Companies: MER ��

Bob Holt's Mears Group, the social housing maintenance specialist, delivered another superlative set of full years results, with sales rising 18.6% to �241.4m and profits jumping 28.4%. The order book, of �1.1bn, extends to 2019, after the group secured deals worth �222m during the year.

Most attention though was focused on the �22.2m recommended offer for Careforce Group, a provider of health care services to patients in their own homes. This has been funded by an oversubscribed placing at 334p to raise �25.2m.

Holt claimed the move into domiciliary care was a 'fantastic opportunity' as it was merely 'an extension of the public sector services we provide to local authorities'. Finance director David Robertson was equally optimistic, pointing out that the domiciliary care market is just as fragmented and poorly serviced now as housing maintenance was 10 years ago. Said Robertson 'there are 5000 providers in the UK competing in a �2bn market. We will hope to take a good slice of this'.

Holt, who returned to the chief executive chair following Stuart Black's surprise resignation a few weeks ago, said the group was 'well placed' to meet existing targets. 'We are easily one of AIM's most successful companies having posted an annual compound profits growth rate of 40% in the last ten years. Cash inflow is strong and we have witnessed margins improve in every business area. The new acquisition merely adds to this alluring mix'.

At 351.75p, Mears is valued at �216.6m - hardly a heady rating. Worth buying.

Mears Group	LSE	�207.49m	337.00p	-5.00p
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Other company articles:
Mears			05/03/2007
In the Hot Seat by Marc Barber			13/02/2007
Dutch giant ups Mears stake			16/12/2005
Mears			19/10/2005
Mears delivers once again			02/09/2005