London’s rats are facing a high-tech threat after Rentokil Initial doubled down today on plans to use Artificial Intelligence in the fight against them.
The FTSE 100 constituent’s pest control businesses is using AI in against the unwelcome rodents, using it to track their movements and define the best way of dealing with infestations.
It means Rentokil can automate tracking techniques, giving the company local-level insight into how to intervene early to minimise infestations. High-tech targeting also means less rat poison is needed.
The cutting-edge approach has already helped interim revenue at its core pest control business rise 5.6%. Overall, Rentokil reported a rise in income of almost 70% to £2.7 billion, with operating profit up over 70% to £602 million, for the first six months of the year.
Its determination to keep up the fight against the disease-carrying sewer dwellers – with Londoners famously said to be within six feet of a rat at all times – comes in stark contrast to other cities. The mayor of Paris, Anne Hidalgo , recently said that the French capital should learn to live with rats. Authorities there have formed a committee to look at what they called “the question of cohabitation” with them.
Rentokil is often still referred to as the royal rat-catcher after it was famously awarded a pest control contract at Buckingham palace in the 1960s.
Alongside its half-year results, the Crawley-based company launched the results of a study into how high-tech pest control can help cut the bill from damage caused by rodents, estimated in the white paper at almost £7 billion annually.
Paul Blackhurst, head of Rentokil Pest Control’s Technical Academy, said the new tech made it possible to “establish a clear perimeter around areas of human habitation and industry, thus limiting the public’s potential exposure to diseases such as leptospirosis and hantavirus.”
There are already over 200,000 monitoring devices live worldwide, with the largest AI-driven anti-rat networks featuring over 1,000 monitors with clients including Ocado, the online grocer.
The zero-tolerance approach to pest control applies most commonly to food production and distribution facilities and hospitals.
For the first half of 2023, Rentokil’s rise in revenue reflected its $7 billion (£5.4 billion) acquisition of US pest control firm Terminix. It said today it expected cost-savings from the integration of American business of $60 million this year and $200 million annually by the end of 2025.
The pound’s recent rebound against the dollar means that earnings made in the US currency are not buying as much sterling, creating what Rentokil called “a headwind” of between £15 million and £20 million.
It spent £202 million in the first half on buying two dozen businesses, in line with its strategy on mergers and acquisitions.
Rentokil shares added 20p to 659p.
