in sales to £1.37bn (£1.51bn) in the half-year to June, though trading profits improved slightly to £37.6mln (£34mln).
READ: Serco shares drop as it cuts revenue guidance amid 'less than ideal' market conditions
Serco added it expects sales to remain flat for the next 18 months, though trading profit will grow this year to around £80m and rise again in 2019.
Net debt at halfway was £220mln, and Serco expects a further rise by the end of the year.
Liberum kept a target price of 80p, adding that the forecast of revenues of £2.7-2.8bn this year was weaker than expected.
UK markets remain tough and other markets are mixed, added the broker.
Shares were unchanged at 102p.