Rentokil Initial shares jumped on Thursday after the pest control group revealed building momentum in its North American business.
The group posted quarterly revenue of $1.81 billion, marking year-on-year growth of 4.6% for the three months ending 30 September 2025. Organic revenue growth was 3.4% across the group.
Rentokil Initial shares rallied on the back of the update and were 9% higher at the time of writing.
The biggest driver of shares was improvement in the company’s North American division.
Following a period of uncertainity around the US and a major acquisition, the region is now showing signs of growth, with pest control services organic revenue growing 1.8% compared to just 0.1% in the first half, and total revenue growth for the region coming in at 4.6%.
Business services continued their strong trajectory with revenue growth of 14.4%.
Management attributed the North American upturn to enhanced digital marketing, improved sales execution and rigorous pricing discipline.
Internationally, revenue rose 4.6% with organic growth of 3.3%, up from 2.7% in the first half. The UK led the improvement with strong performances in pest control and property services, whilst southern European markets including Spain, Portugal and Greece continued to show momentum.
The group completed 21 bolt-on acquisitions year-to-date, generating $39 million in annualised pre-acquisition revenue. Separately, Rentokil finalised the sale of its French workwear business on 30 September for an enterprise value of €410 million, with net proceeds of €370 million.
“We are encouraged by our performance in the third quarter as the overall positive trends we described at our interim results have continued into the second half,” said Andy Ransom, Chief Executive of Rentokil Initial.
“In North America, it is pleasing to see the actions we have taken to improve sales execution and to evolve our digital marketing strategy are driving positive lead flow and overall sales momentum in the quarter. Our satellite branch openings remain on track to reach 150 by the end of the year, we have re-commenced the gradual integration of commercial branches during the quarter and our cost efficiency programme is on track.
“Current trading is in line with expectations and our outlook for the remainder of the year remains unchanged, as such, we expect to deliver FY 2025 financial results in line with market expectations.”