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Mitie latest results

Business has proved to be more resilient than expected, says the facilities management contractor Mitie in its latest results, for the second quarter of 2020, to the end of June.

The FM firm says that’s particularly across its fixed Technical Services contracts, Cleaning and Security services and public sector contracts. The firm said: “We have over 37,500 employees working daily on the front line reflecting the critical services we provide to our customers. We have recently brought over 40pc of our 7,000 furloughed colleagues back to work as we see our customers resuming operations.”

In the first three months of the year Mitie won new contracts relating to COVID-19 testing centres; renewed the Groupe PSA contract with more services; and won an integrated (IFM) contract with Royal London Group. While the firm says that it has seen a ‘significant decline’ in revenue from transport and logistics customers, Business Services are starting to see some airports re-opening; and Eurostar is increasing services, Mitie reports.

Group revenue from continuing operations for the three months to June 30 was £458.3m, 11pc lower than the same period in 2019. According to the contract firm, June’s performance was slightly better than the previously announced April and May result. That revenue decline includes the known loss of a Ministry of Justice contract, which ended at the end of March; and the reduced scope of an NHS Properties contract.

As for Mitie’s acquisition of Interserve Facilities Management, that has seen the appointment of a full-time Integration Programme Director and the ‘standing up’ of the integration team. Subject to shareholder approval and other conditions precedent, that transaction is expected to close in the fourth quarter of 2020.


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