Sodexho UK & Ireland registered a 5.6 per cent fall in sales during the 12 months to August 31.
Sodexho’s turnover decreased from £1 billion to £931 million in the year, following a £200m fallback in the year previous to that.
The French owned giant has found it difficult to retain its contracts in recent years, and this is beginning to weight heavily. Sodexho blamed the business and industry segment for its revenue woes. "This is explained for the most part by our exit from the hotel sub-segment and by a retention rate that is too weak," said a statement.
The company vowed to focus on restoring its profitability in the UK & Ireland and pointed to commercial wins with Dell in Ireland, British Aerospace, HBOS, and the Havering, Roehampton and Stoke Mandeville Hospitals in Great Britain.
The global Sodexho business revealed a 1.7 per cent drop in sales to £7.9bn, although this has to be put into context as a result of the weakness of the euro, into which all revenue has to be converted.
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