Kinovo wins £12m contract with the Hyde Group

22nd Feb 2023 12:12

(Sharecast News) - Specialist property service provider Kinovo announced a new contract worth £12m over five years with the Hyde Group, a housing and care provider, on Wednesday.

The AIM-traded company said the contract would involve electrical testing and associated works for both domestic and communal properties.

It said the contract award followed its recent strategic repositioning and growth trajectory, which had led to multiple contract wins and renewals.

The company recently announced a contract worth £4m over two years with the London Borough of Waltham Forest.

In addition to the contract award, Kinovo noted that it had been ranked in first position for a number of sustainability lots for the Greater London, Southeast, and East regions.

The lots form part of the 'Net Zero Carbon Works', which include planned maintenance, net zero carbon, and passive fire safety works.

It noted that the National Housing Maintenance Forum (NHMF) estimated the potential value of the framework to be worth £200m nationally, across the relevant contractors together, over four years.

Additionally, Kinovo was also awarded the first position on the Hyde framework agreement, which would provide the ability to undertake additional domestic and communal electrical testing across all of its geographical areas of operation.

That framework could also be accessed by other public bodies, the board explained.

"We are delighted to continue our strong momentum of contract wins and renewals as we near the end of our financial year, a typically busy period for the company," said chief executive officer David Bullen.

"The Hyde contract win represents an extremely exciting opportunity for Kinovo, further contributing to our visible revenues and creating the potential for a number of additional projects."

Bullen said the company was also pleased to have secured additional first-place rankings under the NHMF for its renewables work - one of its three strategic pillars, and a key growth area.

"While not factored into our visible revenues, these have the potential to considerably benefit our revenues in the years ahead."

At 1046 GMT, shares in Kinovo were up 2.82% at 36.5p.

Reporting by Josh White for Sharecast.com.