Keller Group Plc - Annual Financial Report
Annual Report and Accounts for the year ended
In connection with this, the following documents have been posted or otherwise made available to shareholders:
·
Annual Report and Accounts for the year ended
· Notice of AGM 2024
· Proxy Form (for shareholders on the register of members)
· Form of Direction (for employee shareholders)
· Notice of Availability
In compliance with Listing Rule 9.6.1R,
copies of these documents have been submitted, where appropriate, to the National Storage Mechanism via the
We have also submitted the Annual Report 2023 in the electronic reporting format required by Disclosure Guidance and Transparency Rule (“DGTR”) 4.1.14R; and the Annual Report 2023 and the Notice of AGM 2024 are now available to view on the Investors section of the Company's website at
Investor centre |
The Board is keen to ensure that shareholders are able to exercise their right to participate in the meeting. Details on how to submit a proxy vote electronically, by post, online through CREST or Proxymity are set out in the Notice of AGM 2024.
Should shareholders wish to ask any questions of the Board relating to the business of the AGM 2024, they are encouraged to email their questions in advance to
secretariat@keller.com
or send them by post to the Company's registered office for the attention of the
In accordance with DGTR 6.3.5R, this announcement contains information in the Appendix about the principal risks and uncertainties, the Directors’ responsibility statement and note 29 to the accounts on related party transactions. This information has been extracted in full unedited text from the Annual Report 2023. This material should be read in conjunction with and is not a substitute for reading the full Annual Report 2023. References to page numbers and notes in the Appendix refer to those in the Annual Report 2023.
A condensed set of financial statements was appended to the Keller's preliminary results announcement issued on
For further information, please contact:
Keller Group plc
www.keller.com
Notes to editors:
Keller is the world's largest geotechnical specialist contractor providing a wide portfolio of advanced foundation and ground improvement techniques used across the entire construction sector. With around 9,500 staff and operations across five continents, Keller tackles an unrivalled 5,500 projects every year, generating annual revenue of c.£3bn.
LEI number: 549300QO4MBL43UHSN10
DGTR 6 Annex 1 Classification: 1.1 (Annual financial and audit reports)
Appendix
Principal risks and uncertainties
We list on the following pages the principal risks and uncertainties as determined by the Board that may affect the Group and highlights the mitigating actions that are being taken. The content of the table, however, is not intended to be an exhaustive list of all the risks and uncertainties that may arise.
Link to strategy
1 Balanced portfolio 2 Engineered solutions
3 Operational excellence 4 Expertise and scale
Risk movement since 2022 and link to viability
Increased risk Constant risk Reduced risk
Timeframe
Short term Medium term Long term
Financial risk
1 Inability to finance our business
Description and impact Causes Mitigation and Movement since
internal controls 2022
-- Centralised
Treasury
function that
is
responsible
for managing
key financial
risks,
including
liquidity and
credit
capacity.
-- Mixture of
long-term
committed
debt with
varying
maturity
dates which
comprise a
£375m
revolving
credit
facility with
a maturity
extended to
November 2025
and a new US
private
placement
Failure to debt of
sufficiently and $300m , with
effectively manage the $120m
financial strength of maturing in
the Group could lead 2030 and
it to: $180m
maturing in
-- Fail to meet 2033. There Reduced risk
required tests is $75m of US
that allow it private New $300m US
to continue to placement private
use the going maturing in placement
concern basis 2024. secured, along
in preparing -- Failure to -- The Group with strong
its financial accurately maintains operational
statements. forecast significant performance
-- Fail to meet material undrawn throughout 2023,
financial exposures facilities demonstrate
covenant and/or within a clear ability to
tests, manage the high-quality manage both
potentially financial RCF bank existing and
leading to a resources syndicate, future risks.
default event. of the which
-- Have a lack of Group. underpin the Negotiations to
available liquidity refinance the
funds, requirements existing
restricting of the Group. revolving credit
investment in -- Strong free facility will
growth cash flow commence in Q1
opportunities, profile – 2024.
whether flexibility
through on capital
acquisition or expenditure
innovation. and ability
-- Be unable to to reduce
meet dividend dividends.
payment -- Embedded
requirements. procedures to
monitor the
effective
management of
cash and
debt,
including
weekly cash
reports and
regular cash
flow
forecasting
to ensure
compliance
with
borrowing
limits and
lender
covenants.
