Company profile
Please use the sections menu on the right to help you navigate. Click on a particular heading and the html link will take you to that section. Alternatively, click on the attached PDF link.
John Menzies plc is registered in Scotland with Company Registration Number SC34970 and has its registered office at 108 Princes Street, Edinburgh EH2 3AA.
Please use the sections menu on the right to help you navigate.
Snapshot
John Menzies plc is a company with two operating divisions, Menzies Aviation and Menzies Distribution.
Both divisions operate in distinct B2B sectors where success depends on providing a safe, efficient and high quality service to their customers and partners.
Menzies Aviation
Menzies Aviation has a market leading formula for a great, safe and secure service, makes Menzies Aviation one of the world’s largest and most respected independent ground and cargo handlers. With 15,000 employees worldwide servicing over 500 airline customers at 112 locations in 27 countries, we handled more than 650,000 flight turns, 71 million passengers and 1.4 million tonnes of cargo in 2009. We aim to provide a great, safe and secure service to all our airline clients and to their passengers.
Menzies Distribution
Menzies Distribution is a leading provider of added value distribution and marketing services to the UK’s newspaper and magazine supply chain. With 4,000 employees at 24 hub and 19 spoke branches throughout the UK and Ireland, the division is a strongly cash generative business with around 43% of the newspaper and magazine wholesale distribution market in the UK. It has a track record of investment in innovation and customer service delivery
Strategy
The Group strategy is clear. We operate two distinct divisions both focused on being the supplier of choice within their markets. Both aim to do this by offering great customer service at the right price with lean cost while adding value wherever possible.
Menzies Aviation will leverage existing customer relationships to grow selectively. They will continue to focus on attractive airlines in attractive markets creating product, station and regional densities.
In 2010 Menzies Distribution will integrate the new business gained during 2009. They will continue to focus on cost and productivity initiatives whilst exploring growth opportunities that exist with adjacent businesses that can benefit from our unique publisher and retailer relationships.
Menzies Aviation
2009 was an unprecedented year in the aviation industry. By maintaining a focus on the three pillars of the Menzies Aviation strategy, we were able to examine and flex the business when needed, whilst maintaining our great, safe and secure product for our clients.
Getting the basics right |
Building strength |
Growing from strength |
We do this by
|
We do this by
|
We do this by
|
Menzies Distribution
2009 was a very successful year. New contracts were awarded, new branches opened to service these new contracts and further efficiencies delivered. The focus is no on integrating the new business and seeking growth opportunities. To deliver this the division is following a clear strategy based around three pillars.
Execute |
Redesign |
Grow and Diversify |
We do this by
|
We do this by
|
We do this by
|
Menzies Distribution
With 4,000 employees at 24 hub and 19 spoke branches throughout the UK and Ireland, the division is a strongly cash generative business with around 43% of the newspaper and magazine wholesale distribution market in the UK. It has a track record of investment in innovation and customer service delivery
Newspaper and magazine distribution
We handle 5.5 million newspapers and 2.2 million magazines (covering 3,000 titles) every day. Deliveries are made in the early hours of the morning 364 days a year, to more than 25,000 retail customers from the Northern Isles to the Isle of Wight.
Marketing services
Services to multiple and independent retailers include space and range planning, racking, displays and sales promotion, category management and sales-based replenishment. Services to publishers include supporting the launch of new titles, ongoing sales promotion and development, and bespoke services such as data analysis and returns processing.
Field marketing
We provide long-term and short-notice resources for field marketing and promotional campaigns of any size at local or national levels across the UK and Ireland, such as free newspaper and magazine distribution, compliance auditing, event organising, point-of-sale placement, mystery shopping, market research and face-to-face targeted promotions.
Menzies Aviation
With 15,000 employees worldwide servicing over 500 airline customers at 112 locations in 27 countries, we handled more than 650,000 flight turns, 71 million passengers and 1.4 million tonnes of cargo in 2009. We aim to provide a great, safe and secure service to all our airline clients and to their passengers.
