Discover Leisure Share Discussion Threads

[niggle] 20/1/2011 13:19

but not that 2m

[niggle] 20/1/2011 13:18

My dad has 2m

[induna123] 20/1/2011 12:09

somebody's keen. that the second 1m buy today.

[knowing] 20/1/2011 10:30

Got it thanks. Will try and log on tonight. This one does look good and interested in building a position here for the longer term.

[barnetpeter] 20/1/2011 10:01

very busy website!

[niggle] 20/1/2011 09:57

Hi K did you get your logins? My dad put me on to these a whiel ago, he holds a lot of them. nothing but prise about the turnaround and the well stocked centres. He reckons the turnaround started when they started to lease them rather than rely on sales, plus the disposals of course.

[topinfo] 20/1/2011 09:47

3p coming!!!

[barnetpeter] 20/1/2011 09:45

Yes DISL did £52 million in revenue last time with over £7 million gross profit. Mkt cap? £2 million. The remaining property is worth over £9 million so the reduction in the debt by sale of other property is going to flow to the bottom line. The company could do a sale and lease back and clear all debt at a stroke but with that cash flow it doesnt really need to.

A restructuring story that could transform the company and with property assets easily exceeding the remaining debt, the business is in for nought.

A real business m4!

[granada7] 20/1/2011 09:43

who gets the 1.6m???

[knowing] 20/1/2011 09:42

Yep heading to the loo now ;-)

[topinfo] 20/1/2011 09:41

Big surge coming!!

[knowing] 20/1/2011 09:41

Nope 1.9 ;-)

[granada7] 20/1/2011 09:40

having said that it should easily hit 2p reading the rns tho

[granada7] 20/1/2011 09:40

knowing is your sell order srt at 2p lol!!!

[knowing] 20/1/2011 09:39

I'm in this needs to be totally re-rated following that turnaround.

[barnetpeter] 20/1/2011 09:36

Been buying a few myself. Look at that revenue - over 52 million even after disposal. Just the RBS debt left now and the remaining property assets are worth about £2 million more than the debt. Earnings will improve this year without the nat west debt; gross profit was over £7 milion last time so the lower rate of interest could flow to the bottom line.

[niggle] 20/1/2011 09:34

This is now way undervalued.

[gonefishing3] 01/11/2010 09:00

Discover Leisure slashes losses
1st November 2010
By James Reed - Assistant Editor
DISCOVER Leisure has slashed pre-tax losses by more than 90% as the outdoor living retailer continues its recovery.

The company announced losses after tax of £1.55m for the year to the end of August, down from £17.37m in the previous year.

Gross profit increased by 19% to £7.5m despite lower revenue as the company sold six surplus sites.

Chairman David Morrow said: "Discover Leisure has made significant improvements in its first full reporting year following the restructuring in 2009.

"Our supplier relationships are strong and the Group has reduced operational losses. Net debt is also down significantly following the successful completion of the sales of six of our seven surplus properties.

"An improved industry outlook, with the rate of decline in UK market for leisure vehicles slowing and turning positive in some sectors, for example the tourer market, bodes well for the Group's continued recovery."

The company also announced today it had exchanged contracts on its Portsmouth site, the final of seven the company is disposing, which will earn the firm £1.65m.

[this_is_me] 01/11/2010 08:20

The business looks to be more stable. Increasing market share at increased margins looks good. A modest market improvement is what we need. The increased tax on flights should help.

[pre] 01/11/2010 08:12

i like the news here today...results and disposal....looks great value....good upside from here now imo....

[standtall] 02/9/2010 08:49

Sales grow as Discover Leisure reaches finance deal
2nd September 2010
By James Reed - Assistant Editor
OUTDOOR living retailer Discover Leisure has marked another step on the road to recovery after seeing an increase in caravan sales and agreeing banking facilities.

In a trading update the AIM-listed company revealed sales of new touring caravans leapt 23% between March and July compared to the same period last year but registrations of motorhomes fell 17% in the same period.

The company also confirmed it had successfully renewed its banking facilities with the Royal Bank of Scotland including a five year £8m loan secured against its five trading sites which are valued at £9.2m.

For the latest AIM and FTSE news, plus the Yorkshire risers and fallers, go to our Shares & Markets section. Click here

Last year the East Yorkshire firm implemented a company voluntary arrangement which saw creditors recoup 22p in the pound. The firm made an annual loss of £16.7m in 2009 but earlier this year announced it had cut its half yearly losses to just £1.7m.

The company is in the process of selling seven properties where it has ceased trading. Deals have been agreed on six with the final disposal agreed subject to planning permission.

Discover Leisure will use the £4.87m proceeds to repay a loan secured on the properties with an outstanding balance of £260,000 to be paid by the end of May 2012.

[standtall] 01/9/2010 13:09

DJ Discover Leisure PLC Renewal of Banking Facilities

TIDMDISL

RNS Number : 9739R

Discover Leisure PLC

01 September 2010

?

FOR IMMEDIATE RELEASE

1 September 2010

DISCOVER LEISURE PLC

('Discover Leisure' or 'the Group')

Renewal of Banking Facilities and Trading Update

Discover Leisure plc is pleased to announce that, on 31 August 2010, it successfully renewed its banking facilities with the Royal Bank of Scotland ('RBS', 'Bank'). The renewal took account of the full impact of the last year's restructuring, the property disposal programme, current trading and the financial forecast for next year, in particular during the forthcoming out of season winter period.

Overview

* Group banking facilities successfully renewed

* Trading in line with management expectations

* Solid performance with like for like sales for new and used units up against the equivalent period last year

Renewal of Banking Facilities

The Group's existing facilities have previously been outlined in detail. Their structure and the agreed modifications are summarised below:

1) A five year term loan to 2014 of GBP8m, secured against the five freehold sites from which the business continues to trade.

