By Aimee Look
Sodexo shares jumped following a strong third-quarter result and an upgraded organic revenue growth forecast for the fiscal year.
The French food services company said it expects organic revenue growth between 1.2% and 1.5% for fiscal 2026, compared with a growth of 0.5% to 1% previously.
Shares rose 6.8% in early European trading.
The company reported revenue of 6.17 billion euros ($7.02 billion) in the third quarter, with organic revenue growth of 2%.
The raised guidance might appear conservative, given strong organic revenue growth performance in the third quarter, Jefferies analyst Simon Lechipre said in a note. The analyst said it came in above consensus, which expected the metric to fall 0.1%.
Sodexo said it also expects underlying operating profit margin between 3.2% and 3.4% for the fiscal year.
Write to Aimee Look at aimee.look@wsj.com