Ultimate Leisure sees progress

Ultimate Leisure is proposing to change its name to Premium Bars & Restaurants as part of a drive to reinforce the group's "more appropriate direction and strategy".

Announcing the group's full year results today, chairman Mark Jones said the new moniker, to be confirmed at the group's forthcoming AGM, "reflects the positive strides the group has taken over the last two years", which included shifting its emphasis on its North East heartland and the acquisition of food-led operation Bel & The Dragon and the Living Room business.

Turnover for the year rose 11.8 per cent to £36.3m, with pre-tax, pre-exceptional profits of £400,000, down from £1.4m in 2006.

Losses before tax were £2.6m, versus £3.6m in the previous year.

Overall like-for-like sales were up one per cent, while the focus on food sales was reflected in the 47 per cent like-for-like increase, "albeit from a relatively small base", noted Jones.

Jones said the profit fall was the result of by the short-term closure of the group's fifteen outlets for refurbishment and also losses incurred by its non-core sites.

He said there had been a great emphasis on investment over the course of the year in sites, refurbishment and marketing and training initiatives, adding that £7m of the £25m raised via a recent share placing remained available for further investment.

On current trading Jones noted that total group sales for the first nine weeks to September 2 year "are up 109 per cent 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 accounted for more than a fifth of total sales. "On a like for like basis we have maintained sales despite the smoking bans and poor summer weather," he concluded.