SSP Group shares were down 2.5% to 230.9p in late afternoon trading on Thursday after the travel food firm announced a revenue climb to 87% of 2019 levels in its Q3 2022 trading update.
The group reported its revenue was driven by an ongoing recovery in passenger numbers and longer passenger presence times in markets.
SSP Group confirmed its recovery had been led by domestic and leisure travel in its air and rail segments, with a slower rate of rail commuter recovery.
The company added it had seen good recovery across all regions, with sales in continental Europe leading its revenues with 93% of 2019 levels.
The firm noted a 91% level of 2019 sales in North America, 82% in the UK and an average of 75% across the rest of the world, with strong performances in India, Australia and Thailand.
However, SSP Group mentioned lower levels of recovery in China and Hong Kong linked to ongoing travel restrictions across both sectors.
The SSP Group highlighted an average of 72% 2019 revenue levels for the nine months from 1 October 2021 to 30 June 2022.
The company said its outlook saw it well-positioned to navigate the macro-economic uncertainty in the coming year, notwithstanding the current challenges of airport disruptions, labour shortages and industrial action in certain air and rail markets.
SSP Group commented its medium-term expectations for profitability remained unchanged, with its pipeline of contracts expected to add approximately £500 million in revenues by 2025 against 2019 levels.
The company further mentioned it expected to deliver sales in the general estimate of £2.1 billion and an EBITDA margin at the upper end of SSP Group guidance at 6%.
