For the year ending 31 December 2011, Mears reported total group revenue up 9% to £589.0m (2010: ££523.9m).
Like-for-like operating profit was up 7% to £33.6m (2010: £31.3m). Pre-tax profit, before amortisation and exceptional items, was up 9% to £31.5m (2010: £28.9m).
While housing repairs and maintenance work for local authorities and social landlords has traditionally been Mears’ core business, acquisitions have given it a leading position in the local authority outsourced care market, providing personal care services to people in their own homes. In 2007 it took over Careforce for £25m. In 2010 it added Supporta for £27m. Last year it paid what turned out to be £5.3m for a division of Choices Care Community Services.
It is also looking for additional suitable R&M contractors to take over to maintain its growth trajectory. Last year it took over a group of home improvement agencies from Anchor Housing for a nominal fee
Mears Group chief executive David Miles said: "We continue to position ourselves as the partner of choice for our customers (and their tenants), differentiating ourselves through our ability to add rigorous financial control to contracts whilst improving our (already market leading) tenant-centric service standards. I am particularly pleased by the positive impact we achieved turning-around the contracts we inherited over recent years from failed businesses. As customers continue to seek solutions to social housing's broad-based underlying challenges, I am confident that we will remain significantly differentiated from our remaining competitors. We continue to seek appropriate bolt-on acquisitions.
"I am proud of our achievements in the care business that we have built against a backdrop of significant industry change. We have delivered as we promised we would. The well documented challenges in the care market are likely to accelerate in 2012. Mears continues to be at the forefront of seeking solutions to these challenges, both intellectually, in terms of influencing policy makers and critically in terms of investment and training in our operational processes. Where appropriate, we will seek acquisitions to broaden our care offerings. The new internally-developed care IT system will further help to enhance our customer service as we widen the range of areas within which the Mears approach is delivered.
"In challenging market conditions overall, we continue to believe that our track record of superior customer service, financial strength and service innovation will position us well to meet our customers' needs in our two growth markets."
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