Ultimate Leisure Share Discussion Threads

[nghomi] 04/3/2005 18:38

Unfortunately, I agree with jeffian and Whipround. Wetherspoons interim results is very disappointing and I am sure it will drag down the entire sector with it. I would expect a lot more downwards pressure for a few weeks on ULG, probably up to PE=10 at my best guess.

[whipround] 04/3/2005 15:26

I agree, but ulg is a tight market. Might continue to drift next week before picking up again.

[jeffian] 04/3/2005 14:32

Surprised there wasn't greater adverse reaction to the Wetherspoons statement (not operating in the same area, I know, but the market often doesn't seem to be able to differentiate between different types of pub operator).

Regards, Ian

[whipround] 04/3/2005 10:40

Now is not such a bad time to accumulate but I'd wait just to see if there is any more downward pressure to 330 ish

[stevemarkus] 03/3/2005 08:29

now. The shares have dipped from a high of round about 372/75 to the current price. If I didn't already have quite a lot, I would be tempted to top up.

[nghomi] 02/3/2005 21:09

When is this dip then?

[whipround] 01/3/2005 09:46

I would agree with Steve, the time to buy is in the dips

[nghomi] 27/2/2005 18:20

Thanks to jeffian and stevemarkus.
I compared ULG and URM. Both companies look solid and have shown sustainable growth over several years. ULG apppears to have higher profit margin than URM. However, it looks that URM has turned the corner this year and they are increasing their profit margin. In my opinion, URM is cheaper than ULG by 15%. They should both have the same market cap. ULG has £87m with expected profit of £10m, while URM has £76m with almost the same amount of profit. May be, this is the reason their share price are going in opposite directions in the last couple of days. I would expect both shares do well in the next six months...

[stevemarkus] 27/2/2005 15:58

Also, with ULG, there is a very substantial asset backing, as I believe all their properties are freehold owned by the group as opposed to being leased. I've owned this share for probably about 3 years now and and it has performed well over that period - it does tend to dip on small sells and then rally sharply.

[jeffian] 26/2/2005 11:32

nghomi,

I agree with you that this is an attractive investment proposition (I went in a few weeks ago prior to the results). It ticks all the right boxes for me in terms of growth in turnover, earnings, profits and dividends and I particularly like the fact that most of its property assets are freehold (compared to many High Street/late night bars which are held on high-rented leases which have been the death-knell for SUF and caused endless problems for Regent Inns, Po Na Na etc.). Also, on a historic PER of just under 13, it is not particularly expensive. Growth + Profit + Divis + Low/modest PER = my sort of share!

Your query about the diluted EPS is directly answered in the interim statement:
"Because of the placing of shares in October 2003 and the relevant weighting
attached to these for the EPS calculation, EPS has fallen during the period to
13.7p (2003: 14.4p) If the previous year had been calculated on the same
weighted number of shares as this year, EPS would have increased by 17% over the period."

I don't know why it fell yesterday (although that was only reversing the sharp gain on the day preceding the results) but I think the market is being pulled 2 ways: in general, it has turned 'bearish' on the directly-managed pub chains (Wetherspoons etc.) and yet there are still 'niche' operators such as ULG (and Urbium URM who reported the day before) which are bucking the trend and continuing to perform well.My own feeling is that, with new revenue streams yet to hit the accounts from the new bars in Newcastle, Leeds and Cork, there is little downside and if they go on performing, the upside could be substantial. Look at the long-term graph for Urbium (URM)!!

Regards, Ian

[nghomi] 26/2/2005 09:59

Hi,
Can anybody explain the reason for the recent drop? What is the catch? I have looked at this company, and to me it is a very solid one. Before I invest, I would like to see people's veiw on the company.

Looking at companies revenue growth, you see nothing but consistent growth!

............2001.........2002........2003........2004
turnover...£16.61m.......£20.57m.....£26.50m......£35.66m
eps-diluted.17.30........20.70.......26.50........27.30

What is the reason that eps has not grown the same as the turnover in 2004? What is the reason that diluted EPS is down in interim results despite rise in the profit? (Diluted EPS - 13.7 pence vs 14.4)
Thanks.

[welsheagle] 24/2/2005 08:11

LONDON (AFX) - Ultimate Leisure Group PLC, a late night bar and nightclub
operator, raised pretax profit in the six months to Dec 31 2004 to 4.9 mln stg
from 4.2 mln on sales of 19.6 mln stg, up from 17.8 mln.
The group, which operates 31 venues primarily based in the North of England
and Northern Ireland, said it is "very excited" about the opportunities it
currently has under review.
The board raised the interim dividend by 12 pct to 2.4 pence from 2.15
pence.
Chairman Allan Rankin commented on the emphasis being placed on binge
drinking and licensing deregulation or "24 hour drinking" by both the government
and the media.
He said the group is well positioned to take advantage of any further
changes but will not be opening any of its sites on a continual 24 hour basis as
there is no demand whatsoever for these opening hours.
The group has also reviewed the government comments on binge drinking and
has, where appropriate, taken action to reduce the problem of disorder attached
to the such claims.
Rankin concluded that the group is in a position to continue to
significantly grow the business both in the UK and Ireland and it remains
confident of delivering its sixth successive set of record results.

[welsheagle] 23/2/2005 19:51

Looks like they have been leaked.

[jeffian] 23/2/2005 10:00

Results tomorrow, I think (or soon, anyway).

Regards, Ian

[jeffian] 11/1/2005 09:26

............or down! Someone's selling a few this morning. Trading statement?

Regards, Ian

[phillis] 23/12/2004 16:25

Chairman's big sale should inspire others!

[whipround] 12/10/2004 15:58

Too tempting to take quick profit in this market

[0800] 11/10/2004 14:40

Possible target for Luminar? some rumours about
any views?

[whipround] 07/10/2004 12:20

You're not related to Mr Bell the FD then.

[cheesybell] 07/10/2004 12:06

But as management(and familys of) own more than 50% and have the casting vote couldn't they in theory buy the company for 1p a share ???Please excuse my financial ignorance.

[whipround] 07/10/2004 09:49

Company makes £9m profit and is valued at c£80m - management buy out would be my favourite or consolidation in pubs would mean that this co. has to be attractive to bigger pub co.

[cheesybell] 06/10/2004 20:33

More Director share buys,share price at an all time high - somethings afoot! but what??????

[whipround] 05/10/2004 09:07

I'd guess something is going on - why all the directors "piling" in all of a sudden? Not that 2000 is piling but in a tight market 2000 is probably all he could get.

[welsheagle] 04/10/2004 19:23

RNS Number:6842D
Ultimate Leisure Group PLC
04 October 2004


Ultimate Leisure Group plc (the "Company")
4 October 2004

Director Shareholding

The Company was today notified that Charles Williamson, a non-executive director
of the Company, purchased, on 27 September 2004, 2,000 ordinary shares of 10p in
the Company at a price of 325 pence per share.

This acquisition is Mr Williamson's only holding in the Company which represents
0.01 per cent of the current issued share capital.