Global player Elior Group continues to report strong sales recovery.
French caterer and service provider Elior Group reports strong sales growth for the first nine months of 2021-22, with a 20.3 percent increase over the same period last year resulting in total sales of €3.42 billion. The global player attributes this mainly to a lot of new business.
The first nine months of the fiscal year ended June 30, 2022, and Elior Group is satisfied with the result of 20.3 percent organic growth. It said 10.1 percent of its revenue of EUR 3.419 billion came from new contracts.
It also said its customer retention rate rose from 91.3 percent as of March 31, 2022, to 92.0 percent as of June 30, 2022.
Nevertheless, contracts were also lost, reducing sales by 8.0 percent, he said. International operations came in at +56 percent revenue growth, slightly improved from the prior period (Q1, 2 and 3) of +53 percent.
Almost at pre-crisis level
The third quarter in particular showed a return to pre-Corona pandemic sales levels: With 25 percent organic growth compared to the same period last year, the €1.2 billion in Q3 sales would represent 93 percent of sales for the same period in 2018-2019 (Q2 +87%).
However, new Chairman and CEO Bernard Gault
is commenting, "Our operating conditions continue to be impacted by persistent, very high inflation. I would therefore like to thank our teams for their continued commitment and efficiency in implementing the four pillars of our operating margin recovery plan."
The four pillars are systematic renegotiation of all pricing systems worldwide, collaboration with our customers for new more sustainable product and service offerings, systematic review of the contract portfolio and tight control of operating costs. Also planned is a review of corporate strategy.