Compass, the world's number one contract caterer, confirmed its annual forecasts on Thursday after reporting a better-than-expected first quarter.

The British group reported organic growth of 11.7% in the last three months of 2023, the first quarter of its 2023/2024 offset fiscal year.

In a reaction note, analysts at Stifel point out that this performance is both higher than analysts' consensus (+10%) and the organic growth posted by its great rival, France's Sodexo (+8.2%).

In detail, growth was well-balanced between North America (+11.3%), Europe (+13%) and the Rest of the World zone (+11.8%).

For the full 2023/2024 financial year, Compass is still forecasting an increase of around 13% in operating income recurring, with organic growth close to 10% and an improved margin.

The stock gained 3.1% following this trading update, making it one of the best performers on the FTSE 100 index on Thursday morning on the London Stock Exchange.

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