Thursday, September 21, 2017 | Today's Vending Industry News
Dave & Buster's Stock Surges 35% In 2016, Thanks To Amusements

Posted On: 1/27/2017

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TAGS: amusement machine business, Dave & Buster's Entertainment Inc., Motley Fool, Dave & Buster's third quarter 2016

DALLAS -- Market watchers are saying investors in Dave & Buster's Entertainment Inc. were big winners last year, as value in the restaurant and arcade chain jumped 35%. Much of the gains came on a pair of strong earnings reports, especially in December, as the company's results continue to exceed analyst estimates, Motley Fool reported.

In its third-quarter earnings report, announced on Dec. 6, Dave & Buster's posted a total revenue increase of 19% to $228.7 million from $192.8 million in the previous period. Comparable store sales rose 5.9%, versus with an 8.8% increase the year prior.

As an investment, Motley Fool says Dave & Buster's has been a champion since its 2014 IPO, more than tripling since then. That's because, according to the multimedia financial services company, when much of the restaurant industry is complaining of declining traffic and a "restaurant recession," Dave & Buster's continues to put up strong growth numbers thanks in part to its amusement machine segment.

Motley Fool points out: Dave & Buster's makes more than half of its revenue from amusements, and that segment is significantly more profitable than food and beverage, giving the company several advantages over traditional restaurant operations.

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Dave & Buster's Entertainment Inc. Announces Third-Quarter 2016 Financial Results