Pluxee, the former employee benefits division of Sodexo, on Thursday raised its outlook for fiscal 2025 and 2026, citing a "solid" financial performance in 2024 and expressing confidence in structural market growth trends.

"As we enter fiscal 2025, I am convinced that Pluxee is well positioned to achieve its objectives by continuing to generate sustainable double-digit growth, further margin improvements and strong cash generation," said Pluxee CEO Aurélien Sonet in a statement.

The group, which floated on the stock market in February 2024, says it expects recurring Ebitda margin to increase by 75 basis points in 2025 and 2026, enabling the initial target of a 250 basis point organic increase over 3 years to be achieved a year ahead of schedule.

Pluxee also says it expects a recurring cash conversion rate of over 75% on average for the years 2024 to 2026, compared with over 70% previously.

The company also published on Thursday an Ebitda margin of 35.6% for fiscal year 2024, slightly higher than the 35.3% expected according to the consensus provided by the group.

(Written by Diana Mandiá, edited by Augustin Turpin)