LONDON (dpa-AFX) - Mitie Group plc (MTO.L) reported that its first-half operating profit before other items from continuing operations was up 5 percent due to improved contributions from the Detention & Escorting Services contract and VSG, partly offset by lower renewal margins in certain contracts. Revenue from continuing operations were up 11 percent driven by the VSG acquisition and continued growth in strategic accounts.
For the six months ended 30 September 2019, profit before tax improved to 14.6 million pounds from 12.0 million pounds, prior year. Earnings per share from continuing operations was 3.0 pence compared to 2.5 pence. Operating profit before other items increased to 33.0 million pounds from 31.3 million pounds. Before other items, earnings per share from continuing operations was 5.3 pence compared to 5.2 pence.
For the first-half period, revenue increased to 1.08 billion pounds from 971.6 million pounds, last year. Organic revenue rose 1.9 percent to 989.7 million pounds.
For fiscal 19/20, the Group projects organic revenue growth to be broadly in line with first half 19/20. The Group expects mid-single digits growth for operating profit before other items.
For fiscal 20/21, the Group projects growth in revenue to be in line with growth in fiscal 19/20 and operating profit before other items to grow at mid-single digits.
For the first half, the Board has declared a dividend of 1.33 pence in line with last year.
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