19.05.2009

Mitie reports strong result

Mitie, the UK based industrial services company has reported a strong and upbeat set of annual results, with a strong forward order book. The result reflects increased outsourcing by property owners, which should relate to additional opportunities for access and lifting equipment suppliers.

The company has reported revenues 8.2 percent higher at £1.53 billion, while pre tax profits climbed 11 percent to £78.4 million. At the same time its order book has also grown by more than 11 percent to £4.9 billion.

Mitie says that it is “making strong progress as clients increase outsourcing in their drive for efficiency at this stage in the economic cycle and is benefiting from a sustained level of outsourcing and asset management opportunities as contracts become more sophisticated, larger and longer-term and client strategies respond to the challenges of the global low carbon economy.”

The company splits its business into three sectors Facilities management, Property management and Asset management.

Vertikal Comment

We have not reported on Mitie’s results since it sold off its powered access rental business, which became The Platform Company. However its preliminary results released yesterday do show a strong trend towards more outsourcing of property maintenance, management and refurbishment and a strong and growing order book.

The fact is that companies like Mitie are far less likely to cut corners when it comes to working at height and lifting or moving things. This trend should have a knock on benefit for sales and/or rentals of access and lifting equipment.

It is also a good example that in spite of a tough economic environment, life goes on and new opportunities are surfacing all the time, you just need to work a lot harder to find them and be more responsive than the next company.