Strong Buy28 Jan 2021 15:41
Outlook
Although the performance in the third quarter of the year was encouraging, the new national lockdown measures currently in place are likely to result in flat growth in the fourth quarter. Overall, second half performance will be stronger than the first half.
The underlying acquired Interserve business is holding up well and synergy benefits are starting to be realised. Therefore Mitie Group's FY20/21revenue and operating profit before other items, including share of JVs and associates, will be higher than previously thought with revenue (including Interserve for December 2020 to March 2021) in the region of £2.4-2.5bn and operating profit before other items in the region of £57-61m.