Organic revenue growth at Compass Group is expected to be towards 5%, the catering giant reported in a trading update.
The food and support services company said it had had a good first half of the year to 31 March and that expectations for the full year remain positive and unchanged.
However, economic conditions for the group's business in Europe and Japan remain difficult and Compass has exited a number of contracts that had become "uneconomic".
Organic revenue in the regions expected to decline by around 2.5%.
"Despite the very challenging conditions, the cost-reduction plans announced in September 2012 are progressing well and the operating profit margin is expected to increase by over 20 basis points compared with the same period last year," Compass said in its statement.