Mitie Group Plc · LSE:MTO
Mitie — H1 FY26 Earnings Presentation
29 slides from Mitie's earnings presentation, Nov 20, 2025
Slide 1: Strong H1 FY26: Growing momentum in delivery of FY25-FY27 Strategic Plan
1 Strong H1 FY26: Growing momentum in delivery of FY25-FY27 Strategic Plan Interim results presentation for the six months ended 30 September 2025 20 November 2025 The Future of High-Performing Places
Slide 2: H1 FY26 highlights
H1 FY26 highlights Strong H1 FY26: Growing momentum in delivery of FY25-FY27 Strategic Plan Maintained double Record contract Good FCF digit revenue wins/renewals, generation & low growth and good order book and leverage supports margin resilience bidding pipeline new £100m buyback programme FY26 op
Slide 3: Financial update
3 Financial update Simon Kirkpatrick Chief Financial Officer
Slide 4: FY27 Financial Targets
4 Durable financial model: compounding earnings, value accretion, increased shareholder returns 2023 Capital Markets Event (CME) Growth Profitability Cash generation Revenue: £2.7bn Op. profit1: £108.8m Free Cash Flow: £52m High single digit revenue growth (CME baseline: £4.4bn) 50.0 +12% 2.5 +13% 1
Slide 5: Headlines
5 Headlines Good revenue and profit growth in H1 FY26 • Revenue growth of 10.4% driven by strong £m H1 FY26 H1 FY25 % change organic growth of 6.4% Revenue 2,677 2,426 +10.4 • Margin maintained at >4% despite headwinds (NIC impact and completed Operating profit before Other items 108.8 101.1 +7.6 hi
Slide 6: Revenue
6 Revenue Good organic growth supplemented by acquisitions 97 2,677 £m 77 (41) 4.0% (1.7%) 48 3.2% 70 2.0% 2,426 2.9% Revenue Organic growth 6.4% growth: +10.4% H1 FY25 Core FM Projects Pricing Completed Acquisitions H1 FY26 'surge' work
Slide 7: Operating profit
7 Operating profit1 7.6% profit growth after £23.6m of profit headwinds £m 10.2 (7.8) H1 FY26 profit 10.0 (6.2) margin: 4.1% H1 FY25 profit margin: 4.2% (9.6) 4.7 6.4 108.8 101.1 Strategic profit growth +£31.3m Profit headwinds (£23.6m) Profit growth: +7.6% H1 FY25 Core FM Acquisitions MEI Telecoms
Slide 8: Cost inflation and NIC changes
8 Cost inflation and NIC changes Inflation and NIC increases have been tightly managed in H1 FY26, in line with guidance INFLATION IMPACT • Net P&L impact from cost inflation of £3.4m, H1 FY26 FY26 reflecting 95% pricing pass through on contracts Cost increase from inflation (£62.7m) (£133.0m) • Net
Slide 9: Business Services
9 Business Services H1 FY26 revenue growth of 15.1% combined with resilient profit performance • Security: Strong growth despite headwind from £m H1 FY26 H1 FY251 % change completion of surge work. Good organic & inorganic project growth, new wins, and pricing Security 580 517 12.2% • Hygiene: growt
Slide 10: Technical Services
10 Technical Services H1 FY26 revenue growth of 5.4%, significant improvement in profit and margins • Engineering: good growth from new wins, £m H1 FY26 H1 FY251 % change project work and pricing, offset loss of one notable contract and Telecoms contract Engineering 683 652 4.8% exits Defence 261 24
Slide 11: Group operating profit
11 Group operating profit1 7.6% profit improvement and margin maintained at >4%, despite headwinds • Corporate centre costs 7.6% higher, £m H1 FY26 H1 FY252 % change reflecting inflation, National Insurance Contributions, and strategic investments, offset by MEIs Business Services 85.3 85.1 +0.2 Tec
Slide 12: Cash flow
12 Cash flow Good free cash flow generation, despite structural H1 working capital outflow and higher capex and lease payments £m H1 FY26 H1 FY25 • Strong profit generation drives £51.9m of FCF inflow in H1 FY26 Operating profit before Other items 108.8 101.1 • Cash Other items of £25.6m relates mai
Slide 13: Balance sheet
13 Balance sheet Strong and stable balance sheet underpins ongoing shareholder returns, and infill M&A • Increase in net debt due to capital allocation actions £m H1 FY26 FY25 undertaken and higher lease liabilities Closing net (debt) (471) (199) • Average leverage (1.0x) at lower end of target rang
Slide 14: Summary & Guidance
14 Summary & On track to meet FY26 expectations after good progress in H1, despite headwinds Guidance H1 Performance 2023 Capital Markets Event (CME) Double digit revenue growth with both divisions showing good momentum High single digit revenue growth (CME baseline: £4.4bn) Margins broadly stable (
Slide 15: Strategic update
15 Strategic update Phil Bentley Chief Executive Officer
Slide 16: On track to deliver FY25-FY27 Strategic Plan, targeting growth/margin expansion
16 On track to deliver FY25-FY27 Strategic Plan, targeting growth/margin expansion Evolving customer needs: from Facilities Management to Facilities Transformation and now Facilities Compliance Our pillars of growth… … Enable us to satisfy evolving customer needs… … And build a leading offering III.
