Johnson Service Share Discussion Threads

[johnsoho] 02/9/2015 11:50

I've held this share since circa 2007 and it just gets better and better.......lovely results from a really stable company imo.



TIDMJSG

RNS Number : 7659X

Johnson Service Group PLC

02 September 2015

2 September 2015

Johnson Service Group PLC

Interim Results for the six months ended 30 June 2015

"Another strong performance"

Johnson Service Group PLC, the Textile Services group (the "Group"), announces its interim results for the six months ended 30 June 2015.

FINANCIAL SUMMARY



Continuing Operations H1 2015 H1 2014 % change FY 2014
---------------------------- ---------- ---------- --------- ----------
Revenue GBP109.2m GBP101.6m 7.5% GBP210.4m
Adjusted Operating Profit GBP11.3m GBP9.4m 20.2% GBP21.8m
(1)
Adjusted Profit Before Tax GBP10.1m GBP8.5m 18.8% GBP20.0m
(2)
Adjusted Fully Diluted EPS
(3) 2.6p 2.3p 13.0% 5.2p
Dividend 0.65p 0.50p 30.0% 1.70p
Net debt GBP72.4m GBP31.7m - GBP28.5m


HIGHLIGHTS



* Strong performance with Adjusted Operating Profit(1)
up by 20.2% to GBP11.3 million

* Adjusted Profit Before Tax(2) increased by 18.8% to
GBP10.1 million

* GBP64.9 million acquisition of London Linen Supply
Limited ("London Linen") in April 2015 which has been
immediately earnings enhancing


* Successful placing of 30.0 million new shares,
raising net proceeds of GBP21.1 million

* Textile Rental continues to perform ahead of
management expectations


* Drycleaning reorganisation implemented in line with
our original cost estimate

* Net debt slightly better than management expectations
at GBP72.4 million (Pro-forma(4) December 2014:
GBP73.1 million)

* New Bank Facility signed in April 2015 providing
significant headroom for future investment

1 "Adjusted Operating Profit" is before charging GBP1.3 million (June 2014: GBP0.7 million; December 2014: GBP1.6 million) amortisation and impairment of intangible assets (excluding software amortisation) and exceptional items of GBP7.6 million (June 2014: GBP1.4 million; December 2014: GBP6.8 million).

2 "Adjusted Profit Before Tax" is Adjusted Operating Profit, less finance costs. Statutory Profit Before Tax was GBP1.2 million (June 2014: GBP6.4 million; December 2014: GBP11.6 million).

3 "Adjusted Fully Diluted EPS" is calculated using Adjusted Profit Before Tax and deducting the charge to, or adding the credit for, tax attributable to those items included within Adjusted Profit Before Tax.

4 Pro-forma basis after adjusting for the acquisition of London Linen (GBP64.9 million plus GBP0.8 million costs) and the equity fund raising (net proceeds GBP21.1 million). Reported net debt was GBP28.5 million.

Chris Sander, Chief Executive Officer of Johnson Service Group, commented:

"We are very pleased with the encouraging financial performance of the Group in the first half of the year, underpinned by a strong operational performance and the acquisition of London Linen. This strategic acquisition has been earnings enhancing from day one, significantly increases our capability to serve the vibrant London restaurant market and complements the range of Textile Rental services offered by our Stalbridge business. The Group continues to invest in additional capacity at existing locations and to seek further acquisitions in the wider Textile Rental market.

We expect further progress in the second half and the result for the full year to be slightly ahead of current market expectations."

ANALYST MEETING

A presentation for analysts will be held today at 09.30 at Investec, 2 Gresham Street, London, EC2V 7QP. A copy of the presentation will be available on the Company's website (www.jsg.com) following the meeting.

[liberatingsteptoe] 02/9/2015 08:38

What a tortoise of a share. Just plods on and delivers good returns.
LS

[liberatingsteptoe] 02/7/2015 08:52

2nd July 2015

Johnson Service Group PLC

Pre-Close Trading Statement

Prior to entering its close period ahead of reporting its Interim results for the six months to 30 June 2015, which are expected to be released on 2 September 2015, Johnson Service Group PLC (the 'Group') announces the following update on current trading.

We will deliver a strong result for the first half of the year and expect the full year results for 2015 to be slightly ahead of expectations.

The acquisition of the London Linen business, which was completed on 30 April 2015, is trading as expected and the integration into the wider Johnson textile business is successfully underway.

Net debt was approximately GBP73.0 million at the 30 June 2015, slightly below management's expectations following the purchase of London Linen.

Date: Thursday 02 Jul 2015
LONDON (ShareCast) - Investec held its 'buy' rating on Johnson Service Group and its target price of 100p, and said the stock was good value.
Shares in the textile firm rose 4.35% to 90p at 15:05 on Thursday, after it said it expected its interim results to be ahead of expectations.

Investec said in a note the stock continues to look good value and noted its core textile rental business was the standout performer.

