Johnson Service Group Plc · LSE:JSG
Johnson Service — FY2010 Earnings Presentation
16 slides from Johnson Service's earnings presentation, 2011
Slide 1: Final Results for the Year ended 31 December 2010
Final Results 2010 Final Results for the Year ended 31 December 2010 John Talbot, Executive Chairman Yvonne Monaghan, Finance Director
Slide 2: Highlights
Final Results 2010 Highlights Strong performance Adjusted PBT1 up 18.9% to £14.5 million Adjusted fully diluted EPS1 up 20.6% to 4.1 pence Debt reduced by £8.2 million during the year through: – cash generative businesses – tight management of working capital – £1.8 million tax repayment I
Slide 3: Financial Results
Final Results 2010 Financial Results Income Statement Continuing, £m 2010 2009 Change Revenue1 227.4 229.3 (0.8)% Adjusted operating profit2 18.3 17.5 4.6% Adjusted operating margin2 8.0% 7.6% Exceptional items (7.5) 12.0 Adjusted PBT3 14.5 12.2 18.9% Adjusted EPS3 4.1p 3.4p 20.6% Fully diluted numb
Slide 4: Cash Flow at 31 December 2010
Final Results 2010 Cash Flow at 31 December 2010 £m 2010 2009 Adjusted operating profit 18.3 17.5 Depreciation and software amortisation (excl. exceptionals) 20.9 21.0 Working capital (excl. exceptionals) 0.6 1.1 Capital expenditure – Fixed assets (8.0) (7.5) – Rental stocks (net) (12.1) (12.4) – Fi
Slide 5: Divisional Performance: Textile Rental
Final Results 2010 Divisional Performance Textile Rental Revenue1 (£m) 2010 2009 Change Johnsons Apparelmaster 88.4 90.1 (1.9%) Stalbridge Linen Services 26.7 26.8 (0.4%) Total 115.1 116.9 (1.5%) Adjusted operating profit2 (£m) Johnsons Apparelmaster 13.2 12.3 7.3% Stalbridge Linen Services 2.3 1.2
Slide 6: Divisional Performance: Textile Rental
Final Results 2010 Divisional Performance Textile Rental Johnsons Apparelmaster Small PPE business acquired with new catalogue launches at start of 2011 11% reduction in energy cost benefiting margin 70,000 more garments processed each week than a year ago Stalbridge Linen Services Full year
Slide 7: Divisional Performance: Drycleaning
Final Results 2010 Divisional Performance Drycleaning Retail £m 2010 2009 Change Revenue1 70.1 74.1 (5.4%) Adjusted operating profit2 1.7 3.1 (45.2%) Margin 2.4% 4.2% Like for like sales decrease of 3.7% (H1: 5.0%, H2: 2.9%) at Johnson Cleaners 2.8% like for like sales increase (H1: 3.4%, H2: 2.
Slide 8: Divisional Performance: Facilities Management
Final Results 2010 Divisional Performance Facilities Management SGP (£m) 2010 2009 Change Revenue1 33.6 28.9 16.3% Adjusted operating profit2 3.6 3.3 9.1% Margin 10.7% 11.4% Increase in revenue and profit with improved second half performance Successful integration of acquired PFI business Inv
Slide 9: Group Costs
Final Results 2010 Group Costs £m 2010 2009 Change Administration costs 3.1 2.5 24.0% Management incentive costs 0.8 0.9 (11.1%) Total 3.9 3.4 14.7% Cost increase partly reflects increased non trading property costs (£0.3m) Replaced management incentives fully expensed in 2010 8
Slide 10: Exceptional Items
Final Results 2010 Exceptional Items Continuing, £m 2010 2009 Pension credit 2.2 12.0 Restructuring costs (6.8) - Acquisition related costs (fees) (1.4) - Property disposals and onerous lease provisions (1.5) - Total (7.5) 12.0 Pension credit arises from change in statutory increases applied to ce
Slide 11: Bank Facilities
Final Results 2010 Bank Facilities Facility is currently £74.5m (December 2010: £76.0m) Term loan: £54.5m at LIBOR + margin, reducing by £1.5m in December 2011 and by £1.5m per half year thereafter Revolver: £20.0m at LIBOR + margin Margin of 3.75% for most of 2010, with adjustment depending o
Slide 12: Pensions and Tax
Final Results 2010 Pensions and Tax Net IAS 19 Pension liability of £11.3m (Dec 2009: £13.7m): – additional pension contributions of £1.6m from continuing Group in 2010 – 7% growth in asset values but lower future return assumption – change in statutory increase applied to deferred pensions reduce
Slide 13: The Group Moving Forward
Final Results 2010 The Group Moving Forward Textile Rental – Focused on driving revenue – Opportunities as smaller laundries come under pressure – Development of PPE catalogue Drycleaning – Focus on accelerated growth of additional services – Expansion of Empowerment programme – Targeted opening
Slide 14: Conclusion
Final Results 2010 Conclusion Strong performance despite economic conditions Three profitable businesses with strong market positions Benefits from reduced level of debt and gearing Targeted investment in the businesses to continue Dividend payment increased 13
Slide 15: Segmental Results Appendix I
Final Results 2010 Segmental Results Appendix I Final Results 2010
Slide 16: Segmental Results
Final Results 2010 Segmental Results £m 2010 2009 Revenue¹ Operating profit² Revenue¹ Operating profit² Textile Rental - Johnsons Apparelmaster 88.4 13.2 90.1 12.3 - Stalbridge 26.7 2.3 26.8 1.2 - Allocated income / (costs) - 1.1 - 1.1 115.1 16.6 116.9 14.6 Drycleaning - Retail drycleaning 70.1 1.7