Mitie doubles first quarter revenue on back of Interserve acquisition
Outsourcer Mitie today said that it had doubled its first quarter revenue as the firm’s acquisition of rival Interserve’s facilities management business paid instant dividends.
The FTSE 250 firm said that revenue rose to £930m in the first quarter, up 104 per cent on the £455m that it booked in the same period last year.
Of that, £110m came from government Covid-19 contracts, the service provider said, a tenfold increase on last year.
Excluding the newly-acquired Interserve assets, it said that revenue came in at £618m, up 36 per cent on 2020.
Analysts at Jefferies said that the results showed that “integration of the Interserve acquisition had progressed considerably” since the firm put out a trading statement six weeks ago.
Shares popped 5.0 per cent on the back of the announcement, which came as Mitie’s AGM kicked off.
In total, the firm renewed or won contracts with a total value of £1.4bn in the period, including a new deal to run facilities management across the UK defence estate worth £646m.
It also renewed its Covid test centres contract with the UK Government, which is expected to have a total contract value of up to £365m.