Pre-Close Trading Update

RNS Number : 9606B

Mears Group PLC

13 January 2015

 

For Immediate Release

13 January 2015

Mears Group PLC

("Mears" or "the Group")

Pre-Close Trading Update

Mears, the provider of support services to the Social Housing and Care sectors in the UK, today issues a pre-close trading update ahead of its preliminary results for the year ended 31 December 2014, which will be released on 17 March 2015.

Mears delivered a solid trading performance across both core divisions and anticipates reporting results for the full year in line with management expectations. Mears continues to benefit from strong cash conversion and anticipates reporting a net cash position as at 31 December 2014.

The Group has 92% visibility of the market consensus revenue forecast for 2015 of £886 million (2014: 90%).

Commenting, David Miles, Chief Executive, Mears, said:

"I am pleased with the progress Mears has made in 2014.

"Mears has been focused over the last twelve months on providing a broader affordable housing offering to its customers. Our extended range of services has mirrored our clients' changing needs. We have invested in Housing Management and continued to develop new forms of partnering arrangements. I believe the opportunities for us in Social Housing remain very strong as our clients seek broader solutions to their increasingly complex housing challenges.

"In Care, as a robust high quality provider at the forefront of change in the sector, we remain very well placed strategically to take advantage of the longer term opportunities.  I am delighted at the success we have achieved in new contract bidding and, importantly, we continue to see a positive move in the structure of tendered opportunities with new contracts being awarded to fewer providers but with increasing contract lengths. The anticipated award of the Torbay contract is another crucial milestone for Mears and represents further strong development in the UK Care market.

"I am delighted to report that we continue to achieve high levels of service delivery and customer satisfaction. The quality of our service delivery continues to be our key differentiator and underpins our success in bidding new contracts in both of our core growth sectors."

-ENDS-

For further information, contact:

Mears Group PLC

David Miles, Chief Executive                                                             Tel: [phone]

Andrew Smith, Finance Director                                                       Tel: [phone]

Bob Holt, Chairman                                                                            Tel: [phone]

Alan Long, Executive Director                                                           Tel: [phone]

www.mearsgroup.co.uk

Buchanan

Richard Darby/ Sophie McNulty/ Sophie Cowles                         Tel: [phone]

www.buchanan.uk.com

Notes for editors

Mears is a leading social housing repairs and maintenance service provider to Local Authorities and Registered Social Landlords in the UK and now commands a leading position in the UK Local Authorities' outsourced care market, providing personal care services to people in their own homes.

Mears employs in excess of 15,000 people and provides maintenance and repairs services to in excess of 10% of the UK social housing stock. Mears also provides care to over 20,000 service users.

 

END

 

 

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