We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Dave & Buster's (PLAY) Q4 Earnings Miss Estimates, Stock Down
Read MoreHide Full Article
Dave & Buster's Entertainment, Inc. (PLAY - Free Report) reported fourth-quarter fiscal 2021 results, wherein earnings and revenues missed the Zacks Consensus Estimate. The bottom line missed the consensus mark after beating the same in the preceding six quarters. However, both the metrics improved year over year. Following the announcement, shares of the company declined 7.2% in the after-hours trading session on Mar 28.
Dave & Buster’s board chair and interim CEO, Kevin Sheehan, said, “Fiscal 2021 was a demanding year but our store management teams – and all of our team members rose to the challenge working tirelessly to return our stores to fully operational status. Despite continuing headwinds from COVID-19 (including vaccine requirements in certain markets) we saw strong sales across our stores in fiscal 2021.”
Earnings & Revenues in Detail
During the fiscal fourth quarter, the company reported adjusted earnings per share of 52 cents, which lagged the Zacks Consensus Estimate of 61 cents. In the year-ago quarter, it had reported an adjusted loss per share of $1.19.
Quarterly revenues of $343.1 million lagged the consensus mark of $364 million. In the prior-year quarter, the company reported revenues of $116.8 million. Revenues decreased 1.2% compared with third-quarter fiscal 2019.
Food and Beverage revenues (35% of total revenues in the fiscal fourth quarter) soared 198.6% year over year to $40.2 million. Amusement and Other revenues (65%) soared a whopping 191.1% year over year to $223 million.
Dave & Buster's Entertainment, Inc. Price, Consensus and EPS Surprise
During the fiscal fourth quarter, comparable store sales decreased 6.8% compared with the 2019 level. Including all stores, comparable store sales dipped 0.4% compared with the 2019 level. Meanwhile, non-comparable store revenues in the reported quarter were $65.8 million, up from $27.3 million in the year-ago quarter.
Operating Highlights
During the fiscal fourth quarter, operating income amounted to $46.5 million against an operating loss of $56 million in the prior-year quarter. Operating margin was 7.7% against (51.4%) reported in the prior-year quarter. During the quarter under review, adjusted EBITDA was $68.2 million, up 47.4% year over year.
Balance Sheet
As of Oct 31, 2021, cash and cash equivalents totaled $27 million compared with $54 million reported in the prior-year quarter.
At the end of the fiscal fourth quarter, net long-term debt totaled $431.4 million compared with $484.7 million at the end of third-quarter 2021.
Fiscal Q1 Business Update
During the first eight weeks of first-quarter fiscal 2022, the company witnessed sustained recovery in business, with comps increasing 5.4% from the 2019 level. Walk-in comparable store sales rose 9.1%, while Special Event comparable-store sales slumped 42% for the eight-week period compared with 2019.
Some better-ranked stocks in the Zacks Retail-Wholesale sector include Genesco Inc. (GCO - Free Report) , Arcos Dorados Holdings Inc. (ARCO - Free Report) and Tapestry, Inc. (TPR - Free Report) .
Genesco sports a Zacks Rank #1. The company has a trailing four-quarter earnings surprise of 2,739.6%, on average. Shares of the company have gained 43.9% in the past year.
The Zacks Consensus Estimate for Genesco’s 2022 sales and EPS suggests growth of 35.5% and 677.1%, respectively, from the year-ago period’s levels.
Arcos Dorados carries a Zacks Rank #2. ARCO has a long-term earnings growth of 24.7%. Shares of the company have surged 63.1% in the past year. The Zacks Consensus Estimate for Arcos Dorados’ 2022 sales and EPS suggests growth of 35% and 120.8%, respectively, from the year-ago period’s levels.
Tapestry carries a Zacks Rank #2. The company has a trailing four-quarter earnings surprise of 28.2%, on average. Shares of the company have declined 4.5% in the past year.
