Mitie has reported “good trading resilience” through Covid-19 in its full-year results up to 31 March 2021.
The support services firm said it had been “a defining year of strategic progress and financial resilience”.
Revenue including share of joint ventures and associates of £2,589 million were up 19.1 per cent excluding the contribution from Interserve where the revenue was 1.6 per cent lower.
Operating profit before other items of £63.4 million was impacted by revenue mix and reduced project work due to Covid-19. The second half was stronger with revenue growth of 6.5 per cent versus the previous year.
The acquisition of Interserve Facilities Management was performing better than expected, accelerating value creation, according to Mitie.
Phil Bentley, group chief executive, said: “FY21 was a defining year for Mitie and completes our four-year transformation. The group showed great resilience during the Covid pandemic; we strengthened our balance sheet; and the Interserve acquisition is performing well. Mitie is now the market-leading provider of intelligent technology-led facilities management, with a clear pathway to deliver growth and sustainable free cash flow.”
He added: “Although Covid has challenged us all, our business has been far more resilient than we originally expected, with revenue, excluding the contribution from Interserve, just 1.6 per cent lower than the prior year. The second half of the year was significantly better than the first half, with 6.5 per cent year-on-year growth, as variable projects and discretionary spend works picked up and cleaning and security demand increased.
“Interserve is performing strongly as part of Mitie and we have successfully renewed or extended all major Interserve contracts that were due for renewal. We have also realised £6.2 million of synergies in FY21 and have identified additional cost synergies to take our forecast run rate from £35 million to £42 million by end FY23.”
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