![](/cdn/assets/images/search/clock.png)
We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type | Share ISIN | Share Description |
---|---|---|---|---|---|
Ultimate Leis. | LSE:ULG | London | Ordinary Share | GB0007456139 | ORD 10P |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 157.00 | 0.00 | 01:00:00 |
Industry Sector | Turnover | Profit | EPS - Basic | PE Ratio | Market Cap |
---|---|---|---|---|---|
0 | 0 | N/A | 0 |
RNS Number:0680E Ultimate Leisure Group PLC 19 September 2007 Wednesday 19 September 2007 ULTIMATE LEISURE GROUP PLC PRELIMINARY RESULTS FOR THE YEAR ENDED 30 JUNE 2007 Ultimate Leisure Group plc ("Ultimate" or "the Group"), the bar, restaurant, hotel and nightclub operator, today announces its financial results for the year ended 30th June 2007. Highlights: *Results in line with expectations. *Turnover up 11.8% to #36.3m (2006 #32.5m), Like for like sales up 1%. *Profit before tax (pre exceptional items and FRS 20 charge) of #0.4m. *EBITDA of #4.2m (2006 #4.7m). *Unspent placing proceeds of #7m. *Investment programme and repositioning of estate complete and benefits starting to come through. *Acquisition of 'The Living Room' and 'Bel and The Dragon' brands - balancing wet-led income with increased exposure to food and the premium end of the market. *Well prepared for smoking ban with limited impact to date. *Planned change of name to Premium Bars and Restaurants PLC to reflect new focus. *Positive start to current year. Food mix now over 20%, and total group sales more than double last year. Commenting on the results, Mark Jones, Chairman said: "These results are in line with market expectations and the second half of the year saw an improved performance in our core estate as the benefits of the investments in our assets, marketing and training started to come through. Whilst it is still early, we have had an encouraging start to the current year. Total company sales for the first nine weeks to 2nd September are up 109%, food sales are up more than thirteen times on last year over the same period and food mix now accounts for over 20% of total sales. Our sales have been boosted by our recent acquisitions. On a like for like basis we have maintained sales despite the smoking ban and poor summer weather. The investment in our core estate is now complete, and we believe that the Group is in a better position than ever before. Including the acquisitions of The Living Room and Bel and The Dragon brands we have a strong portfolio of premium brands, providing the Group with an enhanced platform for growth in what remains a competitive market. As a result, we continue to be confident about delivering value to shareholders in the current year and beyond." For further information please contact: Ultimate Leisure Mark Jones Chairman Today: 020 7831 3113 Craig Bell Finance Director Thereafter: 0191 261 8800 Financial Dynamics Ben Foster/Charles Watenphul Tel: 020 7831 3113 KBC Peel Hunt (Nominated Adviser and Broker) Capel Irwin/Matt Goode Tel: 020 7418 8900 ULTIMATE LEISURE GROUP PLC PRELIMINARY RESULTS FOR THE YEAR ENDED 30 JUNE 2007 CHAIRMAN'S STATEMENT Chairman's Statement The year ending 30th June 2007 has been a transformational year for the Group. The investment programme that commenced at the end of 2005 is now complete. Site refurbishments, combined with targeted investment in training and marketing, have put our core estate of bars, clubs and hotels in strong competitive positions within their local markets. The benefits of this capital expenditure are already being enjoyed within the business and this will accelerate in the current year. At the same time, we have made a number of acquisitions both to expand our geographic footprint outside our traditional North East heartland and also to increase our exposure to food income. Notably we acquired both the 'Bel and The Dragon' and 'The Living Room' businesses. These acquisitions and our investment programme have cemented the Group's position at the premium end of the market. To reflect the new focus of the Group we will be formally changing the name of the company to 'Premium Bars and Restaurants plc'. A resolution to this effect will be put before our AGM. The Board believes that a name change reflects the positive strides the Group has taken over the last two years and is more appropriate for the future direction and strategy of the company. Operational and Financial Review Financial Results Turnover for the year increased by 11.8% to #36.3m (2006: #32.5m). Pre tax profit before exceptional items and FRS 20 charge was #0.4m (2006: #1.5m), EBITDA was #4.2m (2006 #4.7m). Profit in the year was impacted by the short-term closure of fifteen outlets for refurbishment and also the losses incurred by our non-core sites. As part of our continued efforts to improve the overall quality of the estate, several non core sites have been identified for disposal. These disposals are at an advanced stage and the carrying value of these assets has been impaired by #2m at 30 June 2007 to reflect the expected loss on their disposal. Due to the changes at senior management level and the organisational structure put in place to reflect the new enlarged shape of the business, a one off exceptional restructuring cost of #0.3m was also charged to the profit and loss account during the year. In March 2007 the Group successfully raised #25m by way of a share placing. After the recent acquisitions we still have #7m of these funds available for further acquisitions. The Group's fundamental finances remain sound with a strong balance sheet, good asset base, low gearing and strong cash generation. Following the acquisitions of 'The Living Room' and 'Bel and The Dragon', the Group negotiated new banking facilities which will fund the expansion of the two brands and 'Prohibition'. Dividends The Board has previously stated its intention to reinvest in the core estate and to seek further earnings enhancing and strategically complimentary acquisitions. As a result, the Board has decided not to propose a final dividend for the year. Business Review The trading environment in the year continued to be challenging as the long term impact of the new licensing laws continued to be felt across the business. The investment programme continued at pace throughout the year as we refurbished our estate thereby increasing the competitiveness of the Group. In total we carried out major capital investments in fifteen bars and one hotel, spending a total of #2.3m. In the current financial year, therefore, our capital spend on our core estate will drop substantially. Additionally, a substantial investment was made into marketing and training to improve promotional activity and customer service. As previously disclosed, the overall profitability of the Group was temporarily impacted by the closure of a number of outlets for refurbishment during the year as well as the increased investment in marketing initiatives. Despite this we achieved like for like sales improvement of 1% in the year. This investment has been vital to the long term growth prospects of the business. I am pleased to report significant progress in our strategy to balance our traditionally wet-led income streams with greater exposure to increasingly profitable food sales. For the second year in a row, our food sales grew very strongly with total sales up 129% and like for like sales up 47%, albeit from a relatively small base. This greater exposure to food has been invaluable in our successful preparations for the Northern Irish and English smoking bans. Smoking Ban A significant amount of management time and over #250,000 of capital investment went into preparing for the smoking ban in Northern Ireland (30th April 2007) and England (1st July 2007). We were fully prepared for the bans and approximately two thirds of our estate has smoking solutions in place. Overall the bans have had a very limited impact to date. Acquisitions and Development During the year we disposed of two non-core nightclub sites in Rotherham and South Shields for book value. We currently have four more sites under offer that we previously identified as being non-core. We acquired four new premium bar sites; two leasehold bars in Belfast - The Advocate and the Potthouse; and two freehold bars - The Attic in Newcastle and The Cotton Factory in Huddersfield. These venues are positioned in the premium bar market and enjoy significant food sales. Our most significant investments, however, have followed the placing we undertook in March 2007. The #25m raised gave us substantial scope to grow our business through acquisition. On 18 June 2007 we acquired the 'Bel and The Dragon' business for a cash consideration of #8.75m. Of the four sites, three are freeholds. The Bel and The Dragon business is a premium pub restaurant brand, and in its last financial year to 25 June 2007 produced EBITDA of #1.05m. On 25 June 2007 we acquired Living Ventures Ltd ('Living Ventures') for a total cash