RTC Group releases statement ahead of AGM
At the meeting Bill Douie, Chairman of RTC, will make the following statement:
"I am pleased to report that the Group has traded well since the publication of the 2014 results in March and we continue to experience strong demand from both new and existing customers.
Ganymede's mobilisation to provide contingent labour services to Network Rail Infrastructure Limited for the next five years is well underway and we are currently investing in the ongoing increased level of resources required to deliver the additional volume and enable Ganymede to perform at the service level agreed with Network Rail.
"Volumes are expected to increase significantly after 18 May 2015 (the end of the mobilisation period) and we therefore anticipate the positive impact of this contract will become apparent in our second half figures. All Ganymede businesses are performing to our expectations.
"The significant investment in headcount in ATA towards the end of 2014 is settling in well and we expect to see the positive impact of this in the second half of the year.
"GSS continues to support NATO operations in Afghanistan through its contract with Kellogg, Brown, Root (KBR) and has now secured a number of smaller additional contracts with KBR in both Afghanistan and Iraq. The business is continuing its discussions with a range of clients to provide workforce solutions on a range of non-military opportunities.
"The Derby Conference Centre has made a good start to the year with activity in line with the previous year and expectations.
"Cash generation has continued to be strong and has facilitated the purchase of own shares by the Company to enable it to implement its long term strategic reward programme to incentivise key employees as the Group enters the next phase of its exciting growth plan. To that end I am pleased to confirm the Group has now established an Employee Benefit Trust, set up for the purpose of granting options to key employees both currently employed and in the future.
"Whilst it is still early in the current financial year, trading remains positive and the Board is confident the Group will meet market expectations for 2015."