Dave & Buster's Reports Quarterly Loss Amid Revenue Decline
Dave & Buster's Entertainment (NASDAQ:PLAY) reported a net loss of $12.5 million for the second quarter, marking a significant downturn from its previous earnings. The company saw revenue fall to $544.1 million compared to $557.4 million in the same period last year. Adjusted EBITDA also declined to $98.9 million from $129.7 million. Same-store sales dropped by 2.9%, an improvement over a previous decline of 5.4%. The company noted some positive trends, including improved food-and-beverage sales and plans for price increases due to inflation. Interim CFO Cory Hatton highlighted expected cost savings of $15 million in the next year without impacting guest experience. Management also anticipates further savings beyond this amount. Adjusted free cash flow turned positive at $19.5 million, contrasting with a negative figure from last year. CEO Darin Harper acknowledged ongoing consumer challenges but noted early signs of improvement into Q3. The company plans to keep capital spending below $200 million in 2026 and potentially reduce it further by up to $50 million for the following year, depending on investment opportunities.
Tickers: $PLAY