Dave & Buster’s (NASDAQ:PLAY) earnings for the entertainment company’s second quarter of 2020 have PLAY stock taking a beating after markets closed on Thursday. That’s despite its diluted losses per share of $1.24 coming in above analysts’ estimates of $1.39. Unfortunately, its revenue of $50.83 million couldn’t reach analysts’ estimates of $80.93 million.
Now, let’s take a more thorough look into the most recent Dave & Buster’s earnings report.
- Diluted per-share losses are a negative switch from its earnings per share of 90 cents during the same time last year.
- Revenue for the quarter is sitting 85.3% lower than the $344.6 million reported in Q2 2019.
- Operating loss of $81.12 million is a major decline year-over-year from $46.21 million.
- The Dave & Buster’s earnings report also has net loss coming in at $58.6 million.
- That’s a massive drop from the company’s net income of $32.36 million reported in the same period of the year prior.
Brian Jenkins, CEO of Dave & Buster’s, said this in the earnings report.
“By continuing to refine our lean operating model, we believe we have lowered our near-term enterprise EBITDA breakeven sales index benchmark to approximately 50 percent to 55 percent of prior year sales, compared with the 60 percent sales index we initially estimated in June. We remain confident in our brand, our people, and our plan, and optimistic about our ability to emerge in an even stronger competitive position to deliver fun to our guests and value to our shareholders.”
Dave & Buster’s doesn’t discuss guidance in its current earnings report. However, it does note that 89 stores have reopened as of Wednesday.
PLAY stock was down 5.1% after-hours Thursday.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.