Mears Group has reported that revenues were up 8% to £525.6m in its interim results.
The Gloucestershire-based housing and social care provider said its profits soared by 18% to £21.3m in the first six months of the year compared to £18.1m last year.
The group said the pipeline of potential new contracts is strong and it has already been confirmed as the sole remaining bidder of the £1.5bn North Lanarkshire contract opportunity, for example, with the final award expected before before the end of the year. Mears added that its Asylum contract continues to be a "key driver".
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Bosses at the AIM-listed firm said they were "delighted at the positive start to 2023" and expects this momentum to continue into the second half. The board anticipates revenues for the full year to be at least £1bn and an adjusted profit before tax of at least £40m.
David Miles, chief executive at Mears Group, commented: "We are delighted to deliver strong results for the first half year, with record levels of revenues, profits, and daily net cash. This strong momentum is expected to continue through the second half, and we have today further increased our FY23 guidance.
"The excellent financial performance is testimony to the strategic actions taken in recent years, our investment in resilient operating platforms, and a committed and engaged workforce with a shared desire to deliver the highest level of customer service in the affordable housing sector."
Mears currently employs around 5,500 people and provides services in every region of the º£½ÇÊÓƵ. In partnership with its housing clients, the firm provides property management and maintenance services.
Mears said it has extended its activities to provide broader housing solutions to solve the challenge posed by the lack of affordable housing and to provide accommodation and support for the most vulnerable.
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