Contract takeovers boost Mears results
Social housing contractor Mears has reported a slight increase in revenue and profit for the first six months of the year, in interim results released today.
The figures for the six months to 30 June show a 5 per cent rise in revenue compared to the same period of 2011, to £307.2 million, and a 2 per cent in adjusted profit before tax, to £14.3 million.
The company’s social housing division has recently picked up an £11 million repairs deal from Southwark after the council cancelled a contract with rival firm Morrison, and says it is on the look out for similar opportunities.
‘It is a continuing theme over the last two years that we have witnessed a number of early contract terminations for our competitors within the social housing sector on the back of poor operational performance. Mears has been, and will continue to be, a major beneficiary of this,’ it states.
Mears’ care division increased revenue by 8 per cent for the six months, to £56.1 million, and its operating margin increased to 8. 1 per cent.
David Miles, chief executive of Mears Group, said: ‘I am proud of our achievements in the care sector.
‘Our commitment and ability to meet the needs of some of society’s most vulnerable people has been second to none. Moreover, we are achieving solid margins in what remains a complex politically-led market. I remain positive of our ability to shape and prosper in this market.’