The good news is that Compass Group will return to break-even at a trading level in the fourth quarter following the reopening of units, an increase in volumes and “a relentless focus on efficiencies” (Dominic Walsh writes).
The bad news is that the world’s biggest catering group reported a 36 per cent decline in organic — or underlying — revenues in the final quarter, an improvement on the 44 per cent fall suffered in the third quarter but not as big a bounce-back as many had anticipated. For the full-year to the end of September, revenues fell by 19 per cent.
What’s more, the break-even figures exclude any contract impairments, which the company forecasts will force it to take a hit of about £100 million.
