Hollywood Bowl revenue reaches record in first half

16th Apr 2024 09:56

(Sharecast News) - Hollywood Bowl reported a record first-half revenue of £119.2m in a trading update on Tuesday, making for an 8.1% increase year-on-year.

The FTSE 250 company said UK revenue was up 4.4% on the year at £103.3m, while in Canada, it surged 46.9% at constant currency for the six months ended 31 March, to CAD 27m (£15.9m).

Its performance was further bolstered by positive like-for-like revenue growth, with the UK registering a 1.3% and Canada seeing 8.0% like-for-like revenue growth.

The group said it completed three refurbishments in the UK during the half-year, all of which were performing in line with expectations.

It opened one new centre in the UK and two in Canada, bringing its total portfolio to 71 UK centres and 11 Canadian centres.

Financially, the group said it maintained a robust position, with a net cash position of £41.4m as of the end of March, complemented by an undrawn £25m revolving credit facility.

Looking ahead, Hollywood Bowl said it was optimistic about its prospects for the full 2024 financial year, despite the prevailing economic challenges for consumers.

"We are pleased with the strong trading performance achieved in the first half of the year, particularly in the context of a very strong prior year comparative," said chief executive officer Stephen Burns.

"It reflects the continued demand for high quality, great value and fun leisure activities that families, friends and colleagues can enjoy together.

"Our teams play a very important role in our success and their excellent service and dedication to our customers' experience is reflected in growing customer service scores."

Burns said the company was continuing to work to evolve its value-for-money customer proposition, including investment in innovation, technology, and sustainability programmes.

"Our strong cash position means we are well placed to continue to invest in improving and expanding our portfolio, both in the UK and Canada, and continue to create value for all our stakeholders."

At 0925 BST, Hollywood Bowl Group shares were down 1.64% at 330p.

Reporting by Josh White for Sharecast.com.