Casinos & Hotels
Is Dave & Buster's Q4 Proving a Return to Its Popularity?
Published:
Last Updated:
When Dave & Buster’s Entertainment Inc. (NASDAQ: PLAY) released its fiscal fourth-quarter financial results after the markets closed on Tuesday, the company said that it had $0.75 in earnings per share (EPS) and $331.8 million in revenue. The consensus estimates had called for $0.63 in EPS and $323.29 million. In the same period of last year, it said it had $0.61 in EPS and $304.91 million in revenue.
During the most recent quarter, comparable store sales increased 2.9% on a comparable 52-week basis. This comparable store sales increase was driven by a 3.7% increase in walk-in sales and a 1.4% decrease in special events sales.
At the same time, total revenues increased 8.8%. Ultimately, this growth was driven by a 10.7% increase in Amusements and Other revenue and a 6.5% increase in Food and Beverage revenue. The mix of Amusement and Other as a percentage of total revenue increased 100 basis points to 55.5% in the fourth quarter of 2018 from 54.5% in last year’s fourth quarter.
Looking ahead to the 2019 fiscal full year, the company expects to see total revenues in the range of $1.37 billion to $1.40 billion, with comparable store sales in the range of flat to up 1.5%. Consensus estimates call for $1.16 in EPS and $368.08 million in revenue for the fiscal first quarter.
CEO Brian Jenkins commented:
We are pleased to finish the year on a strong note. On a comparable week basis, we drove double-digit revenue growth in Q4 as comparable store sales increased 2.9% and new store performance remained strong. 2018 was another year of record sales and EBITDA, and looking ahead to 2019, we are well positioned to deliver new revenue and EBITDA highs, and reinforce our leadership position in the combined entertainment and dining space.
Shares of Dave & Buster’s were last seen up about 4%, at $52.66 in a 52-week range of $37.85 to $67.05. The consensus price target is $62.11.
Want to Retire Early? Start Here (Sponsor)
Want retirement to come a few years earlier than you’d planned? Or are you ready to retire now, but want an extra set of eyes on your finances?
Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help you build your plan to retire early. And the best part? The first conversation with them is free.
Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