The Zacks Consensus Estimate for Tapestry’s 2022 sales and EPS suggests growth of 17.5% and 22.9%, respectively, from the year-ago period’s levels.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Dave & Buster's (PLAY) Q4 Earnings Miss Estimates, Stock Down
Dave & Buster's Entertainment, Inc. (PLAY - Free Report) reported fourth-quarter fiscal 2021 results, wherein earnings and revenues missed the Zacks Consensus Estimate. The bottom line missed the consensus mark after beating the same in the preceding six quarters. However, both the metrics improved year over year. Following the announcement, shares of the company declined 7.2% in the after-hours trading session on Mar 28.
Dave & Buster’s board chair and interim CEO, Kevin Sheehan, said, “Fiscal 2021 was a demanding year but our store management teams – and all of our team members rose to the challenge working tirelessly to return our stores to fully operational status. Despite continuing headwinds from COVID-19 (including vaccine requirements in certain markets) we saw strong sales across our stores in fiscal 2021.”
Earnings & Revenues in Detail
During the fiscal fourth quarter, the company reported adjusted earnings per share of 52 cents, which lagged the Zacks Consensus Estimate of 61 cents. In the year-ago quarter, it had reported an adjusted loss per share of $1.19.
Quarterly revenues of $343.1 million lagged the consensus mark of $364 million. In the prior-year quarter, the company reported revenues of $116.8 million. Revenues decreased 1.2% compared with third-quarter fiscal 2019.
Food and Beverage revenues (35% of total revenues in the fiscal fourth quarter) soared 198.6% year over year to $40.2 million. Amusement and Other revenues (65%) soared a whopping 191.1% year over year to $223 million.
Dave & Buster's Entertainment, Inc. Price, Consensus and EPS Surprise
Dave & Buster's Entertainment, Inc. price-consensus-eps-surprise-chart | Dave & Buster's Entertainment, Inc. Quote
Comps Details
During the fiscal fourth quarter, comparable store sales decreased 6.8% compared with the 2019 level. Including all stores, comparable store sales dipped 0.4% compared with the 2019 level. Meanwhile, non-comparable store revenues in the reported quarter were $65.8 million, up from $27.3 million in the year-ago quarter.
Operating Highlights
During the fiscal fourth quarter, operating income amounted to $46.5 million against an operating loss of $56 million in the prior-year quarter. Operating margin was 7.7% against (51.4%) reported in the prior-year quarter. During the quarter under review, adjusted EBITDA was $68.2 million, up 47.4% year over year.
Balance Sheet
As of Oct 31, 2021, cash and cash equivalents totaled $27 million compared with $54 million reported in the prior-year quarter.
At the end of the fiscal fourth quarter, net long-term debt totaled $431.4 million compared with $484.7 million at the end of third-quarter 2021.
Fiscal Q1 Business Update
During the first eight weeks of first-quarter fiscal 2022, the company witnessed sustained recovery in business, with comps increasing 5.4% from the 2019 level. Walk-in comparable store sales rose 9.1%, while Special Event comparable-store sales slumped 42% for the eight-week period compared with 2019.
Dave & Buster's carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Key picks
Some better-ranked stocks in the Zacks Retail-Wholesale sector include Genesco Inc. (GCO - Free Report) , Arcos Dorados Holdings Inc. (ARCO - Free Report) and Tapestry, Inc. (TPR - Free Report) .
Genesco sports a Zacks Rank #1. The company has a trailing four-quarter earnings surprise of 2,739.6%, on average. Shares of the company have gained 43.9% in the past year.
The Zacks Consensus Estimate for Genesco’s 2022 sales and EPS suggests growth of 35.5% and 677.1%, respectively, from the year-ago period’s levels.
Arcos Dorados carries a Zacks Rank #2. ARCO has a long-term earnings growth of 24.7%. Shares of the company have surged 63.1% in the past year.
The Zacks Consensus Estimate for Arcos Dorados’ 2022 sales and EPS suggests growth of 35% and 120.8%, respectively, from the year-ago period’s levels.
Tapestry carries a Zacks Rank #2. The company has a trailing four-quarter earnings surprise of 28.2%, on average. Shares of the company have declined 4.5% in the past year.
The Zacks Consensus Estimate for Tapestry’s 2022 sales and EPS suggests growth of 17.5% and 22.9%, respectively, from the year-ago period’s levels.