Luminar invests in Chicago Rock Cafés
Luminar is planning to spruce up its Chicago Rock Café brand following a £6.7m pre-tax profit drop in its half-year results.
The group said that "exceptional summer weather" led to fewer late night revellers. Added to this, poor trading during early week periods contributed to a significant drop in visitors to Chicago Rock Cafes.
Pre-tax profits dropped to £20.5m in the 26 weeks to August 2003 from £27.2 for the same period in the previous year. Turnover rose 5% to £199.9m from £190.5m in 2002, but on a like-for-like basis turnover slumped by 5.9%.
Luminar plans to increase refurbishment spend across the Chicago Rock Café brand and has installed a new management team.
Over the last 18 months it has refurbished 11 Chicago Rock Cafés with an average spend in excess of £250,000. Sales in these operations have increased by 30%.
"The refurbishment programme is generating improved sales, but the trading environment remains difficult," said Stephen Thomas, chief executive.
The group has also created four new branded nightclubs to add to existing brands, which include Oceana and Lava, and has reviewed its current estate to convert some of these to new brands. Of its 160 nightclubs, 54 are in line for conversion.
by Christina Golding
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