Compass sees revenues reach 97% of pre-Covid levels
Compass Group's organic revenue grew by 38.6% in the three months to 31 December 2021, with revenues reaching 97% of their pre-Covid levels, according to a trading update.
The improvement was largely driven by new business, continued client retention and some ongoing recovery in the base business. The catering giant said the emergence of the Omicron variant had a limited impact on the business during the period.
Performance improved across all regions, with four out of five sectors trading above 100% of 2019 revenues. In Europe, all sectors traded well except for business and industry (B&I), which continued to be affected by reopening delays.
Compass said it was encouraged by the strong start to the year, but mindful of some impact from the Omicron variant in the second quarter, with B&I clients delaying their return to work, some sports and leisure events being postponed, and education facilities extending remote learning.
The company's guidance for the 2022 financial year remained unchanged, with expected full-year organic revenue growth of 20%-25%. Full year underlying operating margin was expected to be over 6%, returning to around 7% by the year end.
