MITIE Continues To Expect Revenue Growth In Second Half - Update - InvestingChannel

MITIE Continues To Expect Revenue Growth In Second Half – Update

MITIE Group Plc (MTO.L), Monday, in an interim management statement for the period since October 1, said the group is performing in line with management’s expectations. The company continues to expect total revenue growth to be higher in the second half compared to the first half of the year.

The strategic outsourcing company stated that it has made good progress over the recent months, with strong organic growth driven by new and expanded contracts. In the first half, the company had posted revenues of 1.03 billion pounds. It secured 98 percent of budgeted revenues for the current financial year at September 30.

The company said it has seen a steady flow of opportunities across all of its service lines. Its core facilities management businesses are performing exceptionally well and they are expanding their order books, MITIE added.

In healthcare, it recently purchased Enara for 110.8 million pounds. The integration of Enara is progressing and it sees significant long-term opportunities in the UK healthcare market.

For the fiscal year ending March 31, 2013, the firm continues to expect Enara’s revenue and operating profit before other item to be 93 million pounds and 10.1 million pounds, respectively.

“Despite on-going weak economic conditions affecting our more cyclical markets and some delays in energy infrastructure projects, we remain very positive about the range of outsourcing opportunities across our key markets. We are confident that we will continue to build on our long track record of sustainable profitable growth,” the company stated.

MITIE said it will announce its fiscal year results on May 20.

MTO.L is currently trading at 289 pence, up 2.63 percent, on 177,432 shares.

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by RTT Staff Writer

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