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Investing.com -- U.K. pest control firm Rentokil Initial reported revenue for the third quarter of $1.81 billion, up 4.6% year-over-year. Organic revenue growth stood at 3.4%, above the 2.4% expected by consensus estimates cited by Jefferies.
Shares in the company jumped more than 10% in London trading.
Group Pest Control delivered 3.4% organic growth, topping expectations of 1.9%. In North America, growth stood at 3.3%, improving sequentially, with core Pest Control up 1.8% and Business Services, including distribution, advancing 11.9%.
International Pest Control, excluding North America, also performed strongly with a 3.8% increase.
"Q3 group organic growth came in ahead of expectations," Jefferies analyst Allen Wells said in a note, highlighting North America Pest growth as "the key positive."
"Overall we see results as positive on U.S. recovery momentum," he wrote.
The Hygiene division recorded 3% organic growth, beating forecasts of 1.3%, supported by a return to growth in the U.K. and Sub-Saharan Africa and improving market conditions in the Pacific region.
Management said current trading remains consistent with expectations and reaffirmed that the outlook for the rest of the year is unchanged, with full-year 2025 (FY25) results seen as “in line with market expectations.”