Ultimate Leisure Share Discussion Threads

[welshanalyst] 30/10/2002 20:12

From the Independent:- Ultimate's a growth bet even if it lacks pizzazz

It is fair to say that Ultimate Leisure lacks the stock market pizzazz of some of its larger rivals. For a start, action at the late-night bars group is largely confined to the North of England – hardly the main stomping ground of most City analysts.

And while sector peers such as SFI and Regent Inns have borrowed voraciously to fund their get-big-quick expansion drives, Ultimate has taken a more cautious approach, adding a freehold here and there.

But the Newcastle-based operator is not to be sniffed at. It has proved a useful defensive play over the past few months, notwithstanding the recent wobble on the back of bleaker news from SFI and Old Monk.

Ultimate rightly maintains that its preference for freeholds protects it from leasehold nasties, such as rent hikes and high fixed costs. Plus, its sites could prove useful fodder if it ever wanted to raise significant capital in a hurry.

Ultimate is happy to stick with what it knows best – running entertainment-led bars and clubs in working-class towns, which means it is unlikely to be lured by the excesses of London anytime soon.

Although the group has eschewed a brand template for its 24 sites, it admits there is potential for its "beach-themed" outlets. Swap a surfboard for a bull and you arrive at the group's latest offering, the rodeo-themed Coyote Wild that opens in South Shields later this week.

The news on Friday that recent trading remains "strong" and a pipeline of new openings should ensure that the company's growth momentum remains unchecked.

The shares, up 1p to 233.5p, trade on around 9 times earnings and should have further to go.

[greatbear] 29/10/2002 20:01

Below from the Independant today;



Ultimate's a growth bet even if it lacks pizzazz

It is fair to say that Ultimate Leisure lacks the stock market pizzazz of some of its larger rivals. For a start, action at the late-night bars group is largely confined to the North of England – hardly the main stomping ground of most City analysts.

And while sector peers such as SFI and Regent Inns have borrowed voraciously to fund their get-big-quick expansion drives, Ultimate has taken a more cautious approach, adding a freehold here and there.

But the Newcastle-based operator is not to be sniffed at. It has proved a useful defensive play over the past few months, notwithstanding the recent wobble on the back of bleaker news from SFI and Old Monk.

Ultimate rightly maintains that its preference for freeholds protects it from leasehold nasties, such as rent hikes and high fixed costs. Plus, its sites could prove useful fodder if it ever wanted to raise significant capital in a hurry.

Ultimate is happy to stick with what it knows best – running entertainment-led bars and clubs in working-class towns, which means it is unlikely to be lured by the excesses of London anytime soon.

Although the group has eschewed a brand template for its 24 sites, it admits there is potential for its "beach-themed" outlets. Swap a surfboard for a bull and you arrive at the group's latest offering, the rodeo-themed Coyote Wild that opens in South Shields later this week.

The news on Friday that recent trading remains "strong" and a pipeline of new openings should ensure that the company's growth momentum remains unchecked.

The shares, up 1p to 233.5p, trade on around 9 times earnings and should have further to go.

[welshanalyst] 28/10/2002 19:45

According to Citywire, Ultimate Leisure appeared in the Daily Express today, under the Midas Gold column.
Can anyone post the article?

[spacecake] 28/10/2002 18:11

Both wonder and worry about this one. Good management, no not in depressed areas, have you ever been to Newcastle recently?. But what is on my mind is that Newcastle city centre is about to see even more bars and night clubs open on top of some recent additions. ULG have prime spots and see lots of punters, new outfits opening in new developements such as The Gate will be up against a formidable known local player.Should cope with the role out as long as the interest cover stays intact. Hopefully we will see an interest rate cut.

[welshanalyst] 25/10/2002 21:11

RNS Number:9377C
Ultimate Leisure Group PLC
25 October 2002


ULTIMATE LEISURE GROUP PLC

Trading Update


Jon Pither, Chairman, will be making the following statement at the Group's AGM
later today:

"Further to recent investor concerns about the leisure sector, the Board would
like to take this opportunity to highlight the strengths of the Ultimate Leisure
business model. Ultimate Leisure operates, in the main, freehold sites in prime
positions on established drinking circuits. This protects the Group from high
fixed rental costs and rent increases whilst ensuring that, during the main
drinking and income taking hours, there is a constant flow of customers in and
around the outlets.

An important measure of our success is interest and rental cover which
highlights the number of times our interest and rental costs are covered by
operating profitability. In the year to 30 June 2002 our interest and rental
costs were covered 4.6 times by operating profit. In the period to 30 September
2002 this cover was 4.1 times, despite this being traditionally our second
weakest quarter. We believe these ratios to be well ahead of the sector average
which gives the Board confidence that your Group is built on solid foundations.

