25th Mar 2015 10:37
LONDON (Alliance News) - Journey Group PLC reported higher pretax profit for 2014 on Wednesday, as lower costs offset a fall in revenue for the catering services and in-flight products company, prompting it to increase its dividend.
Journey said its pretax profit rose 10% in the year to GBP2.0 million from GBP1.8 million. Revenue slipped slightly to GBP39.1 million from GBP40.3 million, but this was offset by a fall in operating and administrative costs.
The company said its US division performed well, despite problems faced by its air industry customers in the early months of the year, due to the bad weather in the country at the time, and said its products division improved in the second half.
Journey is recommending a final dividend of 1.65 pence per share, bringing its total dividend to 3.025 pence, up 10% year-on-year.
"2014 has seen another strong performance in the US with continued profit progression and cash generation. Our strategy of focusing and driving growth through the US Air Fayre division is beginning to deliver near term opportunities, in replicating our successful business model across the US," said Executive Chairman Stephen Yapp.
Journey shares were up 1.6% to 126.00 pence on Wednesday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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