Compass on course for 6% growth
Catering giant Compass served up a reassuring trading update today that confirmed it was on course for at least 6% growth in like-for-like revenues.
Compass employs 400,000 staff in more than 90 countries and owns the Harry Ramsden’s fish and chip shop chains.
The group said its North American businesses were performing strongly and UK revenues had risen in line with hopes for the first four months of its financial year.
However, chairman Francis Mackay told the company's AGM its businesses in Northern Europe were continuing to face challenging conditions and France, Germany and the Netherlands were particularly suffering.
The company has been trying to rebuild relations with investors since it shocked the City with a profits warning in September.
That warning caused Compass to lose a quarter of its value and its shares have not fully recovered, trading at 262p today and far below the 320p seen five months ago.
Investec analyst Robert Morton said an important step in the process of restoring credibility would come in May when Compass gives detailed guidance on its longer-term objectives alongside its half-year results.
