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Sun June 13 2021

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Growth for Mitie

20 May 13 Facilities management contractor Mitie has reported growth in revenues and profits, thanks to both organic growth and acquisitions.

Chief executive Ruby McGregor-Smith
Chief executive Ruby McGregor-Smith

The company also announced that it is closing its mechanical and electrical engineering contracting businesses, at a cost of £22.1m, because the margins were too poor.

For the year to 31 March 2013, group revenue was up 8.4% to £1.98bn for continuing businesses and pre-tax profit up 5.4% to £111m.

The acquisition of healthcare company Enara helped growth but organic headline revenue growth was still 5.0%. This was driven by the core FM division, which saw revenue rise nearly 10% from £1.41bn to £1.54bn. Operating profit in this division was up nearly 9% to £96.3m.

The energy solutions business, Utilyx, saw its revenues fall a third to £45.9m, down from £70.5m the previous year, and make an operating loss of £1.3m (2012: £2.9m profit).

Chief executive Ruby McGregor-Smith said: "We have had another good year with success in achieving organic growth driven by new and expanded contracts, as well as completing a strategic acquisition in healthcare. Whilst the economic environment remains challenging, we have reshaped the business to focus on long-term facilities management opportunities, as well as higher margin healthcare provision and energy consulting, all of which will support our growth aspirations.

"We expect outsourcing opportunities will continue to grow, with a trend towards more clients seeking to access integrated services. We are positioned to build further on our long track record of sustainable profitable growth."

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MPU

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