Compass Group PLC's (LSE:CPG) full-year results (26th November) will be slightly ahead of consensus forecasts, believes Jefferies, due to positive top-line and margin momentum.
Management's usual conservative guide could prevent near-term upgrades, but the growth drivers of sustainable growth acceleration, peer outperformance, and Europe's inflection should be reinforced pointing to upside risk later in the year.
In the fourth quarter, Jefferies is expecting teh contract caterer to report 9.4% organic growth and 10.5% for the year overall.
Underlying profit growth [EBIT[ should be 17% y/y (guidance is more than 15%) with margin up 40bp y/y to 7.2%.
In 2025, Jefferies expects organic growth at 8.6% y/y and 20bp y/y margin improvement, leading to 13% y/y underlying profits growth.