22nd Mar 2016 09:47
LONDON (Alliance News) - Journey Group PLC on Tuesday reported flat profit in 2015 after booking an increased depreciation charge from new trucks that were purchased, while revenue slipped slightly due to reduced volumes from some customers of its Products division.
Journey, which provides catering services and in-flight products to the international airline and travel industries, said its pretax profit in 2015 remained flat year-on-year at USD3.3 million, while revenue slipped very slightly to USD63.6 million from USD64.3 million.
Journey said profit remained flat due to an increased depreciation charge from trucks purchased for new contracts, while revenue slipped as a USD4.7 million fall in the Products division offset a USD4.0 million rise in the US division. It said the Products division was hit by reduced volumes from several customers.
Journey will pay an interim dividend of 3.4 pence for 2016, rather than a final dividend for 2015. It said this would be more beneficial to shareholders given the tax changes relating to dividends that will take effect from April.
The new dividend allowance introduced by the UK government means investors won't have to pay tax on the first GBP5,000 of dividend income. Those receiving over GBP5,000 who fall into the basic rate band will pay less tax than before, while those in the higher rate band will pay the same and those in the additional rate band will have to pay more tax.
"We ended 2015 as a very different business from the beginning of the year and entered 2016 with increased confidence in the group's prospects," Executive Chairman Stephen Yapp said in a statement.
Shares in Journey were trading down 1.1% at 181.50 pence on Tuesday morning.
By Karolina Kaminska; [email protected] @KarolinaAllNews
Copyright 2016 Alliance News Limited. All Rights Reserved.
Related Shares:
JNY.L