Johnson Service Group eyes main list as profits, sales jump

(Sharecast News) - Johnson Service Group said it was considering moving to London Stock Exchange's main market on Tuesday, as it posted a jump in full-year earnings. The Aim-listed firm, which provides textiles rental and cleaning services, confirmed in a brief statement that it was considering the switch, but said it wanted to talk to its larger shareholders before providing a further update.

JSG first joined the London market in 1958 but transferred to Aim in 2008.

The update came as Johnson posted figures for the year to December end. Revenues rose 10.3% at £513.4m while adjusted pre-tax profits rose 23.1% at £54.8m.

On a statutory basis, operating profits jumped 25.5% at £54.7m.

In the hotel, restaurant and catering linen division, revenues increased 15.0% to £371.2m, boosted by both higher prices and volumes. In workwear, revenues were largely flat at £142.2m.

The firm also acquired rival Empire Linen Services during the year, in a £20.6m deal, and said it would continue to pursue acquisition opportunities.

Peter Egan, chief executive, said: "In line with our inorganic growth strategy, we continue to seek out and acquire earnings enhancing businesses which complement our existing geographic coverage.

"Our scale, expertise and operational excellence mean that we are well-placed to capitalise on opportunities and, accordingly, the board remains confident about delivering another year of progress in 2025."

As at 1400 GMT, shares in Johnson were up 11% at 146.8p.