Dave & Buster's Stock Drops Sharply Following Unexpected Quarterly Loss
Shares of Dave & Buster’s (PLAY) fell nearly 13% to $7.42, their lowest level since early 2020, after the company reported a surprise quarterly loss and revenue that missed expectations. The entertainment segment saw arcade game sales decline by 9%, while costs increased due to store remodeling and expansion efforts. The second-quarter adjusted loss came in at 27 cents per share compared to an expected profit of 22 cents per share, with total revenue dropping 2% year-over-year to $544.1 million. The company has previously warned that inflation is hindering its sales growth and recently experienced leadership changes after the CEO’s retirement. Dave & Buster's stock has fallen over 50% this year and nearly 70% in the past twelve months, reflecting ongoing challenges for the restaurant-arcade operator.
Tickers: $PLAY