French catering and services group Sodexo signalled a stepped-up recovery plan centered on North America as it raised expectations for revenue growth in 2027. Management said it sees faster organic revenue growth in 2027 than in 2026, and tied the recovery effort to stronger execution and expansion in its largest market.
The company now expects organic revenue growth of 2% to 3% in 2027, compared with an expected 1.2% to 1.5% pace for 2026. Sodexo's leadership attributed the change to measures under way to address execution shortfalls and to capture more growth in North America.
In April, the new chief executive launched an internal review focused on the firm's execution and contract portfolio. Management described root causes including underinvestment, inconsistent performance across operations and slow decision-making, and said the review is aimed at correcting those deficiencies.
Thierry Delaporte, the chief executive, identified the United States as the company's primary country priority. The United States accounts for a significant portion of the company's business - roughly half of Sodexo's revenue comes from North America - and Delaporte said the market is both large and expanding rapidly.
Sodexo had previously warned in October 2025 that weak results in education and healthcare in North America would suppress performance for the current year, and management said the objective is to restore stronger growth beginning in 2027.
Looking further ahead, the group has set a target of organic revenue growth above 5% for full-year 2030, supported by net new business contributions above 3% for the year. Those longer-term targets form part of the company's broader plan to return to higher growth following the operational review and targeted investments.
The combination of a country-level emphasis on the United States and the corporate review of contracts and execution underscores management's approach: address operational weaknesses while pursuing expansion in the company’s largest market.
Context and implications
Sodexo's revised 2027 outlook and 2030 ambitions rest on improving execution and reversing recent weakness in key North American sectors such as education and healthcare. Management has flagged underinvestment and decision-making delays as factors to be corrected through the ongoing review.