SSP Group, a leading operator of food and beverage outlets in travel locations worldwide, announces its financial results for year ended 30 September 2016.
- Underlying operating profit1 of £121.4m: up 18.2% at constant currency, and 24.6% at actual exchange rates
- Like-for-like sales up 3.0%: driven by growth in air passenger travel and retailing initiatives
- Net gains of 1.7%: strong performances in North America and the Rest of the World
- Revenue of £1,990m: up 5.0% at constant currency; 8.6% at actual exchange rates
- Underlying operating margin1 up 70 basis points at constant currency to 6.1%: strategic initiatives delivering further improvements
- Underlying profit before tax of £107.5m: up 31.1%. Reported profit before tax of £105.6m
- Underlying earnings per share of 15.5 pence: up 26.0%. Reported earnings per share of 15.2 pence
- Final dividend of 2.9 pence per share, bringing the full year dividend to 5.4 pence per share: up 26.0%
- Underlying operating cash inflow of £78.3m, after increased investment in the business
- Brand and concept portfolio further strengthened
- Encouraging pipeline of new contracts
Commenting on the results, Kate Swann, CEO of SSP Group, said:
“SSP has delivered another good performance in 2016 and we continue to make progress on our strategic initiatives. Constant currency operating profit was up 18% driven by good like-for-like sales growth, further operational improvements and higher new contract openings. We continue to develop our presence across the world, particularly in North America and Asia Pacific.
“The new financial year has started in line with our expectations and whilst a degree of uncertainty always exists around passenger numbers in the short term, we continue to be well placed to benefit from the structural growth opportunities in our markets and our programme of operational improvements.”