Capital Markets Day 29 September 2014

Ruby McGregor-Smith CBE Chief Executive

2 – the strategic outsourcing company

Helping clients to run more efficient and effective businesses by looking after their facilities, their energy needs and the people they’re responsible for

3 Overview

27 years FTSE 250 70,000+ consecutive revenue support services employees: top 20 and earnings growth business UK private sector employer

* * 64%:36% £128m private sector £2.1bn operating profit public sector revenue

* Headline results for the financial year ended March 2014

Capital Markets Day Presentation September 2014 4 The shape of our business

Healthcare £92m

Property Energy Solutions Management £16m £265m

Revenue* £2,143m Hard FM Soft FM £579m £1,191m

Facilities Management £1,770m

*FY14 revenue

Capital Markets Day Presentation September 2014 5 Facilities Management breakdown

Cleaning & environmental services £363m

Integrated Hard and FM Soft FM £668m revenue* Security £1,770m £216m

Catering and Technical and front of house Facilities Management building services £76m £1,770m£447m

*FY14 revenue

Capital Markets Day Presentation September 2014 6 Investment case

• Strong organic growth potential, backed by a large order book and excellent revenue visibility • Very consistent margin track record – opportunity for gradual improvement • Blended group margin of 6.0%; major overhead investments made to support long- term growth and significant opportunities to leverage economies of scale • Opportunity to take further market share • Core Facilities Management business is market-leading – ability to expand with existing, blue-chip client base • Homecare business provides platform for long-term growth in healthcare • Substantial sales pipeline • Consistent, excellent cash generation and a strong balance sheet underpin profits • Will continue to deliver sustainable profitable growth – generating strong shareholder returns supported by progressive dividend

Capital Markets Day Presentation September 2014 7 Investment considerations – strategic direction

• Substantially de-risked the business • On track to exit loss-making M&E engineering business by end of FY15 • All design and build contracts within Asset Management being reviewed • Further update to be provided at interim results • No exceptional losses from the above two businesses to be reported after FY15 • Remaining business is focused on long-term services, with greater revenue visibility and lower risk • Core FM business is in a strong position • Leads the UK market for integrated services • Single service businesses continue to feed strong pipeline of bundled/integrated contracts • Private sector still driving more growth than public sector, with minimal exposure to central government

Capital Markets Day Presentation September 2014 8 Investment considerations – strategic direction

• Continued focus on sustaining our excellent track record of: • Cash conversion >80%, strong working capital discipline • Organic revenue growth – mid-single digit in the short-term • Margins – 6%, with aspirations to grow in medium to long-term • Capital expenditure <2% of revenues • Anticipate increasing returns on capital employed as we focus on organic growth

Capital Markets Day Presentation September 2014 9 Long-term strategy and growth aspirations Long-term organic Acquisition Business area Strategy growth potential potential • Remain the UK market leader in integrated FM No acquisitions of and continue growing with existing clients Facilities scale required – • Further grow our specialist single-service 5 to 10% Management businesses and be a top four provider in each of niche/bolt-on these markets capability only Property • Focused on long-term contracts with housing 1 to 10% No acquisitions Management associations and local authorities • Utilyx focused on higher-margin energy Energy consulting – differentiates us in FM market Potential for small, 5 to 10% Solutions • No further design and build projects – consulting niche acquisitions only • Grow MiHomecare into the UK’s market leading No acquisitions of homecare business scale required – Healthcare • Shape the social care market by delivering >10% transformational healthcare partnerships niche/bolt-on • Expand into more complex care capability only

Capital Markets Day Presentation September 2014 10 Market shift to integrated contracts

£2.5bn Headline group revenue*

£2.0bn 40% 41% £1.5bn 42% 41% 43% £1.0bn 29% 33% 46% £0.5bn 57% 58% 26% 31% 13% £0.0bn 2010 2011 2012 2013 2014 Single Bundled Integrated • Significant revenue still derived from single service contracts – opportunity to benefit further *Revenue excludes engineering construction business from 2012

