Rentokil reported mixed results in the Q3 FY17 trading update (organic growth was weak but acquisitive growth surpassed our expectations). All revenue numbers are on an organic basis unless specified otherwise. Despite a positive momentum in the core businesses (pest control and hygiene; jointly contributed 83% of ongoing revenue), the ongoing revenue grew by only 3.7% (vs. our estimate: 5.0%). This was largely due to ongoing market weakness in the UK property care business, resulting in a 1.
07 Nov 2017
Temporary softness in organic growth; acquisitive growth to lead the pack
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Temporary softness in organic growth; acquisitive growth to lead the pack
Rentokil Initial plc (RTO:LON) | 435 -52.2 (-2.7%) | Mkt Cap: 10,978m
- Published:
07 Nov 2017 -
Author:
Ankush Kathuria -
Pages:
3
Rentokil reported mixed results in the Q3 FY17 trading update (organic growth was weak but acquisitive growth surpassed our expectations). All revenue numbers are on an organic basis unless specified otherwise. Despite a positive momentum in the core businesses (pest control and hygiene; jointly contributed 83% of ongoing revenue), the ongoing revenue grew by only 3.7% (vs. our estimate: 5.0%). This was largely due to ongoing market weakness in the UK property care business, resulting in a 1.