Home / Business / ISS off to a good start in 2022

ISS off to a good start in 2022

ISS’ latest trading update for the period 1 January – 31 March 2022 has reported a “good start” to the year.

Organic growth was 5.4% in Q1 2022 (Q1 2021: (5.6)%), driven by return-to-office trends in large markets, price increases and continued solid demand for projects and above-base work. As a result of this, the outlook for organic growth has been upgraded to ‘Above 4%’ (previously ‘Above 2%’).

Revenue in Q1 2022 was 3% above pre-Covid-19 levels in Q1 2019 (excluding M&A and FX effects). ISS has reported that revenue from both cleaning and technical services were above pre-Covid-19 levels indicating continued structural demand and growth of ISS’ core service lines.

The Group has also stated that its turnaround initiatives relating to underperforming contracts and countries has progressed according to plan. The UK has reached its turnaround target nine months ahead of plan, and the turnaround focus is now on the recovery of the remaining underperforming areas; the Deutsche Telekom contract and France.

Execution of the ISS’ strategic divestment programme is nearing completion. Divestments of Taiwan, Russia and two smaller business units have been completed. The remaining businesses in scope for the programme comprise of two countries, Brunei and Portugal, and one smaller business unit. Total accumulated net proceeds now amount to around DKK 1.9 billion and 95 per cent of the total targeted proceeds have been achieved.

Jacob Aarup-Andersen Group CEO, ISS A/S, commented: ”The first quarter was a good start to the year and the development is a testimony to the continued growing demand for our services. Our customers are returning to the offices and continue to demand more project-based services than before Covid-19.

“Revenue from all of our service lines – except Food Services – are now above pre-Covid-19 levels and our collaboration with large global customers continues to emphasise increased investments in workplaces, also evidenced by our ISS Pulse study. I want to thank all of our more than 350,000 employees for delivering excellent service to our customers in a continued demanding environment.”

Your free ticket to Facilities Show 2022

Join thousands of your FM peers from across the world at ExCeL London on 17-19 May.

Bring the team and boost your CPD, your skills and your career with seminars and workshops. Test, trial and source smart solutions across technology, cleaning, FM services, waste and energy management; and meet a host of suppliers for new business collaborations.

5 Shows. 1 ticket.

Your free ticket to Facilities Show gives you unlimited access to four other co-located events, meaning you have a unique opportunity to enhance your facilities management strategy with products and solutions from across facilities management, security, fire protection & prevention, intelligent buildings and health & safety.

Get your free ticket for Facilities Show

About Sarah OBeirne

Leave a Reply

Your email address will not be published. Required fields are marked *