-- Culture
focused on
actively
managing our
working
capital and
monitoring
external
factors that
may affect
funding
availability.
Link to strategy 3 / 4
Link to viability Yes
Timeframe Medium / Long term
Market risk
2 A rapid downturn in our markets
Description and Causes Mitigation and Movement since 2022
impact internal controls
-- The diverse
markets in
which the
Group
operates,
both in
terms of
geography
and market
segment,
provide
protection
to
individual
geographic
or segment
slowdowns.
Inability to -- Leveraging
maintain a the global
sustainable level scale of
of financial the Group,
performance talent and
throughout the -- Customers resources
construction postponing can be
industry market or reducing redeployed Constant risk
cycle, which grows investment to other
more than many in ongoing parts of The Group continues
other industries and new the company to maintain a very
during periods of projects. during strong order book
economic expansion -- Impact of individual across all
and falls more increasing market divisions at near
harder than many inflation, slowdowns. record levels.
other industries especially -- Having However, due to
when the economy in steel, strong increasing
contracts. Any cement and local inflation, higher
significant, energy. businesses interest rates and,
sustained reduction -- Political with geopolitical
in the level of instability in-depth uncertainty, we are
customer activity leading to knowledge seeing some early
could adversely disruption of the signs of customers
affect the Group’s in supply local delaying project
strategy, reducing chains markets starts and
revenue and impacting enables investment.
profitability in both early
the short and availability detection
medium term, and and price. and
negatively impact response to
the longer-term market
viability of the trends.
Group. -- The diverse
customer
base, with
no single
customer
accounting
for more
than 4% of
Group
revenue,
reduces the
potential
impact of
individual
customer
failure
caused by
an economic
downturn.
Link to strategy 1 / 2
Link to viability Yes
Timeframe Medium / Long term
Strategic risks
3 Failure to procure new contracts while maintaining appropriate margins
Description and Causes Mitigation and Movement since
impact internal controls 2022
Constant risk
-- A focus on We continue to
understanding maintain a
customer strong order
requirements book with
and improving
competitor margins during
capabilities. 2023. We are
-- Structured also seeing
bid review increased
processes in competition on
Failure to negotiate operation contracts
satisfactory and throughout within our
appropriate the Group markets with
contractual terms may with increased
result in: well-defined pressure on
selection bid pricing
-- Delays and criteria that from our
disputes -- Increased are designed customers that
during competition to ensure we along with
project especially in take on inflationary
delivery, tight or contracts pressures
negatively contracting only where we could
impacting our markets. understand potentially
relationships -- Failure to and can erode contract
with our fully manage the margins.
customers and understand risks Significant
the Group’s and/or involved. increase in
reputation ability to -- The Project the cost of
for meet customer Lifecycle insurance
delivering requirements. Management along with
quality -- Inadequate (PLM) increased
products and resources in Standard has self-insured
solutions. place introduced and deductible
-- Adverse (physical more rigour limits will
impact on the assets and into how require a
Group’s people). risks are renewed
strategy -- Failure to considered communication
leading to understand during the across Keller
reduced and engage opportunity, with a focus
revenue and with customer contract on minimising
profitability on balanced approval and our exposure
and approach to project to unnecessary
negatively allocation or execution risk and
impacting the sharing of phases. contractually
Group’s risk in the -- Sales limiting our
ability to contract. training – liability
fund its focus on wherever
strategic contractual possible.
objectives. and
-- Increased commercial Work to
cost of terms. refresh and
insurance and -- Continuous refocus the
deductible. monitoring of PLM Standard
market trends focusing on
and their project
potential performance
impact. management,
-- Continuous hence renaming
monitoring of it PPM
order book (Project
wins and Performance
losses. Management),
is almost
complete.
