Strategy & Business Model

Performance, People and Purpose


We manage the business with a disciplined focus on Performance, People and Purpose as our main strategic priorities.

Performance

We remain focused on food, our core competence. The food services market is estimated to be more than £200 billion. With only about 50% of the market currently outsourced and another 26% of the market in the hands of small and regional players, we see a large and exciting structural growth opportunity.

People

People are our biggest source of competitive advantage and the key to delivering great food and services to our clients and consumers together with great financial results.

Purpose

Our purpose is first and foremost a social purpose, the foundation of which is a safety culture built around caring for people combined with personal and food safety. Our sustainability strategy will focus on three key areas of health & wellbeing; environmental game changers and better for the world.

Strategy

Our strategy is clear and well defined.

  • Focus on food
  • Targeted approach to support services 
  • Prioritise organic growth 
  • Select bolt-on acquisitions 
  • Best-in-class execution, quality and innovation

Food is our focus and core competence. We take a pragmatic and targeted approach to other support services, developing strategies on a country by country basis. Our preference is to grow organincally given that it yields the highest returns and leverages the significant structural growth opportunity in the global food services market. However, we also seek to invest in small to medium sized acquisitions, but only if they are attractive targets that have the right cultural fit and further strengthen our organic growth capabilities. We are committed to providing the best quality and value to our clients with best-in-class execution. We have increased our focus on innovation in our core food business to bring more variety and excitement to our offer as well as to improve our operations.

Business model

We focus on operational execution and generate efficiencies by optimising our supply chain and managing our food and labour costs. These efficiencies enable us to reinvest in the significant growth opportunities around the Group and improve margins.

Our organic revenue growth, the scale it creates and our focus on costs and efficiencies give us a competitive advantage. We can provide our clients and consumers with the best value in terms of quality and cost and this, combined with sectorisation, helps drive organic revenue growth.

People are at the centre of all that we do. Our aim is to nurture an engaged and highly capable workforce to win new business, manage our units efficiently and effectively and deliver the healthiest, most innovative food solutions in a way that provides an exceptional experience to our clients and consumers.

How we create shareholder value

Growth

Our priority is organic growth and we continue to put focus and resources behind both MAP 1 (driving new business and retention) and MAP 2 (consumer sales).

Margin

We remain focused on costs and improving MAP 3 (cost of food), MAP 4 (in unit labour costs and overheads) and MAP 5 (above unit overheads). This generates operating efficiencies and enables us to improve margins.

Investment

We invest with discipline to support our organic growth. Capital expenditure can be up to 3.5% of sales. We also invest in infill acquisitions when they add capability or scale in an existing market and have returns that exceed the cost of capital by year two.

Return to Shareholders

We create value for our shareholders by delivering a balanced package of progressive dividends which grow in line with constant currency earning and returning any additional surplus capital to shareholders to maintain net debt/EBITDA at 1.5x.