Mitie hits $5.7Bn revenue in March amid AI-led security projects
LONDON, UNITED KINGDOM — Outsourcing giant Mitie has announced record-high annual sales, driven by new projects with the UK Government and advancements in artificial intelligence-led security measures.
The FTSE 250-listed company, which provides services such as cleaning, security, engineering, and building work to major firms, reported an 11% increase in revenues, reaching £4.5 billion ($5.7 billion) for the year ending in March, up from £4.1 billion ($5.2 billion) the previous year.
A significant portion of this growth came from a growing pipeline of work with the UK Government, including substantial projects with the Department for Work and Pensions (DWP) and the Ministry of Defence (MoD).
Mitie initiated a £100 million ($127 million) program to upgrade the security infrastructure across the DWP and undertook critical refurbishment and construction work to support the MoD’s defense estate.
AI-powered security solutions target retail crime surge
Mitie’s revenue growth was also bolstered by its technology services division, which collaborates with companies such as Amazon, BAE Systems, Lloyds Banking Group, and Network Rail.
One of the standout projects completed last year was a comprehensive re-fit of a 100-year-old turbine engine manufacturing site for Rolls Royce.
The company has been at the forefront of integrating cutting-edge technologies to enhance its service offerings. Mitie’s work with retailers and the Home Office on Project Pegasus, a new retail crime plan, has gained significant traction.
The firm highlighted the increasing challenge of retail crime, with the estimated cost to the sector nearly doubling over the past year to £3.3 billion ($4.2 billion) annually.
Mitie has leveraged advanced technologies, including AI video analytics and biometrics, to improve security measures and identify criminals more effectively.
This initiative has contributed to increased revenue from its business services division, which also encompasses cleaning and security work for large corporations.
Mitie CEO Phil Bentley said, “We have secured a number of new contracts and projects in the fourth quarter of the 2024 financial year and first quarter of the 2025 financial year, which give us good business momentum and we expect to offset, in the medium-term, the contracts lost and ending in 2024.”
Strong financial performance and outlook
Despite losing some contracts in a highly competitive environment, Mitie’s overall financial performance remained strong.
The group’s pre-tax profit surged to £156.3 million ($199 million), up from £105.5 million ($134 million) the previous year.
The company’s strategic focus on government contracts and technological innovation has positioned it well for continued growth and success in the coming years.