Link to strategy 1 / 2 / 3 / 4
Link to viability No
Timeframe Short / Medium / Long term
4 Losing our market share
Description and impact Causes Mitigation and Movement
internal controls since 2022
-- A clear
business
strategy with
defined short,
medium and
long-term
objectives,
which is
monitored at
local,
divisional and
Group level.
-- Continued
analysis of
existing and
target markets
Inability to achieve to ensure
sustainable growth, opportunities Constant
whether through that they risk
acquisition, new offer are
products, new understood. We
geographies or -- An continued
industry-specific opportunities to see very
solutions, may: pipeline strong
covering all improvement
-- Jeopardise our sectors of the across the
position as construction US in 2023,
the preferred -- Increased market. where we
international competitor -- A wide-ranging are
geotechnical activity local branch providing a
specialist especially in network which wider range
contractor. tight or facilitates of our
-- Lead to contracting customer products
inefficiencies markets. relationships across more
and increased -- Failure to and helps locations
operating adjust to secure repeat following
costs, which changing work. the
in turn could customer -- Continually successful
impact our demands or seeking to execution
ability to fully differentiate of the One
deliver understand and our offering Keller
balanced meet their through project in
profitable requirements. service 2021. This
growth, which -- Inability to quality, value focus is
is a key identify for money and also
component of changes in innovation. showing
our strategy. market demands, -- North American success in
-- Failure to including businesses the other
deliver on our changes to reorganisation divisions
key strategic promote delivering on as they
objective may sustainability. cross-selling diversify
result in the opportunities. their
loss of -- Minimising the available
confidence and risk of product
trust of our acquisitions, range to
key including maintain
stakeholders getting to and grow
including know a target our market
investors, company in share.
financial advance, often
institutions working in
and customers. joint venture,
to understand
the
operational
and cultural
differences
and potential
synergies, as
well as
undertaking
these through
due diligence
and structured
and carefully
managed
integration
plans.
Link to strategy 1 / 2
Link to viability Yes
Timeframe Short / Medium / Long term
5 Ethical misconduct and non-compliance with regulations
Description and Causes Mitigation and Movement
impact internal controls since 2022
-- A Code of
Business
Conduct that
sets out
minimum
expectations
for all
colleagues in
respect of
ethics,
integrity and
regulatory
requirements,
Keller operates in that is
many different updated
jurisdictions and is annually and
subject to various is backed by a Constant
rules, regulations training risk
and other legal programme to
requirements ensure that it Following on
including those is fully from the
related to Failure to comply with embedded financial
anti-bribery and the Code of Business across the reporting
anti-corruption. Conduct or related Group. fraud in the
Failure to comply policies and procedures -- Ethics and Austral
with the Code of could stem from: Compliance business
Business Conduct or Officers in discovered
other regulations -- Failure to every business in late
could leave the establish unit who 2022, a
Group exposed to: robust support the specific
corporate ethics and controls
-- Instances of culture. compliance response
bribery and -- Failure to culture and plan was
corruption. adopt a ensure best developed
-- Fraud and compliance risk practice and executed
deception. approach. developed by in 2023.
-- Human rights -- Failure to the Group is This plan
abuses, such embed the communicated covered the
as modern Group’s values and embedded specific
slavery, and behaviours into local control
child labour across the business failings in
abuses and entire practices. Austral and
human organisation, -- Regular a wider
trafficking. including any workshops review
-- Unfair joint ventures. across the across
competition -- Failure to have Group to Keller. All
practices. a robust ensure elements of
-- Unethical training and compliance the plan are
treatment monitoring risks are either
within our programme in identified and completed or
supply place. addressed. progressing
chain. -- Deliberate -- Ethics and well and
These failures could non-compliance. compliance owned by a
result in legal updates to the senior
investigations, Audit and Risk leader in
leading to fines and Committee the
penalties, semi-annually. business.
reputational damage -- An independent
and business losses. third-party
whistleblowing
helpline that
is actively
promoted.
