Aramark suffered a 5.3 percent decline in revenues during its first 2009 fiscal quarter, ended January 2. Sales in the North American Food & Support Services division were off five percent over the period.
The company cited a “mid-single digit” decline in the B&I sector and a “low double digit” decline in sports/entertainment as major factors. Higher Education was up but low single digit declines in K-12 and healthcare, both attributed primarily to lost business, pulled down overall institutional segment revenues. The steep decline in sports/entertainment was attributed to softness in convention centers, cultural attractions and national parks as well as fewer major league sports games over the period as compared to the first quarter of Fiscal 2008.
Operating income for the unit was off by about $17 million, from $121.8 million to $104.7 million.