Group revenue up 10.4 per cent to £2,677m, record contract awards of £3.8bn total contract value and an order book up 7 per cent to £16.5bn have been hailed by Mitie in their latest results, for the six months to September 30, 2025. The FM (Facilities Management) services contractor reports a new share buyback programme of £100m under way.
Revenue in the security arm was £580m for the half year, a rise of 12 per cent compared with the first half of the year before. The firm claims a UK market leadership position in ‘Facilities Compliance’ through its acquisition in August of the installer Marlowe, complementing its fire safety and security by adding water and air hygiene.
The firm’s operating profit margin before other items was 4.1 per cent, which the contractor said reflected ‘continued trading momentum’. It says that it’s targeting high single digit revenue growth annually, including mergers and acquisitions. Its target for operating profit margin before other items is for at least 5pc by 2027.
Contract wins
Among the notable new contract wins in the period were Integrated Facilities Management (IFM) for Aviva; Immigration services for the Home Office; and on the security side, services for the Metropolitan Police Authority and Tate Gallery, while contract renewals and extensions included security services for Associated British Ports, the Co-operative Group and an unnamed UK supermarket chain. The firm says that significant sectors in its ‘bidding pipeline’ include immigration and justice, defence and central Government in the public sector, and retail, Critical National Infrastructure (CNI, including data centres – the firm notes that the UK is one of the largest data centre markets in Europe and which is growing rapidly), transport and aviation and financial services in the private sector. Data centre clients include Iron Mountain and Google; Mitie is an approved Microsoft security integrator. For National Grid, the business services division delivered civil works, including perimeter fencing, concrete anti-burrow beams and automated sliding gate foundations, at the Didcot national storage facility.
Use of tech
The firm stresses use of tech, such as how four of the UK’s largest retailers use ‘Intelligent Security’ to assess store risk profiles and optimise resource allocation. The firm has an autonomous AI email agent, ‘Barry’, now used by 38 customers, whose use has been extended beyond the Engineering helpdesk to Business Services (which includes security services) and HR. Several AI bots are in use across supply chain management, scheduling, HR and transactional admin.
CEO says
Phil Bentley, Group Chief Executive, pictured, said: “As we reach the halfway mark in our Three-Year Strategic Plan (FY25-FY27), it is good to see the progress that has been made and the growing momentum towards achieving our targets, and beyond, as the order book and pipeline continue to build. We are building a larger, more profitable and more cash generative business with greater capacity to invest for growth, as we have demonstrated with the acquisition of Marlowe. Our mission is to deliver increasing returns for shareholders, through share price appreciation, dividends and share buybacks.
“At the start of our Strategic Plan, our ambition was to increase revenue by £1.2bn to £5.6bn in FY27 through high single digit annual revenue growth. We are comfortably on track to exceed this target, having delivered double digit growth over several successive periods, including in the first half of this year.
“This sustained performance is a result of investments in sales & marketing; higher margin projects and compliance capabilities; and best-in-class customer-facing technologies and Artificial Intelligence (AI). It also reflects the hard work of our 84,000 colleagues who continue to deliver outstanding service to our customers. I am hugely thankful for their efforts not only in winning, retaining and growing contracts, but also making Mitie a truly inspiring environment, building better places and helping communities to thrive.
“Our business continues to demonstrate resilience and agility in navigating headwinds, including to mitigate the rise in employer National Insurance Contributions since April. We remain focused on delivering an operating margin of at least 5 per cent by FY27 through higher margin Facilities Transformation and Facilities Compliance growth; operational leverage; and through accelerating automation and AI efficiencies.
“As we look ahead to the second half of our Strategic Plan, over the next 18 months, I am confident that the positive macro trends underpinning our business will continue to support our accelerating growth ambitions, with Mitie being uniquely positioned to both expand its market reach and capture further market share.
“Our scale, technology, broad capabilities and ability to adapt to the changing needs of our customers are increasingly making us the partner of choice across the public and private sectors. We will continue to unlock the value in our customers’ estates through Facilities Management, Transformation and Compliance, and deliver the Future of High Performing Places.”
