Business and Financial Review • Mar 10, 2017
Business and Financial Review
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Issy-les-Moulineaux, March 10, 2017
In November 2015, the Group announced an Adaptation and Simplification program in order to adapt operating costs on site, simplify the organization, and increase mutualisation across geographies. The exceptional costs of the program were estimated at around 200 million euro over 18 months (September 2015 to February 2017), with a progressive ramp-up of annual savings to around 200 million euro for Fiscal 2018.
Given the success of this program and the multitude of cost reduction projects submitted by the teams in recent months, the program limit has been increased to 245 million euro, from 200 million euro previously. The plan closed as expected at the end of the 1st half of Fiscal 2017 (February 28, 2017) and should generate annual savings for Fiscal 2018 equivalent to about 90% of the exceptional costs.
As a reminder, 108 million euro of exceptional costs related to the program were booked in Fiscal 2016.
Founded in 1966 in Marseille by Pierre Bellon, Sodexo is the global leader in services that improve Quality of Life, an essential factor in individual and organizational performance. Operating in 80 countries, Sodexo serves 75 million consumers each day through its unique combination of On-site Services, Benefits and Rewards Services and Personal and Home Services. Through its more than 100 services, Sodexo provides clients an integrated offering developed over 50 years of experience: from foodservices, reception, maintenance and cleaning, to facilities and equipment management; from Meal Pass, Gift Pass and Mobility Pass benefits for employees to in-home assistance, child care centers and concierge services. Sodexo's success and performance are founded on its independence, its sustainable business model and its ability to continuously develop and engage its 425,000 employees throughout the world. Sodexo is included in the CAC 40 and DJSI indices.
Key figures (as of August 31, 2016) 20.2 billion euro consolidated revenue 425,000 employees 19th largest employer worldwide 80 countries 75 million consumers served daily 16.0 billion euro market capitalization (as of March 9, 2017)
This press release contains statements that may be considered as forward-looking statements and as such may not relate strictly to historical or current facts. These statements represent management's views as of the date they are made and Sodexo assumes no obligation to update them. The reader is cautioned not to place undue reliance on these forward-looking statements.
| Analysts and Investors | Media |
|---|---|
| Virginia JEANSON | Laura SCHALK |
| Tel. & Fax: +33 1 57 75 80 56 | Tel. & Fax: +33 1 57 75 85 69 |
| [email protected] | [email protected] |
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