Sodexo Announces 7.4% Increase in Revenues for First Quarter Fiscal 2013

  Sodexo Announces 7.4% Increase in Revenues for First Quarter Fiscal 2013

  *Sodexo Benefits from Its Extensive Global Network and Strong Leadership in
    Emerging Economies
  *Organic Growth Was + 2.1%; Excluding the Positive Impact of the Rugby
    World Cup in Q1 Fiscal 2012, Organic Growth Would Have Been + 3.3%

Business Wire

ISSY-LES-MOULINEAUX, France -- January 9, 2013

Regulatory News:

Sodexo (PARIS:SW) (OTCBB:SDXAY) (NYSE Euronext Paris FR 0000121220-OTC:
SDXAY), global leader in Quality of Life services, today announced revenues
for the first quarter of Fiscal 2013, ended November 30, 2012.

Breakdown of revenues by activity and geographic zone

Revenues                                                   Organic
                   Q1           Q1           Organic       growth          Currency       Acquisitions       Total
in millions     Fiscal    Fiscal    growth     excluding    impact      ^(4)            change
of euro            2013         2012         ^(1)          Rugby           ^(3)
North           1,935     1,771     + 0.6%                 + 7.3%      + 1.4%          + 9.3%
Continental     1,519     1,466     + 2.0%                 + 0.8%      + 0.8%          + 3.6%
Rest of the
World (Latin
Middle          949       847       + 8.6%                 + 3.5%      + 0.1%          +
East, Asia,                                                                                                  12.2%
UK and          369       357       - 7.3%     + 8.5%       + 7.3%      + 3.1%          + 3.1%
On-site         4,772     4,441     + 1.9%     + 3.2%       + 4.4%      + 1.1%          + 7.4%
Benefits and
Rewards         183       175       + 6.7%                 - 3.2%      + 0.7%          + 4.2%
Intra-group     (3)       (4)                                                       
TOTAL           4,952     4,612     + 2.1%     + 3.3%       + 4.2%      + 1.1%          + 7.4%

^(1) Organic growth: increase in revenues at constant scope and exchange rates

^(2) Organic growth excluding the positive impact of € 52 million related to
the Rugby World Cup in first quarter of Fiscal 2012

^(3) Principal changes in exchange rates are detailed in Appendix 2 (page 12)

^(4) Acquisitions: Roth Bros (USA), facilities management activities of Atkins
(UK), Lenôtre (France) and Servi-Bonos in Benefits and Rewards Services

Commenting on the figures,Sodexo CEO Michel Landel said:

"The relevance of our integrated Quality of Life services offer, our
leadership in emerging markets and the breadth of our global network have
continued to drive Sodexo’s growth during the first quarter. With these
strengths, we are confident in our ability to seize growth opportunities in
our markets, even if in the short term Sodexo’s organic growth is likely to be
modest given the current economic environment, particularly in Europe.”

Organic growth analysis

                           1st           1st                         Organic
in millions of euro     Quarter    Quarter    Organic    growth
                           Fiscal        Fiscal        growth        excluding
                           2013          2012                        Rugby
Corporate               2,449      2,233      + 4.2%     + 6.7%
Health Care and         1,091      1,047      - 1.0%     
Education               1,232      1,161      + 0.2%     
Total On-site           4,772      4,441      + 1.9%     + 3.2%
Benefits and Rewards    183        175        + 6.7%     
Eliminations            (3)        (4)                  
TOTAL                   4,952      4,612      + 2.1%     + 3.3%

On-site Services

Organic growth in On-site Services was + 1.9%, or + 3.2% excluding the impact
of the Rugby World Cup contract, since this first quarter compares with a
first quarter of Fiscal 2012 that included 52 million euro of revenues from
this hospitality contract.

