22nd Nov 2018 10:11
LONDON (Alliance News) - Outsourcing and services group Mitie PLC on Thursday reported an increase in interim profit and revenue as it said it expects "modest" growth for the full year.
For the six months ended September 30, pretax profit was GBP19.0 million, up 7.3% from GBP17.7 million a year ago.
Revenue improved 4.0% to GBP1.04 billion from GBP1.00 billion a year prior, helped by "strong growth" in the firm's Security, Cleaning & Environmental Services and Care & Custody divisions.
Chief Executive Officer Phil Bentley said: "We are making steady progress on all fronts. With recent disposals and acquisitions, we have begun the process of sharpening our focus on those business lines where we can secure a leading market position, underpinned by technology.
"Our industry remains competitive and challenging, but with the actions we are taking, we see improving prospects for growth ahead of us."
Looking ahead, the company said it expects "modest top-line growth" for the whole financial 2018, and remains confident in achieving of margin improvement to 4.5% to 5.5% in the future, in line with its medium-term targets.
Mitie held its interim dividend at 1.33 pence per share, or one third of financial 2018's total dividend of 4.0p, in line with the company's plan. It expects to hold the dividend flat until the completion of its transformation programme.
Mitie shares were trading down 2.0% at 153.70p each, on Thursday morning.
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