Passenger
We offer airlines around the world a full range of passenger handling services, including ticketing, providing a full check-in service, baggage services and passenger lounges.
Ramp
On the ramp our specialist teams can turn a narrow bodied aircraft around in under 30 minutes from when the plane arrives on stand until it is pushed back on its outbound journey. We offer our airline clients a full service, including load control, aircraft towing and pushback, we will empty and load the baggage holds, provide baggage and passenger transfer and other ramp handling services including cabin cleaning, water services and de-icing.
Cargo
Perishable and high-end goods flow daily through our global network of 44 cargo sheds, including major cargo centres in the UK, Netherlands and USA. Our service provision includes ramp transfer, load management, import and export handling, warehousing, trucking and other track and trace services. Our AMI business provides airfreight services and forwarder handling.
History
John Menzies plc has operations all over the world, but its Scottish roots and character remain integral features of the company.
The company is famous historically for retailing and takes its name from its founder Mr John Menzies who opened his first bookshop in Edinburgh in 1833 as bookseller, stationer, printseller, book publisher and engraver.
In 1997 the company decided to exit its non core businesses to focus on its logistics strength. John Menzies Retail was sold in the following year. The company went on to make a series of acquisitions to secure its position as a leading player in the news wholesale trade and also form the basis of its current aviation division.
Back to top
Key financials
| (£m) | 2009 | 2008 |
|---|---|---|
| Revenue | 1,725.7 | 1,667.1 |
| Underlying profit before tax (1) | 35.2 | 30.7 |
| Profit before tax | 22.0 | 9.9 |
| Underlying operating profit (2) | ||
| Aviation | 15.8 | 14.1 |
| Distribution | 28.6 | 23.9 |
| Underlying earnings per share (3) | 43.8p | 31.3p |
| Basic earnings per share (4) | 25.8p | (2.0)p |
| Net Debt | £132.3m | £182.6m |
| Free Cashflow | £26.9m | £(11.1)m |
- Underlying profit before taxation is defined as profit before taxation, intangible amortisation and exceptional items.
- Underlying operating profit includes the division's share of pre-tax profit from joint ventures and associates, and excludes intangible amortisation and exceptional items.
- Underlying earning per share is profit after taxation and minority interest but before intangible amortisation and exceptional items, divided by the weighted average number of ordinary shares in issue.
- Basic earnings per share in 2008 includes exceptional costs of £7.3m, intangible amortisation of £4.3m and a non-recurring (non-cash) deferred tax charge of £9.3m
Back to top
Key management
Paul Dollman, Group Finance Director
Paul was appointed as Group Finance Director in 2002. He is also a Non- Executive Director of Scottish Amicable Life Association Society. A chartered accountant, he was previously Finance Director at William Grant & Sons Ltd, and has also held senior financial positions with Inveresk PLC, Maddox Group plc and Clydesdale Retail Group.
Craig Smyth, Managing Director, Menzies Aviation
Craig was appointed to the Board in March 2007. He was a founder executive of the Aviation division and has worked for Menzies Aviation for 15 years. In 2003, he moved from being the Chief Financial Officer into the operational and commercial role as Vice President, Americas and was appointed Managing Director of Menzies Aviation in February 2004. He is a chartered accountant.
David McIntosh, Managing Director, Menzies Distribution
David was appointed to the Board in June 2009. He joined Menzies in 1989 becoming Finance Director of Menzies Distribution in 1999. More recently as Commercial and Marketing Director, he was responsible for commercial contractual arrangements, key retail and publisher relationships and business information provision. He is a chartered accountant.
John Geddes, Company Secretary
John was appointed as Company Secretary in 2006. A chartered secretary, he joined the Group in 1997 and was previously Company Secretary of Menzies Aviation. His career has also included posts at Bank of Scotland plc and Guinness plc.
Back to top
