Britain’s Mitie raises profit outlook as COVID contracts rise amid Omicron wave
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January 27 (Reuters) – Mitié Group MTO.L It raised its full-year profit outlook for the second time in four months on Thursday as the contractor that helps run some of Britain’s COVID-19 testing sites enjoys a higher number of pandemic-related contracts during the Omicron wave.
Mitie, which provides security and cleaning services at virus quarantine hotels, has benefited from the pandemic as Britain has outsourced some of the COVID-19 work to private companies. However, those benefits were expected to decline in the second half of its fiscal year ending in March.
The group said Thursday that revenue from COVID-19-related contracts was higher than expected at 109 million pounds ($146.32 million) in the December quarter, and that it expected to continue profiting of this work during the last quarter of the fiscal year.
Its business services division, which runs some of Britain’s largest businesses and iconic buildings, has been boosted by its security services at transitional hotels for Afghan refugees and growing demand for security services. hygiene as offices reopen.
The company, which reported a 51% increase in revenue in the third quarter, expects operating profit before other items of 160-165 million pounds for the full year, against an estimate of September from 145 to 155 million pounds.
The British company has also benefited from acquisitions, including its purchase of rival Interserve’s facilities management business in 2020.
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(Reporting by Yadarisa Shabong in Bengaluru; Editing by Milla Nissi)
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