24th Nov 2021 15:13
Johnson Service Group PLC - Cheshire, England-based textile services - says workwear volumes remained at 98% of normal levels. Workwear revenue in the 10 months to October, 31 was GBP107.1 million, a slight decline from GBP107.6 million a year before. Says Hotel, restaurant, and café volumes were at 80% of normal levels with revenue of GBP107.1 million, up 19% from GBP90.1 million the comparable period a year before. Notes inflationary pressure on our cost base.
States that workwear plant in Exeter is now fully operational and can provide additional processing capacity in the south. Plans to upgrade the Bourne hotel linen plant with project costs of about GBP4.2 million. Says it completed the acquisition of the entire issued share capital of Dunmurry, North-Ireland based textile services company Lilliput Ltd for a cash consideration of GBP6.2 million on a debt free, cash free basis.
"This acquisition provides the group with a presence in a geographical area where we were not previously represented and which offers further opportunity for growth. We are developing plans to expand the capacity of the site in order to take advantage of the expanding Northern Ireland hospitality market as well as further healthcare opportunities," Johnson Service says.
States it expects annual pretax profit to be in line with expectations due to absence of Covid-19 restrictions in the hospitality sector.
Current stock price: 128.80 pence
Year-to-date change: down 8.0%
By Abby Amoakuh; [email protected]
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