Rentokil Initial 2023 Final Results Boosted by Terminix Acquisition

Rentokil Initial on Thursday reported that full-year 2023 adjusted pre-tax profit jumped 43.8 percent to £766m, with revenues up 44.7 percent at £5.4bn.

Organic revenue grew 4.9 percent, supported by strong performances in Europe, Asia, Pacific, UK and LATAM, Rentokil reported.

Rentokil Initial CEO Andy Ransom said the group “overall delivered a good operational and financial performance” in 2023, despite weaker growth in North America, achieving 4.9 percent organic revenue growth and 16.6 percent margin. “We have continued to benefit from our diversified, global footprint and resilient business model, in addition to our sustained focus on customer service and investment in people, technology and innovation.”

Ransom said Rentokil has made strong progress in the integration of Terminix to “create a powerhouse business in the world's largest pest control market. This has been achieved alongside significant improvement in colleague retention, with Terminix service technician retention up more than 8 percentage points since the deal closed. The combination with Terminix continues to create significant value and we have upgraded expectations for total gross cost synergies by $50 million to $325 million to be delivered by 2026."

Source: Rentokil Initial