Shares of Bowlero Corp. rose nearly 4% in after-hours trading Thursday after the bowling-center chain reported fourth-quarter sales that were well above analysts’ estimates, citing strong enthusiasm for bowling from both walk-in customers and larger groups.
The company, which runs more than 300 bowling centers across North America, reported net income of $ 6.9 million during the quarter. Bowlero’s BOWL, -3.85% earnings release did not disclose an earnings per share figure.
Sales came in at roughly $ 267.7 million, up 68.3% from a year earlier.
Analysts polled by FactSet expected the company to earn 4 cents per share, on sales of $ 195.2 million.
Shares rose 3.7% after hours. The company reported the results as Wall Street tries to gauge demand for entertainment, with prices for basics still elevated.
Management attributed the sales gains to “continued strong growth in walk-in retail and accelerated further by significant growth in event revenue.” It said sales for the quarter were up 72.2% from pre-pandemic levels.
“We continue to see very strong demand in our bowling centers, which is driving significant same-store sales growth relative to both prior-year and pre-pandemic levels,” Brett Parker, Bowlero’s CFO, said in a statement.
“Additionally, the new units are accelerating our growth rates, as we opened four new locations during the quarter,” he said.
Bowlero stock is up 49% so far this year, while the S&P 500 SPX, -1.13% is down 18% over that time.