French food caterer Sodexo EURONEXT:SW raised its full-year organic revenue growth forecast on Thursday, citing stronger-than-expected third-quarter performance.
It now expects organic revenue growth between 1.2% and 1.5%, instead of its previous projection of 0.5% to 1%.
Sodexo's revenue rose 2% to €6.17 billion ($7.03 billion) in the third quarter, surpassing the €6.04 billion expected in a company-compiled consensus.
The group had lowered sales forecasts in April, from the expected organic revenue growth of 1.5%-2.5% at the start of the fiscal year.
"We were able to mitigate a number of risks by capturing opportunities across the portfolio, particularly at Sodexo Live! North America," CEO Thierry Delaporte said in a statement.
Its division specialising in sport, leisure, hospitality and events benefited from high activity levels across stadiums, conference centers and airport lounges, supported by high attendance and strong consumer spending.
It helped mitigate the impact of prior contract losses in its Education business and a 2.5% negative currency impact, primarily driven by the depreciation of the U.S. dollar.
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