Ripponden-based servicing giant, JLA, has set itself lofty revenue targets in the next 5 years.
Currently its catering equipment division is posting revenues of £25m, and has 220 employees, including 120 engineers. However it has set itself a target to triple the catering division to £75m revenue by 2020, which will entail employee numbers increasing to 400, featuring 250 engineers within that total – over double the current figure.
“Our plan is to continue to grow organically and through acquisition to triple the size of our catering business in the next 5 years,” explained JLA’s CEO, Stephen Baxter. “Aspirationally, I don’t see why that rate of growth can’t continue beyond 2020.”
The catering department is already a third the size of its laundry mainstay just 2 years since entering this sector. This was partially due to an acquisitive strategy that saw seven dealers bought out within an 18 month period. These were: Carford, Red Squared, CKM, Proton Washrite, Harmony Business & Technology, Newco Catering Equipment and Comcat Engineering.
“At the beginning we were platform-building,” detailed Baxter. “To do that we needed service engineers, product knowledge and supplier relationships, because the market was new for us. The engineers we’ve brought onboard are all fantastic and it’s really good to have them within JLA.
“Our ambition is to build on a great first 2 years in the catering market. We have created a nationwide breakdown response network that provides excellent customer service. It is clear that both existing customers and new customers alike are seeing real value in our differentiated propositions that focus on blending machine supply with best in class breakdown cover.”
For more on the inside track of JLA’s strategy, look out for the November issue of Catering Insight, which features an exclusive interview with Baxter.