Compass Group PLC

CPG

Equity

ISIN GB00BD6K4575 / Valor 36805672

LSE London Stock Exchange, SETS (2024-12-24)

GBP 26.45-0.11%

Compass Group PLC
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About company

Compass Group PLC is a leading global food service company, providing a wide range of food and support services across various sectors including healthcare, education, corporate, and entertainment venues. With operations in numerous client locations worldwide, the company specializes in delivering high-quality, nutritious food tailored to the unique demands of each client, emphasizing warm hospitality and excellent service. Compass Group's offerings extend beyond food services to include a variety of soft support services such as cleaning, reception, and facilities management, aimed at enhancing the operational efficiency of its clients' businesses. The company prides itself on its commitment to sustainable and responsible sourcing practices, leveraging its global network to ensure ethical procurement. Through its sectorized approach, Compass Group tailors its services to meet the specific needs of different industries, consistently focusing on innovation, nutritional value, and cost-effectiveness to provide the best possible service to its clients.

Summarized from source with an LLMView SourceSector: Consumer Services

Revenue Growth

Compass Group PLC reported a significant increase in revenue for the full year ending 30 September 2024. The company's underlying revenue reached $42.2 billion, marking a 10.6% growth compared to the previous year. Statutory revenue also saw a similar increase of 10.8%, reflecting the strong trading performance across its markets.

Operating Profit

The underlying operating profit for Compass Group PLC in the fiscal year 2024 was $2,998 million, representing a 16.4% increase from the previous year. Statutory operating profit also rose by 11.7% to $2,584 million, despite non-underlying charges related to business acquisitions and portfolio reshaping.

Earnings Per Share

Compass Group PLC's underlying earnings per share for the year ended 30 September 2024 increased by 14.6% to 119.5 cents. However, the statutory earnings per share decreased by 10.7% to 82.3 cents, impacted by higher finance costs, a higher effective tax rate, and the reclassification of cumulative currency translation differences on the sale of businesses.

Cash Flow and Investments

The company reported a robust underlying operating cash flow of $2,642 million, an 18.6% increase from the previous year. Free cash flow also grew by 14.8% to $1,740 million. Compass Group PLC invested $2.6 billion in growth through capital expenditure and mergers and acquisitions, including significant acquisitions in Europe.

Outlook for 2025

Looking ahead to 2025, Compass Group PLC expects high single-digit underlying operating profit growth, driven by organic revenue growth above 7.5% and ongoing margin progression. The company remains confident in sustaining mid-to-high single-digit organic revenue growth and profit growth ahead of revenue growth in the longer term.

Summarized from source with an LLMView Source

Key figures

24.8%1Y

60.6%3Y

38.1%5Y

Performance

15.5%1Y

19.9%3Y

31.4%5Y

Volatility