Elior Group, one of the world’s largest operators in the catering and support services sector, reported that its revenues for the first nine months of fiscal 2020- 2021, ended June 30, were down 9.1% on an organic basis at €2.783 billion, compared with €3.131 billion in 2019-2020. The decline reflected the ongoing impact of the COVID-19 health crisis, the company said.
Consolidated revenue from continuing operations totaled €2,783 million for the first nine months of 2020-2021, compared with €3,131 million a year earlier. Elior said the 11.1% year-on-year decline reflects an organic decline of 9.1% and a currency headwind of 2%, notably due to the U.S. dollar.
On a positive note, Elior's third-quarter revenues were up 39.2% on an organic basis to €914 million, compared with €672 million a year earlier, reflecting a much-improved health situation that contrasts with the strict lockdowns imposed during the first wave of the pandemic in 2020.
- Third-quarter revenues were equivalent to 74% of revenues for the same period in 2018- 2019 (pre-Covid), on a par with second quarter revenues, which were equivalent to 73% of second quarter 2018-2019.
- The retention rate was 91% at June 30, 2021, unchanged versus March 31, 2021.
- Available liquidity at end-June 2021 was €792 million, compared with €819 million at end-March 2021.
- Since then, Elior Group successfully completed refinancing its senior debt on July 8, extending its maturity and diversifying its funding sources.
- This refinancing operation allowed the Group to tailor its liquidity to its needs. Accordingly, liquidity totaled €586 million on July 8, 2021.
“Our organic growth rate this third quarter is particularly high because of a very favorable base effect. Last year, our activity was hit hard between April and June by the strict lockdowns and school closures during the pandemic’s first wave," said Elior Group chief executive Philippe Guillemot.
"This year the gradual lifting of restrictions during the same period created a more favorable operating environment, even though volumes are still notably below pre-COVID levels," he continued. "The new variants are spreading rapidly as we enter the summer vacation period, which is traditionally the low season for our businesses. Faced with this new wave, public health restrictions will determine the recovery conditions in September and autumn."
Founded in 1991 in France, Elior Group is the world's No. 2 contractor in the catering and support services spaces. Its foodservice and vending machine operations serve business & industry, education, healthcare and leisure markets.