Business
Third Quarter Trading Update
Third Quarter Trading Update.
About this update from Compass Group Plc
[{"type":"text","content":"\n\n \n\n\n\n\n\n\n\n\n\n\n\n\n\nLegal Entity Identifier (LEI) No. 2138008M6MH9OZ6U2T68\n\n\n\n\n\n \n\n\n\n \n\n \n \n \n \n \nAnother quarter of strong organic growth.\nFull Year guidance unchanged.\n \n \n25 July 2023 - Compass Group PLC, a global leader in food services, today announces trading results for the third quarter ended 30 June 2023.\n \nGroup and regional performance\n \nOur third quarter performance was strong with organic revenue growth of 15%, despite lapping the reopening of all sectors in the prior year.\n \nYear to date organic revenue growth was 21%, benefiting from excellent client retention of 96.7%, balanced net new business growth of 5%, appropriate pricing of 7% and strong like-for-like volume growth of 9%.\n \n\n\n\n\nOrganic revenue growth1\n\n\nQ3 2023\n\n\nQ3 YTD 2023\n\n\n\n\nNorth America\n\n\n14%\n\n\n20%\n\n\n\n\nEurope\n\n\n17%\n\n\n24%\n\n\n\n\nRest of World\n\n\n20%\n\n\n25%\n\n\n\n\nGroup\n\n\n15%\n\n\n21%\n\n\n\n\n \nOutsourcing trends remain strong and are contributing to an exciting pipeline of new business opportunities across all our regions. Whilst inflation remains elevated, we are making margin progress by mitigating cost pressures, pricing appropriately and benefiting from operational leverage.\n \nAcquisitions and disposals\n \nWe continue to focus on bolt-on acquisitions that support our capabilities and further strengthen our competitive advantage. Year to date, the Group's net expenditure on acquisitions and disposals was £272 million.\n \nShare buyback programme\n \nWe have purchased £250 million of the £750 million share buyback programme announced at our HY results in May 2023, the remainder of which will complete by the date of our full year results. Since May 2022, we have announced a cumulative share buyback of £1.5 billion.\n \n1 Year on year change.\n\n\n \nCurrency\n \nTrading results from our overseas operations are translated at the average exchange rates for the period. If these currency movements2 continue for the remainder of the year, foreign exchange translation would positively impact FY 2022 revenue by £593 million and operating profit by £43 million.\n \nAs previously announced, from 1 October 2023, the Group will report in US dollars to align wi...