back to article Market pulls chain on Crapita share price after first ever profit warning

Capita’s share price went into freefall this morning after its first ever profit warning, with troubles at the tech reselling and recruitment services units blamed, as well as costly delays to its Transport for London contract. Turnover grew four per cent in the first half of the year, but Capita confirmed “subsequently, our …

  1. frank ly Silver badge

    Burn those bridges!

    Do C(r)apita talk to you at all or invite you to events? This could be an Apple situation all over again.

  2. djstardust

    What a shame

    Couldn't happen to a nicer company.

    Still can't believe Three UK and Tesco Mobile are outsourcing CS to these muppets.

    1. AMBxx Silver badge
      Facepalm

      Re: What a shame

      It's made my day too.

      Crapita recently took on the contract for paying NHS fees to Opticians. Now they're all being paid late. Capita have said it will be resolved by Christmas.

      Useless bunch

      1. Anonymous Coward
        Anonymous Coward

        Re: What a shame

        @ AMBxx - you could at least try to get the facts right. C[r]apita haven't yet taken over Opticians Payments, and haven't yet had the chance to make payments due to that very fact. The handover will happen, but it's a bit difficult to be late making payments when no payments are due yet.

        1. AMBxx Silver badge

          Re: What a shame

          Um, yes they have. Assuming you work for Capita, maybe this is the reason they're late?

          Maybe it's a regional thing? East Yorkshire is from Capita now. I think the office is Liverpool, but not sure.

          Apologies for posting on something of which I have personal experience. I know that's rare on here.

    2. Gert Leboski

      Re: What a shame

      Totally agree, I hope they drop through the floor. Vile company.

      1. Anonymous Coward
        Anonymous Coward

        Re: What a shame

        >Totally agree, I hope they drop through the floor. Vile company.

        I seriously don't understand how they still exist. There's hours of reading if you google 'capita fined' yet they continue to get gov.etc contracts - how is it possible?

        1. Anonymous Coward
          Anonymous Coward

          Re: What a shame

          I can neither confirm no deny that I work for them, I can neither confirm no deny that any of this may be true, and I can neither confirm nor deny that I may be taking a slightly closer look at the recruitment emails that occasionally come my way.

          But it's nice to see that you'd sell down thousands of employees for your personal experiences of a company. That kind of generalisation should be on the D@ily Fail, not here.

          1. Anonymous Coward
            Anonymous Coward

            Re: What a shame

            I can neither confirm or deny that I may be an employee at said company. But the news of the share prices drop is of no surprise. the "Slow-Down" group have been aware of issues for the last couple of months and the famous outsourcing company has been making the redundancies during the financial tight spot that they may or may not be in... to only offshore said roles of people who are being made redundant.... got to love them.......

  3. Jason Bloomberg Silver badge
    Thumb Up

    Infamy, infamy, they've all got it in for me

    I was delighted to see El Reg feature on the Google News page giving deserved prominence to "Crapita".

  4. Anonymous Coward
    Anonymous Coward

    Crapita and Co-Op

    Two basket cases together - a match made in hell.

  5. Anonymous Coward
    Anonymous Coward

    Thanks all for wishing that 80k employees would lose their jobs. Nice to know people care.

    You probably use services every day that you have no idea about that capita manage, and they all run fine, as usual you see the really bad bits that need sorting out and assume everything is bad

    1. Anonymous Coward
      Anonymous Coward

      "Thanks all for wishing that 80k employees would lose their jobs. Nice to know people care."

      Nonsense. The work would still be done. Hopefully by smaller, independent companies with some real competition. To do the work properly might actually need more people.

      How can it be that the same company is contracted to collect Council Tax, yet also to charge extra for bailiffs if the payment is late, thus creating a potential conflict of interest? That kind of thing is where the problem lies; contracts written to include perverse incentives.

      1. Anonymous Coward
        Anonymous Coward

        Or what about....

        Not outsourcing at all....

        Lets see, outsourcing makes sence when its

        a) not core to your business such as the canteen in an office

        or

        b) Something that you are testing - such as a small company that gets a bit too big for the one man band IT department....

        or

        c) You dont know exactly how something will pan out and may need to drop it at any point (i.e. you dont want to have the staff on payroll so you can get rid of them quickly).

        The big problem is that bean counters like saying .. right .. for X service we will spend EXACTLY x amount of money - and its a race to the bottom for cheapness (in the main). Which tends to mean that outsourcing is WAY over used, WAY over-priced and WAY under staffed, etc, etc...

        In 20odd years, I have NEVER seen in big business a real outsourcing project that has actually worked, EVER....it has always cost more, been of poorer quality and over-run.

    2. Anonymous Coward
      Anonymous Coward

      > that capita manage, and they all run fine

      Name three....?

  6. Anonymous Coward
    Anonymous Coward

    Good stuff

    Many of the lower level people are perfectly pleasant, it's the senior bean counters that are trying to commoditise complex tasks so they can get them done by underpaid idiots. I spent some time at the contact center arm and was trying to hire technical staff for a massive migration project and the budget was painfully low - 20-30k for a senior engineer. When I challenged the salary range I was told to hire them out of the job centre because the bean counter didn't realise that engineers don't grow on trees like contact center agents do.

  7. cantankerous swineherd

    brexit not all bad then.

  8. Smoking Gun

    They are losing contracts. Government agencies are ripping up single sourced contracts and awarding contracts to smaller, specialist SME's and managing through SIAM. That, and they are being dumped from contracts early due to poor performance. "unwieldy”, “unnecessarily complex”, “expensive”, supply chain 4 deep in places, review meetings spent arguing "extras" because they price their contracts by the lowest common denominator and then charge over the odds for every little change. I don't like to generalise so will credit the doubtless many employees who do a great job and work their socks off for their customers, those employees who were no doubt acquired via TUPE and were doing a great job before their jobs were taken over by Capita and not off-shored yet, the cynic in me, I am amazed how they can keep securing government contracts and not surprised at all by profit warnings.

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