UPDATE 1-Sodexo says H2 sales may plunge 26% on coronavirus, income to take big hit [Reuters]
SODEXO S/ADR (SDXAY)
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Source: Reuters
Sodexo says second-half sales may plunge 26% on coronavirus, income to take big hit (Reuters) - French catering and food services group Sodexo ( EXHO.PA ) said on Thursday that second-half revenue could tumble as much as 26% due to government measures to contain the coronavirus, which will likely batter underlying operating income. The revenue slide in the second half could be between 2.4 billion and 2.8 billion euros, it said, adding that the impact on underlying operating profit would probably be a quarter of the revenue hit or as much as 700 million euros. The Paris-based firm reported an underlying operating profit of 553 million euros for the same period a year earlier. Chief Executive Denis Machuel said in a statement that a number of sites had either fully or partially closed across its education, sports, leisure and corporate businesses. “We immediately identified all means to reduce our costs, reduce our capex and ensure that we collect and protect our cash to reduce the im
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