Complaints are
independently
investigated
by the
Compliance and
Internal Audit
teams and
appropriate
action taken
where
necessary.
Link to strategy 3 / 4
Link to viability Yes
Timeframe Short term
6
Inability to maintain our technological product advantage
Description and Causes Mitigation and Movement since
impact internal controls 2022
-- Innovation
initiatives
developed at
both Group
and
divisional
level to
ensure a
structured
Keller has a approach to
history of innovation is
innovation that in place
has given us a across the
technological Group.
advantage which is -- Innovation in
recognised by our low carbon
clients and materials
competitors. (cement,
Failure to concrete,
maintain this cement-free
advantage through binders), by
the continued carrying out
technological field trials
advancements in and
our equipment, collaborating
products and with cement
solutions may: suppliers and
-- Failure to other
-- Impact our maintain companies
position investment in innovating in
in the innovation this space.
market. and -- Digitisation
-- Result in digitisation. initiatives
us not -- Increased focusing on
being competitor strategy of Constant risk
selected investment in facilitating
for key innovative equipment and
complex, solutions. operational
high-value -- Failure to data capture.
projects continue to -- We take a
that invest in our leadership
support people. role in the
the Group geotechnical
strategy. industry,
-- Make it with many of
more our team
difficult playing key
to attract roles in
and retain professional
the best associations
talent. and industry
-- Result in activities
the loss around the
of world.
reputation -- Global
for product teams
delivering set
the best standards,
engineered provide
solutions. guidance and
disseminate
best practice
across the
Group.
-- Continued
investment in
both external
and internal
equipment
manufacture.
Link to strategy 1 / 2
Link to viability No
Timeframe Medium / Long term
7 Climate change
Description and impact Causes Mitigation and internal Movement since
controls 2022
Climate change is a Sustainability Steering
global threat and Committee that is
failure to manage and responsible for
mitigate it could lead integrating
to: sustainability targets Constant risk
and measures into the
-- An inability to Group business plan to We are
achieve successfully drive starting to
Keller’s changes important to the win project
commitment to company. opportunities
deliver related to
solutions in an -- Collaboration climate
environmentally with the impact. This
conscious University of is tempered by
manner, which Surrey’s Centre the
may in turn for Environment introduction
have a negative -- Failure to and of more
impact on our update Sustainability legislation
reputation, product to apply relating to
affect employee offerings sustainability climate
morale and lead in line best practice to impact, eg
to a loss of with both all business proposed new
confidence from legislation functions. restriction
our customers, and -- Scope 1 and 2 for federal
suppliers and customer carbon emissions construction
investors. demand. verified by projects in
-- Product accredited the US.
offerings external third
becoming party (Carbon We continue to
obsolete Intelligence). focus on
because they -- Carbon delivering
are no longer calculator tool against our
compliant with used to sustainability
environmental identify/improve targets and
standards. carbon meeting TCFD
-- Remediation of efficiency. reporting
non-compliant -- Project team requirements.
work at our own created to
expense to develop and
maintain embed processes
compliance. to meet TCFD
requirements.
Link to strategy 1 / 2 / 3 / 4
Link to viability Yes
Timeframe Short / Medium / Long term
Operational risks
8 Service or solutions failure
Mitigation and internal Movement
Description and impact Causes controls since
2022
In designing a product
or a solution for -- Continuing to
customers many factors enhance our
need to be considered technological and
including client operational
requirements, site and capabilities
loading conditions and through
local constraints (eg investment in our
neighbouring buildings, product teams,
other underground project managers
structures). Inadequate and our
design of a customer engineering
product and/or solution capabilities.
may lead to: -- Employing
geotechnical
-- An inability to engineers that
achieve the are focused
required purely on design.
