Edenred beats quarterly core earnings estimates as mobility grows

Edenred Exceeds Quarterly Earnings Forecast Driven by Mobility Sector Gains

Quarterly Financial Performance and Sector Highlights

By Margaux Perrin and Dimitri Rhodes

Oct 21 (Reuters) -

Core Earnings and Operating Profit

French vouchers and benefit cards provider Edenred on Wednesday reported third-quarter core earnings above expectations at €725 million, versus company compiled consensus of €709 million, citing continued growth of its mobility sector.

The operating profit stood at €667 million, also above the company compiled consensus of €658 million.

EBITDA Outlook

• Full-year 2026 EBITDA still seen falling 7% to 10% on a like-for-like basis, translating to 1.22 billion to 1.26 billion euros after third-quarter perimeter effects, versus 1.23 billion to 1.27 billion previously.

Mobility Sector Growth

• Mobility revenue rose 10.7% organically to €202 million, with Beyond Fuel services, including fleet management, tolls, EV charging and VAT recovery, growing at double-digit rates.

Executive Commentary

• "Mobility is a sector which, one might say, is still in its early stages, with many new markets emerging, such as electric vehicles. It is therefore experiencing a faster rate of growth," Edenred executive Virginie Duperat-Vergne said in a press call.

International Market Performance

• In Japan, operating revenue rose more than 50% in the first nine months after authorities more than doubled the legal face-value cap on meal vouchers in April.

Employee Benefits Segment

• Employee benefits revenue fell 5.9% like-for-like to €424 million, hit by Italy's merchant-commission cap effective September 2025 and Brazil's cap and interoperability rules from early 2026.

(Reporting by Margaux Perrin and Dimitri Rhodes in Gdansk; Editing by Sahal Muhammed)