Shares in Gloucester-based social housing and care provider Mears (MER) surged 10% to a new five-year high last week after the firm posted strong full-year 2024 earnings and raised its 2025 outlook.

Revenue at the FTSE 250 group increased to £1.13 billion, helped by around £220 million in new contracts awarded last year, while pre-tax profit jumped 37% to £64 million.

Chief executive Lucas Critchley commented: ‘A strong period of contract retention has bolstered the order book and provides improved revenue visibility over the medium term. An increased operational focus has delivered improved service metrics and is also evident in the continued progress in operating margin.’

During the year, the board carried out a strategic update and set several key objectives, including positioning Mears as the leading provider of services to the UK Housing sector, becoming a leader in Compliance and delivering additional services to its key Central Government clients, ensuring the business is well-positioned for the next round of procurement from 2027 to 2029.

Shareholders benefitted from a £40 million buyback and a 23% increase in the total dividend to 16p per share ‘reflecting the board’s confidence in the positive outlook’.

Mears said it had made a ‘strong start’ to 2025, and although it was still early in the year it was raising its sales and profit to guidance to ‘not less than’ £1.05 billion and £50 million respectively. 

‹ Previous2025-04-17Next ›