UK's Rentokil to cut jobs, flags weakness in North America business (updated)

Rollins

11/09/2024 08:19

(Adds details on N.American business in paragraphs 2,3)
       Sept 11 (Reuters) - Rentokil Initial  RTO.L  said on
Wednesday it would cut jobs and warned of further weakness in
its largest market North America, sending shares of the British
pest control company 14% lower.
    The company, which generated approximately 60% of its
revenue from North America last year, did not specify how many
jobs would be impacted by its cost-cutting plan. However, it
stated that the measures were intended to address cost overruns
as it moved past the peak season.
    North America sales in July and August came in lower than
anticipated and the company is now expecting organic revenue
growth from the business of about 1% in the second half.
    Rentokil and rival Rollins  ROL.N  account for roughly half
of the U.S. pest control market.
    
        
    ($1 = 0.7642 pounds)
    

 (Reporting by Shanima A and Yadarisa Shabong in Bengaluru;
Editing by Sherry Jacob-Phillips)
 ((shanima.a@thomsonreuters.com; (Direct: +91 72 5956 7774);))