Mears Group (MER) Trading Update summary

Trading performance

• Strong trading in H1 2024, with profit before tax expected to exceed both prior year and Board expectations.

• Elevated revenues in management-led activities and improved operating margins contributed to performance.

• Strong cash generation reported, supporting financial stability.

• FY24 results anticipated to be modestly ahead of current market expectations (£999m revenue, £46.7m PBT).

• Interim results for the six months to 30 June 2024 will be announced on 8 August 2024.

Operational developments

• Focus on developing and broadening service offerings to clients.

• Enhanced operational focus and better use of IT systems driving operational and commercial improvements.

• Continued progress in operating margins reflects operational improvements.

Company overview and strategy

• Provides property management and maintenance for around 450,000 homes across the UK.

• Works mainly with central and local government through long-term contracts.

• Employs over 5,000 people and operates in every UK region.

• Expanding into broader housing solutions, including support for vulnerable populations.

• Emphasizes long-term outcomes, innovation, and sustainable financial returns for shareholders.