Jan 26 (Reuters) – Elior (ELIOR.PA) on Thursday posted an 11.7% increase in first-quarter revenue, as the French catering group continues to recover from the COVID-19 pandemic.
After being hit by the pandemic restrictions, caterers are now benefiting from a COVID catch-up effect and price increases agreed with clients to cope with higher costs of food and labour.
“Inflationary pressures, notably on food costs, remain strong and require maintaining renegotiation efforts, particularly with public sector clients,” Elior’s chairman and chief executive Bernard Gault said in a statement.
Elior said 73% of its contracts had been successfully renegotiated by the end of 2022, representing 234 million euros ($256 million) in price increases over a rolling 12-month period.
Europe’s third biggest contract caterer reported a revenue of 1.23 billion euros for the first quarter through December, compared with 1.12 billion euros a year earlier.
Elior, which caters sectors including business, education and healthcare, confirmed its outlook for fiscal 2022-2023 and mid-term ambitions for 2024.
($1 = 0.9152 euros)
Reporting by Diana Mandiá in Gdansk; Editing by Milla Nissi
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