U.K. Nightclub Operator Luminar Says 18-Week Sales Decline
Luminar Group Holdings Plc (LMR), a U.K. operator of bars, restaurants and nightclubs, reported same outlet sales in the 18 weeks to July 2 fell 11.7 percent.
Luminar is in talks with lenders over restructuring its debt, the Milton Keynes, southern England-based company said today in a regulatory statement. For the year ended Feb. 26 net interest costs increased to 8.7 million pounds ($13.9 million) while debt fell from 140 million pounds to 91.5 million pounds, the company said in May.
“We are downgrading our 2012 forecasts from 4.2 million pounds($6.7 million) loss before tax to 7.3 million pounds by assuming like-for-like sales fall by 9 percent,” wrote analysts at Numis Securities Ltd. in a notes to clients today. Numis Securities acts as joint broker and financial adviser to Luminar.
The company’s shares have fallen 58.8 percent so far this year, giving Luminar a market value of 6.51 million pounds. The shares fell 2 percent to 6.49 pence at the 4:30 p.m. close in London.
“The fundamental issue remains that the debt level is uncomfortably high and the economic backdrop is likely to remain unhelpful for some time,” wrote Greg Feehely, an analyst at Altium Capital Ltd., in London.
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