The pre-tax profit of support services group Mitie surged 21% for the year to 31 March, despite falling operating margins.

The group’s profit increased from £25.1m last year to £30.4m and turnover jumped 25% to £518.9m.

Turnover rose £41m to £291m in Mitie’s building services division and pre-tax profit increased from £12.5m to £14m last year. But margins fell from 5% to 4.8%.

Margins in the group’s support services division also slipped – down from 7.6% in 2001 to 7.2%, whereas the division’s profit increased £3.7m to £16.3m and turnover jumped £62.3m to £227.9m.

Chief executive David Telling said the group was entering into more long-term relationships with clients. He said: “This has brought a degree of stability, better visibility and security of earnings.”

  • Mitie has appointed Manish Chande as a non-executive director. Chande is a director at Property Fund Management.