Johnson finds it hard to sweep up

Manufacturing News, Source : TheManufacturer.com
Published : 31 Mar 2004 11:34

Low order levels and problems integrating its specialist airport vehicles and Canadian acquisitions have punctuated a troubled year for aggregates to roadsweepers group Johnson.

While turnover increased from £144.5 million to £150.8 million, profit before tax was just £0.1 million. Operating profit, which reflects the trading performance of the group's continuing operations, was £3.1 million - a decline of 33.7 per cent against the 2002 operating profit of £4.6 million. The Group’s Construction Materials division and Johnston Sweepers both made profits, but the other subsidiaries reported losses “principally due to difficult trading conditions”.

Chairman Chris Woodwark said: "As foreshadowed in the trading update issued on 12 December 2003, a number of factors have impacted on these results including problems integrating the Norquip product into Saxon Specialist Vehicles and continued low levels of orders at Madvac. However, we remain confident that the actions taken, coupled with the underlying strength of the group's businesses, should lead to an improved trading performance in 2004."

Woodwark said it was regrettable to have to report a weak year's trading.

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