The interest rate remains unchanged at 3.5% above Libor throughout the term but the capital repayment schedule has been modified including an improved match with the business' seasonality. Capital repayments will remain at GBP500,000 per year but will now be paid monthly rather than bi-annually, with one third of the annual repayment being paid in the months of October to March and two thirds in the months of April to September. The Group will also benefit from a five month capital repayment holiday. The previous facilities had a first payment of GBP250,000 in October 2010, which has now been replaced by the above monthly payments, which will now only begin in March 2011.

In addition, and after a recent professional valuation, the existing use value of these sites has increased by 9.5% from GBP8.4m on 27 April 2009 to GBP9.2m on 2 July 2010, thereby increasing the Banks security.

2) A three year asset disposal loan of GBP5m to 31 May 2012 secured against the seven freehold properties from which the Group ceased to trade in June 2009.

Repayments are made from the net sale proceeds of these properties with the original interest rate payable at 2% above Libor, rising to 4% above Libor from 1 March 2010, to 8% above Libor from 1 December 2010, and finally to 16% above Libor from 1 September 2011 until the end of the term.

Recent announcements, including one on 19 July 2010, have provided an update on the Group's disposal progress. Of the original seven properties, only the Portsmouth site remains and, subject to planning permission, this has been sold for GBP1.65m. When this sale completes, the disposal proceeds will total GBP4.865m leaving an estimated residue of GBP260,000 including accrued interest. The Group has agreed terms with RBS for the repayment of this balance over the remaining term to 31 May 2012 at a fixed interest margin of 4.75% over Libor. This will be met out of the Group's operating cash flow, with a repayment schedule which will also match the seasonality of the business. One third of the annual repayments will be taken between October and March and two thirds between April and September.

3) A GBP3m overdraft facility reviewed annually.

After the June 2010 review, the facility will be temporarily increased to GBP3.3m for the period from 1 January 2011 to 31 March 2011 to provide additional headroom during this out of season period. The interest rate remains at 4% above bank base rate for any borrowings within the original GBP3m but will rise to 10% for any borrowing above the GBP3m during the above period.

The RBS banking facilities, which were originally agreed in June 2009 as part of the restructuring process, incorporated a suite of covenants throughout the five year term of the bank borrowing. Some of these covenants were revised in December 2009 for the period to December 2010 in order to account for the impact of parts of the restructuring, which initially proved difficult to predict. During the recent RBS review, the Group requested that all banking covenants be assessed for the remaining four year period to take account of the business' current position. A new set of covenants have therefore been agreed and have been incorporated into the revised facility documents with RBS.

The Group has agreed a fee of GBP140,000 to RBS for renewal and revision of the facilities, including resetting of the related covenants. Associated professional costs of approximately GBP30,000 are expected in support of this exercise.

Black Horse, part of the Lloyds Banking Group, continues to support the Group by way of inventory funding.

The Directors are confident that, at current trading levels, the revised banking facilities are sufficient to support the business for the foreseeable future and that the Group can trade in compliance with the revised banking covenants.

Trading Update

The market for leisure vehicles and related accessories over the spring and summer months has benefited from the normal seasonal uplift. The impact, however, has been variable. The trade sales of new touring caravans has increased strongly (+23% March to June 2010 versus 2009), as dealers replenish stocks. However, UK registrations of the higher priced motor homes are 17% less than last year in the March to June period. In the five months from March to July, the Group has sold an encouraging 2% more new and used units than in the equivalent period last year on a like for like basis.

Trading has therefore remained challenging but, as a result of the further stabilisation of the business since its major restructuring last year and the ongoing focus upon cost control, the Group has continued to trade within its finance facilities and its results have been in line with management's expectations.

+-----------------------------------+-------------------+
| For further information please | |
| contact: | |
| | 01430 803 385 |
| Discover Leisure plc | |
+-----------------------------------+-------------------+
| David Morrow, Chairman | |
+-----------------------------------+-------------------+
| Trevor Parker, Chief Executive | |
+-----------------------------------+-------------------+
| Neil Harwood, Finance Director | |
+-----------------------------------+-------------------+
| | |
| Panmure Gordon (UK) Limited | 020 7459 3600 |
+-----------------------------------+-------------------+
| Andrew Godber / Stuart Gledhill | |
+-----------------------------------+-------------------+
| | |
| Cubitt Consulting | 020 7367 5100 |
+-----------------------------------+-------------------+
| Chris Lane / Nicola Krafft | |
+-----------------------------------+-------------------+

Background Note

Discover Leisure is a leading specialist caravan and leisure industry retailer which floated on AIM in May 2005. Following the restructuring of the Group's activities, it is focused on the retailing of caravans and motor homes in the North of England. It also sells a range of outdoor leisure products from its branches and over the internet.

The Group has 5 branches across the North of England located at: Birtley (Tyneside), Delamere (Cheshire), Chorley (Lancashire), Darlington (County Durham) and York (Yorkshire). Its head office is situated in East Yorkshire.

The board consists of David Morrow, Chairman; Trevor Parker, Chief Executive; and Neil Harwood, Finance Director. The Non Executive Directors are Ian Currie, Simon Dixon and James Hayward.

This information is provided by RNS

The company news service from the London Stock Exchange

MSCEAANFEEKEEFF

(END) Dow Jones Newswires

01-09-10 1207GMT

[lakme] 09/4/2010 15:51

After 2 and a bit months I have decided that the rally in January did not hold.

[this_is_me] 26/1/2010 23:39

Happy days! We have lift off! Can the share price keep this up!

[solarno lopez] 30/12/2009 08:04

its all down to Currie and Hughes