consideration of #28m. Living Ventures owns the Living Room brand. The business was formed in 1999, and the Living Room brand is a high quality restaurant and bar business operating from 13 sites in England and Scotland. In the financial year to 30 March 2007, the Living Room delivered sales of #29.2m and site EBITDA of #6.050m. As part of the acquisition, we took on a number of key executives from Living Ventures, representing an associated central overhead of #0.85m. Danny Fox, who played a central part in building 'The Living Room' brand, joined us as Managing Director of The Living Room Group Ltd, and brought with him his highly regarded Operations, Marketing and Training team. He has also assumed responsibility for the 'Prohibition' brand. The board expects both deals to be earnings enhancing in the first year of ownership. The acquisitions are in line with the Group's stated strategy of balancing wet-led income streams with an increased exposure to food income. They provide the Group with established formats and brands at the premium end of the market, and the Group should benefit from the greater economies of scale from the operation of over fifty assets. The integration of both groups is proceeding ahead of schedule. There are exciting opportunities to grow the total number of sites for both brands and at present we have identified three sites for 'The Living Room', including one in Bristol which will open by Easter 2008. We believe that 'The Living Room' brand has the capability to expand to thirty sites and we are currently seeking opportunities in a number of target towns. Additionally we are currently seeking more sites for 'Bel and The Dragon' and for 'Prohibition'. The Group is well positioned to maximise the benefits for shareholders of the roll out of these three exciting brands. People During the year we welcomed Stephane Nahum and Alka Bali to the board, both as non-executive directors. The board wish to thank all of their employees for the contribution that they have made over the financial year. International Financial Reporting Standards ('IFRS') The Group is required to produce its 31 December 2007 interim report under IFRS and is currently undertaking a project to assess the financial and presentational impact of these changes from UK GAAP. Current Trading and Outlook Whilst it is still early we have had an encouraging start to the current year. Total group sales for the first nine weeks to 2 September year are up 109% compared to last year and food sales are more than 13 times the level of last year, both boosted by our recent acquisitions. Food now accounts for over 20% of total sales. On a like for like basis we have maintained sales despite the smoking bans and poor summer weather. The investment in the core estate is now complete and we believe that the Group is in a better position than ever before. With the acquisitions of 'The Living Room' and 'Bel and The Dragon' we now have a strong portfolio of premium brands, providing the Group with an enhanced platform for growth in what remains a competitive market. With #7m of placing proceeds unspent we will also look for opportunities to acquire more businesses that we believe will earnings enhancing for our shareholders. As a result we continue to be confident about delivering value to shareholders into the current year and beyond. Mark Jones Chairman Wednesday 19 September 2007 CONSOLIDATED PROFIT AND LOSS ACCOUNT For the year ended 30 June 2007 Notes 2007 2006 (as restated) #'000 #'000 Turnover 3 36,282 32,451 Cost of sales (18,248) (15,840) Gross profit 18,034 16,611 ------- ------- Administration expenses (20,036) (19,865) Other operating income 464 487 ------- ------- Operating loss (1,538) (2,767) Analysed as: Operating profit before exceptional items 1,488 2,364 Exceptional items 4 (3,026) (5,131) --------- --------- Operating loss after exceptional items (1,538) (2,767) Interest receivable 5 383 18 Interest payable 6 (1,472) (880) ------- ------- Loss on ordinary activities before taxation (2,627) (3,629) Tax on loss on ordinary activities 7 (76) (523) ------- ------- ------- Loss for the financial year (2,703) (4,152) ------- ------- Basic loss per share 8 (9.2p) (16.9p) CONSOLIDATED BALANCE SHEET 2007 2006 As at 30 June 2007 #'000 #'000 Notes ------- FIXED ASSETS Intangible assets 10 19,811 1,258 Tangible assets 10 91,806 65,336 ______ ______ 111,617 66,594 ______ ______ CURRENT ASSETS Stocks 702 454 Debtors 11 4,633 2,337 Cash at bank