Edenred began 2026 in line with its 2025 performance. Total revenue reached 730 million euros, up 3.1% on a like-for-like basis (+0.8% as reported). This growth includes the negative impact of new regulations in Italy and Brazil. Adjusted for these effects, underlying operating revenue growth stood at 8.2%, reflecting sustained commercial momentum, according to management. Jefferies noted that the quarterly figure was slightly higher than expected, "likely due to a mitigation of negative regulatory headwinds."

The Mobility business drove growth with a 10% increase, fueled notably by the expansion of "Beyond Fuel" solutions in Latin America and strong momentum in Europe. Employee Benefits, the group's core business, posted limited growth (+0.2% LFL), weighed down by regulatory changes, though it reached +7.8% excluding this impact. Payment Solutions & New Markets grew by 6.2%, supported by the development of digital wallets.

Geographically, Europe remains the primary contributor, accounting for 60% of operating revenue, while Latin America benefited from strong dynamics, particularly in Brazil and Mexico. The Rest of the World posted double-digit growth, driven by solid performances in Japan, Turkey, and the United Arab Emirates.

Guidance confirmed, factoring in regulatory impact

Against this backdrop, Edenred confirmed its 2026 targets. The group anticipates a decline in EBITDA of between -8% and -12% on a like-for-like basis, while targeting underlying growth of 8% to 12%. It also maintains a high cash conversion rate, with free cash flow representing at least 35% of EBITDA, despite uncertainties related to regulatory developments.

The initial pre-market reaction for Edenred is slightly positive this morning. However, these movements should be viewed with caution, as it is not uncommon for a more detailed analysis of performance or a conference call to shift market perception.