standard. -- Misinterpretation -- Disaster
-- Failure to meet of client Recovery/Business
quality requirements or Continuity Plans
standards, miscommunication in place and Constant
damaging our of requirements reviewed across risk
reputation, by the client may the Group.
giving rise to lead to a poorly -- The global
regulatory designed solution product teams set
action and legal and consequently standards,
liability, and failure. provide guidance
ultimately and disseminate
impacting best practice
financial across the
performance. organisation for
-- A negative our eight key
impact on products.
long-term -- We seek to agree
profitability liability limits
from poorly in our contracts
designed with customers.
product/solution -- Insurance
as they are solutions are in
generally place to limit
covered by a financial
liability exposure of a
limitation potential
period of 12 customer claim.
years.
Link to strategy 2 / 4
Link to viability Yes
Timeframe Short / Medium / Long term
9 Ineffective execution of our projects
Description and Causes Mitigation and internal Movement
impact controls since 2022
-- Ensuring we
understand all
of our risks
through the bid
appraisal
process and
applying
rigorous
policies and
processes to
manage and
monitor
contract
performance.
-- Ensuring we
have
high-quality
people
delivering
projects.
Keller’s
Project
Management
Academy and
Field Constant
Leadership risk
Academy are
designed to The number
create project of projects
managers with a not executed
consistent to
skill set expectation
-- Failure to across the in 2022 was
Inability to manage our entire above the
successfully deliver projects to organisation. long-term
projects in line ensure that The academies average,
with the agreed they are cover a broad adversely
customer delivered on range of topics impacted by
requirements may time and to including persistently
result in: budget due to contract high
unforeseen management, inflation
-- Cost ground and site planning, risk across North
overruns, conditions, assessment, America and
contractual weather-related change Europe.
disputes and delays, management,
reputational unavailability decision-making This trend
damage. of key and finance. has improved
-- Ineffective materials, -- Safety throughout
project workforce Standards for 2023 along
delivery may shortages or operations (eg with the
also expose equipment platform, cage work under
the Group to breakdowns. handling), way to
long-term -- Lack of Equipment update the
obligations comprehensive Standards and PLM Standard
including understanding fleet renewal. focusing on
legal action of contract -- The PLM project
and obligations. Standard aims performance
additional -- Inadequate to drive a management.
costs to resources consistent This will
remedy (people, approach to put in place
solution physical assets project better
failure. and materials). delivery with controls to
robust controls ensure
at every continued
project phase. effective
This is execution of
currently being projects
updated and across
will be renamed Keller.
PPM (project
performance
management).
Alongside the
updated
standard will
be an app to
support the
efficient and
effective
execution of
projects.
-- A formal,
structured
approach to
Lean and 5S is
being rolled
out across the
organisation,
which is
improving
processes and
strengthening
Keller’s
working
culture.
Link to strategy 3 / 4
Link to viability Yes
Timeframe Short term
10 Supply chain – partners fail to meet the Group’s operational expectation and contractual obligations (including capacity, competency, quality, financial stability, safety, environmental, social and ethical)
Description and Causes Mitigation and Movement since
impact internal controls 2022
Constant risk
Supply chain
-- The Group has issues,
developed especially
long-term availability of
partnerships certain
with key materials
suppliers, (steel, cement
working and energy)
closely with continue to
them to show signs of
-- Failure to understand easing. Pricing
Failure to manage embed the their is still
suppliers Group’s operations, adversely
effectively could expectation but is not impacted by the
lead to: within the over-reliant persistently
procurement on any single high inflation,
-- Delays to process. one, with an but this too is
executing -- Inadequate extensive beginning to
projects assessment network of show signs of
waiting for of supply approved abating.