With this in mind I can confirm that the current year has begun well and in the
three months to the end of September trading has been strong across all sectors
of the business.

During the first quarter we have opened two new units, 'Beach' a freehold site
in Rotherham and a leasehold site named 'Blubambu', the only late licence venue
in the Bigg Market, Newcastle. Early trading from these units is very
encouraging.

At the time of our preliminary announcement in early September it was stated
that four new units would be opening pre Christmas and I am pleased to confirm
that this programme is still on track. As well as the two units mentioned
above, the Company will open a 1000 capacity themed Rodeo bar in a freehold site
in South Shields on 31 October named 'Coyote Wild'. This theme will be developed
and considered for further roll out along with the Chase and Beach brand formats
which have already proved their rollout potential.

Our freehold site in Jesmond (formerly the Gresham Hotel) will open towards the
end of the calendar year.

On top of these new openings, the Group's expansion programme is also continuing
and I am pleased to report that during the first quarter agreement has been
reached on a leasehold site in the Odyssey arena in Belfast. This site will be
developed along the 'Beach' theme and we expect this to open during the first
half of 2003.

The Group is also at various stages of negotiation on a number of other sites
and the current development pipeline, coupled with the new openings and strength
of the core estate, gives the Board confidence that 2003 will be another
successful year both in terms of growth and profitability."

25 October 2002

[welshanalyst] 25/10/2002 21:09

RNS Number:9377C
Ultimate Leisure Group PLC
25 October 2002


ULTIMATE LEISURE GROUP PLC

Trading Update


Jon Pither, Chairman, will be making the following statement at the Group's AGM
later today:

"Further to recent investor concerns about the leisure sector, the Board would
like to take this opportunity to highlight the strengths of the Ultimate Leisure
business model. Ultimate Leisure operates, in the main, freehold sites in prime
positions on established drinking circuits. This protects the Group from high
fixed rental costs and rent increases whilst ensuring that, during the main
drinking and income taking hours, there is a constant flow of customers in and
around the outlets.

An important measure of our success is interest and rental cover which
highlights the number of times our interest and rental costs are covered by
operating profitability. In the year to 30 June 2002 our interest and rental
costs were covered 4.6 times by operating profit. In the period to 30 September
2002 this cover was 4.1 times, despite this being traditionally our second
weakest quarter. We believe these ratios to be well ahead of the sector average
which gives the Board confidence that your Group is built on solid foundations.

With this in mind I can confirm that the current year has begun well and in the
three months to the end of September trading has been strong across all sectors
of the business.

During the first quarter we have opened two new units, 'Beach' a freehold site
in Rotherham and a leasehold site named 'Blubambu', the only late licence venue
in the Bigg Market, Newcastle. Early trading from these units is very
encouraging.

At the time of our preliminary announcement in early September it was stated
that four new units would be opening pre Christmas and I am pleased to confirm
that this programme is still on track. As well as the two units mentioned
above, the Company will open a 1000 capacity themed Rodeo bar in a freehold site
in South Shields on 31 October named 'Coyote Wild'. This theme will be developed
and considered for further roll out along with the Chase and Beach brand formats
which have already proved their rollout potential.

Our freehold site in Jesmond (formerly the Gresham Hotel) will open towards the
end of the calendar year.

On top of these new openings, the Group's expansion programme is also continuing
and I am pleased to report that during the first quarter agreement has been
reached on a leasehold site in the Odyssey arena in Belfast. This site will be
developed along the 'Beach' theme and we expect this to open during the first
half of 2003.

The Group is also at various stages of negotiation on a number of other sites
and the current development pipeline, coupled with the new openings and strength
of the core estate, gives the Board confidence that 2003 will be another
successful year both in terms of growth and profitability."

25 October 2002

[welshanalyst] 25/10/2002 21:09

RNS Number:9377C
Ultimate Leisure Group PLC
25 October 2002


ULTIMATE LEISURE GROUP PLC

Trading Update


Jon Pither, Chairman, will be making the following statement at the Group's AGM
later today:

"Further to recent investor concerns about the leisure sector, the Board would
like to take this opportunity to highlight the strengths of the Ultimate Leisure
business model. Ultimate Leisure operates, in the main, freehold sites in prime
positions on established drinking circuits. This protects the Group from high
fixed rental costs and rent increases whilst ensuring that, during the main
drinking and income taking hours, there is a constant flow of customers in and
around the outlets.

An important measure of our success is interest and rental cover which
highlights the number of times our interest and rental costs are covered by
operating profitability. In the year to 30 June 2002 our interest and rental
costs were covered 4.6 times by operating profit. In the period to 30 September
2002 this cover was 4.1 times, despite this being traditionally our second
weakest quarter. We believe these ratios to be well ahead of the sector average
which gives the Board confidence that your Group is built on solid foundations.

