Investor Relations - A Practical Guide - Investis

Case study: Mears Group plc
Bob Holt, Chairman
Since joining AIM in 1996, and our subsequent
move from AIM to the Main Market in 2008,
Mears Group has always looked to enter into a
dialogue with both institutional and private
investors. Reflecting the nature of our business
and our commitment to corporate governance and
corporate social responsibility, we have also
sought to speak with managers of ethicalorientated
funds about the company’s investment
proposition. Analysing the company and its
performance so that our investment proposition is
current, clear and firmly understood, is something
we undertake on an ongoing basis.
Growth and dividend policies have been central
themes to our investment proposition. For
example, Mears Group entered into the domiciliary
care market with the acquisition of Careforce,
which saw us issue additional shares to investors
to raise over £25m. In addition, over our 2004 –
2008 financial period, sales revenue increased
from £174m to £420m and profit before tax and
amortisation grew from £7m to £20m. In the same
period, dividends paid to shareholders moved from
1.90p to 4.75p per share.
Much of the ‘Outlook’ section of our 2009 interim
results analyst presentation encapsulates the
dynamics of Mears’ investment proposition:
• Strong fundamentals for the core business
• Growth markets
• High visibility of future revenues
• Spend drivers defensive
• No bad debts
In terms of communicating our investment case,
we regularly meet with our shareholders,
prospective investors, analysts and the media.
We also publish investor-related information about
the group, such as key financials, analyst
presentation material and copies of our annual and
interim reports, on our website.
About Mears Group plc
Mears Group is a leading social housing repairs
and maintenance provider working in partnership
with Local Authorities and Registered Social
Housing Landlords and it has a growing presence
in the domiciliary care market through its
Careforce business, providing personal care to
people in their own homes delivered through
partnerships with Local Authorities. In addition,
Mears subsidiary Haydon is a specialist,
mechanical and engineering services business.
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Building the Investor Relations Programme