Johnson Service Group Plc · LSE:JSG
Johnson Service — FY2011 Earnings Presentation
16 slides from Johnson Service's earnings presentation, March 2012
Slide 1: Final Results for the Year ended 31 December 2011
Final Results 2011 Final Results for the Year ended 31 December 2011 John Talbot, Executive Chairman Yvonne Monaghan, Finance Director
Slide 2: Highlights
Final Results 2011 Highlights Strong performance in challenging conditions Adjusted PBT1 up 3.4% to £15.0 million Adjusted fully diluted EPS1 up 2.4% to 4.2 pence Debt reduced by £9.8 million during the year through: – cash generative businesses – net tax repayment of £5.1 million Full yea
Slide 3: Financial Results: Income Statement
Final Results 2011 Financial Results Income Statement Continuing, £m 2011 2010 Change Revenue1 233.5 227.4 2.7% Adjusted operating profit2 18.5 18.3 1.1% Adjusted operating margin2 7.9% 8.0% Exceptional items 1.6 (7.5) Adjusted PBT3 15.0 14.5 3.4% Adjusted EPS3 4.2p 4.1p 2.4% Fully diluted number of
Slide 4: Cash Flow at 31 December 2011
Final Results 2011 Cash Flow at 31 December 2011 £m 2011 2010 Adjusted operating profit 18.5 18.3 Depreciation and software amortisation (excl. exceptionals) 20.8 20.9 Working capital (excl. exceptionals) (1.2) 0.6 Capital expenditure – Fixed assets (5.5) (8.0) – Rental stocks (net) (16.5) (12.1) –
Slide 5: Divisional Performance: Textile Rental
Final Results 2011 Divisional Performance Textile Rental Revenue1 (£m) 2011 2010 Change Johnsons Apparelmaster 91.1 88.4 3.1% Stalbridge Linen Services 27.1 26.7 1.5% Total 118.2 115.1 2.7% Adjusted operating profit2 (£m) Johnsons Apparelmaster 12.4 13.2 (6.1%) Stalbridge Linen Services 2.4 2.3 4.3%
Slide 6: Divisional Performance: Textile Rental
Final Results 2011 Divisional Performance Textile Rental Johnsons Apparelmaster Increased revenue reflecting stability of existing customers and new wins 2010 revenue and adjusted operating profit included £0.7 million benefit from additional trading days – like for like profit maintained High
Slide 7: Divisional Performance: Facilities Management
Final Results 2011 Divisional Performance Facilities Management SGP (£m) 2011 2010 Change Revenue1 38.0 33.6 13.1% Adjusted operating profit2 4.1 3.6 13.9% Margin 10.8% 10.7% Increase in revenue and profit with improved second half performance Encouraging growth in Education and Healthcare FM
Slide 8: Divisional Performance: Drycleaning
Final Results 2011 Divisional Performance Drycleaning Retail £m 2011 2010 Change Revenue1 68.9 70.1 (1.7%) Adjusted operating profit2 1.8 1.7 5.9% Margin 2.6% 2.4% Slight improvement in margin Total like for like sales reduction was 0.3% (H1: decrease 0.7%, FY2010 decrease 3.7%) Revenue growth
Slide 9: Group Costs
Final Results 2011 Group Costs £m 2011 2010 Change Administration costs 2.6 3.1 16.1% Management incentive costs 0.7 0.8 12.5% Carbon Reduction Commitment (CRC) 0.2 - Total 3.5 3.9 10.3% Reduction in admin costs partly offset by CRC costs 8
Slide 10: Exceptional Items
Final Results 2011 Exceptional Items Continuing, £m 2011 2010 Pension credit 1.6 2.2 Restructuring costs - (6.8) Acquisition related costs (fees) - (1.4) Property disposals and onerous lease provisions - (1.5) Total 1.6 (7.5) Pension credit of £2.2m in 2011 and 2010 arises from change in statutory
Slide 11: Bank Facilities
Final Results 2011 Bank Facilities Facility at March 2012 is £78.5m (December 2011: £71.95m) Term loan: £53.5m at LIBOR + margin, reducing by £1.5m in December 2012, £1.5m in June 2013 and by £3.0m per half year thereafter Revolver: £25.0m at LIBOR + margin, reducing by £2.5m in December 2013
Slide 12: Pensions and Tax
Final Results 2011 Pensions and Tax Net IAS 19 Pension liability of £14.1m (Dec 2010: £11.3m): – additional pension contributions of £1.5m from continuing Group in 2011 – change in statutory increase applied to deferred pensions reduced liabilities by a further £1.6m net of tax – reduction in asse
Slide 13: The Group Moving Forward
Final Results 2011 The Group Moving Forward Textile Rental – Continue focus on driving revenue – Completion of Cannon Textile Care acquisition assuming regulatory clearance – Increase geographical spread of Stalbridge Facilities Management – Integration of acquired Nickleby contracts – Conversio
Slide 14: Conclusion
Final Results 2011 Conclusion Strong performance despite economic conditions New bank facilities agreed to May 2015 Three profitable businesses with strong market positions Benefits from acquisitions to be realised Targeted investment in the businesses to continue Dividend payment increa
Slide 15: Segmental Results Appendix I
Final Results 2011 Segmental Results Appendix I
Slide 16: Segmental Results
Final Results 2011 Segmental Results £m 2011 2010 Revenue 1 Operating Profit2 Revenue 1 Operating Profit2 Textile Rental - Johnsons Apparelmaster 91.1 12.4 88.4 13.2 - Stalbridge 27.1 2.4 26.7 2.3 - Allocated income / (costs) - 1.1 - 1.1 118.2 15.9 115.1 16.6 Facilities Management - SGP 38.0 4.1 33.