Compass CFO: CH&Co is ‘performing really well’  

CH&Co has been “performing really well” since its integration into the Compass portfolio in April last year, the catering giant has said.

In a call to investors following the publication of its Q1 2025 results, Compass’ chief financial officer Petros Parras said: “A couple of weeks ago we reviewed within our business both CH&Co and [German manufacturer and supplier] Hofmanns. With both acquisitions… the management teams are being very energised by the sub-sectorisation of the portfolio opportunity we have to serve more clients and consumers in areas we did not serve before.

“[They give us] flexibility in the operating model and we feel positive about this acquisition and they are so far performing really well.”

Compass, which is the world’s largest catering company, acquired CH&Co in a £475m deal last year. The move allowed it to expand its presence in the B&I market, where it already operated the Eurest and 14Forty brands.

Compass reported organic growth of 9.2% across the group in the quarter ended 31 December 2024. This was supported by “excellent” net new business wins, which accounted for about half of its growth.

Europe fell slightly behind, with organic revenue growth at 8.4% compared to 9.7% in North America, though the business said it expects other regions to “accelerate through the year as well”.

Compass has spent roughly $1b (£0.8b) on mergers and acquisitions (M&A) during the year to date, the majority of which was due to its acquisition of French caterer Dupont Restuaration and Norwegian service company 4Service.

When quizzed by analysts on net new business “taking a bit of a step back”, Compass chief executive Dominic Blakemore said: "There isn’t a hockey stick in our net new business in any way shape or form [but it] certainly isn’t about any slowdown whatsoever”.

He added: “Our 2025 guidance remains unchanged. We expect to deliver high single digit underlying operating profit growth with organic revenue growth above 7.5% and ongoing margin progression.”