The results, released this morning, reveal revenue fell from £4.23bn to £3.91bn – although the group managed to cut net debt from £1.1bn to £466.1m.

The group attributed the drop of revenue to the limited benefit from contract wins being outweighed by contract losses, and scope and volume changes in government services, customer management and specialist services. This includes the re-shaping of Capita’s contract with the Ministry of Defence and Home Office escorting, which it did not bid for again. The group also pointed to a decline in revenue from its people solutions and IT & networks divisions.

Elaborating on the group’s performance, CEO Jon Lewis said: “We’ve successfully completed year one of our multi-year transformation, fixed the basics and are firmly on track. We’ve strengthened our balance sheet, achieved cost savings and invested in our people. On top of that, we’ve improved our governance, introduced a ‘One Capita’ operating model, and started turning around challenging contracts. I am particularly proud of our new corporate purpose and refreshed values.

“The lion’s share of our business is providing digitally-enabled services and software solutions, using a combination of technology, data and insight to help deliver better outcomes for clients. This gives us a strong platform for significant, long-term structural growth.

“Our transformation still has some way to go. But I am very pleased with our progress. Our targets remain on track, and I’m excited about the prospects for a simplified and strengthened Capita.”

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