JENSEN: Automating all processes in the laundry JEN BB

We publish a Company Note on Jensen-Group titled “Automating all processes in the laundry” in which we increase our TP to € 35.0 (was € 33.0) and maintain our Accumulate rating as Jensen-Group received € 345m orders in FY21, a very nice 54% increase over last year’s order intake and the second highest order intake in its history thanks to a very strong 4Q21. The hospitality and hotel sector (40% of Jensen-Group’s sales) are recovering slowly from the adverse conditions since Covid-19. But, after slowly recovering from the Covid-19 pandemic, the travel sector faces -since the Russian invasion in Ukraine- more uncertainty. Nevertheless, we welcome Jensen’s Inwatec investment in laundry robotics and AI (Artificial Intelligence). This fits into Jensen’s vision to automate all processes in the laundry. In the longer run, we see three trends favouring the laundry business: 1) More demand for laundry services, driven by a) higher spending on healthcare services b) more travel and c) more tourism; 2) more demand for laundry automation, driven by smaller workforces working fewer hours at higher average wages; and 3) more cleantech, driven by a) water scarcity and b) higher energy costs.