Upgrading FY25 profit guidance due to strong organic growth and better than expected M&A performance

Agreed to acquire Vermaat for €1.5bn

22 July 2025 - Compass Group PLC, a global leader in food services, today announces trading results for the third quarter ended 30 June 2025.

Group and regional performance

Compass delivered another strong performance with organic revenue growth of 8.6% in the third quarter and 8.5% for the year to date. Both regions performed well, with North America delivering strong growth across all sectors. Net new business growth continued in the middle of our 4 - 5% target range, supported by strong client retention of over 96%.  

¹ Year on year change

Volume growth in both regions remained positive, with North America particularly strong as it benefited from favourable hospitality events. Growth in International was slightly lower compared to Q2, due to mobilisation timings. Pricing was in line with our expectations.

Acquisition and disposals

The Group's net expenditure on M&A was $1.1bn for the year to date, largely unchanged from its position at the half year. The integration of recent acquisitions is progressing ahead of expectations, and they are performing well.

Today we have announced an agreement to acquire Vermaat Groep B.V., a leading premium food services business in Europe, for an Enterprise Value of approximately €1.5bn.  Further details are provided in an accompanying stock exchange announcement.  This transaction is subject to regulatory approval and consultation with the Vermaat Works Council.

Currency

If current spot rates were to continue for the remainder of the year, foreign exchange translation would negatively impact 2024 revenue by $57m¹ and operating profit by $13m¹.

¹ Based on spot rates as of 17 July 2025

Summary and guidance

We are pleased with our third quarter performance with continued strong organic revenue growth and M&A performing better than expected. 

As a result, we are upgrading our 2025 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.

Sectorisation deep dive

The Group will share a virtual deep dive in September 2025, relating to how it sectorises the market, operating in distinct sectors through a unique portfolio of brands, which is a key competitive advantage.

Conference call

There will be a live Q&A session for analysts and investors at 9.00am BST. Please connect to the call at least 10 minutes prior to the start time by dialling:

Financial calendar

Enquiries

Forward-looking statements

Certain information included in this Announcement is forward-looking and involves risks, assumptions and uncertainties that could cause actual results to differ materially from those expressed or implied by forward-looking statements. Forward-looking statements cover all matters which are not historical facts and include, without limitation, the direct and indirect future impacts and implications of: public health crises such as the COVID-19 pandemic on the economy, nationally and internationally, and on the Group, its operations and prospects; risks associated with changes in environmental scenarios and related regulations including (without limitation) the evolution and development of the global transition to a low carbon economy (including increasing societal and investor expectations); disruptions and inefficiencies in supply chains (such as resulting from the wars in Ukraine and the Middle East); future domestic and global political, economic and business conditions (such as inflation or the UK's exit from the EU); projections relating to results of operations and financial conditions and the Company's plans and objectives for future operations, including, without limitation, discussions of expected future revenues, financing plans and expected expenditures and divestments; risks associated with changes in economic conditions, levels of economic growth and the strength of the food and support services markets in the jurisdictions in which the Group operates; fluctuations in food and other product costs and labour costs; prices and changes in exchange and interest rates; and the impacts of technological advancements. Forward-looking statements can be identified by the use of forward-looking terminology, including terms such as 'believes', 'estimates', 'anticipates', 'expects', 'forecasts', 'intends', 'plans', 'projects', 'goal', 'target', 'aim', 'may', 'will', 'would', 'could' or 'should' or, in each case, their negative or other variations or comparable terminology.

Forward-looking statements in this Announcement are not guarantees of future performance. All forward-looking statements in this Announcement are based upon information known to the Company on the date of this Announcement. Accordingly, no assurance can be given that any particular expectation will be met and readers are cautioned not to place undue reliance on forward-looking statements when making their investment decisions. Additionally, forward-looking statements regarding past trends or activities should not be taken as a representation or warranty that such trends or activities will continue in the future. Other than in accordance with its legal or regulatory obligations (including under the UK Listing Rules and the Disclosure Guidance and Transparency Rules of the Financial Conduct Authority), the Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. Nothing in this Announcement shall exclude any liability under applicable laws that cannot be excluded in accordance with such laws.