Organic growth in Corporate of + 4.2% during the first quarter of Fiscal 2013,
or + 6.7% excluding the impact of the Rugby World Cup, resulted from two main
positive elements:

- Increased demand for integrated services contracts from companies in North
America and Europe,

- Sodexo’s solid rate of development in the Rest of the World (especially in
Latin America and in Remote Sites) despite some signs of slower economic
activity in several countries since last summer.

The 1% decline in revenues in Health Care and Seniors is essentially due to a
soft client retention rate in Fiscal 2012. However, since the beginning of
this fiscal year, Sodexo teams have been awarded some significant new
contracts, particularly in the U.S., which should contribute to the
acceleration of growth in this segment over the next 18 months.

Organic growth of + 0.2% in Education mainly reflects increased selectivity
when approaching public sector clients.

Benefits and Rewards Services

Organic revenue growth was + 6.7%, a level close to that of Fiscal 2012, again
a result of Sodexo’s strong position in Latin America.

Analysis of On-site Services organic growth

North America


                        1^st Quarter         1^st Quarter         Organic
millions of euro     Fiscal            Fiscal            growth
                        2013                 2012
Corporate            415               345               + 5.6%
Health Care and         628                  603                  - 2.8%
Education            892               823               + 0.9%
TOTAL                1,935             1,771             + 0.6%

  *Organic growth of + 5.6% in Corporate remained solid. This performance
    results mainly from success in extending facilities management services
    for clients that include General Electric, the contribution of new
    contracts, including the prestigious Circuit of the Americas, home of
    Formula 1 U.S. Grand Prix, as well as continued favorable Remote Sites
    development in Canada.

Recent successes include renewal and expansion of Sodexo’s global contract
with Procter & Gamble (43 services).

  *In Health Care and Seniors, revenues registered an organic decline of -
    2.8%. Virtually all of this decline for the quarter reflects the loss a
    year ago of the Ascension Health contract.

In contrast, new business awarded to Sodexo since the beginning of Fiscal 2013
clearly confirms the relevance of Sodexo’s offer and prospects for growth over
the medium term. New wins include the signing of a major contract with one of
the largest U.S. retirement home chains, HCR ManorCare (290 retirement homes
in 32 states and nearly 40,000 residents for annual revenues of USD 220
million once the contract is fully operational). Other recently signed
contracts include Health Corporation of America (HCA) East Florida (9
hospitals), LA County (2 sites at UCLA Medical Center in California) and
Ochsner Medical Center (Louisiana).

  *In Education, organic growth was + 0.9%. This reflects reduced spending by
    students in schools and universities and lower activity at university
    stadiums, as well as the temporary closure of more than 250 East Coast
    schools in the wake of Hurricane Sandy last November.

Continental Europe


                        1^st Quarter         1^st Quarter         Organic
millions of euro     Fiscal            Fiscal            growth
                        2013                 2012
Corporate            896               848               + 3.3%
Health Care and         353                  351                  + 0.1%
Education            270               267               + 0.6%
TOTAL                1,519             1,466             + 2.0%

  *Organic growth in Corporate was + 3.3%, a slightly higher rate than that
    achieved in Fiscal 2012. This performance is largely explained by the roll
    out of contracts with a significant facilities management component, such
    as for Deutsche Telekom in Germany, Rusal and Gazprom in Russia and Eli
    Lilly in several countries. In France, the level of activity reflected the
    opening of a site in Nantes as well as additional services for the
    Ministry of Justice. In contrast, foodservices activity was generally weak
    as a result of lower patronage, a decrease in the average check size and a
    reduction in catering services. Recent successes included DNB (Norway),
    the renewal of the KLM contract in the Netherlands and a new contract
    extension with Deutsche Telekom (T-Mobile) in Germany.
  *In Health Care and Seniors, organic revenue growth was + 0.1%.
    Satisfactory comparable unit growth, especially in France, was offset by
    the effects of weak prior year business development as well as a more
    selective client approach in Southern Europe. Sodexo recently won new
    contracts such as Nouvelles Cliniques Nantaises (France) and
    Fruängsgården, Stockholm (Sweden).
  *In Education, organic growth in revenues is + 0.6%. In Spain and Italy
    particularly, comparable unit growth was modest as a result of pressures
    on school budgets that reduced service levels as well as selectivity in
    new business development. Sodexo teams recently won contracts that include
    the City of Fonte Nuova (Italy), Darussafaka Okul, Istanbul (Turkey), and
    Ensemble Scolaire des Recollets (Longwy) in France.

