son Service Group, the textile service company, yesterday posted a 20.2 per cent rise in adjusted operating profit for the first half of the year, thanks to the expansion of its textile rental business.
The London-listed firm reported a 7.5 per cent increase in first-half revenue to £109.2m, ahead of management’s expectations.
Its textile rental division recorded a 15.2 per cent rise in revenue to £85.7m and a 14.8 per cent increase in adjusted operating profit to £12.4m.
The firm said the division’s performance was boosted by the £64.9m acquisition in April of London Linen, which provides laundry services and linen hire for restaurants in the capital.
“We are very pleased with the encouraging financial performance of the group in the first half of the year, underpinned by a strong operational performance and the acquisition of London Linen,” said chief executive Chris Sander.
“This strategic acquisition has been earnings enhancing from day one.
“The group continues to invest in additional capacity at existing locations and to seek further acquisitions in the wider textile rental market.”
Shares in the company closed 2.6 per cent higher at 93.88p.