Bowlero Corp. (BOWL) came out with a quarterly loss of $0.01 per share versus the Zacks Consensus Estimate of $0.12. This compares to earnings of $0.18 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -108.33%. A quarter ago, it was expected that this company would post a loss of $0.04 per share when it actually produced a loss of $0.10, delivering a surprise of -150%.Over the last four quarters, the company has not been able t ...

Shares of Bowlero Corp. were on a roll Monday after the bowling-center operator and owner of the Professional Bowlers Association said it would start paying a dividend to shareholders and reported fiscal second-quarter revenue that rose above expectations.The company said it will pay out a cash dividend of 5.5 cents a share on March 8 to shareholders of record on Feb. 23.Based on the stock’s BOWL, +8.21% Friday closing price of $11.60, the annual dividend rate of 22 cents a share implies a dividend yield of ...

RICHMOND, Va.--(BUSINESS WIRE)--Bowlero Corp. (NYSE: BOWL) (“Bowlero” or the “Company”), one of the world’s premier operators of location-based entertainment, today provided financial results for the second quarter of the 2024 Fiscal Year, which ended on December 31, 2023. Quarter Highlights: Revenue increased 11.8% to $305.7 million versus the prior year and increased 65.4% versus 2QFY20 (quarter ended December 29, 2019) Revenue excluding Service Fee Revenue increased 13.4% to $304.0 million versus th ...

