Berendsen trading in line

Work-wear and wash-room facilities provider Berendsen said trading in the first three months of the year was in line with expectations and it expects to achieve good progress during the remainder of the year.

Revenue increased 5% from the start of January to date and rose 8% at its Core Growth businesses.

Excluding foreign currency exchange and the acquisitions it made last year, revenue was up 2% and increased 3% at Core Growth businesses.

"We delivered an encouraging improvement in operating margin in the first quarter of the year and with lower interest costs due to our strong cash flow, our reported profit before tax for the quarter was well ahead of last year," the group said in a company statement.

Net debt is slightly lower than at the start of the year, notwithstanding an adverse currency translation.

"With our strong cash flow and committed funding, the majority of which extends to 2016 or beyond, we are well positioned to support our growth initiatives," it added.

Berendsen said it has made a good start to the current year with trading in line with expectations and expects another year of good progress.

CJ