Compass ups full-year outlook on strong quarter

By

Sharecast News | 23 Jul, 2024

Updated : 07:32

17:26 18/12/24

  • 2,673.00
  • 0.04%1.00
  • Max: 2,684.00
  • Min: 2,666.00
  • Volume: 2,404,961
  • MM 200 : 2,353.08

Catering giant Compass Group boosted its full-year guidance on Tuesday, following a bumper third quarter.

Updating on trading, the world’s largest catering company said organic revenues rose 10.3% in the three months to 30 June.

It saw growth in all regions, with sales up 12% in Europe and 9.9% in North America.

Compass provides food for work and school canteens in around 30 countries. North America is its biggest market, however, accounting for around 70% of group revenues.

It said: “The group delivered another strong quarter. All regions continue to perform well, and industry trends remain strong, providing Compass with an exciting pipeline of new business opportunities.”

As a result, the blue chip upped full-year guidance for the second time this year.

It now expects underlying profit growth to be above 15% on a constant currency basis, and organic revenue growth above 10%.

It had previously forecast profit growth towards 15% and revenue growth trending towards 10%.

In the year-to-date, organic revenues were up 10.9%, with the biggest uptick – 12.2% – seen in Europe. In North America, revenues in the year to date were up 10.6%, and 9.6% in the rest of the world.

Compass last increased its guidance at its interim results in May, when it posted a 19% jump in operating profits, to $1.47bn, on revenues of $20.9bn.

Last news