Interim report
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Legal Entity Identifier ( LEI ) No. 2138008M6MH90Z6U2T68 ● ● ● ● ● ● ● HY 2021 £ 8.6bn £ 290m 3.4 % 9.6p £ 359m Revenue Operating profit Operating margin Earnings per share Free cash flow Operating cash flow 1. Reconciliation of statutory to underlying results can be found on pages 32 to 34 . 2. Prior period comparatives have been restated as required by IFRS 5 ' Non - current assets held for sale and discontinued operations ' to account for joint ventures and associates using the equity method retrospectively when they cease to be classified as held for sale . Additional information is included in note 10 . 3. Measured on a constant currency basis . 4. Organic revenue growth . Margin recovery continues ; looking ahead with confidence COMPASS GROUP Half year results announcement for the six months ended 31 March 2021 ● Underlying¹ results HY 2020 ● £ 12.2bn³ £ 817m³ 6.7 % 35.9p³ £ 186m Half Year Results Announcement Change ( 30.4 ) % 4 ( 64.5 ) % ³ ( 330 ) bps ( 73.3 ) % ³ 93.0 % HY 2021 1. Annual revenues of new business wins compared with 2019 . Performance summary Q2 operating margin at 4.2 % , 20bps ahead of our pre close trading update and an increase of 150bps from Q1 Restored more than half of our pre COVID margin during Q2 , despite volumes being 72 % of 2019 revenue Continued strong retention of 95.6 % New business wins increased by about 20 % ¹ with first time outsourcing now accounting for around 50 % , up from a third historically £ 8.4bn £ 168m 5.6p 1 Statutory results HY 2020² £ 563m £ 12.5bn £ 775m 36.7p £ 545m Strong underlying free cashflow of £ 359m driven by efficient working capital management Gross capex was 3.4 % of underlying revenue as we continue to invest in growth opportunities Peak net debt to EBITDA ratio of 3.0 times Strategy - positioning for the future Committed to the wellbeing of our people , clients , consumers and the communities we serve Focusing on reopening existing and new client sites safely Adapting our operating model to be more agile , digitally enabled and relevant to clients ' changing expectations Excellent pipeline of new business as well as significant market opportunities from first time outsourcing Investing in attractive organic and inorganic opportunities to grow the business and support our recovery Outlook Change ( 32.4 ) % ( 78.3 ) % ( 84.7 ) % Anticipate gradual improvement in revenue in Q3 Expect Q3 margin to be between 4.5 % and 5.0 % absorbing the impact of reopenings and mobilisations Remain confident in rebuilding the Group underlying margin to above 7 % before we return to pre COVID volumes Statutory results 3.3 % Statutory revenue decreased by 32.4 % as a result of the pandemic . Operating profit decreased by 78.3 % due to the adverse impact of COVID and related actions to resize the business and adjust our cost base .