Rest of the World

(Latin America, Africa, Middle East, Asia, Australia and Remote Sites)


                        1^st Quarter         1^st Quarter         Organic
millions of euro     Fiscal            Fiscal            growth
                        2013                 2012
Corporate            875               773               + 9.8%
Health Care and         42                   38                   + 7.8%
Education            32                36                - 17%
TOTAL                949               847               + 8.6%

  *Organic growth in Corporate remains high at + 9.8%, driven by Sodexo’s
    strong performance in the mining sector in Australia and Latin America,
    despite reductions in scope of certain mining contracts that progressed
    from the construction to the operations phase in Asia-Pacific. Signs of
    deceleration of industrial activity were particularly evident in Brazil,
    India and more recently in China. However, new business development
    remained solid, with Sodexo winning numerous contracts, including
    AstraZeneca (China), Australian Submarine Corporation (Australia),
    Electrolux (Brazil), Pacific Rubiales Energy (Colombia) and Total E&P
  *In addition, Sodexo will provide postal support (collection,
    transportation and delivery of letters and parcels) in partnership with
    the French Postal services for 19,000 people deployed on French military
    bases abroad. This innovative project leverages Sodexo’s on-site services
    expertise in extreme environments.
  *Health Care and Seniors continues to grow in Asia and Latin America with
    several new contract awards, including Renmin University Hospital Wuhan
    (China). The decline in Education (representing only 3% of Rest of the
    World revenues) results from the non-renewal of a large public contract in

UK and Ireland


                           1^st          1^st                        Organic
millions of euro        Quarter    Quarter    Organic    growth
                           Fiscal        Fiscal        growth        excluding
                           2013          2012                        Rugby
Corporate               263        266        - 10.5%    + 11.1%
Health Care and            68            56            + 5.3%
Education               38         35         - 2.9%     
TOTAL                   369        357        - 7.3%     + 8.5%

  *In Corporate, 1^st Quarter Fiscal 2013 revenues increased + 11.1%
    (excluding rugby)^1, with approximately half contributed from services
    during the Paralympic Games in London in early September 2012 (around 13
    million euro in revenues). The balance of this solid progress results from
    the ramp up of several integrated services contracts such as Unilever,
    Astra Zeneca and Eli Lilly.
  *In Health Care and Seniors, organic growth of + 5.3% primarily reflects
    the provision of new services at a large university hospital (North
    Staffordshire University Hospital). There also has been a recent recovery
    in business development, for example with the signing of a contract with
    Brighton and Sussex University Hospital.
  *In Education, revenues registered an organic decline of - 2.9%, reflecting
    continued selectivity in approaching public sector contracts. Recent
    successes include St. Andrews College, Dublin (Ireland).

Benefits and Rewards Services

Issue volume

millions of           1^st Quarter          1^st Quarter         Organic
euro               Fiscal             Fiscal            growth
                      2013                  2012
Latin America      1,855              1,643             + 18.4%
Europe and Asia    2,103              2,016             + 2.8%
TOTAL              3,958              3,659             + 9.8%


millions of           1^st Quarter          1^st Quarter         Organic
euro               Fiscal             Fiscal            growth
                      2013                  2012
Latin America      100                95                + 11.7%
Europe and Asia    83                 80                + 0.9%
TOTAL              183                175               + 6.7%

