Is CPG.L (Compass Group PLC) Halal or Haram?

Based on our AAOIFI-standard shariah screening, CPG.L is Halal and considered permissible for Muslim investors. It passed all 4 of 4 compliance screens including business activity review, debt-to-market-cap ratio (14.12% vs ≤33% threshold), interest income ratio (0.17% vs ≤5% threshold), and cash & securities ratio (1.16% vs ≤33% threshold).

Compass Group PLC is a global giant in the food and support services sector, operating in over 40 countries. While best known for managing cafeterias and catering in schools, hospitals, and corporate offices, their operations extend to specialized support services like cleaning, reception management, and running remote camps for the defense and offshore industries. This diversification makes them a critical infrastructure partner rather than just a simple restaurant operator. For Muslim investors, Compass Group PLC is currently classified as Halal, having passed all four AAO IFI screening criteria. The company’s primary business activities involve permissible services, and financially, it maintains a clean profile. This 'Halal' status means you can confidently include CPG.L in your portfolio without the need for purification, as the core business aligns with Shariah principles. From a financial health perspective, the company demonstrates strong discipline with a Debt-to-Market Cap ratio of 14.1%, significantly lower than the 33% upper limit allowed for Shariah-compliant stocks. Additionally, their reliance on interest income is extremely low at just 0.1 7% of revenue, suggesting that the vast majority of their earnings come from genuine trade and service delivery rather than financial speculation . Investors should, however, remain aware that as a food service provider, Compass Group likely handles non-halal food items (such as pork or alcohol) in some of its catering contracts. While the stock is financially compliant, some stricter investors may prefer to monitor the percentage of revenue derived specifically from the sale of alcohol, though current general screenings do not flag this as a major violation of the 5% impermissible income threshold. Compass Group PLC operates in the Consumer Cyclical sector under the Restaurants industry and is headquartered in Chertsey, GB. The company is led by CEO Dominic William Blakemore and employs approximately 580,000 people.

CPG.L was screened using AAOIFI-based shariah compliance criteria. Four tests are applied: (1) Business Activity — the company's core business must not derive primary income from haram (prohibited) activities such as alcohol, gambling, tobacco, or interest-based finance. (2) Debt-to-Market-Cap — total debt must not exceed 33% of market capitalization. (3) Interest Income — interest income must not exceed 5% of total revenue. (4) Cash & Securities — cash and interest-bearing securities must not exceed 33% of market cap. CPG.L passed 4 of these 4 screens.

Although CPG.L passes all shariah screens, it does earn $61.3M in interest income (0.17% of revenue). Many scholars recommend purifying this portion by donating the equivalent percentage of any dividends received to charity. For example, if you receive $100 in dividends, you would donate approximately $0.17 to purify the income.

CPG.L was last screened on 2026-02-24. Shariah compliance status can change as companies report new financial data, acquire new businesses, or shift revenue streams. We recommend checking back periodically for the most up-to-date screening results.