Elior Group has posted financial results for the first half of its financial year showing worldwide revenue up 5.6% and profits up 4.3%.
The France-based contracted food and support services giant said that international markets, particularly the UK, had fuelled growth for the company as sales rose to €2.82billion (£2.03 billion)for the six months ended 31 March 2015.
Revenue from France was up just 0.8% while other European countries including the UK grew by 8.7%.
Philippe Salle, Elior’s new chairman and chief executive officer, said the results were broadly in line with the company’s objectives and predicted a stronger second half to the year. “The Group’s first-half performance was in line with our forecasts with organic growth at 2.8% and EBITDA margin slightly down year-on-year. We expect our business momentum to be strong in the second half of 2014-2015, thanks to the favourable impacts of the cost efficiency plans put in place in late 2014 and the ramp-up of new concessions during the high season,” he said.
Growth in the UK was boosted by the acquisition of Lexington last year, which contributed an additional €24.8m (£17.8m) to first half sales.
In view of its first-half 2014-2015 performance, the group is standing by its guidance of 4% revenue growth for the full year with profit margins in line with last year.