Business
Third Quarter Update
Third Quarter Update.
About this update from Compass Group Plc
[{"type":"text","content":"\n \nRNS Number : 0806M Compass Group PLC 26 July 2017 \n\n \n \n26 July 2017\n \nThird Quarter Update\n \nThis statement updates investors on the Group's performance since 31 March 2017. \n \nGroup\nCompass continues to have a good year. Organic revenue growth in the third quarter was 3.9% (up 5.0% excluding the impact of Easter). Growth accelerated in the quarter with strong net new business in North America, good progress in Europe, and a challenging - but improving - environment in Rest of World. For the nine months to 30 June 2017 organic revenue growth was 3.7%.\n \nOur ongoing commitment to generating efficiencies in the business continues to be supported by our management and performance (MAP) programme. We are using these efficiencies to invest in exciting growth opportunities around the Group. In addition, the end of the restructuring programme in our Offshore & Remote business also contributed to the improvement in the operating margin in the quarter. Overall, the operating margin for the nine months to 30 June 2017 increased by 20 basis points. \n \nNorth America\nThe region continues to perform strongly, with organic revenue growth of 7.1% (up 7.8% excluding Easter) in the third quarter and 7.1% in the nine months to 30 June 2017. We are seeing good growth across all sectors except in our oil & gas business. Margins improved modestly in the nine months to 30 June 2017.\n \nEurope \nOrganic revenue declined by 0.3% (up 2.2% excluding Easter) in the third quarter, and grew by 1.0% in the nine month period to 30 June 2017. We continued to drive efficiencies which allowed us to reinvest in the business to drive sustainable growth, and to improve margins by around 10 basis points in the nine months to 30 June 2017.\n \nRest of World\nOrganic revenue declined by 1.3% (down 1.1% excluding Easter) in the third quarter, and declined by 3.8% in the nine month period to 30 June 2017. Our non-commodity related business grew by 3.6% in the third quarter and, although our Offshore & Remote business remains difficult, trends are improving. The end of the commodity construction cycle in Australia continued to have a modest impact on the operating margin which declined by 10 basis points in the...