Profits up 18% for nightclub operator Luminar
THE UK’s largest nightclub operator, The Luminar Group, which has clubs across the West Midlands, has seen an 18% increase in full year profits.
The group, which operates Kuda in Tamworth, JJ’s in Coventry and Chicago’s bar in Stourbridge, said the performance followed a third consecutive year of growth.
The company, which now employs 3,000 people, and operates 58 nightclubs and bars nationwide, delivered a pre-tax profit of £3.7m (2014: £3.4m) and an EBITDA of £11.4m (2014: £9.7m).
The company has also opted to rebrand its corporate business as The Deltic Group, although this will not impact the trading names of its clubs and bars.
Commenting on the announcement, Peter Marks, the company’s chief executive, said: “At the time of acquisition, the board’s focus was on stabilising The Luminar Group and developing a clear strategy for growth. The company has now delivered its third year of growth, with its strategic focus on investing in its estate, people and entertainment to create great nights out for its customers, delivering strong results.
“The acquisition of eight sites from Chicago Leisure in 2014 marked a change in direction, with plans to develop a late night bar business to complement our existing nightclub offer. As such, the time is now right to change the company’s name to reflect its future strategy.”
The board chose the name Deltic (from the Greek letter Delta) to signify change. The business has already undergone significant change to refocus it.
It said the move to Deltic signified its intention to create the UK’s premier late night bar and club business by concentrating on new concepts, investing in its estate and its people and creating compelling ‘Big Night Outs’.
As part of its strategy to widen its exposure in the late night bar sector, The Deltic Group plans to invest £3m in transforming former Chicago Leisure sites into its new concept, Bar & Beyond, with the first site due to open in Chelmsford later this year.
Luminar has continued to invest over £8.5m in its estate with major refurbishments.
To maintain its position in the market, the company is upping spending levels, with investment up 50% during 2014. This has included partnerships with comedy clubs, Glee and Manford’s, a Student Big Night Out and a tour just announced with Jess Glynne.
“The Deltic Group is setting new standards in late night bars and clubs with well invested, stylish venues, high levels of customer service and unrivalled entertainment, to build our profile as the UK’s largest late night bar and club operator,” concluded Marks.
