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13 December 2017
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ELIOR GROUP SEES ‘STRONG MOMENTUM’ IN 8.9% GROWTH FOR YEAR

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Elior is expanding operations © Shutterstock

7 December 2017 | Herpreet Kaur Grewal 


Catering and support services company Elior Group has reported a 8.9 per cent annual revenue growth, of which 3.6 per cent is organic growth excluding the impact of voluntary contract exits.

 

Its financial statement of results to the 12 months ended September 30, 2017 shows the adjusted EBITDA is up 5.9 per cent and the adjusted EBITDA margin comes in at 8.3 per cent.

 

Adjusted earnings per share are down 2.9 per cent to €1.02 (£0.9). The recommended dividend is €0.42 (£0.37) with a stock dividend option.

 

Pedro Fontana, Elior Group's deputy CEO, said: ”The 2016-2017 fiscal year brought with it a number of operational challenges, which were particularly concentrated in the second half. These included an exceptionally unfavourable calendar effect for contract catering, the renewal of a significant number of our motorways contracts in France, and the continued group-wide rollout of technological transformation programmes and upgrades to our information systems.

 

“Despite this context, we pursued our expansion drive, both from a commercial standpoint and through a number of strategic acquisitions, notably in the United States. Organic revenue growth came to 3.6 per cent, excluding the impact of voluntary contract exits, and total growth for the year was 8.9 per cent, confirming the quality of our offerings and the strong momentum in our markets. Adjusted EBITDA rose 5.9 per cent. The action plans drawn up to offset the adverse effects of the year's operational challenges were only partially carried out.”