Emma Powell: Compass must map out growth plan

The Times

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Narrated by Emma Powell

The easy gains are behind Compass. The powerhouse catering group has generated extraordinary revenue growth over the past two years as workers returned to the office, events restarted and schools reopened. Elevated price inflation was another boon.

Now it needs to show that it can resist the downturn across the broader economy and the risk of staff cutbacks. In the longer term, Compass needs to convince investors that there is a sustainable structural shift towards outsourcing catering and that it can take market share.

Organic revenue growth this year has been suggested at somewhere in the high single digits, a slowdown from the 19 per cent increase last year because of flat volumes and lower prices inflation. The post-Covid bounceback, which pushed underlying sales volumes