  *Organic revenue growth for the activity was driven by a dynamic
    performance in Latin America. Face value^*increases (especially in Brazil
    and Venezuela) and the rise in the number of beneficiaries continue to be
    important growth factors in Latin America. However, pressure on
    commissions in Brazil resulted in a gap between growth in issue volume and
    revenues in the first quarter.
  *In Europe, growth was more modest, given the impact of the regulatory
    change in Hungary (effective as of January 1, 2012), a more challenging
    economic environment and lower demand in Italy. In contrast, activity in
    Belgium and France remained solid.
  *Recent successes include the Serviço Federal de Processamento de Dados and
    Universidade Estadual de Campinas and Pepsico (Brazil), Unidad Nacional de
    Protección (Colombia), Edere SA (Mexico), Transporte de Valores Viseteca
    (Venezuela), Roche Farma (Spain) and Ekol Lojistik (Turkey).

Also of note was the success of the new Spirit of Cadeau gift card in France
(home and sports-themed products and services) during the end of year holiday


On November 2, 2012, Sodexo expanded its presence in Latin America with the
acquisition of Servi-Bonos, a leading player in the food and meal vouchers and
cards market in Mexico. With a portfolio of 5,000 clients across the country,
Servi-Bonos recorded issue volume of around 300 million euro in 2011.

On December 24, 2012, Sodexo reinforced its presence in India with the
acquisition of MacLellan India, an Indian leader in facilities management
services with specific expertise in HVAC services, maintenance and energy
management. The acquisition of MacLellan India contributes to Sodexo’s
technical services expertise.

These acquisitions did not have a material impact on Sodexo’s financial
strength compared to its position as of August 31, 2012.

Awards and Distinctions

  *Sodexo’s non-medical in-home support services for the elderly was included
    among the Franchise 500© 2013 winners by Entrepreneur magazine, which
    ranked Sodexo first in the assistance to the elderly category.
  *In October, Sodexo received the "Business for Peace" award in Colombia.
    This initiative, in partnership with the Colombian Suramericana
    Foundation, the Reintegration Agency and the Peace and Reconciliation
    Program of the city of Medellin, promotes the reintegration to the work
    force of people in vulnerable situations because of the Colombian
    conflict, including victims and ex-combatants from illegally armed groups.

Principal risks and uncertainties

There have been no significant changes in the principal risks and
uncertainties identified by the Group in the "Risk Factors" section of the
Fiscal 2012 Registration Document filed November 12, 2012 with the Autorité
des marchés financiers.


As announced last November by Michel Landel, Sodexo foresees modest growth in
revenues and operating profit^1 for Fiscal 2013 compared to the previous year,
which benefited from specific events (the Rugby World Cup, the Olympics and a
53^rd week in North America).

Financial calendar

General Shareholders’ Meeting       January 21, 2013
Fiscal 2012 dividend payment        February 4, 2013
First half Fiscal 2013 results      April 18, 2013
Nine months Fiscal 2013 revenues    July 3, 2013

Conference Call

Sodexo will hold a telephone conference (in English) today at 8:30 am (Paris
time) to comment on 1^st Quarter Fiscal 2013 revenues. This presentation can
be followed live via webcast on The press release and
presentation will be available on the Group's website,
beginning at 7:00 a.m., under the "latest news" section. A recording of the
conference will be available at +44 (0) 1452 550 000, followed by the code 82
75 12 49.

About Sodexo

Founded in 1966 by Pierre Bellon, Sodexo is the global leader in services that
improve Quality of Life, an essential factor in individual and organizational
performance. Operating in 80 countries, Sodexo serves 75 million consumers
each day through its unique combination of On-site Services, Benefits and
Rewards Services and Personal and Home Services. Through its more than 100
services, Sodexo provides clients an integrated offering developed over more
than 45 years of experience: from reception, safety, maintenance and cleaning,
to foodservices and facilities and equipment management; from Meal Pass, Gift
Pass and Mobility Pass benefits for employees to in-home assistance and
concierge services. Sodexo’s success and performance are founded on its
independence, its sustainable business model and its ability to continuously
develop and engage its 420,000 employees throughout the world.

