Finance director Russell Margerrison said year-on-year sales at its first Pryzm sites in Bristol and Kingston-on-Thames, south-west London, are up between 35% and 40%, and 80% respectively. The group plans to convert one more Oceana — in Cardiff — to the format.
Last week Luminar reported a 34% rise in EBITDA (earnings before interest, tax, depreciation and amortisation, pre non-recurring costs) to £9.7m in the year to 22 February and said its investment programme is starting to deliver results, with returns on investment at recent refurbishments exceeding 40%. Pre-tax profit grew from £1.3m to £3.4m on turnover down 1.8% to £88.3m.
The four-strong Pryzm was developed to replace Oceana. CEO Peter Marks told the Publican's Morning Advertiser's sister title M&C Report: “We are likely to develop another one in Cardiff in the summer.
“We don’t have certain plans to develop any of the other Oceanas as Pryzm, mainly because they’re trading really well and it’s all about the return on investment.”
Refurbishments
The spend on major refurbishments in 2013/2014 was £5.3m and Margerrison said he expects the level to be c.£5m this year.
Regarding plans for the Liquid concept, Marks said: “There will be more Liquids refurbished but they won’t be all one single brand.
“For example, we opened Fiction in Romford [east London] last year and that’s been a phenomenal success, one of our best returns in fact.
“We may well use the Fiction brand in Hanley [Staffordshire]. We are quite flexible in our approach. We don’t want to just replace all the Liquids with one brand, and all the Oceanas with one brand. We’re taking a far more localised view.”
Targets
Luminar acquired two venues in 2013/2014. There are no targets for acquisitions this year. Margerrison said the priority is the existing estate.
Marks said the overall trading environment is “certainly improving”.
However, he added, trade in some northern and Midlands towns is “tougher”.