By Will Feuer
Shares of Bowlero jumped after the bowling-chain operator reported positive same-store sales for its fiscal second quarter and initiated a quarterly dividend.
The stock climbed 12% to $12.99 in premarket trading. Through Friday’s close, the stock was down more than 19% over the past 12 months.
On Monday, the company said same-store revenue rose 0.2%, reversing a couple of quarters of declines last year that stoked concerns around the health of consumer spending. Chief Executive Tom Shannon said the strong events business and Bowlero’s decision to bring back midweek promotions lifted sales.
Overall revenue rose almost 12% to $305.7 million, topping analysts’ expectations. Bowlero also raised its estimate for how much it plans to invest back into the business in the current fiscal year, mostly via acquisitions of other bowling alleys.
The company also said its board has approved the initiation of a quarterly dividend of 5.5 cents a share.
Write to Will Feuer at Will.Feuer@wsj.com
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