Johnson Service Share Discussion Threads

[cockneyrebel] 22/12/2009 11:00

LoL - Frauddy's a buyer.

Having ridded themselves of the loss making Workplace division, Having resumed divi payments and having refinanced to 2013 then I think the trading statement due in early Jan will be better than expected.

CR

[fozzie] 22/12/2009 11:00

a bit like having a serial killer as a son I would have thought

"such a lovely boy"

LOL

[wellset470] 22/12/2009 10:57

ydderf-why do you continue to post?

[ydderf] 21/12/2009 07:50

having to pay nearly four over libor for what is in effect, secured lending, and a 2% arrangment fee, tells you a lot about the riskiness of this company, not that I expect any holders to agree, the nature of 'debate' on these threads means that if you are a holder, the company can do no wrong, a bit like having a serial killer as a son I would have thought

"such a lovely boy"

[chrysippus] 21/12/2009 00:50

Hi -

Disposal news was of a small division that hasn't been central to the strategy since the new leadership took over. No noticeable impact on bottom line and hardly any cash impact.

'Satisfactory' trading has come to mean that JSG is doing quite nicely. H2 is generally better than H1 in some areas of the business and the shares aren't fashionable.

If you're looking for a safe place for your cash with a small but probably rising dividend and good growth potential on economic recovery, JSG's your share.

Don't expect fireworks quickly, but I'd stick my neck out to a 50% rise here within 12 months.

Best wishes

Chrysippus

[tokyojohn] 16/12/2009 05:49

No reaction whatsoever to the disposal news or the increased holding by L&G.

Trading "satisfactorily". Surprised that didn't cause a wobble given how some small-caps have been behaving recently.

[eye2] 28/11/2009 16:59

suspended????????????? no RNS on that.

[fozzie] 27/11/2009 13:51

Is it suspended?

[earlep] 27/11/2009 13:28

anyone know why this is suspended?

[graham142] 12/11/2009 15:56

read the telegraph and you'll be very pleased to find a good report from Cazenove's Neil Pegrum...

[undervaluedassets] 29/10/2009 14:03

massive hole in pension scheme is a worry.

very very large deficit .

where will the money come from to fulfil those obligations?

[eye2] 26/10/2009 14:00

this stock is strange 125k buy and down, last week all sells and up

[cockneyrebel] 22/10/2009 11:27

bouncing right on trend - chart should test 27.5p if it keeps trading this trend range here imo.

CR

[triktrak] 21/10/2009 10:54

Dry cleaning still has growth potential for Johnsons
16th October 2009

www.thebusinessdesk.com/northwest/news/16946-dry-cleaning-still-has-growth-potential-for-johnsons.html

THE introduction of new services and ongoing switch to green branding will drive the growth of Johnsons' dry cleaning business, according to its boss John Talbot.

Despite the dry cleaning brand being the most well-known within Runcorn-based Johnson Services Group, it only accounts for around 35% of the business, and somewhat less as a percentage of operating profit.

"But the dry cleaning side is still a very important part of the group as its core to what we are doing in the group," John Talbot, executive chairman of Johnson Service Group, told TheBusinessDesk.

Mr Talbot admitted that the performance of the dry cleaning business had been impacted over the year and was down around 5% on a like-for-like basis.

"But that's not bad when you look at retail generally," he added.

To boost performance, the group is introducing extra services through the shops such as domestic laundry, washing and ironing.

"That's adding 2% to our volume, whereas last year it would have been about 0.5%, and the move to Green Earth will increasingly have an impact," said Mr Talbot.

The group has been replacing its dry cleaning chemicals with a new product called Green Earth, which is based on silicon and is more environmentally friendly than traditional dry-cleaning chemicals, according to the company. Of Johnsons' 520 dry cleaning shops, around half are using the new technology.

It costs between £10,000 and £15,000 to change each shop front to reflect the changes but Mr Talbot expects around 90 to have the new Green Earth branded shop fascias to match by the end of this year.

"We've been moving the group across to that for a number of years but people didn't know about it. It was an internal process and customers would only have noticed from the change in smell. But we decided to start publicising it and the benefits.

"Customers are responding and we are seeing increases in sales where there is that green branding," said Mr Talbot.

As leases come up for renewal, the group is re-evaluating some of its locations and it closed 30 stores last year, and 25 this year.

"But at the same time we are opening up another nine this year," said Mr Talbot.
He added that the company was looking at locations that work as drive-ins, such as old petrol and service stations, as well as at units within supermarkets.

"Parking seems to be important [to customers] as does the ability to get to and from the location. That's why our locations are in supermarkets, or adjacent to supermarkets or in drive-ins. We will still open in the high street, if customers can park nearby."

The group's textile rental division, which includes Johnsons Apparelmaster and Stalbridge Linen Services, is its most successful, accounting for more than 50% of turnover.

"That's been very successful and we are looking to grow it as it's the most profitable business," said Mr Talbot.

Meanwhile, facilities management, which makes up the remainder of the business, has benefited from the recession to a degree because businesses see outsourcing as a way to save on costs, according to Mr Talbot.

"But to counter that, customers are being more restrictive with what they spend," he added.

In September the group announced that it had returned to profit, following a round of cost cutting measures last year, which meant it could pay a dividend for the first time since 2006.

Pre-tax profits for the company stood at £5.4m for the year to the end of June, compared with a loss of £7.5m a year earlier. However, turnover was down 7.7% to £120m compared with £130.1m a year earlier.

The company has reduced its net debt to below £70m. Its bank facility, which runs to December 2010, stands at £104.5m and will reduce to £98.5m by the end of the second half.

Mr Talbot said: "Everybody can see the business is profitable and stable again, that's why we introduced the dividend."

[graham142] 19/10/2009 10:07

zangdook yes

[zangdook] 19/10/2009 03:11

Do these still give money-off vouchers to shareholders?

[cockneyrebel] 17/10/2009 18:25

On the current channel these have to go to 26p or thee abouts on the next run imo.

CR

[chester] 17/10/2009 18:05

sorry, wrong thread.

[chrysippus] 17/10/2009 17:00

Agree -

Almost perfect rising channel here...

[cockneyrebel] 16/10/2009 15:55

Look at the trend support - buy point on the chart here imo.

CR

[eye2] 13/10/2009 11:13

bit of selling shame.

[chrysippus] 07/10/2009 15:59

Nice to see the spread finally closing with the volumes - maybe this will return to something like normal trading one day...

I remain sure patience will be rewarded handsomely here.

Good luck all

Chrysippus

[btb2] 07/10/2009 13:36

Let' hope so CR

[cockneyrebel] 07/10/2009 13:33

looks like those trades cleared a seller.

CR