(Reuters) – Elior on Wednesday forecast annual revenue lower than analysts’ expectations for its 2024 financial year, after publishing its first profit since the start of the COVID pandemic.
Europe’s third largest contract caterer expects organic revenue growth of between 4% and 5% and an adjusted earnings before interest, tax, depreciation and amortization (EBITA) margin of around 2. 5% for the fiscal year which began in October.
Analysts surveyed by the company expected organic revenue growth of 5.9% and an EBITA margin of 2.6% for 2024.
Elior’s adjusted EBITA was 59 million euros in the 12 months ending September 30, higher than analysts’ estimates of 50 million euros.
“Despite unprecedented inflationary pressures, the 2022-23 financial year marks the return to operational profitability, the beginnings of a more marked recovery,” said CEO Daniel Derichebourg in a press release.
He also highlighted the positive effect of acquisitions and improved renegotiations of catering contracts in France and Italy.
(Reporting Federica Mileo in Gdansk; Lina Golovnya)
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