Berendsen, the textile services firm, says it is trading 'in line with expectations' as earnings from its Nordic region compensate for weaker revenues from the UK.
The company has recently reorganised the way it reports its results, moving from a regional reporting structure to a business line system. In today's statement investors are only receiving guidance on performance, we won't see actual full year numbers for 2011 until February 24 next year.
Workwear, Facility and UK Flat Linen revenue is "growing well above the group average" for the year. These divisions form what is now called the "Core Growth" unit. Last year its total revenues were £639m and produced adjusted operating margins of 17.2%.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The Workwear division is seeing revenue growth "similar to the group as a whole for the year to date, with margins being maintained at 2010 levels."
Growth in the UK Flat Linen business is described as "modest". Healthcare is "performaing well" although there will be "a small loss of margin against a strong 2010".
Clinical Solutions and Decontamination, and Flat Linen outside the UK will see revenues "significantly lower in the year to date" following the sale of the firm's direct sales business in Sweden.
Shares in Berendsen climbed 1.3% in early trading this morning. Over the year to date the group is down 4.4% versus the FTSE 100 which is down 7.7%.
BS
-
Will the Bitcoin price hit $100,000?With Bitcoin prices trading just below $100,000, we explore whether the cryptocurrency can hit the milestone.
-
Inheritance tax receipts jump 11% even before Autumn Budget overhaulOfficial figures show inheritance tax receipts are rising even before the chancellor’s changes to reliefs
