SSP Group plc Interim Management Statement
07-Aug-2014 SSP Group plc ("the Group"), a leading operator of food and beverage outlets in travel locations worldwide, announces its interim management statement covering the period from 1 April to 30 June 2014.
Current Trading Update
On a constant currency basis, total Group sales for the period from 1 April 2014 to 30 June 2014 increased by 3.5%, with like-for-like sales growth of 3.3%, compared with the same period last year. At actual currency rates, given the strengthening of Sterling in this period, total Group sales decreased by 1.4% year-on-year.
Like-for-like sales growth continued to benefit from strong performances in the U.K., North America and Asia Pacific regions, with more challenging trading, as expected, in Continental Europe, most notably in France. During the period, the Group opened its first outlets in Qatar as part of a contract to operate 11 food and beverage outlets at the new Hamad International Airport in Doha. The Group also recently won a number of new contracts, including a £135m seven year contract at London Stansted Airport, which includes an innovative new bakery concept in partnership with UK chef James Martin, and an $80m 10 year contract at Sacramento Airport.
Financial Position & Prospects
SSP Group continues to benefit from good passenger growth in its core travel markets, although uncertainty continues, as expected, in some smaller markets as a result of local political instability and its impact on tourism.
The Group's trading performance during the period and financial position were in line with management's expectations at the time of the IPO.
Kate Swann, CEO, commented:
"I am pleased to announce our first IMS as a listed company. During the period we saw a strong performance for the Group, particularly in the U.K., North America and Asia Pacific. We continue to be confident in the outlook for the business."
Currency
Trading results from our overseas operations are converted at average foreign exchange rates over the year. During the year Sterling has strengthened against many of our key currencies (including the Euro, Norwegian Krone, Swedish Krona and the US dollar). Currency movements have a translation impact only.
Date for Preliminary Results
The Company expects to issue its preliminary results for the year-ending 30 September 2014 on Thursday 27 November 2014.