With this in mind I can confirm that the current year has begun well and in the
three months to the end of September trading has been strong across all sectors
of the business.

During the first quarter we have opened two new units, 'Beach' a freehold site
in Rotherham and a leasehold site named 'Blubambu', the only late licence venue
in the Bigg Market, Newcastle. Early trading from these units is very
encouraging.

At the time of our preliminary announcement in early September it was stated
that four new units would be opening pre Christmas and I am pleased to confirm
that this programme is still on track. As well as the two units mentioned
above, the Company will open a 1000 capacity themed Rodeo bar in a freehold site
in South Shields on 31 October named 'Coyote Wild'. This theme will be developed
and considered for further roll out along with the Chase and Beach brand formats
which have already proved their rollout potential.

Our freehold site in Jesmond (formerly the Gresham Hotel) will open towards the
end of the calendar year.

On top of these new openings, the Group's expansion programme is also continuing
and I am pleased to report that during the first quarter agreement has been
reached on a leasehold site in the Odyssey arena in Belfast. This site will be
developed along the 'Beach' theme and we expect this to open during the first
half of 2003.

The Group is also at various stages of negotiation on a number of other sites
and the current development pipeline, coupled with the new openings and strength
of the core estate, gives the Board confidence that 2003 will be another
successful year both in terms of growth and profitability."

25 October 2002

[dil] 25/10/2002 16:50

Expanding too fast , borrowing loads of dosh , locations in depressed areas ..... another SUF in the making.

[rbryant] 25/10/2002 13:15

Are you trying to talk this down Dil? Read the report - the next set of trading figues when they come out will surely push this back to and beyond the last high. Double tops and any other chart formation are only clear with hindsight as you should well know.

[dil] 21/10/2002 20:14

Double top on charts , last one out turn the light out.

[rbryant] 19/10/2002 00:09

Nice to see another small rise. Reliable stocks like this I can cope with at the moment.

[petebarnes] 19/10/2002 00:09

Check out PTS paying 8p cash back as it is sat in the bank and they dont know what to do with it so paying it back to share holders. Results due look good, business is booming and about to make a profit worth 14p on cash in bank alone. If you add in a first time profit and no furthure cash burn it looks great. Plus some one called Galahad keeps buying up shares. Take a look at the RNS there are a few recently. And then get in whilst you still can at this level. But please as allways DYOR. thats PTS

[rbryant] 27/9/2002 15:42

Looks to me like they will never be this cheap again - buy now.

[rbryant] 26/9/2002 11:57

How do you reckon that Dil?

[dil] 25/9/2002 22:38

Get em cheaper next month.

[user] 24/9/2002 16:53

just use it to buy some more
Al.

[rbryant] 24/9/2002 15:24

P/e less than 11 and growing like fun. Can't see them selling less beer regardless of how depressed things get. The profits are the same whether people are drowning their sorrows or celebrating. So how come the drop in price anybody??

[welshanalyst] 14/9/2002 13:33

RNS Number:8196A
Ultimate Leisure Group PLC
05 September 2002



Ultimate Leisure Group plc ("the Company")

5 September 2002

Director Shareholding

The Company was notified today that Craig Bell, a Director of the Company, had
purchased on 3 September 2,000 ordinary 10p shares at a market price of 254
pence per share. Mr Bell now has an interest in 5,000 ordinary shares in the
Company representing 0.03 per cent. of the current issued share capital.

The Company was notified today that Surrey Management Services, a company
related to Jon Pither, a Director of the Company, had purchased on 4 September
5,000 ordinary 10p shares at a market price of 255 pence per share. Mr Pither
now has an interest in 106,758 ordinary shares in the Company representing 0.61
per cent. of the current issued share capital.


ENDS

This information is provided by RNS
The company news service from the London Stock Exchange

[welshanalyst] 14/9/2002 13:31

Tipped in Investor's Chronicle aswell.
Article says the company intends to double size in two years, and that trading in new outlets is very good. Outlets outside the North-East performing well. Recommendation - buy.

[welshanalyst] 14/9/2002 13:31

Thanks, OMT.

[user] 13/9/2002 09:54

yep buy, top up and put away for a good few years of continued growth

Al.

[omt] 12/9/2002 23:07

got the mag today - in a nutshell

results in line with expectations - but still undervalued

Brewin Dolphin EPS for June 2003 - 26.8

Forward PE 9.5 compares favourably to inventive leisure (17 times)

Confident about Northern Irish site to open in Belfast

Lots of debt avaliable from RBS £13m revolving credit for Blubambu venue + further £10m loan if required

Sites are only taken on if they have a ROC of 25%

"Buy for long term growth"

[welshanalyst] 12/9/2002 20:46

According to Citywire there is a report in Shares magazine this week. Can anyone post the article.