Mears lifts full-year outlook after strong first half

Mears upgraded its full-year outlook on Thursday following a "strong" first-half performance.

In the six months to 30 June, adjusted pre-tax profit rose 62.7% to £18.1m, with revenues up 9.3% at £485m. The company, which provides services to the UK housing sector, lifted its dividend per share by 30% to 3.25p.

Chief executive David Miles said: "I'm delighted to report that the trading and operational performance in the first half has been excellent across the group and is reflected in this strong set of interim results.

"Our continued momentum is evidence that our core strategy and resilient operating platform is yielding a market leadership position, which is key to delivering incremental results and positions the group for further sustainable growth."

Mears said the trading momentum experienced in the first half has continued into the second.

The company said full-year revenues are now expected to be "materially ahead" of current market consensus, being in excess of £910m. Meanwhile, adjusted pre-tax profit is expected to be "at least" £32m, representing 25% growth on the prior year. Broker Numis said this is around 12% ahead of market consensus of £28.6m.