French caterer Elior forecasts 2024 revenue growth below estimates

Elior SA

22/11/2023 06:30

Nov 22 (Reuters) - French catering group Elior
 ELIOR.PA  on Wednesday forecast sales growth below analysts'
expectations for its 2024 financial year, after reporting its
first annual core profit since the COVID pandemic started.
    Europe's third biggest contract caterer expects organic
revenue growth of between 4% and 5% and a margin for adjusted
earnings before interest, taxes and amortisation (EBITA) of
around 2.5% in the fiscal year that started in October.
    Analysts polled by the company had forecast organic revenue
growth of 5.9% and an EBITA margin of 2.6% for 2024.
    Elior's adjusted EBITA was 59 million euros ($64.35 million)
in the 12 months through Sept. 30, ahead of the 50 million euros
expected by analysts.
    "The combined balance of the volume effect and price
increases almost offsets the impact of inflation," CEO Daniel
Derichebourg said in a statement. 
    He also pointed to a positive effect of acquisitions and
improved renegotiations of catering contracts in France and
Italy.
($1 = 0.9168 euros)

 (Reporting by Federica Mileo in Gdansk; editing by Milla Nissi)
 ((federica.mileo@thomsonreuters.com))