REUTERS: Sodexo SA said on Thursday it expects its second-half revenue to expand after the French catering and food services group reported a large beat on its first-half profit margin.
The Paris-based company forecast an organic growth ranging between 10per cent and 15per cent for the six-month period through August 2021, seeing rapid recovery once vaccination rollouts are fully deployed.
But, Sodexo said it will remain cautious in view of a resurgence in coronavirus infections and flagged the continuous volatility in the short-term, particularly in Europe, and expected little improvement in quarter-on-quarter trends throughout its fiscal year.
For the six months ended February, Sodexo posted an underlying operating profit margin of 3.1per cent, beating its own target of at least 2.5per cent, on revenue of 8.60 billion euros (US$10.08 billion).
(US$1 = 0.8530 euros)
(Reporting by Juliette Portala; Editing by Sherry Jacob-Phillips)