Johnson, Runcorn linen giant, ups profit 18% to £64m

Runcorn-based workwear and textile firm Johnson Service Group (JSG) said its 2025 adjusted profit before tax rose 17.7% to £64.5 million as its revenue climbed 4.3% to £535.4 million.

Dividend rose 20% to 4.8p per share.

“Revenue within HORECA (Hotel, Restaurant and Catering) increased to £389.8 million (2024: £371.2 million) whilst adjusted operating profit increased to £59.8 million (2024: £49.4 million), giving a margin of 15.3% (2024: 13.3%),” said JSG.

Workwear revenue increased to £145.6 million (2024: £142.2 million), with adjusted operating profit increasing to £21.0 million (2024: £20.3 million), giving a margin of 14.4% (2024: 14.3%).

“20.0% increase in full year dividend, reflecting the board’s confidence in the future.

“The £55.0 million of share buyback programmes announced in 2025 were completed in January 2026, bringing the total amount returned to shareholders through share buybacks since 2022 to £90.3 million.

“Net debt increased to £159.2 million (December 2024: £115.6 million), reflecting capital investment across our estate of £35.9 million, the impact of the share buyback programmes undertaken during the year and dividend payments of £17.4 million, offset by the improved trading performance.”

Johnson Service Group CEO Peter Egan said: “Our strong earnings growth and improved margin, in line with market expectations, reflects our investment to further improve operational efficiencies, continued focus on tight cost control and service excellence.

Our successful admission to the Main Market on 1 August 2025 marks a significant milestone in our growth journey.  The move reflects our confidence in the group’s future, our commitment to delivering long-term value for all stakeholders and positions us well for the next phase of growth.

“With robust cash generation, we continue to have a disciplined approach to capital allocation and focus on delivering value to shareholders, evaluating the balance between investing in our acquisition strategy, organic growth ambitions and returns to Shareholders.

Entering 2026, the regional and sector variations in HORECA volumes experienced in 2025 continued. 

“Notwithstanding this, and recognising normal seasonality driving stronger trading over the summer months, we expect to deliver another year of growth across the group and we remain on track towards achieving our target of an improved adjusted operating margin for 2026 of at least 14.0%. 

“I would like to extend my thanks to all of our employees, whose hard work and significant contribution has helped to deliver this robust performance and outlook.”