Compass Group Leads FTSE 100 Gainers on Higher Revenue, Guidance Upgrade

Shares in Compass Group rose 3% to $30.37 after reporting higher revenue of $25 billion for the fiscal first half, up from $22.6 billion the previous year. The company also raised its fiscal 2026 underlying operating profit growth guidance to above 11%, driven by organic revenue growth of around 7% and profit growth from mergers and acquisitions. Operating profit increased 9% to $1.605 billion, with underlying metrics rising to $1.84 billion. CEO Dominic Blakemore expressed confidence in sustaining revenue and profit growth.

By Anthony O. Goriainoff

Shares in Compass Group rose after the company reported higher revenue for its fiscal first half and raised guidance.

In early European trade, shares were up 3% at $30.37, with the stock leading the FTSE 100 index's risers.

The London-listed catering contractor said Monday that for the six months ended March 31, revenue rose to $25 billion from $22.6 billion the year before. The company said its underlying operating margin rose 20 basis points to 7.4% and benefited from overhead leverage and synergies stemming from mergers and acquisitions.

Operating profit for the period rose 9% to $1.605 billion. Stripping out exceptional and other one-off items, the metric rose to $1.84 billion from $1.65 billion in the year-prior period.

The board raised its fiscal 2026 underlying operating profit growth guidance to above 11% from a previous 10% expectation. It said this will be driven by organic revenue growth of around 7%, around 2% profit growth from M&As, and continuing margin progression.

"We remain confident in our ability to sustain mid-to-high single-digit organic revenue growth, ongoing margin progression and profit growth ahead of revenue growth," Chief Executive Dominic Blakemore said.

Write to Anthony O. Goriainoff at anthony.orunagoriainoff@dowjones.com

(END) Dow Jones Newswires

May 11, 2026 04:14 ET (08:14 GMT)

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