Mitie Group: Acquisition spree helps company to bumper growth
Outsourcing company Mitie Group brought in over £1bn in revenue during the last quarter as a spate of acquisitions last year paid off.
The revenue haul, which totalled £1.16bn, represented a 10.5 per cent year-on-year increase and came alongside a number of major contract wins.
Some £2bn in contract wins and extensions were made in the three months to July, including a three-year extension to one of the firm’s largest customers.
Despite the growth, Mitie’s debt has risen to £182m as a result of recent deals.
Commenting on the results, chief executive Phil Bentley said: “The good trading momentum from last year has continued into the first quarter of 2025, with double digit revenue growth from our projects business, including the benefit from the previous year’s acquisitions.
“Contract wins and renewals also remained high, following a record final quarter in 2024, reinforcing the strength of our market leading, technology and data-rich capabilities.
Mitie Group, shares have risen over 25 per cent since the start of the year. In April, the London-listed firm commenced a £50m share buyback programme. Around 21m shares have been purchased to date, at 119p average price.
Founded in 1987, Mitie Group, which has its headquarters in London’s Shard, employs around 68,000 people and is one of the leading facilities transformation companies in the UK.
Its most recent acquisition came last week when it bought ESM Power, an electrical engineering business based in Scunthorpe, for £5.5m.
Mitie has also benefited from a new military contract to maintain the UK Army base estate in Germany. Revenue in its central government and defence segment came in at £217m, 4.3 per cent ahead of last year.