Avolta reports higher first-half turnover as cost controls boost cash flow (updated)
UPDATE 1-Avolta reports higher first-half turnover as cost controls boost cash flow Adds details on outlook, organic growth adjusted to the Mideast effect, and CEO comment
July 30 (Reuters) - Travel retailer and food service operator Avolta AVOL.S
reported a 3.7% rise in first-half organic turnover on Thursday, as tight cost management supported cash generation despite a volatile geopolitical backdrop.
The Swiss company, which operates shops, cafes and restaurants at airports, on cruise ships, in seaports and other tourist locations worldwide, reported first-half core turnover of 6.44 billion Swiss francs ($7.90 billion), down from 6.61 billion francs a year earlier.
Adjusted for the impact of the Middle East conflict, organic growth would have risen 5.2%, the company said.
Avolta maintained its medium-term outlook, citing the temporary nature of any impact from the Middle East conflict.
"While near-term volatility persists, we continue to deliver against our medium-term strategy and take the necessary measures to protect profitability and cash generation, while progressing the ramp-up of our new operations," Avolta CEO Xavier Rossinyol said in a statement.
Avolta was formed through the combination of travel retailer Dufry and Italy's Autogrill and was renamed in 2023.
($1 = 0.8153 Swiss francs)
(Reporting by Anastasiia Kozlova in Gdansk; Editing by Sherry Jacob-Phillips)