SSP delivers £62m profit in first half of 2019

The operator of food and beverage outlets in travel locations, SSP Group has today reported its financial results for the first half of its 2019 financial year, covering the six months ended 31 March 2019.

Underlying operating profit stood at £62.5m, up by 14.6% at constant currency, and 13.2% at actual exchange rates.

The group saw revenue of £1,261.6m: up 6.8% at constant currency; 7.1% at actual exchange rates. Like-for-like sales rose by 2%: driven by air passenger travel and retail initiatives.

There were net gains of 4.1%, reflecting a strong performances in Continental Europe, North America and the Rest of the World.

Underlying operating margin was up 30 basis points to 5% at constant currency and underlying profit before tax rose by £54.2m, up 11.3%. Reported profit before tax stood at £51.4m.

The period saw capital investment of £108.2m, reflecting the significant new contract opening programme, which has been first half weighted in 2019.

CEO Kate Swann (pictured) said, 'SSP has delivered another good performance in the first half of 2019, driven by strong sales growth, significant new contract openings across the world and our programme of operational improvements.

'We have continued to grow our global presence, particularly in North America and Asia, and we have further expanded our operations in Latin America. These are high growth markets for SSP and present us with exciting opportunities. Given this positive momentum, we are today raising our expectations for net gains in the second half of the year.

“Looking forward, the second half has started well and whilst a degree of uncertainty always exists around passenger numbers in the short term, we continue to be well placed to benefit from the structural growth opportunities in our markets and our programme of operational improvements.”