The Johnson Service Group has reported record profits for the year end 30 December.
The company now claims leadership of the UK workwear rental sector with around 23% share and of Britain’s multiple drycleaning market with more than 20%.
Turnover for 2000, including 10 months trading of Semara, rose by 27.7% to £220.4million. Pre-tax profit, excluding reorganisation costs, goodwill amortisation and exceptional items, increased by 10% to £28.2million.
Semara
The Semara acquisition has almost doubled Johnson’s British textile rental business. Turnover grew to £122.6million (£63.4 million in 1999) and operating profit from £15.8million to £23.4million.
The integration of Semara is proceeding smoothly says the annual report, CCM the workwear manufacturing and sourcing business has been retained, but Dimensions Corporatewear was sold in December and Airline Services was sold this year.
In Ireland, the Connacht Court Group benefited from the Republic’s economic boom and increased turnover from £23.8million to £25.4million, but operating profit fell from £1.9million to £1.6million.
Workwear and clean room businesses performed well but the Dublin linen operation performed poorly and has since been sold.
Drycleaning
Johnsons Cleaners continues to be a good cash generator, improving both profit and margin. During 2000, the company ran a targeted regional TV campaign. It opened 16 new branches in convenient locations and closed 22 poorly sited shops.