and in hand 6,848 2,749 ______ ______ 12,183 5,540 CREDITORS - due within one year 12 (10,705) (8,056) ______ ______ Net current assets / (liabilities) 1,478 (2,516) ______ ______ TOTAL ASSETS LESS CURRENT LIABILITIES 113,095 64,078 CREDITORS - due after one year 12 (44,525) (18,266) - Provisions for liabilities and charges 13 (3,136) (3,123) ______ ______ NET ASSETS 65,434 42,689 ====== ====== CAPITAL AND RESERVES Called-up share capital 3,982 2,503 Share premium 49,035 25,605 Other reserves 7,013 7,013 Profit and loss account 5,404 7,568 ______ ______ EQUITY SHAREHOLDERS' FUNDS 65,434 42,689 ====== ====== CONSOLIDATED CASH FLOW STATEMENT For the year ended 30 June 2007 2007 2006 #'000 #'000 Notes ------- Net cash inflow from operating activities A 1,979 4,032 ------- ------- Return on investments and servicing of finance Interest received 383 18 Interest paid (1,425) (833) ------- ------- Net cash outflow from return on investments (1,042) (815) and servicing of finance ------- ------- Taxation paid (664) (1,439) ------- ------- Capital expenditure Purchase of tangible fixed assets (11,149) (4,360) Acquisitions (37,100) (3,754) Sale of tangible fixed assets and 2,200 1,250 investments ---------- ---------- Net cash outflow from capital expenditure (46,049) (6,864) ---------- ---------- Dividends paid - (1,390) ---------- ---------- Cash outflow before financing (45,776) (6,476) Financing Net proceeds from share issue 24,909 466 New Bank Loans 51,975 10,600 Repayment of Bank Loan (27,050) (2,222) ---------- ---------- 49,834 8,844 ---------- ---------- Net increase in cash in the year B 4,058 2,368 Opening cash and cash equivalents 2,749 431 Effect of foreign exchange movements 41 (50) ______ ______ Closing cash and cash equivalents 6,848 2,749 ====== ====== NOTES TO CASH FLOW STATEMENT A Reconciliation of Operating loss to Operating cash flow 2007 2006 #'000 #'000 Operating (loss) (1,538) (2,767) Depreciation and Impairment charge 4,481 6,257 Amortisation of Intangible Fixed Assets 64 8 FRS 20 Charge 622 117 Loss on Disposal of Tangible Fixed Assets 5 142 Change in Stocks (22) 108 Change in Debtors (32) (447) Change in Creditors (1,601) 614 ------- ------- Cash Flow from operating activities 1,979 4,032 ------- ------- B Movements in net debt 2007 2006 #'000 #'000 Increase in cash 4,058 2,368 Increase in loans (24,925) (8,378) ------- --------- Change in net debt resulting from cash flows (20,867) (6,010) Change in net debt resulting from non-cash flows 395 (47) Exchange differences 90 (215) ------- ------- Movement in net debt in the year (20,382) (6,272) Opening net debt (17,295) (11,023) ------- Closing net debt (37,677) (17,295) ------- ------- NOTES TO THE PRELIMINARY ANNOUNCEMENT For the year ended 30 June 2007 1. Basis of Preparation The financial information contained in this document does not constitute the company's statutory accounts for the years ended 30 June 2007 or 30 June 2006. The financial information for 2006 is derived from the statutory accounts for 2006 which have been delivered to the Registrar of Companies. The auditors have reported on the 2006 accounts; their report was (i) unqualified, (ii) did not include a reference to any matters to which the auditors drew attention by way of emphasis without qualifying their report and (iii) did not contain a statement under section 232(2) or (3) of the Companies Act 1985, The statutory accounts for 2007 will be finalised on the basis of the financial information presented by the directors in this preliminary announcement and will be delivered to the Registrar of Companies in due course. 2 Prior year adjustment (FRS 20 Share Based Payments) The comparative figures for 2006 have been restated for the requirements of FRS 20 "Share based payments" which has been adopted for the first time in these accounts. Under FRS 20, the fair value of options granted is recognised as an employee expense with a corresponding increase in equity. The fair value is measured at grant date and spread over the period during which the employees become unconditionally entitled to the options. The fair value of the options granted has been measured using an option pricing model taking into account the terms and conditions upon which the options were granted. The amount recognised as an expense is adjusted to reflect the actual number of share options that vest, except where variations are due only to share prices not achieving the threshold for vesting. This has resulted in prior year adjustments in 2006. The charge in respect of the share based payments is matched by an equal and opposite adjustment to profit and loss reserves, thereby having no net impact on the Group's closing reserves. The effect on the period profit after interest and tax for the periods is set out below: 30 June 2006 #000's (Loss)/profit after interest and tax as originally reported (4,035) Charge in respect of share based payments (117) ------- (Loss)/profit after interest and taxation as restated (4,152) ------- 3. Segmental information The results of the group arose from its principal activity and were derived from the UK and Ireland. 