DALLAS, Sept. 15, 2025 (GLOBE NEWSWIRE) — Dave & Buster’s Entertainment, Inc., (NASDAQ:PLAY), (“Dave & Buster’s” or “the Company”), an owner, operator, and franchisor of entertainment and dining venues, today announced financial results for its second quarter of fiscal 2025 ended August 5, 2025.
Second Quarter 2025 Financial Summary
- Second quarter revenue was $557.4 million, a .05% increase compared to the second quarter of fiscal 2024.
- Comparable store sales decreased 3.0% compared to the same calendar period in fiscal 2024.
- Net income totaled $11.4 million, or $0.32 per diluted share, compared with net income of $40.3 million, or $0.99 per diluted share in the second quarter of fiscal 2024. Adjusted Net income totaled $14.1 million, or $0.40 per diluted share, compared with Adjusted Net income of $45.7 million, or $1.12 per diluted share in the second quarter of fiscal 2024.
- Adjusted EBITDA was $129.8 million compared to $151.6 million in the second quarter of fiscal 2024.
Other Highlights
- The Company appointed Tarun Lal as Chief Executive Officer and as a member of the Board of Directors effective July 14, 2025.
- The Company opened three new domestic Dave & Buster’s stores in the second quarter. Subsequent to the end of the second quarter, the Company opened an additional domestic Dave & Buster’s store and two additional Main Event stores.
- The Company opened its second international franchise store in India in the second quarter and expects to open at least five additional international franchise stores over the next six months.
- The Company completed the remodels of three Dave & Buster’s stores in the second quarter.
- The Company realized approximately $77 million in cash in the second quarter from sale leaseback and other real estate financing transactions.
- The Company’s same store sales quarter-to-date trends in the third quarter are consistent with where they were exiting the second quarter.
“I am deeply honored to take the helm and collaborate with this talented team to drive innovation, growth, and the company’s next chapter,” said Tarun Lal, Chief Executive Officer. “We operate strong brands, with an exceptional business model across a unique national footprint. In my first several weeks, I’ve visited stores across the nation and witnessed firsthand the pride and dedication of our teams and how much our customers love us. My immediate focus is clear: reinforce our guest-first culture, deliver memorable experiences, and drive meaningful growth in sales, cash flow and shareholder value. I am truly excited to help guide this business to realize it’s obvious and full potential with purpose, passion and excellence.”
Second Quarter 2025 Results
Total revenue was $557.4 million, a .05% increase from $557.1 million in the second quarter of fiscal 2024.
Comparable store sales decreased 3.0% versus the comparable period of fiscal 2024.
Operating income totaled $53.0 million compared with operating income of $84.5 million in the second quarter of fiscal 2024.
Net income totaled $11.4 million, or $0.32 per diluted share, compared with net income of $40.3 million, or $0.99 per diluted share in the second quarter of fiscal 2024. Adjusted Net income totaled $14.1 million, or $0.40 per diluted share, compared with an Adjusted Net income of $45.7 million, or $1.12 per diluted share in the second quarter of fiscal 2024.
Adjusted EBITDA totaled $129.8 million compared with Adjusted EBITDA of $151.6 million in the second quarter of fiscal 2024.
Store operating income before depreciation and amortization totaled $155.4 million compared with store operating income before depreciation and amortization of $173.5 million in the second quarter of fiscal 2024.
Cash Flow, Liquidity and Leverage
The Company generated $34.0 million in operating cash during the second quarter, ending the quarter with $443.3 million of available liquidity (cash plus availability under its $650.0 million revolving credit facility). The Company ended the quarter with a Net Total Leverage Ratio of 3.2x.1
Quarterly Report on Form 10-Q Available
The Company’s Quarterly Report on Form 10-Q, available at www.sec.gov and on the Company’s investor relations website, contains a thorough review of its financial results for the second quarter ended August 5, 2025.
Investor Conference Call and Webcast
Management will host a conference call to discuss these results on Monday, September 15, 2025 at 4:00 p.m. Central Time (5:00 p.m. Eastern Time). Both the live and archived webcast of the conference call are available at ir.daveandbusters.com. Participants in the U.S. can access the conference call by dialing toll-free (877) 883-0383, and international participants can access by dialing (412) 902-6506. The participant entry number is 4607246. A replay will be available after the call for one year beginning at 6:00 p.m. Central Time (7:00 p.m. Eastern Time) and can be accessed by dialing toll-free (877) 344-7529 or by the international toll number (412) 317-0088. The replay access code is 4186999.
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1 Net Total Leverage Ratio is defined in the Company’s Credit Facility as the ratio of the aggregate principal amount of any Consolidated Debt less Unrestricted Cash and unrestricted Permitted Investments to Credit Adjusted EBITDA.
About Dave & Buster’s Entertainment, Inc.
Founded in 1982 and headquartered in Coppell, Texas, Dave & Buster’s Entertainment, Inc., is the owner and operator of 240 stores in North America that offer premier entertainment and dining experiences to guests through two distinct brands: Dave & Buster’s and Main Event. The Company has 177 Dave & Buster’s branded stores in 43 states, Puerto Rico, and Canada and offers guests the opportunity to “Eat Drink Play and Watch” all in one location. Each store offers a full menu of entrées and appetizers, a complete selection of alcoholic and non-alcoholic beverages, and an extensive assortment of entertainment attractions centered around playing games and watching live sports and other televised events. The Company also operates 63 Main Event branded stores in 22 states across the country, and offers state-of-the-art bowling, laser tag, hundreds of arcade games and virtual reality, making it the perfect place for families to connect and make memories. Internationally, the Company is in early-stage growth as a franchisor of its brands with two Dave & Buster’s franchise stores currently open. For more information about each brand, visit daveandbusters.com and mainevent.com.
