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Mitie solid start to the year

Trading is in line and revenues secure, so we retain our buy recommendation on outsourcer Mitie.
August 15, 2012

Outsourcing group Mitie has had a good start to 2012-13, saying it has already secured 87 per cent of its budgeted revenues and trading is in line with management's expectations.

IC TIP: Buy at 278p

The £775m Lloyds Banking Group contract has started well, and Mitie has signed a new £30m deal to provide similar cleaning services for RBS.

Mitie has also expanded its catering services, spending £12m, for a 51 per cent stake in events and leisure company Creativevents.