4. Exceptional costs 2007 2006 (as restated) ------- ----------- #'000 #'000 ------- ------- Fixed asset impairments 2,044 3,917 Loss on disposal of fixed assets - 132 FRS20 charges 622 117 Restructuring charges 255 965 Acquisition related bonuses 105 - ------- ------- 3,026 5,131 ------- ------- 5. Interest receivable 2007 2006 #'000 (as restated) #'000 Bank interest 383 18 ===== ==== 6. Interest payable 2007 2006 #'000 (as restated) #'000 On bank loans and overdrafts (1,472) (880) ========= ======= 7. Taxation Analysis of charge in year. 2007 2006 #'000 #'000 UK and Ireland corporation tax Current tax on profit for the year 299 297 Adjustments in respect of prior periods (236) (67) ------- ------ Total current tax 63 230 Deferred tax (see note 13) Origination of timing differences 225 239 Adjustment in respect of previous years (212) 54 ------ ------ Tax on loss on ordinary activities 76 523 ------ ------ Factors affecting the tax charge for the current year. The current tax charge for the year is higher (2006: higher) than the standard rate of corporation tax in the UK 30% (2006: 30%). The differences are explained below: 2007 2006 #'000 #'000 Current tax reconciliation Loss on ordinary activities before tax (2,627) (3,629) Current tax at 30% (2006: 30%) (788) (1,088) Effects of: Expenses not deductible for tax purposes (primarily impairment 1,399 1,624 of fixed assets) Capital allowances for period in excess of depreciation (312) (239) Adjustments to tax charge in respect of previous periods (236) (67) ------- ------- Total current tax charge (see above) 63 230 ------- ------- 8. Loss Per Share The loss per share is calculated based on the loss for the financial year divided by the weighted average number of shares in issue being 29,525,953 (2006: 24,581,477). 9. Acquisitions During 2007 the Group made two acquisitions which complemented the exiting operations. The Group acquired the Bel and The Dragon and Living Ventures Limited on 18 June 2007 and 25 June 2007 respectively. Total cash consideration of #8.875m was paid for the Bel and The Dragon creating goodwill of #1.4m. Total cash consideration of #28.53m was paid for Living Ventures Limited creating goodwill of #17.2m. The directors consider that the goodwill in respect of both acquisitions to have a useful economic life of 20 years. 10. Fixed Assets 2007 2006 #'000 #'000 Intangible Fixed Assets Opening Net Book Value 1,258 127 Additions 18,617 1,139 Amortisation (64) (8) ------- ------- Closing Net Book Value 19,811 1,258 ------- ------- 2007 2006 #'000 #'000 Tangible Fixed Assets Opening Net Book Value 65,336 65,823 Exchange Differences (164) 187 Additions 33,280 6,975 Disposals (2,165) (1,392) Depreciation (2,437) (2,340) Impairment of Assets (2,044) (3,917) ------- ------- Closing Net Book Value 91,806 65,336 ------- ------- 11. Debtors 2007 2006 #'000 #'000 Trade debtors 849 144 Other debtors 35 35 Prepayments 3,749 2,158 -------- ------ 4,633 2,337 -------- ------ Other debtors include #35,000 (2006: #35,000) due after more than one year. 12. Creditors 2007 2006 #'000 #'000 Due within one year Bank loans - 1,778 Trade creditors 5,143 3,139 Corporation tax 630 1,231 Other taxation and social security 2,122 796 Other creditors - - Accruals and deferred income 2,810 1,112 ------ ------ 10,705 8,056 ------ ------ Due after one year Bank loans - due between one and two years - 1,778 - due between two and five years 1,775 16,488 - due after five years 42,750 - ------- ------- 44,525 18,266 ------- ------- 13. Provisions for Liabilities and Charges 2007 2006 #'000 #'000 Deferred Taxation 3,136 3,123 ======= ======= This information is provided by RNS The company news service from the London Stock Exchange END FR SFEFWASWSEEU
1 Year Ultimate Leisure Chart |
1 Month Ultimate Leisure Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions