Dave & Buster’s reports Q3 adjusted EPS (45c), consensus (36c)

Reports Q3 revenue $453M, consensus $463.74M. Comparable store sales decreased 7.7%. “During the quarter, we continued to make progress towards our long-term strategic goals. We opened up three new stores, which are on track to generate strong cash on cash returns as we have consistently demonstrated throughout our history. We completed 11 new fully programmed remodels and are on track to have 44 completed by the end of fiscal 2024. Our fully programmed remodels continue to outperform the rest of the store base and we are excited for the opportunity these remodels give us to drive traffic, sales and EBITDA,” said Darin Harper, Chief Financial Officer of Dave & Buster’s. “Additionally, we saw strong year over year growth in our special events business and remain optimistic about the prospects for our special events business in the coming months following the rollout of our new banquet menu and the investments we made in our in-store managers. Despite this progress, our financial results for the third quarter, which is historically our lowest seasonal volume quarter of the year, were negatively impacted as compared to the prior year quarter by a material fiscal calendar mismatch, adverse weather across many important regions, disruption to certain stores in our comp set as they underwent remodel construction and certain unusual items in the prior year affecting comparability. The rest of the management team and I believe strongly in the strategic direction of this company and are committed to moving the plan forward.”