materials chain suppliers in
and ongoing partner place across While pressure
business capabilities the remains as a
disruption. during organisation result of the
-- Additional bidding to support its geopolitical
costs to phase. strategic uncertainty, it
find -- Lack of ambitions. is being better
alternative supplier -- A Supply Chain managed as
suppliers. resilience Code of demand cools
-- Becoming due to Business slightly as
involved in rising costs Conduct that interest rate
legal of energy as sets out increases take
disputes and a result of minimum effect on some
potentially geopolitical expectations investment
fines and uncertainty. for all decisions.
penalties. -- Lack of suppliers in
-- Damaging our supply respect of In 2023 we
reputation availability ethics, carried out an
and due to integrity and independent
potentially increased regulatory legal
being barred demand from requirements, assessment of
from bidding and too that is our human
on future little updated rights and
contracts. supply. annually. modern slavery
-- Human rights -- Inflation -- Working group standards and
abuses, such driving up established, processes.
as modern prices. reporting to Consequently,
slavery, -- Logistical the Group we have
child labour impact Company introduced a
abuses and causing Secretary and Human Rights
human delays due Legal Advisor, Policy, updated
trafficking. to lack of to drive our Supply
HGV drivers. minimum Chain Code of
standards, Business
both Conduct and
contractually supplier
and contractual
behaviourally, clauses and put
across key in place more
labour rigorous due
suppliers. diligence
processes
across our
supply chain.
Link to strategy 3 / 4
Link to viability Yes
Timeframe Short / Medium / Long term
11 Causing a serious injury or fatality to an employee or a member of the public
Description and Causes Mitigation and Movement
impact internal controls since 2022
-- Board-led
commitment to
drive health
and safety
programmes and
performance
with a vision
of zero harm.
-- An emphasis on
safety
leadership to
ensure both
HSEQ
professionals
and
operational
Failure to maintain leaders drive
high standards of implementation
health and safety, and
and an increase in sustainment of
serious injuries or our safety
fatalities leading -- Inadequate risk standards
to: identification, through
assessment and ongoing site
-- An erosion of management. presence,
trust of -- Lack of clear using safety
employees and leadership tours, safety
potential driving the audits, safety
clients. safety culture. action groups
-- Damage to -- Lack of and mandatory
staff morale, employee employee
an increase competency. training. Constant
in employee -- Poorly designed -- Ongoing risk
turnover processes that improvement of
rates and a do not existing HSEQ
decrease in eliminate or systems to
productivity. mitigate risk. identify and
-- Threat of -- Lack of focus control known
potential on the and emerging
criminal wellbeing and HSEQ risks,
prosecutions, mental health which conform
fines, of employees to internal
disbarring and JV standards.
from future partners. -- Incident
contract Management
bidding and Standard and
reputational incident
damage. management
software
driving a
robust and
consistent
management
process across
the
organisation
that ensures
the cause of
the incident
is identified
and actions
are put in
place to
prevent
recurrence.
Link to strategy 3
Link to viability Yes
Timeframe Short term
12 Not having the right skills to deliver
Description and Causes Mitigation and internal Movement
impact controls since 2022
-- Continuing to
invest in our
people and
organisation in
line with the
four pillars of
the Keller People
agenda as noted
below.
-- Ensuring that the
‘Right
Organisation’ is
in place with
people having
clear
accountabilities;
each
-- Inability to organisational
recruit unit is properly
and retain configured with a
strong matrix of line
performers. management,
-- Lack of a functional
diverse support and Constant risk
workforce. product
-- Failure to expertise. We are still
Failure to attract maintain and -- As an industry witnessing
and develop promote the leader, that inflationary
excellent people to Keller Keller is made up pressure on
create a culture. of ‘Great People’ pay across
high-quality, -- Overheating that are well many
vibrant, diverse of market trained, locations
and flexible causing motivated and where Keller
workforce could: significant have operates and
increase in opportunities to thus the
-- Harm the demand or develop to their pressure on
Group’s competition full potential. competition
ability to for people. Project managers for skilled
win or -- Lack of and field personnel is
execute visibility employees receive still an
specific of long-term comprehensive issue in some
high-value, pipeline for training parts of the
complex career programmes which Group.
projects. progression cover a broad However, job
-- Fail to resulting in range of topics markets are
meet existing including just
strategic employees contract beginning to
objectives leaving the management, show signs of
to grow the business. planning, risk a slowdown,
business -- Post assessment, which should
and lose COVID-19 change ease this
key recovery management, issue. Focus
stakeholder driving decision-making remains on
confidence increase in and finance. retaining
within the attrition or -- A strong focus on staff with
market. people the ‘Exceptional the right
leaving Performance’ of skills to
sector. employees in deliver.
