The first quarter of 2017 has been a record breaker for Dave and Buster’s, with the company achieving a personal high in net income.
The company’s net income for Q1 2017 was US$42.8m and its board has also authorised the repurchase of an additional $100m of common stock.
Total revenues increased 16.1 per cent to $304.1m from $262m. Four new stores were opened, with comparable store sales increasing 2.2 per cent. EBITDA increased 22.5 per cent to $88.2m from $72m.
“We have grown our footprint by more than 14 per cent over the last 12 months,” said Steve King, chief executive officer. “This unit expansion, combined with a 2.2 per cent increase in comparable store sales, drove 16 per cent revenue growth during our first quarter this year. Our non-comp store base is performing well and we are very pleased with our 2017 store openings. Additionally, I'm proud our comparable store sales growth has now exceeded the competitive casual dining benchmark for 20 consecutive quarters.”
Brian Jenkins, chief financial officer, said: “For the quarter, we drove EBITDA growth of 22.5 per cent, expanded EBITDA margins by 150 basis points and, excluding the use tax settlement, see a still robust 19 per cent EBITDA growth and 70 basis points improvement in EBITDA margin. This impressive performance, combined with strong operating cash flows and a healthy balance sheet, provides us significant flexibility. We remain focused on returning value to shareholders as well as optimising our capital structure and are pleased our board has authorised an additional $100m in share repurchases.”
