Sodexo revises 2026 outlook as H1 profits fall

Sodexo has revised its full-year 2026 outlook as the French catering firm revealed a drop in H1 profits.

Global revenues for the caterer totalled €12bn (£10.4bn), down 3.7% year-on-year, while underlying operating profit was €442m (£385m), down 32.1% year-on-year.

New CEO, Thierry Delaporte, who joined the business at the end of last year, said Sodexo had “undeniably underperformed the market and our main competitors”, with contract losses in North America contributing to the poor results.

Europe, meanwhile, delivered organic growth of 2.8%, supported by its healthcare, Sodexo Live! and education businesses.

UK&I CEO Jean Renton said Sodexo was “focused on driving performance and long-term value”.

“Across our business, we are seeing the benefit of our focus on delivering food and support services, combining the strength of our integrated offer with an emphasis on quality, innovation and client partnership,” she said, pointing to a number of new contracts and extensions including the Home Office, EY in Ireland, Edinburgh Zoo and Scottish Parliament.

“As we celebrate our 60th year, we are reinvigorating our approach to serve clients, underpinned by continued investment in technology and digital capability to enhance the consumer experience.

“In the region, we continue to deliver on sustainability goals – focusing on supporting environmental food systems, improving food security and energy efficiency that delivers commercial value and operational efficiency for our clients. Our latest net zero progress report highlights our market leading progress to decarbonise our business by combining data, expertise, commitment, and action across our business.

“We are also proud to mark the 20th anniversary of our Stop Hunger Foundation, which has supported more than 11 million people, raised over £10m, and benefited 470 charities, reflecting the place-based impact we continue to make in communities across the UK and Ireland.

“None of this would be possible without our colleagues. Their dedication, expertise and passion are what set Sodexo apart, and I would like to thank all our teams for the impact they deliver every day for our clients and in driving our business forward.”

Sodexo now expects its global 2026 fiscal year to result in organic revenue growth between +0.5% and +1% and underlying operating profit margin between 3.2% and 3.4%.