-- Pressure delivering
from wage commercial
inflation outcomes safely
and for Keller based
increased upon project
offers from successes for our
competition. customers.
Business leaders
are incentivised
to deliver their
annual financial
and safety
commitments to
the Group.
-- The ‘Keller Way’
provides guidance
to the company’s
employees and
leaders to comply
with local laws
and work within
Keller’s values
and Code of
Business Conduct
Link to strategy 2 / 3 / 4
Link to viability No
Timeframe Short / Medium / Long term
13 Cyber security
Description and Causes Mitigation and internal Movement
impact controls since 2022
-- Creation of an
Information
Security
Management
System
framework,
referencing
industry
standards to
ensure
appropriate
governance,
control and
risk management
-- Failure to and then onward
Risk of potential maintain management for
disruption appropriate compliance,
in the business threat maturity and
operations, prevention, development of
reputational damage identification service.
and/or loss or and resolution -- Introduction of
corruption of data mechanisms technical
could lead to: either capabilities
technically or and services to
-- Loss of through further enable
intellectual processes. prevention,
property and -- Poor internal detection,
competitive governance. prediction and
advantage. -- Failure to response
-- Loss of embed services.
personal preventative -- Multi-factor
data. culture. authentication
-- Operational -- Lack of or for all users
impact inadequate prevents
restricting training and unauthorised Constant
the ability awareness access to risk
to carry out leading to Keller’s
business mistakes and networks and
critical errors. applications
activities. -- Inconsistent and further
-- Potential approach to controls limit
fines and data security, access to only
penalties. especially Keller-approved
-- Reputational with JV devices.
damage partners and -- Advanced threat
leading to external third protection on
loss of parties. all IT
market and -- Cyber attacks. equipment
customer -- Failure to delivers
confidence. obtain or comprehensive,
-- Failure to maintain ongoing and
meet client external real-time
security security protection
requirements certifications against
to win or that are viruses,
maintain required by malware and
contracts. clients. spyware.
-- Data protection
framework to
ensure
compliance with
the General
Data Protection
Regulation
(GDPR) and
other standards
of data
protection.
-- Proactive
threat hunting
throughout the
environment.
Link to strategy 3 / 4
Link to viability No
Timeframe Short term
Responsibility statement of the Directors in respect of the Annual Report and the financial statements
We confirm that to the best of our knowledge:
-- the financial statements, prepared in accordance with the applicable set
of accounting standards, give a true and fair view of the assets,
liabilities, financial position and profit or loss of the company and
the undertakings included in the consolidation as a whole; and
-- the Strategic report and the Directors’ report, including content
contained by reference, includes a fair review of the development and
performance of the business and the position and performance of the
company and the undertakings included in the consolidation taken as a
whole, together with a description of the principal risks and
uncertainties that they face.
The Board confirms that the Annual Report and the financial statements, taken as a whole, are fair, balanced and understandable and provide the information necessary for shareholders to assess the Group’s position and performance, business model and strategy.
29 Related party transactions
Transactions between the parent, its subsidiaries and joint operations, which are related parties, have been eliminated on consolidation. Other related party transactions are disclosed below:
Compensation of key management personnel
The remuneration of the
2023 2022
£m £m
Short-term employee benefits 8.2 4.5
Post-employment benefits 0.3 0.3
Termination payments – 0.4
8.5 5.2
Other related party transactions
As at