Key figures (as of August 31, 2012)
18.2 billion euro consolidated revenue
420,000 employees
20th largest employer worldwide
80 countries
34,300 sites
75 million consumers served daily
10 billion euro market capitalization (as of January 8, 2013)

This press release contains statements that may be considered as
forward-looking statements and as such may not relate strictly to historical
or current facts. These statements represent management's views as of the date
they are made and we assume no obligation to update them. You are cautioned
not to place undue reliance on our forward-looking statements.

Selection of new clients – first quarter Fiscal 2013

On-site Services


AstraZeneca, Shanghai, China
Australian Submarine Corporation, Australia
Banco Bradesco S.A., Osasco, Brazil
DNB, Oslo, Norway
Electrolux, São Carlos, Brazil


Ministry of Defense for the Sodexo-La Poste consortium, France
Health Care and Seniors
HCR ManorCare, USA (290 retirement homes in 32 states)
HCA East Florida, USA (9 hospitals)
LA County, California, USA (2 sites at UCLA Medical Center)
Ochsner Medical Center, Louisiana, USA
Brighton & Sussex University Hospital, Brighton, United Kingdom
Fruängsgården, Stockholm, Sweden
Nouvelles Cliniques Nantaises, Nantes, France
Renmin Hospital of Wuhan University, Wuhan, China


Baker University, Kansas, United States
Inglewood Unified School District, California, United States
St. Andrews College, Dublin, Ireland
Al Mareefa College, Riyadh, Saudi Arabia
Darussafaka Okul, Istanbul, Turkey
Ensemble Scolaire des Recollets, Longwy, France

Remote Sites

Campamento Pionero, Antofagasta, Chile
Jascon 31 Floatel, Congo
Manitoba Hydro Keeyask, Gillam, Canada
Pacific Rubiales Energy, Puerto Gaitan, Colombia
Sakhalin Energy Investment Company Ltd., Yuzhno-Sakhalinsk, Russia
Sports and Leisure
Château de Fillerval, Thury-sous-Clermont, France

Benefits and Rewards Services


Aldi, Belgium
B2s SAS, France
Ekol Lojistik, Turkey
Euronics, Italy
Roche Farma, Spain

Latin America

Edere SA de C.V., Mexico
Pepsico, Brazil
Serviço Federal de Processamento of Dados (SERPRO), Brazil
Transporte de Valores Viseteca, Venezuela
Unidad Nacional de Protección, Colombia
Universidade Estadual de Campinas, Brazil


Delhi Metro Rail Corporation Ltd., India
Jia Ding Telecom Bureau, China


Exchange rates

The positive impact of currency effects was + 4.2% for the first three months
of the year, mainly from the strengthening of the U.S. dollar and the British
pound sterling against the euro. In the Rest of the World, the depreciation of
the Brazilian real against the euro was partially offset by the appreciation
against the euro of other currencies in Latin America and Asia-Pacific.

It should be noted that, contrary to exporting companies, revenues and
operating expenses of Sodexo subsidiaries are denominated in the same
currency; as a result, currency fluctuations do not involve operational risks.

The principal average exchange rates for the first three months of Fiscal 2013

                             Average rate       Average rate
1 EUR =                   1^st Quarter    1st Quarter     Change
                             Fiscal 2013        Fiscal 2012
US dollar                 1.2906          1.3803          + 7.0%
British pound sterling    0.8025          0.8701          + 8.4%
Brazilian real            2.6398          2.4128          - 8.6%

^* formerly Motivation Solutions

^1 Revenues in the first quarter of Fiscal 2012 included 52 million euro from
the Rugby World Cup hospitality contract.

^* Value of each voucher / card

^1 Excluding currency effects and favorable accounting adjustment in Fiscal
2012 for UK pension costs


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