Part I - Financial Information This section provides a comprehensive overview of the company's financial performance, condition, and related disclosures [Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) This section presents Bowlero Corp.'s unaudited condensed consolidated financial statements and accompanying notes [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheet reflects increased assets and liabilities, primarily due to acquisitions and financing, resulting in an equity deficit Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | Dec 31, 2023 | Jul 2, 2023 | | :--- | :--- | :--- | | **Total Assets** | **$3,192,162** | **$2,841,274** | | Cash and cash equivalents | $189,955 | $195,633 | | Property and equipment, net | $806,096 | $697,850 | | Goodwill | $826,619 | $753,538 | | **Total Liabilities** | **$3,152,806** | **$2,541,724** | | Long-term debt, net | $1,134,076 | $1,138,687 | | Long-term financing obligations | $436,790 | $9,005 | | Earnout liability | $135,479 | $112,041 | | **Total stockholders' (deficit) equity** | **($104,973)** | **$155,221** | [Condensed Consolidated Statements of Operations](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Revenues increased for both periods, but the company reported net losses due to higher costs, increased expenses, and non-cash charges Three Months Ended Financial Performance (in thousands) | Metric | Dec 31, 2023 | Jan 1, 2023 | % Change | | :--- | :--- | :--- | :--- | | Revenues | $305,671 | $273,385 | 11.8% | | Gross Profit | $90,581 | $93,679 | (3.3)% | | Operating Profit | $49,477 | $60,436 | (18.1)% | | Net (Loss) Income | ($63,469) | $1,435 | N/A | Six Months Ended Financial Performance (in thousands) | Metric | Dec 31, 2023 | Jan 1, 2023 | % Change | | :--- | :--- | :--- | :--- | | Revenues | $533,076 | $503,645 | 5.8% | | Gross Profit | $135,065 | $158,737 | (14.9)% | | Operating Profit | $54,833 | $91,709 | (40.2)% | | Net Loss | ($45,250) | ($32,099) | (41.0)% | [Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Cash flows show decreased operating cash, increased investing for acquisitions, and financing from a sale-leaseback and share repurchases Six Months Ended Cash Flow Summary (in thousands) | Cash Flow Category | Dec 31, 2023 | Jan 1, 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $71,199 | $115,879 | | Net cash used in investing activities | ($246,666) | ($163,005) | | Net cash provided by financing activities | $169,738 | $5,126 | | **Net decrease in cash** | **($5,678)** | **($42,427)** | - Financing activities were primarily driven by **$408.5 million** in proceeds from a sale-leaseback financing transaction, offset by **$218.7 million** in share repurchases[91](index=91&type=chunk) - Investing activities included **$132.9 million** for acquisitions (net of cash acquired) and **$113.6 million** for purchases of property and equipment[89](index=89&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes detail accounting policies, acquisitions, a major sale-leaseback, ongoing litigation, share repurchases, and debt structure with risk management - During the six months ended December 31, 2023, the Company acquired Lucky Strike Entertainment, LLC, which includes **14** bowling centers, for a total consideration of **$90.475 million**[134](index=134&type=chunk) - On October 19, 2023, the Company completed a sale-leaseback transaction with VICI Properties Inc. for **38** bowling centers, valued at **$432.9 million**, receiving cash proceeds of **$408.5 million**[5](index=5&type=chunk) - The Company is defending against approximately **73** pending age discrimination claims filed with the EEOC between 2016 and 2019. The company cannot estimate a reasonably possible range of loss[15](index=15&type=chunk) - The Board of Directors declared a regular quarterly cash dividend of **$0.055** per share of common stock, payable on March 8, 2024[59](index=59&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=25&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses financial performance, revenue growth from acquisitions, increased costs leading to net loss, and strategic growth initiatives supported by strong liquidity [Overview and Recent Developments](index=26&type=section&id=Overview%20and%20Recent%20Developments) Bowlero focuses on long-term value through organic growth, acquisitions, and new center openings, including a major sale-leaseback and multiple center additions - The company's strategy focuses on organic growth, converting/upgrading centers, opening new centers, and acquisitions[33](index=33&type=chunk) - Completed a sale-leaseback transaction with VICI for **38** centers, valued at **$432.9 million**[62](index=62&type=chunk) - Acquired **19** bowling centers in **five** separate transactions[239](index=239&type=chunk) - Completed and opened **two** new build-outs, with **seven** more signed[34](index=34&type=chunk) - Renovations are underway at **15** centers, with about **30** more planned[211](index=211&type=chunk) [Results of Operations](index=27&type=section&id=Results%20of%20Operations) Q2 revenues increased due to acquisitions, but profitability declined due to rising costs, interest expenses, and non-cash charges, leading to a net loss Q2 Revenue Breakdown (in thousands) | Revenue Source | Q2 FY2024 | Q2 FY2023 | % Change | | :--- | :--- | :--- | :--- | | Same-store center revenues | $260,178 | $259,582 | 0.2% | | Media, new & closed centers | $43,860 | $8,454 | 418.8% | | Service fee revenue | $1,633 | $5,349 | (69.5)% | | **Total Revenues** | **$305,671** | **$273,385** | **11.8%** | Six-Month Revenue Breakdown (in thousands) | Revenue Source | H1 FY2024 | H1 FY2023 | % Change | | :--- | :--- | :--- | :--- | | Same-store center revenues | $465,763 | $476,945 | (2.3)% | | Media, new & closed centers | $64,059 | $16,376 | 291.2% | | Service fee revenue | $3,254 | $10,324 | (68.5)% | | **Total Revenues** | **$533,076** | **$503,645** | **5.8%** | - For the six months ended Dec 31, 2023, interest expense increased by **64%** to **$83.7 million**, primarily due to higher interest rates and increased debt levels compared to the prior year[43](index=43&type=chunk) [Liquidity and Capital Resources](index=31&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains sufficient liquidity from cash, operating cash flows, and capital markets to meet obligations and fund growth initiatives including acquisitions and share repurchases - The company had approximately **$189.955 million** of available cash and cash equivalents at December 31, 2023[74](index=74&type=chunk) - Management believes current liquidity sources are adequate to meet contractual obligations, fund working capital, planned capital expenditures, center acquisitions, and execute the share repurchase program[47](index=47&type=chunk) [Non-GAAP Financial Measures](index=30&type=section&id=Non-GAAP%20Financial%20Measures) Adjusted EBITDA, a non-GAAP measure, provides supplemental operating performance insights, showing an increase for Q2 but a decrease for the six-month period Adjusted EBITDA Reconciliation (in thousands) | Period | Net (Loss) Income | Adjusted EBITDA | | :--- | :--- | :--- | | **Three Months Ended** | | | | Dec 31, 2023 | ($63,469) | $103,126 | | Jan 1, 2023 | $1,435 | $96,955 | | **Six Months Ended** | | | | Dec 31, 2023 | ($45,250) | $155,260 | | Jan 1, 2023 | ($32,099) | $162,264 | - Management considers Adjusted EBITDA an important measure of the quality of the company's earnings, as it excludes items not believed to be indicative of core operating performance[44](index=44&type=chunk) [Quantitative and Qualitative Disclosures about Market Risk](index=32&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company faces market risks from interest rates, credit, and commodity prices, with interest rate risk partially mitigated by collar agreements - The company is exposed to interest rate risk on its term and revolving credit facilities. A **1.0%** change in the effective interest rate would impact annual interest expense by approximately **$11.4 million**[227](index=227&type=chunk) - To mitigate interest rate risk, the company entered into **two** interest rate collars on an aggregate notional amount of **$800 million** of its Term Loan. The collars establish a floor on SOFR between **0.9355%** and **0.9429%** and a cap of **5.50%**, maturing on March 31, 2026[12](index=12&type=chunk)[227](index=227&type=chunk) - The company faces commodity price risk from fluctuations in food, beverage, and energy costs, which can materially impact operating results if cost increases are not passed on to customers[94](index=94&type=chunk)[229](index=229&type=chunk) [Controls and Procedures](index=33&type=section&id=Item%204.%20Controls%20and%20Procedures) The CEO and CFO concluded that disclosure controls and procedures are effective, with no material changes to internal control over financial reporting - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of December 31, 2023[109](index=109&type=chunk) - No material changes were identified in the company's internal control over financial reporting during the quarter ended December 31, 2023[97](index=97&type=chunk) Part II - Other Information This section provides additional information including legal proceedings, risk factors, equity sales, and required exhibits [Legal Proceedings](index=33&type=section&id=Item%201.%20Legal%20Proceedings) This section refers to Note 10 for details on material pending legal proceedings, including ongoing age discrimination claims with the EEOC - For a description of material pending legal proceedings, the report refers to Note **10** - Commitments and Contingencies[119](index=119&type=chunk) [Risk Factors](index=34&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the company's risk factors as previously disclosed in its Annual Report on Form 10-K - There have been no material changes to the company's risk factors as disclosed in the Annual Report on Form 10-K for the year ended July 2, 2023[99](index=99&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=34&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During the quarter, the company repurchased 7.5 million shares of Class A common stock, with $54.2 million remaining for future purchases Issuer Purchases of Equity Securities (Q2 FY2024) | Period | Total Shares Purchased | Avg. Price Paid per Share | | :--- | :--- | :--- | | Oct 2 - Nov 5, 2023 | 5,082,260 | $10.55 | | Nov 6 - Dec 3, 2023 | 989,181 | $10.46 | | Dec 4 - Dec 31, 2023 | 1,445,414 | $11.23 | | **Total** | **7,516,855** | **$10.67** | - As of December 31, 2023, the remaining value of shares that may be purchased under the repurchase program was **$54.168 million**[99](index=99&type=chunk) [Exhibits](index=34&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including officer certifications and XBRL data files - The report includes standard exhibits such as CEO and CFO certifications (**31.1**, **31.2**, **32.1**, **32.2**) and XBRL interactive data files[123](index=123&type=chunk)

