Compass Group PLC (CMPGF) Q3 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Welcome to the Compass Group's Third Quarter Trading Update Conference Call hosted by Dominique Blackmore, Group Chief Executive Officer. This call is being recorded. I will now turn the call over to Dominic Blackmore for his opening remarks. Please go ahead, sir. Thank you. Good morning and welcome to our third quarter trading update. As usual, Petros is alongside me. I'll start with some highlights on recent trading before discussing the exciting strategic platform acquisition in Europe that we've also announced today. The Group delivered another strong quarter with organic revenue growth of 8.6%. While both regions performed well, North America was particularly strong across all sectors. Net new business continued in the middle of our 4% to 5% range, supported by strong client retention of above 96%. Our M and A is performing better than expected, with the integration of recent acquisitions progressing well. As a result, we're upgrading our full year guidance. We now expect constant currency underlying operating profit growth to be towards 11%, driven by organic revenue growth above 8% and ongoing margin progression. Now turning to the acquisition of Vermaat, which is subject to regulatory approval. Vermont is an exceptional business and a unique asset, which will help us accelerate sectorization and provide a strong platform for expansion in Europe. It specializes in tailored on-site food concepts, delivered in solutions and strong consumer focused retail expertise, which will significantly strengthen our premium offer across the region. The exceptional leadership team has a strong track record of performance, delivering a compound annual growth rate of nearly 20% over the last fifteen years and industry leading margins. Its high retention rate reflects the quali...