Johnson Service Group Revenue Climbs 4.3% in FY2025

JSG Announces 4.3% Full-Year Revenue Growth

Johnson Service Group PLC, a leading UK textile services provider, announced a 4.3% rise in full-year revenue for 2025, reaching £535.6 million. The growth was supported by solid performance in both its HORECA and Workwear divisions, reflecting sustained business momentum.

Performance Overview by Division

The company's HORECA division revenue grew to £390.0 million from £371.2 million the previous year, with an expected organic revenue growth of 1.0%. The Workwear division saw an increase to £145.6 million, with anticipated organic revenue growth of 2.4%, benefiting from new installations and high customer retention at 94%.

Financial Health and Profitability

JSG highlighted that effective cost controls and efficiency improvements led to strong adjusted operating profit growth, aligning with market expectations. The company is progressing toward its target operating margin of at least 14.0% for 2026. Net debt rose to £112.0 million from £68.6 million, a figure that includes a £54.7 million cash outflow for share buybacks during the year.

Future Outlook and Shareholder Returns

Despite ongoing economic uncertainty, the board remains confident in delivering further progress in 2026 and achieving its stated margin target. The company recently completed a £25.0 million share buyback program, bringing the total amount returned to shareholders through buybacks since 2022 to £90.3 million. Full-year results are expected to be formally announced in early March 2026.

FAQ

Q: What was Johnson Service Group's total revenue for 2025?
A: The company reported a total revenue of £535.6 million for the full year 2025, marking a 4.3% increase from 2024.

Q: How did the share buyback program affect the company's debt?
A: The share buyback program resulted in a £54.7 million cash outflow, which was a significant factor in the increase of net debt to £112.0 million.

Q: What is JSG's profit margin target?
A: JSG is on track to achieve its targeted adjusted operating profit margin of at least 14.0% in 2026.

Source: Investing.com