SSP Group: First quarter like-for-like sales grows strongly in UK
The company issued an Interim Management Statement for the first quarter of its financial year, covering the period from 1 October to 31 December 2015.
According to the statement, total revenue of the company increased by 6.2% on a constant currency basis, comprising like-for-like sales growth of 4.3% and net contract gains of 1.9%, in line with expectations. Total revenue growth at actual exchange rates was 1.9%.
"Like-for-like sales grew strongly in the UK and Continental Europe in the early part of the new financial year. This has moderated slightly in recent weeks reflecting the impact of geopolitical activity," SSP said.
"In North America the positive trends in like-for-like sales growth in 2015 have continued throughout the first quarter of 2016. In the Rest of the World, like-for-like sales growth is in line with expectations, although trading in Egypt remains challenging due to the fall in passenger numbers. The pipeline of new contracts remains encouraging."
The company reaffirmed that the start of the year was in line with its expectations and the pipeline of new contracts is encouraging, although it is difficult to predict the timing of the openings of new units.
"Whilst a degree of uncertainty always exists around geopolitical events and passenger numbers in the short term, the geographical and sectoral diversity of our business, together with the significant structural growth opportunities and our programme to deliver operational improvements, leave us well placed to continue to deliver for both our customers and our shareholders," the company said.
