Compass Group (CPG) Q3 2026 TU earnings summary

Executive summary

• Achieved organic revenue growth of 7.1% year-over-year, with client retention at 96% and net new business growth returning to the 4%-5% target range.

• Secured $4.3 billion in new business wins over the last 12 months, up 16% year-over-year, with about half from first-time outsourcing.

• Broad-based growth across all sectors, with business and industry leading, and strong performance in U.S. education, healthcare, sports & leisure, and defense.

Financial highlights

• Organic revenue growth for Q3 2026: North America 7.5%, International 6.4%, Group 7.1%.

• Net new business growth expected to accelerate in Q4, maintaining the 4%-5% range on a 12-month basis.

• CapEx expected at $1.6 billion for the year, with 20% allocated to technology, data, and AI investments.

• Capex trending around 3.5% of sales year-to-date, expected to be slightly higher at year-end due to client mobilisations.

• Net expenditure on M&A was $2.4bn year-to-date, broadly unchanged from the half-year.

Outlook and guidance

• Reiterated 2026 guidance of above 11% underlying operating profit growth in constant currency, driven by organic growth, acquisitions, and margin improvement.

• Guidance driven by around 7% organic revenue growth, 2% profit growth from M&A, and ongoing margin progression.

• Expect continued net new business acceleration and consistent delivery within the 4%-5% range for years to come.

• Foreign exchange translation expected to positively impact 2025 revenue by $438m and operating profit by $23m if current rates persist.

• Anticipate modest improvement in net new business in Q4, despite tough comparators from last year.