Vending

Sodexo boosts Q1 2022 revenue 18.8% on COVID recovery

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January 6, 2022

Sodexo, the Paris based convenience services firm, reported revenues rose 18.8% from 4.432 billion euro ($5.01 billion) in Q1 2021 to 5.264 billion euro ($5.95 billion) in Q1 2022, citing a recovery from the impact of the coronavirus pandemic.

The revenue gain included a net contribution from acquisitions and disposals of -0.9%, which was more than compensated by a currency impact of 2.1%. As a result, organic growth was 17.5%, according to a press release.

On-site services revenue organic growth was 17.9% with recovery visible in all segments, geographies and services.

The healthcare and schools segments are now well above pre-COVID levels at respectively 105% and 104% of fiscal 2019 revenues, adjusted for currencies.

Corporate services, sports, leisure and universities all increased during the quarter, as employees returned to their offices, students to their universities and stadiums and convention centers reopened. As a result, food services also recovered strongly in the quarter to reach 83% of fiscal 2019 levels.

The company released annual guidance of fiscal 2022 organic revenue growth of 15% to 18%.

Shares traded at $85.10 today against a 52-week range of $80.20 to $103.79.

For an update on how the coronavirus pandemic has affected convenience services, click here.