"We continue to believe there are other interesting opportunities in the wider textile rental market which looks to have solid growth prospects and a likely near term boost from the forthcoming Rugby World Cup," analysts said in a note.

Investec made some small upgrades its full-year 2015 and full-year 2016 forecasts and predicted earnings per share would lift to 5.9p from 5.8p.

[liberatingsteptoe] 29/5/2015 11:19

Not so steady any more......
Anyone there?
LS

[liberatingsteptoe] 02/5/2015 11:07

Just exercise some more patience, wad. I have no other share that just seems to steadily go up, if you stand back and look at the last five years graph. They seem to be doing the right things to grow. Good luck.
LS

[wad collector] 23/4/2015 21:20

Unfortunately I paid about £5 for these so doubt I will ever see blue. Fortunately I didn't spend much!

[liberatingsteptoe] 04/3/2015 11:27

Investec new target price 90p.
LS

[liberatingsteptoe] 03/3/2015 09:16

Results out, dividend hiked more than expected.....deafening silence!
LS

[paleje] 06/1/2015 09:25

Decent update this morning, slightly ahead, rental doing well and the planned closures of uneconomic outlets over the next couple of years plus the innovations siting service points in large office buildings or complexes sound like a management not resting on its laurels. I also hear that their Waitrose arrangement seems to be bedding down, at least in one area of the group, can't say for all.

[philanderer] 02/9/2014 13:08

02 Sep Investec Buy tp 70.00
02 Sep Sanlam Securities Buy tp 70.00

reiterations

edit:

Textile services provider, Johnson Service (JSG) is increasing its interim dividend by 25% to 0.5p per share after adjusted pre-tax profits rose by 54.5% to £8.5m in the six months to the end of June. Its shares rose 3.73% to 62.5p. Andrew Gibb, analyst at Investec Securities, says Johnson, which has a market cap of £186m, is now on track to beat market expectations for the full year.

Stockmarketwire.

[liberatingsteptoe] 02/9/2014 08:05

I can see these going one way..... Good results; deafening silence!
Ls

[liberatingsteptoe] 02/7/2014 13:36

Johnson Service: Sanlam Securities initiates with a target price of 70p and a buy recommendation.
Ls

[wad collector] 02/7/2014 08:30

Prior to entering its close period ahead of reporting its Interim results for the six months to 30 June 2014, which are expected to be released on 2 September 2014, Johnson Service Group PLC (the 'Group') announces the following update on current trading.

The Group overall, and in particular our Textile Rental business, will deliver a strong result for the first half of the year. We expect the full year results for 2014 to be slightly ahead of expectations, delivering another year of good progress.

It is anticipated that net debt will be approximately GBP32.0 million at 30 June 2014 (31 December 2013: GBP34.0 million on a pro-forma basis).

[envirovision] 31/3/2014 15:54

Yes it's very sad and you can't take it with you, but it is possible to be benefit from being the richest corpse in the graveyard. I live in a small market town with a large Quaker involvement past and I can tell you that there are several active trusts that were set up still benefiting its residents hundreds of years after the deaths of these often unknown but great people.

There is no excuse for bad management and excessive risk taking, jsg is a safe steady business, there was no excuse for what previous management did, they were wreck less with absolutely no regards to existing employees, customers and suppliers.

[wad collector] 31/3/2014 15:22

Enviro
If you put your savings into company share schemes , you risk losing your job and your savings.
Mind you , my Mum did no better ; she died the year she retired.

[envirovision] 29/3/2014 13:47

It may well do, but recover to original levels, not in our generation and of course dividends lost and income appreciation with inflation gone long long ago.

[liberatingsteptoe] 29/3/2014 13:22

It looks like an investment that is coming back. It will take time but I believe that the share price will recover much more. Patience is needed.
Ls

[envirovision] 29/3/2014 12:45

My mum worked for them for many years until her retirement in 2007. Being a prudent saver and investor for her future and families well being, she had built up a sizeable holding via the staff share save scheme.

You can imagine how it must feel for her having seen virtually the entirety of her hard earned investment practically be entirely wiped out :(

[wad collector] 28/3/2014 22:38

Well done those of you who bought in the last few yrs - you have chosen well.
Sadly I have held these about 10 yrs. I keep them on my monitor to remind me of the folly of some of my "investments".

[liberatingsteptoe] 10/3/2014 22:53

7th March. Investec buy recommendation with a target price of 70p, according to my HSBC account.
Ls

[liberatingsteptoe] 03/3/2014 20:15

What a lovely Company! Steady as she goes.....
Ls

[neilgp] 01/11/2013 09:29

michaelmouse: Very interesting read, thanks!

[michaelmouse] 28/10/2013 11:22

Musings on a stock picking strategy for those interested:-

hxxp://michae1mouse.blogspot.co.uk/2013/10/an-irrational-fear-of-picking-dogs.html

Michael.