Hollywood Bowl strikes double figures profit growth
Shares in UK bowling alley operator Hollywood Bowl have shot up this morning after it said it expected profit growth to be over 10 per cent in the year to 30 September.
Read more: Hollywood Bowl boosts revenue in strong first half
The firm said that due to the good performance, it is considering returning capital to shareholders. Shares had risen 5.3 per cent shortly before 9am, taking them to 239p.
The UK’s biggest bowling alley operator now expects total revenue for the year to have grown 7.7 per cent, with like-for-like revenue growth of 5.5 per cent.
In a trading statement, Hollywood Bowl said product innovations, new bowling alley openings, refurbishments and a rebrand had all paid off.
Stephen Burns, chief executive, said: “I am delighted to report another year of strong financial and operational performance for the group.”
“Our positive like-for-like revenue, with growth seen in all revenue streams, is underpinned by the consistent execution of our customer-led strategy.”
Hollywood Bowl said its cash position is strong, as are its returns from an ongoing investment programme.
“Therefore, in line with the group’s capital allocation policy, the Board is considering returning additional capital to the group’s shareholders,” the company said in its statement.
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Burns said: “We continue to create value for all of our stakeholders, through the evolution of our great value family entertainment offering and returns generated on our investment in people and centres alike.”
(Image credit: Getty)