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Elior FY revenue, profits rise, eyes further growth

Published 09/12/2016, 06:36
Updated 09/12/2016, 06:40
© Reuters. Philippe Salle, Chairman and CEO of Europe's third-largest catering group Elior, poses during an interview with Reuters in Paris
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PARIS (Reuters) - Europe's third-largest catering group Elior (PA:ELIOR) on Friday reported higher revenue and core profits for fiscal year 2015-16, thanks to its catering business and international operations, and handed investors a 31.3 percent dividend hike.

Elior, which competes with France's Sodexo (PA:EXHO) and Britain's Compass (L:CPG), said organic revenue, excluding the impact of voluntary contract exits, rose 3.1 percent in the twelve months to Sept. 30, in line with a company's target of 3 percent or above.

Earnings before interest, tax depreciation and amortisation (EBITDA) rose 5.5 percent to 501 million euros (422.40 million pounds), giving a margin of 8.6 percent of revenue.

© Reuters. Philippe Salle, Chairman and CEO of Europe's third-largest catering group Elior, poses during an interview with Reuters in Paris

For the 2016/17 fiscal year, Elior, whose clients range from the Vatican museum to France's La Poste and Los Angeles airport, expects organic revenue growth of at least 3 percent, an increase in EBITDA margin of between 20 and 30 basis points, excluding acquisitions, and a significant rise in EBITDA and adjusted net earnings per share.

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