Slide 17: Macro trends and £33bn pipeline (+50% YoY) underpin growing momentum
17 Macro trends and £33bn pipeline (+50% YoY) underpin growing momentum Decarbonising and modernising Prison capacity shortage the built environment 01 06 £10bn government investment to increase £1.4trn cost of achieving Net Zero in the UK prison capacity Private sector as first line of security Evo
Slide 18: Good revenue growth, new wins and record order book in H1
18 Good revenue growth, new wins and record order book in H1 … We have high visibility over near-term (1-3 years) order book, plus >£2bn of pipeline in final stage BAFO Group revenue (£bn) New Wins (TCV £bn) Renewals (TCV £bn) Pipeline doubled in size 3.0 £2.7bn 2.5 2.5 £2.1bn £17.6bn in H1 23 2.5 2
Slide 19: … with our strategic imperatives providing growing momentum beyond
19 … with our strategic imperatives providing growing momentum beyond Investment in Investment in Investment in Investment in Sales & Marketing Projects capability Marlowe Technology and AI CAPTURING CLIENT ‘SHARE TURBO-CHARGING ACCELERATING GROWTH IN EXECUTING AI STRATEGY AT OF WALLET’ THROUGH SCDs
Slide 20: Capturing client 'share of wallet' through SCDs
£556m 20 (£600m Key Capturing client ‘share of wallet’ through SCDs 3Y target) account growth and Significant opportunity to add additional service lines to existing strategic accounts scope increases Facilities Management Enablers to identify and capture share of wallet: Client case studies 7% 42%
Slide 21: Turbo-charging Projects
£198m 21 (£200m Turbo-charging Projects 3Y target) Projects upsell/infill Strong momentum in transformational projects; targeting £2bn of revenue in medium-term Facilities Transformation Acquisitions revenue performance is Fire Safety & Security Key stats accelerating under Mitie’s ownership… 0.7 62
Slide 22: Accelerating growth in Compliance/Water
£77m 22 (£400m Accelerating growth in Compliance/Water 3Y target) M&A ‘Total Fire & Security’ (#1 market leader) and new ‘Total Managed Water’ capabilities contribute to our >£1bn Facilities Compliance revenue ambition in £7.6bn Compliance market Facilities Compliance FS&S #1 in ‘Total Fire & Securi
Slide 23: Marlowe integration improves margin mix…
23 >5% Marlowe integration improves margin mix… Operating margin by FY27 £15m of cost synergies to be delivered by end-FY27, 100% run rate (£30m) entering FY28 FY27: £15m of cost synergies in year Good progress after only 3.5 months of ownership £15m Support functions Cost initiatives underway: Elim
Slide 24: …and AI strategy is also driving margin accretion…
24 >5% …and AI strategy is also driving margin accretion… Operating margin by FY27 Core systems Intelligent Solutions Intelligent Engineering Intelligent Hygiene Condition-based MAS 9.1 Rollout completed 3,000 MS Copilot Demand-led hygiene maintenance at 700 enabling AI by Dec 2025 licences at 320 s
Slide 25: …with Agentic Mesh to connect & orchestrate AI Agents by end FY26
25 >5% …with Agentic Mesh to connect & orchestrate AI Agents by end FY26 Operating margin by FY27 Reimagining and automating workflow and workforce management ‘WORKFLOW’ ‘WORKFORCE’ ‘BACK OFFICE’ Technical Services Supervisor Business Services Supervisor Finance /HR Orchestration agent Agent Agent S
Slide 26: H1 FY26 highlights
H1 FY26 highlights Strong H1 FY26: Growing momentum in delivery of FY25-FY27 Strategic Plan Maintained double Record contract Good FCF digit revenue wins/renewals, generation & low growth and good order book and leverage supports margin resilience bidding pipeline new £100m buyback programme FY26 op
Slide 27: Appendix
Appendix
Slide 28: Return on invested capital (ROIC)
28 Return on invested £m H1 FY26 H1 FY25 % change (R12M)3 (R12M)3 capital (ROIC) Operating profit before Other items 241.8 222.5 +9 Tax1 (58.3) (48.0) +21 Operating profit before Other items after tax 183.5 174.5 +5 Invested capital2 1,125.3 688.0 +64 ROIC % 16.3% 25.4% (910 bps) 1 Tax charge has be
Slide 29: Invested capital (for ROIC)
29 Invested capital £m H1 FY26 H1 FY25 Increase / % change (decrease) (for ROIC) Net assets 544.2 418.5 125.7 +30 Add: Non-current liabilities 707.1 359.1 348 +97 Current provisions 44.1 39.4 4.7 +12 Current private placement notes - 30.0 (30) (100) Deduct: Non-current deferred tax assets (0.3) - (0