Serco's full-year trading profit falls 14 pct, outlook unchanged

EDINBURGH, Feb 22 (Reuters) - British outsourcer Serco posted a 14 percent fall in underlying trading profit to 82 million pounds ($102 million) in the year to December, meeting targets as it emerges from an overhaul.

Order intake was up 40 percent in the year, giving a glimpse of better things to come, while the pipeline of larger new bid opportunities ended the year at 8.4 billion pounds, up 30 percent.

Serco, which provides transport, health, justice, defence and security services in public departments and gets half of its revenues from the UK, left its 2017 outlook unchanged versus an update given in December.

"Our guidance is for margins to reduce in 2017, but we would expect to show some modest improvement year-on-year in 2018," the company said on Wednesday.

Revenues from continuing operations fell to 3.01 billion pounds, in line with forecasts, as Serco continued to whittle down its portfolio to concentrate on those which make money.

Serco also estimated closing net debt at end 2017 could increase to between 150 million pounds and 200 million pounds.

UK outsourcers have been suffering delays in contracting decisions in public departments as government officials concentrate on steering Britain out of the European Union and developing new policy.

($1 = 0.8004 pounds) (Reporting by Elisabeth O'Leary, Editing by Paul Sandle)