Compass sees one-third profit rise, but event profits take hit

Compass Group has smashed market expectation with a 33% rise in full year profits, but the caterer admits spend in event catering and corporate hospitality has weakened.

Compass sees one-third profit rise but event profits take hit
Compass sees one-third profit rise but event profits take hit

Sales in the UK and Ireland, which account for 13.6% of group revenues, dropped 5% to £1.8 billion in the firm's financial year.

"As expected, in the more cyclical Business & Industry and Sports & Leisure sectors, like for like volumes continue to be impacted by lower headcounts on site and reduced spend on event catering and corporate hospitality," read Compass' financial statement.

"Like for like volumes in the Education, Healthcare and Defence, Offshore and Remote Site sectors have remained solid throughout the year."

Despite good news overall Compass did admit that "adjusting for the impact of acquisitions and disposals, organic revenue growth was flat".

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