A HIGH street dry cleaning firm says its decision to move back to its textile roots has paid dividends, after posting strong profits and reducing debt.

Johnson Service Group, which has dry cleaners in Darlington, Durham, and Yarm, near Stockton, saw pre-tax profits increase by 214 per cent to £4.4m in the first half of the year, with net debt falling to £53.6m from £57.5m.

Its results showed revenues had dipped slightly to £96.1m from £97.1m in the same period last year, with adjusted operating profits rising to £7.5m from £5.8m.

The company says it has benefited from the £32.2m sale of its facilities management division last month, as well as closing more than 100 dry cleaning branches.

Bosses also say a deal to buy Cannon Textile Care in March last year helped its fortunes, and are looking to build on its Apparel Master workwear rental division and its Stalbridge business, which offers laundry services to the hospitality and catering sectors.

Founded in 1780, Johnson's textile history grew through purchases of several regional companies, including Pullars, Zernys, Bollom and Hartonclean, before moving into the hospitality market in 1995 and textile rental in 2000 when it bought the Semara Group.

In the last 10 years, it has strengthened dry cleaning operations in southern England by acquiring Jeeves in central London, complete with its overseas francishes, and the Sketchley retail dry cleaning business.

John Talbot, Johnson Service Group's executive chairman, said: “I'm pleased with our strong results, which are significantly ahead of 2012 and are the result of a number of changes coming to fruition.

“The disposal of the facilities management division represents a major step in our strategy to re-focus on our original core business of textile services and to reduce net debt.

“Our textile rental business has performed strongly and now the Cannon acquisition is fully integrated, we see a major opportunity for continued expansion in textile rental.

“I am also delighted that, following the major re-structuring exercise announced a year ago, we are starting to see a significant improvement in performance in the dry cleaning business, both in terms of like-for-like growth and profits.”