PARIS (dpa-AFX) - Sodexo (SDXAY.PK) reported that its first-quarter total revenues declined 27.1 percent to 4.43 billion euros from last year.
Quarterly organic revenue was down 22.7 percent and down 21.5 percent excluding the Rugby World Cup (RWC) event in the first-quarter of fiscal 2020.
On-site Services organic revenue decline of 23.3 percent, and 22.1 percent excluding the RWC effect, reflected an improvement in all segments relative to the previous quarter which was down 25.4 percent.
'In the next quarter, given the high level of uncertainty which we are currently experiencing, the effects of the pandemic, and particularly the possibility of further lockdowns, will continue to be significant for the Group,' Sodexo said in a statement.
The company maintained its guidance for an organic decline of between 20 percent and 25 percent for the first half fiscal 2021, improving relative to the second half fiscal 2020.
The company said it now expects underlying operating margin for its first half of fiscal 2021 to be at least 2.5%, better than its original assumption of between 2 percent and 2.5 percent.
Looking ahead, on the basis that the pandemic will be over by 2021 calendar year end, the company aims to return to sustained growth and to rapidly increase the underlying operating margin back over the pre-Covid level.
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