Forward-Looking Statements
The Company cautions that this release contains forward-looking statements. These forward-looking statements involve risks and uncertainties, including: our ability to continue as a going concern; our ability to obtain waivers, and thereafter continue to satisfy covenant requirements under our revolving credit facility; our ability to access other funding sources; our overall level of indebtedness; general business and economic conditions; the impact of competition; the seasonality of the Company’s business; adverse weather conditions; future commodity prices; guest and employee complaints and litigation; fuel and utility costs; labor costs and availability; changes in consumer and corporate spending; changes in demographic trends; changes in governmental regulations; unfavorable publicity; our ability to open new stores; and acts of God. Accordingly, actual results may differ materially from the forward-looking statements, and the Company therefore cautions you against relying on such forward-looking statements. The Company intends these forward-looking statements to speak only as of the time of this release and does not undertake to update or revise them as more appropriate information becomes available, except as required by law.
Non-GAAP Measures
To supplement its consolidated financial statements, which are prepared and presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”), the Company uses the following non-GAAP financial measures: Adjusted EBITDA, Credit Adjusted EBITDA (calculated in accordance with the Company’s Credit Facility), Net Total Leverage Ratio (calculated in accordance with the Company’s Credit Facility), Store operating income before depreciation and amortization, Adjusted net income, and Adjusted net income per share – Diluted, reconciliations of which can be found on the following pages (collectively the “non-GAAP financial measures”). The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. The Company uses these non-GAAP financial measures for financial and operational decision making and as a means to evaluate period-to-period comparisons. The Company believes that they provide useful information about operating results, enhance the overall understanding of our operating performance and future prospects, and allow for greater transparency with respect to key metrics used by management in its financial and operational decision making. The non-GAAP measures used by the Company in this press release may be different from the measures used by other companies or calculated differently than similar measures used by other companies.
For Investor Relations Inquiries:
Cory Hatton, Head of Entertainment Finance, Investor Relations & Treasurer
Dave & Buster’s Entertainment, Inc.
Cory.Hatton@daveandbusters.com
| DAVE & BUSTER’S ENTERTAINMENT, INC. | ||||||||||||||||||||||||
| Consolidated Statements of Operations | ||||||||||||||||||||||||
| (unaudited, in millions, except per share amounts) | ||||||||||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||||||||||
| August 5, 2025 (1) | August 6, 2024 (1) | August 5, 2025 (1) | August 6, 2024 (1) | |||||||||||||||||||||
| Entertainment revenues | $ | 364.5 | 65.4 | % | $ | 375.7 | 67.4 | % | $ | 731.1 | 65.0 | % | $ | 761.4 | 66.5 | % | ||||||||
| Food and beverage revenues | 192.9 | 34.6 | % | 181.4 | 32.6 | % | 393.9 | 35.0 | % | 383.8 | 33.5 | % | ||||||||||||
| Total revenues | 557.4 | 100.0 | % | 557.1 | 100.0 | % | 1,125.0 | 100.0 | % | 1,145.2 | 100.0 | % | ||||||||||||
| Cost of entertainment (1) | 29.2 | 8.0 | % | 32.9 | 8.8 | % | 59.8 | 8.2 | % | 66.1 | 8.7 | % | ||||||||||||
| Cost of food and beverage (1) | 47.2 | 24.5 | % | 48.9 | 27.0 | % | 98.8 | 25.1 | % | 103.0 | 26.8 | % | ||||||||||||
| Total cost of products | 76.4 | 13.7 | % | 81.8 | 14.7 | % | 158.6 | 14.1 | % | 169.1 | 14.8 | % | ||||||||||||
| Operating payroll and benefits (2) | 138.7 | 24.9 | % | 131.2 | 23.6 | % | 273.7 | 24.3 | % | 272.8 | 23.8 | % | ||||||||||||
| Other store operating expenses (2) | 186.9 | 33.5 | % | 170.6 | 30.6 | % | 375.3 | 33.4 | % | 346.6 | 30.3 | % | ||||||||||||
| General and administrative expenses (2) | 32.0 | 5.7 | % | 28.0 | 5.0 | % | 56.3 | 5.0 | % | 56.0 | 4.9 | % | ||||||||||||
| Depreciation and amortization expense | 65.2 | 11.7 | % | 57.5 | 10.3 | % | 128.4 | 11.4 | % | 120.3 | 10.5 | % | ||||||||||||
| Pre-opening costs | 4.1 | 0.7 | % | 4.1 | 0.7 | % | 10.1 | 0.9 | % | 7.4 | 0.6 | % | ||||||||||||
| Other charges and gains (2) | 1.1 | 0.2 | % | (0.6 | ) | -0.1 | % | 6.4 | 0.6 | % | 3.0 | 0.3 | % | |||||||||||
| Total operating costs | 504.4 | 90.5 | % | 472.6 | 84.8 | % | 1,008.8 | 89.7 | % | 975.2 | 85.2 | % | ||||||||||||
| Operating income | 53.0 | 9.5 | % | 84.5 | 15.2 | % | 116.2 | 10.3 | % | 170.0 | 14.8 | % | ||||||||||||
| Interest expense, net | 38.7 | 6.9 | % | 33.9 | 6.1 | % | 75.5 | 6.7 | % | 67.0 | 5.9 | % | ||||||||||||
| Income before provision for income taxes | 14.3 | 2.6 | % | 50.6 | 9.1 | % | 40.7 | 3.6 | ||||||||||||||||