Suhasini Varanasi's questions to RENTOKIL INITIAL PLC /FI (RTO) leadership • H1 2025
Question
Suhasini Varanasi of Goldman Sachs inquired about the upward revision to termite provision claims, North American quarterly growth trends, the status of the North America CEO search, and how to adjust PBT guidance following the France Workwear disposal.
Answer
CFO Paul Edgecliffe-Johnson explained the termite provision increase was a mechanistic calculation based on a 9% rise in recent non-litigated claim costs, while cash-out remains in line with expectations. He noted encouraging lead flow in North America but declined to comment on July trading. Regarding guidance, he stated it remains in line with consensus on an apples-to-apples basis until the disposal closes. CEO Andy Ransom added that he is pleased with the interim leadership in North America and will provide an update on the CEO search when available.