You want potential short-squeeze stocks that could have the bears running for cover? Great, we got ‘em right here! But first, we need to know the rules of the game. Let’s start with the definitions:Short interest: Number of shares borrowed from brokers to initiate the short trading activity.Short interest percentage of float: The percentage of the publicly available share count being “earmarked” as a short position.Short interest ratio (i.e. days to cover): The number of trading sessions necessary for bears ...

Bowlero Corporation (BOWL) , a global leader in bowling entertainment, continues its impressive growth trajectory with the acquisition of Ten Pin in Hilliard, OH. This buyout marks its 20th center addition in fiscal 2024. This strategic move follows the successful acquisitions of Niles Bowling center in Niles, IL, and BAM! Entertainment Center in Holland, MI, during the second quarter.The company, known for its iconic Lucky Strike brand, recently unveiled Lucky Strike Moorpark in Moorpark, CA. This 43,000 s ...

RICHMOND, Va.--(BUSINESS WIRE)--Bowlero Corporation (NYSE: BOWL), the global leader in bowling entertainment, announced today the naming of Lev Ekster, 40, as President of Bowlero Corp. Mr. Ekster has led the expansion of the Professional Bowlers Association (“PBA”) along with the Amusements and Leagues departments and most recently, Information Technology. He will report to Thomas Shannon, Founder, Chairman and CEO of Bowlero, and be responsible for daily management of Center Operations. “Over the past ...

