16th Mar 2018 08:14
The FTSE 250-listed management services company said it expects revenue growth for the year ending March 31 in the range of 2.0% to 2.5% at
Revenue growth was mostly driven by solid performances in most of its segments, with strong project work volumes in Engineering Services, increased technology content in Security and new business wins in Care & Custody, compared to a weak performance in Property Management and contract losses early in 2017 in Waste, which is part of Professional Services.
Within MITIE's order book, the most significant win in the year was the detention and escorting contract in Care and Custody, valued at
Other contracts includes a contract with an NHS Trust and services at Heathrow Terminal 5 for the Cleaning division, and a multi-year contract with a food retailer, three-year extension with Heathrow Airport and further work with the Scottish Government for Engineering Services.
MITIE is currently in the middle of its transformation programme, dubbed Project Helix, which involves reducing operating costs, increased productivity and efficiency through simplifying and rationalising its business.
The Helix programme is expected to be completed by the summer of 2020, generating
"We are one year into our transformation programme and we are making progress. Our order book is solid and revenue is up year-on-year. Project Helix is starting to deliver cost savings. We have upgraded our sales and customer service capability, and we continue to invest in talent and technology," said Chief Executive Officer Phil Bentley.
"The liquidation of Carillion has raised some fundamental questions about the outsourcing industry. Managing the buildings and the workplaces of our clients is a complex business, but our expertise, scale and focus continue to be valued by our clients," Bentley added.
MITIE will report its full-year results on June 7.
Shares in MITIE were down 2.7% at
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