Revenue Summary - Total consolidated revenues for Q1 Fiscal 2026 amounted to 6.3 billion euros, reflecting an organic revenue growth of +1.8% compared to Q1 Fiscal 2025 [7][14] - The revenue growth was negatively impacted by a currency effect of -4.0%, primarily due to the depreciation of the U.S. dollar against the euro [7][22] - By region, North America experienced a decline in organic growth of -1.5%, Europe saw an increase of +2.4%, and the Rest of the World achieved a significant growth of +10.2% [7][15] Regional Performance - In North America, revenues totaled 2.9 billion euros, with notable declines in Business & Administration (-7.6%) and Education (-3.6%), while Healthcare & Seniors grew by +4.4% [16] - Europe generated 2.3 billion euros in revenue, with Business & Administration growing by +2.8% and Healthcare & Seniors by +5.4%, despite a decline in Sodexo Live! [19] - The Rest of the World reported revenues of 1.1 billion euros, driven by strong performances in Australia, India, Brazil, and Chile, with Business & Administration growing by +9.6% [20] Operational Priorities and Outlook - The company aims to enhance client centricity, invest in personnel, and improve operational efficiency as part of its strategic priorities [4][11] - Fiscal 2026 guidance remains unchanged, with organic revenue growth expected between +1.5% and +2.5%, and a slight decrease in underlying operating profit margin compared to Fiscal 2025 [6][11] - Planned investments in technology and targeted initiatives in U.S. Education are underway to support medium-term performance [8][11] Leadership and Sustainability - Thierry Delaporte, the new CEO, has taken direct leadership of North America to drive performance in the region [11] - Sodexo has been recognized on CDP's A-List for climate performance, highlighting its commitment to sustainability and transparency [11][13]

Core Insights - Sodexo reported consolidated revenues of 6.1 billion euros for Q3 Fiscal 2025, reflecting a year-on-year increase of 0.8%, with organic revenue growth of 3.0% [5][16] - The company expects Fiscal 2025 organic revenue growth to be at the lower end of the guidance range, between 3% and 4% [4][12] - The CEO emphasized the importance of disciplined execution and strengthening client relationships to achieve sustainable growth [2] Revenue Breakdown - **North America**: Revenues reached 2.9 billion euros, with organic growth of 1.2%. This growth was driven by pricing momentum and new business, despite contract exits impacting overall performance [5][17] - **Europe**: Revenues totaled 2.2 billion euros, showing an organic growth of 3.3%, supported by strong performance in Healthcare & Seniors and Sodexo Live! [5][23] - **Rest of the World**: Revenues amounted to 1.1 billion euros, with organic growth of 7.5%, primarily driven by strong performance in India, Brazil, and Australia [5][26] Financial Position and Activities - Sodexo successfully issued U.S. dollar notes totaling $1.1 billion to fund the repurchase of existing senior notes [5] - The company completed the acquisition of Agap'pro, enhancing its procurement capabilities in the hospitality sector [5] - Sodexo received an A- score from CDP for climate change disclosure, indicating strong leadership in environmental responsibility [5] Currency Impact - The company experienced a negative currency impact of 2.1% in Q3, mainly due to the depreciation of the U.S. dollar and several Latin American currencies [5][32] Outlook - The company anticipates landing towards the lower end of the range for both organic growth and underlying operating margin for Fiscal 2025 [7]

Core Insights - Sodexo's first half Fiscal 2025 revenues reached €12.475 billion, reflecting a year-on-year increase of 3.1% with organic revenue growth of 3.5% [5][4] - The company has revised its full-year organic revenue growth guidance to between 3% and 4%, down from the previous range of 5.5% to 6.5% due to weaker-than-expected performance in North America, particularly in Education and Healthcare sectors [11][8] - Underlying operating profit for the first half was €651 million, up 6.4% year-on-year, with an underlying operating profit margin improvement of 10 basis points to 5.2% [10][7] Financial Performance - First half Fiscal 2025 key figures include: - Revenues: €12,475 million (2025) vs. €12,101 million (2024), a growth of 3.1% [5] - Organic revenue growth: 3.5% compared to 8.5% in the previous year [4] - Underlying operating profit: €651 million (2025) vs. €612 million (2024), an increase of 6.4% [5] - Net profit from continuing operations: €434 million (2025) vs. €496 million (2024), a decrease of 12.5% [5] Regional Performance - North America reported organic growth of 3.5%, impacted by soft volumes in Education and delays in Healthcare contract openings [5][6] - Europe experienced organic growth of 2.1%, with strong performance in Healthcare & Seniors but continued soft growth in Facilities Management [5] - The Rest of the World saw organic growth of 6.6%, driven by strong performances in Australia, India, and Brazil [5] Guidance and Strategic Focus - The company is focusing on strengthening execution in North America, particularly in commercial discipline and operational efficiency, in response to the revised guidance [9][8] - Full-year underlying operating profit margin guidance has been adjusted to an improvement of 10 to 20 basis points, down from 30 to 40 basis points [11][9]