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Sat November 28 2020

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FM wins lift Mitie revenues

18 Nov 13 Support services contractor Mitie has reported a 10.5% growth in headline revenue for the six months ending 30 September 2013.

Ed Robinson/OneRedEye
Ed Robinson/OneRedEye

Revenue for the period was £1,085.8m. Pre-tax profit was £42.2m, up 9.5% on the same period last year on a like-for-like basis.

Mitie’s dominant facilities management division was the driver of growth, contributing £821.2m of the total group revenue, up from £744.4m for H1 2912.

Total operating profit was £62.3m, of which £49.7m came from facilities management.

Significant new FM contracts in the first half came from the Bank of Ireland and a £38m contract with the brewer Mitchells & Butlers.

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While the FM division grew, the property management division saws its revenue shrink 4.6% to £165.2m and operating profit by a similar proportion to £9.9m. Revenue in the energy solutions division was halved to £13.3m, with Mitie’s previously reported withdrawal from M&E contracting.

Chief executive Ruby McGregor-Smith said: “Our facilities management division experienced very strong organic revenue growth of 10.1%, driven largely by our integrated FM portfolio. In our healthcare division, the integration of Enara and rebrand to MiHomecare has gone very well and we see excellent opportunities to grow this business. Progress in the property Management division has been steady and some significant contract gains will result in an improved second half. Within Energy Solutions, Utilyx is performing well and is a key asset for the group.

“As we have previously referred to, we are exiting our cyclical mechanical and electrical engineering contracting businesses. We are also reducing our exposure to the construction element of our asset management business, which has become part of the energy solutions division and is now focused on niche design and consulting projects in the decentralised energy market. The phased reduction in both of these areas of work is progressing well and we remain confident of the positive impact this will have on both the risk and margin profile of the group.”

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MPU
MPU

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