Compass Group PLC Interim results announcement for the six months ended 31 March 2012
Continued momentum and further efficiency gains
|
|
Six months ended 31 March 2012 |
Six months ended 31 March 2011 |
Change |
|
Revenue |
£8.6 billion |
£7.9 billion |
+8.6% |
|
Underlying operating profit |
£617 million |
£567 million |
+8.8% |
|
Underlying profit before tax |
£572 million |
£531 million |
+7.7% |
|
Reported profit before tax |
£581 million |
£528 million |
+10.0% |
|
Underlying earnings per share |
22.4 pence |
20.4 pence |
+9.8% |
|
Interim dividend per share |
7.2 pence |
6.5 pence |
+10.8% |
Positive momentum in top line growth, driven by good levels of new business wins and a consistently high rate of retention.
- Total revenue up 8.6% year on year, including contribution from acquisitions.
- Organic revenue growth of 5.0%.
- Strong performances in North America and Fast Growing & Emerging.
Cash flow generation remains strong and we continue to make acquisitions and reward shareholders.
- Interim dividend increased by 11%.
- £188 million spent on acquisitions in the first half of the year.
- On track to complete £500 million share buy back by the calendar year-end.
The future prospects of the Group remain encouraging.
- Expectations for the full year remain positive and unchanged.
- Compass remains well placed to exploit significant growth opportunities, particularly in North American and Fast Growing & Emerging markets.
- Further efficiency gains underpin our expectation of future improvement in the operating profit margin.
Richard Cousins, Group Chief Executive, said:
"Compass has had a positive start to the year, delivering revenue growth of nearly 9% and organic growth of 5%. We have continued to see high levels of new business wins and retention across the Group, with particularly good trading momentum in our North America and Fast Growing & Emerging regions. We are continuing to generate cost efficiencies, which are enabling us to invest in the many growth opportunities we see across the Group, with increasing emphasis on emerging markets. Looking forward, whilst we are not immune from the current economic difficulties in Europe, the fundamentals of the business are strong and I remain excited about the opportunities for future growth and margin progression."
Sir Roy Gardner, Chairman, said:
"These results demonstrate that the business continues to make good progress in delivering quality, sustainable growth. Despite the ongoing headwinds of food cost inflation and challenging economic conditions in Europe, we have achieved good rates of revenue and profit growth. We remain committed to rewarding shareholders at the same time as investing in the future of the business, and we have therefore increased the interim dividend by 11%."
