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Rentokil Initial PLC on Thursday said efforts to improve its North American business are bearing fruit as it reported better-than-expected sales in the third quarter. Shares in the Crawley, West Sussex provides pest control and hygiene services jumped 10% to 450.00 pence each in London on Thursday morning. It was the best performing stock in the FTSE 100 index, which was up 0.1%. Rentokil said revenue rose 4.6% at constant currency to $1.81 billion in the three months to September from $1.72 billion the year prior. Organic sales growth was 3.4%. picking up speed from 1.6% in the second quarter of 2025 and beating company-provided market consensus of 2.2%. Revenue growth in North America was 4.6% with organic revenue growth of 3.4%. That organic sales growth represented an improvement from 1.4% in the second quarter and was ahead of 1.8% consensus. North America Pest Control Services organic revenue growth was 1.8%, compared to 0.1% in the first half of 2025, while North America Business Services continued to see positive momentum with sales growth growth of 14%, or 12% on an organic basis. Rentokil said actions taken to optimise marketing return on investment and deliver growth in the contract portfolio have strengthened revenue generation through the high season. International revenue grew by 4.6% with organic revenue growth of 3.3%, up from 2.7% in the first half of 2025. The improvement was primarily driven by the UK with continued strong performance in the core UK Pest control and Plants businesses and an improved performance from the Property Services division. Europe continues to be strong, driven by the southern Europe markets of Spain, Portugal and Greece, Rentokil said. Growth in the Pacific remains below the average for the International business, with good growth in core Pest Control and Ambius offset by the impact of adverse weather on the Rural and Trackspray businesses. Chief Executive Andy Ransom said: ‘In North America, it is pleasing to see the actions we have taken to improve sales execution and to evolve our digital marketing strategy are driving positive lead flow and overall sales momentum in the quarter.’ Ranson said current trading is in line with expectations and ‘our outlook for the remainder of the year remains unchanged’. As such, ‘we expect to deliver FY 2025 financial results in line with market expectations,’ he added. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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