Capital Markets Day Presentation September 2014 11 Exceptional revenue visibility

10.0 90% 9.5 9.0 85% 8.5 85% 84% 8.0 83% 7.5 81% 80% 7.0 6.5 75% 6.0 74% 75% 5.5 5.0 70% 4.5 4.0 65% 3.5 3.0 2.5 60% 2.0 1.5 55% 1.0 0.5 1.5 4.9 1.7 6.4 1.9 6.8 1.8 8.6 2.0 9.2 2.1 8.7 - 50% 2009 2010 2011 2012 2013 2014 Headline revenue £bn Aggregate order book £bn Secured revenue (at start of FY) %

Revenue excludes engineering construction business from 2012 onwards

Capital Markets Day Presentation September 2014 12 Operational management

Mitie

Facilities Management Property Energy Solutions New Ventures and Healthcare Management and International Corporate Soft FM Hard FM Patrick Stirland Development Bill Robson Patrick Stirland Martyn Freeman Pete Mosley Jeff Flanagan

Integrated FM Social Housing Utilyx Care and Custody* Phil Holland Peter Griffin Jo Butlin Colin Dobell Catering and front of house Allister Richards Security Bob Forsyth

Cleaning Rob Cattell

Waste, Landscaping, Pest *Care and Custody financial results reported within FM numbers Richard Couzens

Capital Markets Day Presentation September 2014 13 Who you will meet today

Division/Business Director Soft FM Martyn Freeman Cleaning Rob Cattell Environmental services (landscaping, waste, pest control) Richard Couzens Catering & front of house Allister Richards Security Bob Forsyth Integrated FM Phil Holland Lloyds Banking Group contract Chris Newton Hard FM Pete Mosley Care & Custody Colin Dobell Property Management / Social Housing Bill Robson / Peter Griffin Healthcare John Telling Energy Solutions Jo Butlin

Capital Markets Day Presentation September 2014 14 Key clients by business

Cleaning & environmental Royal Cornwall St George’s First Great services Tesco Co-op Hospitals Hospital Western FY14 revenue: £363m Catering & front of house RBS Standard Life Channel 4 Olympia Co-op FY14 revenue: £76m Security Heathrow Eurostar AWE UBS Eurotunnel FY14 revenue: £216m Ashworth & Hard FM Four Seasons Heathrow Airport Rampton JLL City of London FY14 revenue: £447m Home Care Hospital Integrated FM Lloyds Banking Ministry of Rolls-Royce Vodafone BSkyB FY14 revenue: £668m Group Justice Care & Custody Ministry of Home Office FY14 revenue: £7m* Justice Property Management Crawley Hammersmith & Basildon Lewisham Orbit Housing FY14 revenue: £265m Borough Council Fulham Borough Council

Healthcare London Borough City & Council Cambridge Surrey County County & City of FY14 revenue: £92m of Southwark Swansea Council Cardiff Energy Solutions HSBC John Lewis McDonalds Royal Mail Honda FY14 revenue: £16m *Care and Custody financial results reported in FM numbers but split separately here for illustrative purposes Capital Markets Day Presentation September 2014 15 Key competitors by business

Interserve/ Cleaning & environmental Initial OCS ISS Compass Servest services Cleaning

Catering & front of house BaxterStorey Compass Sodexo Elior CH&Co

Security G4S Securitas VSG/Compass ISS OCS

Hard FM Integral Norland Cofely

Integrated FM Carillion Cofely Interserve JCI ISS

Care & Custody G4S Serco GEO Carillion Amey

Property Management Mears Wilmot Dixon Kier Keepmoat Wates

Leonard Healthcare Saga Allied Care UK Mears Carewatch Cheshire Schneider EnergyQuote Energy Inenco Big 6 Energy Supplier Electric JHA

Capital Markets Day Presentation September 2014 16 Capital Markets Day Presentation September 2014