NOVEMBER 2023 ▪ Expanding the PBA Elite League to a season-long event (five additional team shows on FS1) for the first time ▪ Launch of first-ever PBA All-Star Weekend in 2024 17 200 195 190 ▲ Audio-visual – Video screens at the end of the lanes and upgraded sound system Phase II: ▲ Rebranding – Rebrand name, including signage ▲ Transition to Upscale – Kitchen/bar replacement, front desk, changes to center layout (e.g., lane additions) Post-Investment – Illustrative 14 Illustrative Examples of Converted Ce ...

Bowlero Corp. (NYSE:BOWL) Q1 2024 Results Earnings Conference Call November 7, 2023 10:00 AM ET Company Participants Bobby Lavan - Chief Financial Officer Thomas Shannon - Founder, Chief Executive Officer and President Conference Call Participants Matthew Boss - J.P. Morgan Randy Konik - Jefferies & Company Steven Wieczynski - Stifel Financial Corp. Jason Tilchen - Canaccord Genuity Group Inc. Ian Zaffino - Oppenheimer & Co. Jeremy Hamblin - Craig-Hallum Eric Wold - B. Riley Securities Daniel Moore - CJS Se ...

Financial Performance - For the quarter ended October 1, 2023, revenues totaled $227,405, representing a decrease of $2,855, or 1%, compared to the same period last fiscal year[175]. - Same-store revenues decreased by $15,522, or 6.9%, to $209,146 for the quarter ended October 1, 2023, compared to $224,668 for the same period last year[175]. - For the quarter ended October 1, 2023, the company reported a net income of $18,219, compared to a net loss of $33,534 for the same period in 2022[187]. - Adjusted EBITDA for the quarter was $52,134, down from $65,309 in the prior year, reflecting a decrease of approximately 20%[187]. - Net cash provided by operating activities decreased to $16,083 from $35,573, a decline of $19,490 year-over-year[190]. Costs and Expenses - Cost of revenues increased by $17,719, or 11%, primarily due to higher labor, supplies, and maintenance costs, resulting in cost of revenues as a percentage of revenues rising from 72% to almost 80%[177]. - Selling, general and administrative expenses (SG&A) rose by $5,271, or 16%, to $37,765, with SG&A as a percentage of revenues increasing from 14% to approximately 17%[178]. - Interest expense increased by $13,879, or 59%, to $37,449, primarily due to higher interest rates and increased debt obligations[179]. Investments and Acquisitions - The company made three acquisitions, acquiring 17 bowling entertainment centers during the quarter, with two additional centers expected to close in the second quarter of fiscal year 2024[169]. - The company utilized $176,576 in investing activities, significantly higher than $62,492 in the same period last year, primarily due to the acquisition of Lucky Strike[191]. - The company entered into a transaction with VICI Properties Inc. for the transfer of land and real estate assets of 38 bowling entertainment centers valued at $432,900[171]. - The company expects to continue investing in accretive acquisitions and center upgrades in future periods[191]. Operational Developments - One new build-out was completed and opened during the quarter, with seven signed agreements for future build-outs in prime markets[170]. - Renovations and remodels are currently underway at 14 bowling centers[171]. - The company anticipates continued organic growth and market expansion through acquisitions and upgrades of existing centers[166]. Cash and Financing - Financing activities generated $5,091, with proceeds from revolver draws of $140,000, partially offset by $130,140 for treasury stock repurchase[192]. - As of October 1, 2023, the company had approximately $40,088 in available cash and cash equivalents[188]. Tax and Interest Rate Impact - The effective tax rate for the quarter was (113.4)%, primarily due to income recognized for book purposes associated with changes in fair value of the earnout liability[181]. - An increase or decrease of 1.0% in the effective interest rate would impact interest expense by approximately $12,870 over a twelve-month period[200]. Market Risks - The company is exposed to market price fluctuations in food, beverage, supplies, and energy costs[202]. - Historical volatility in food product prices, including proteins, produce, dairy products, and cooking oil, can materially impact food costs[202]. - Purchasing commitments partially mitigate the risk of price fluctuations, but supply and demand factors can still cause price changes[202]. - External factors such as disease or inclement weather may influence commodity prices used in food operations[202]. - The cost of purchased materials may be affected by tariffs and trade regulations beyond the company's control[202]. - If the company does not pass along cost increases to customers, its operational results may be adversely affected[202].