Global foodservice and facilities management company Sodexo has reported an organic 3.5% revenue growth for nine months ending 31 May 2019.
According to the company, the organic revenue growth was driven by a positive performance in the third quarter of up to 4.2% from 3.6% in the second quarter, with growth improving in all on-site services segments in North America.
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According to the company, net acquisitions contributed to a 2.2% increase during the nine months, speeding up in the third quarter, with Centerplate contributing for the complete quarter.
Sodexo has also reported a 3.2% revenue increase in its on-site services to €16.077bn, compared with €14.908bn for the same period.
The company reported a 3.2% increase in revenues of business and administration services to €8.580bn in the nine months of the fiscal year 2019, compared with €8.094bn in the same period of the prior year.
Sodexo CEO Denis Machuel said: “On-site services growth continued to improve in all segments and in North America in Q3. Growth in Europe and the rest of the world remains very solid.
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By GlobalData“We are pleased with this performance to date. However, we see more modest growth in Q4 as we continue to face retention challenges and a relatively high comparable base in Sports & Leisure and North America.”
Machuel also expects that the company’s revenue organic growth for the full year to be 3%.
Last month, Sodexo received a 15-year catering contract worth more than £100m from the Yorkshire County Cricket Club (YCCC) and Leeds Cricket, Football and Athletics (LCF&A).
