PLAY - Why Dave & Buster's Stock Was Sliding Today
Shares of Dave & Buster's Entertainment (NASDAQ: PLAY) were pulling back today after the eat-and-play chain posted dismal results in its second quarter. With much of its restaurant base closed during the period, analysts had expected sales to plunge, but the results were even worse than expected. As of 11:06 a.m. EDT on Friday, the stock was down 8.2%.
Image source: Dave & Buster's.
Revenue in the quarter tumbled 85% to $50.8 million, which was well below estimates at $80.9 million. The company closed down all of its restaurants on March 20, and started to gradually reopen them on April 30. Currently, it has reopened 89 of its 137 stores with all of them operating with reduced hours and capacity restrictions. At the 68 in its comparable base that are currently open, comps fell 42% in the two-week period ended Sept. 7.