The interim report for security services multi-national Securitas for the first half of 2011, January to June, includes comment on the company’s recent buys of UK guarding contractors Reliance Security and Chubb Security Personnel.
Alf Göransson, the company’s President and Chief Executive Officer, said: "The recent large acquisitions in the United Kingdom, that give us an improved presence and strength in the UK security market, are developing as expected even if they dilute the operating margin during 2011." <br><br>The company spoke of positive organic sales growth continued in North America, Ibero-America and in Mobile and Monitoring. <br><br>However, the firm said that the loss of a few important contracts has hampered the growth in Security Services Europe. Including acquisitions, the real sales growth in the Group was 13 percent in the quarter and 11 percent for the first half year.<br><br>Göransson said: "In Security Services Europe, the loss of a few major contracts and difficulties to manage the balance between wage increases and price increases have resulted in a non-satisfactory development and actions are taken to restore the performance. The balance of labour markets recovering and competitive market conditions must be managed with prudence, and being the market leader in many European markets, we will continue to prioritise profitability rather than market share."
