Reporting results for the year to 29 February, in which it reported an 18% decline in like-for-like sales, the company said that it had disposed of sites in Banbury, Barnstaple and Swindon, and would now focus on five freehold and 12 leasehold units.
The operator of the Groove and Bliss nightclubs and the Chilli White bars saw turnover decline from £24.9m to £20.5m, while pre-tax profit stood at £1.9m, down from £4.1m the previous year.
It said: “Reduced consumer spending has continued to hit the sector hard and we report an 18% decline in year-on-year same-outlet sales. A strategic review has been undertaken to ensure that all units to remain in the group are profitable or of strategic importance to the long-term viability of the group. The aim of the restructure of the group is to achieve a return to underlying operating profitability.”
At the start of the year, subsidiary Company Time was placed into administration. The group wrote off £4.2m through the sale of Company Time’s assets.
The net book value of the group at the end of the period stood at £9.1m, down from close to £10m the year before, while net debt stood at £13.2m.
The group paid Volante £1.25m in management fees during the year and £2.2m to Volante Procurement for supplies provided.