MITIE Group has published its half-yearly financial report for the six months to 30 September 2010. The Group said it had excellent prospects for growth and a strong set of results.

Revenue was up 14.7% at £918.7M (2009: £801.1M),  operating profit was up 13.1% at £48.4M (2009: £42.8M), while  profit before tax increased 12.3% at £47.5M (2009: £42.3M). The Group said it had excellent revenue visibility of 95% (2009: 93%) of current year and 62% (2009: 58%) of 2011/12 forecast revenue secured.Increasing opportunities across MITIE’s public and private sector markets are demonstrated by a growing sales pipeline.

Ruby McGregor-Smith, Chief Executive of MITIE Group PLC, commented:

“MITIE has delivered another set of strong results underpinned by progressive revenue development, continued investment and strong cash flows. We have enhanced the Group’s growth potential through our continued focus on organic growth, supplemented by selective acquisitions and through the development of our integrated business model overseas in line with our strategy.

“Our well diversified portfolio of public and private sector work and high quality client base has demonstrated strength and resilience against a backdrop of economic uncertainty and political change. This has given us the capacity and confidence to maintain our investment in people, technology and new markets all of which have been major contributors to the development of our strong pipeline and contract base during the period.

“Overall, market conditions in the medium term remain positive for outsourcing. Our integrated models offer innovation and provide tangible evidence of the cost and carbon efficiencies that we can achieve to meet the demands of both our public and private sector clients. We retain our focus on our strategy of delivering sustainable, profitable growth and are confident that full year earnings will be in line with management expectations.”

MITIE said the integration of and synergies from its acquisitions in 2009, Dalkia FM and EPS Ltd, were on track, with MITIE’s most recent acquisition made in June this year of the facilities management business of Dalkia in Ireland. The Group was restructured into four divisions in April 2010 which MITIE said had generated opportunities for operational and scale efficiencies. The company has also decided to discontinue some of its engineering activities in certain parts of the country.

The Group’s Technical Facilities Management Division is focussed on facilities management led by technology, engineering and energy requirements, comprising the integrated operations of its Engineering Maintenance business and Dalkia FM. Now the largest Technical Facilities Management team in the UK, MITIE has  expanded Dalkia’s CarbonCare offering to include the services already provided by MITIE.

The Group said this gave clients the ability to use it for a total energy solution that increased awareness of environmental issues, introduced innovative ideas and technologies, managed carbon footprint data, ensured legislative compliance, guaranteed energy reductions and implemented cleaner renewable energy solutions. MITIE described itself as “well placed to support clients in this increasingly important area.”
In the water sector, MITIE made a successful re-bid for the provision of cleaning services - including cleaning of all 64 sites along with catering across 5 sites in the Leeds area for Yorkshire Water with a five year contract worth £4.2M.