Did Lucky Strike beat or miss consensus estimates last quarter?

What is the revenue and EPS growth rate for Lucky Strike year over year?

What is Lucky Strike's latest dividend and current dividend yield?

What does Lucky Strike do and what are its main business segments?

What is Lucky Strike's gross profit margin?

What factors drove the changes in Lucky Strike's revenue and profit?

What guidance did Lucky Strike's management provide for the next earnings period?

What were the key takeaways from Lucky Strike's earnings call?

- **Revenue Growth**: 2.3% total revenue driven by retail (+1.7%) and leagues, with events improving mid-single digits in January.
- **Investment Shift**: Balanced approach with optimized payroll and marketing; tablets increased check size 7%, inefficient labor trimmed.
- **Water Park EBITDA**: Q4 growth from Boomers (+25%) and Raging Waters, with liquor license for next year.
- **Brand Simplification**: 100+ Lucky Strike conversions and AMF refresh drive marketing efficiency, with 1 billion impressions Q2.
- **Challenges**: $5M weather impact and permitting delays for expansions.

**【CEO Summary Section】**
- Q2 2026 revenue grew 2.3% with same-store sales comp of +0.3%, driven by retail (+1.7%) and leagues. Events showed improvement, up mid-single digits in January after dynamic pricing and marketing changes.
- Acquired Raging Waters, California's largest water park, to boost summer EBITDA. Converted 30 Bowleros to Lucky Strike, targeting 200 by end-2026 for brand simplification.
- Shifted to balanced growth, optimizing investments in payroll and marketing for higher ROI. Tablets in 125 locations increased check size 7%, while inefficient labor hours were trimmed.

**【CFO Financial Commentary】**
- Q2 EBITDA impacted by $6M payroll and $4M marketing investments, with mixed returns. Tablets and rebranding effective, but some labor underperformed.
- Water parks and FECs contributed $300M+ EBITDA drag in Q2, expected to turn in Q4 with Boomers up 25% and Raging Waters expansion.
- Acquired $95M in assets YTD, focusing on summer 2026 performance without new acquisitions.

**【Q&A Key Highlights】**
- **EBITDA Guidance Confidence**: Events turnaround in January (+double digits) offset snowstorm losses ($5M). Q4 EBITDA growth from water parks and reduced drag.
- **Food & Beverage Performance**: Non-alcoholic up 26.2%, zero-proof programs (craft lemonades, boba) successful. Alcohol down 4.7% due to societal trends.
- **Water Park Expansion**: Raging Waters to apply for liquor license next year. Permitting delays for Raging Waves expansion (2027 opening).
- **Brand Strategy**: 100+ Lucky Strike conversions drive marketing efficiency. AMF refresh targets value-oriented customers.
- **Weather Impact**: Snowstorms cost $5M in Q2, but January still up after rebound.


Lucky Strike Entertainment Corporation (LUCK) Q2 2026 Earnings Call Transcript

- **Revenue Growth Acceleration**: Q1 2026 total revenue up 12%, adjusted EBITDA +15%, driven by 1.4% same-store sales and 2% league revenue growth.
- **F&B Success Story**: F&B revenue up 10%, with $8.5M generated by "Pizza and Picture" combo and 5 consecutive weeks of record sales.
- **Strategic Rebranding**: 74 locations rebranded to Lucky Strike, with Times Square location seeing 36% retail growth post-rebrand.
- **Debt Optimization**: $1.7B refinancing at 7% WACC, reducing CapEx to $26M (down 38% YoY).
- **Geographic Focus**: Shifting to high-margin markets (NY, TX, FL) while managing California tech layoffs impact.
- **Organic Growth Priority**: $130M CapEx target, focusing on F&B innovation and event booking efficiency.
- **Water Park Expansion**: 1M+ guests added through acquisitions, with 10% F&B growth at Raging Waves.
- **League Engagement**: 3,000+ new league bowlers and exclusive menu items driving $1.3M platter sales.
- **Cost Discipline**: 70 basis points EBITDA margin expansion, with 600-800 basis points improvement expected in future quarters.


**【Management Opening Remarks】**
- CEO Thomas Shannon highlighted Q1 2026 total revenue growth of 12% and adjusted EBITDA up 15%, driven by 1.4% same-store sales growth and 2% league revenue increase. The company completed a $1.7 billion debt refinancing at a 7% weighted average cost of capital.
- CFO Robert Lavan emphasized disciplined capital allocation with Q1 CapEx of $26 million (down 38% YoY) and a $306 million real estate acquisition to reduce rental exposure. The company also acquired 5 water parks and family entertainment centers, adding 1 million+ annual guests.
- President Lev Ekster announced the rebranding of 74 locations to the Lucky Strike brand, with plans to complete 200 rebrands by 2026. Times Square location saw 36% retail revenue growth post-rebrand.

**【CEO Commentary】**
- Thomas Shannon highlighted the success of the food and beverage (F&B) strategy, with Q1 F&B revenue up 10% and 5 consecutive weeks of record F&B sales. The "Pizza and Picture" combo generated $8.5 million in 5 months.
- The company introduced platters for group dining and craft lemonade programs, driving attachment rates and NPS scores. League bowlers contributed $1.3 million in platter sales in 3 months.
- The events business saw a 160 basis point drag from corporate bookings but October was the strongest month in 1.5 years, with 5% growth in walk-in retail and 2% increase in average price per game.

**【CFO Financial Commentary】**
- Robert Lavan noted EBITDA margin expansion of 70 basis points, driven by operating leverage and $2.5 million in incremental marketing spend. Q1 was the lowest margin quarter, with 600-800 basis points of margin improvement expected in subsequent quarters.
- Same-store sales guidance for 2026 is 1-5%, with stronger inorganic growth in Q1 and Q4 from water park acquisitions. California and Washington face headwinds from tech layoffs, but New York, Texas, and Florida are performing well.
- The company expects to stay below $130 million CapEx guidance, focusing on organic growth and free cash flow generation. M&A activity will be opportunistic, with priority on internal initiatives like F&B innovation.

**【Q&A Highlights】**
- F&B attachment rates at Lucky Strike locations are 50% higher than Bowlero locations, with potential $125-150 million annual upside. League bowlers are responding to exclusive menu items, with 5 consecutive weeks of record F&B sales.
- The events business is transitioning to online booking (double-digit growth) and focusing on high-margin geographies like New York and Florida. The Summer Pass promotion drove $1.3 million in incremental revenue, and the Black Friday sale will prioritize marketing spend efficiency.
- Water park acquisitions in North Carolina and Los Angeles are performing above historical averages, with 10% F&B growth and alcohol sales at Raging Waves. Shipwreck and Big Destin locations are being renovated to match Lucky Strike standards.
- The company is testing BOA iced teas and dirty sodas, with plans to expand craft beverage offerings. Food quality improvements and staff training are driving 10% F&B growth without price increases.


Lucky Strike Entertainment Corporation (LUCK) Q1 2026 Earnings Call Transcript

- **Revenue Growth Accelerating**: 4% FY2025 growth, double-digit July expansion, and $13.4M season pass sales highlight organic momentum.
- **Strategic Acquisitions Paying Dividends**: $306M real estate purchase and 2 water park acquisitions add $7M EBITDA, with FY26 guidance of $375M-$415M EBITDA.
- **F&B Innovation Driving Margin**: Craft lemonade generates $5M annualized, while alcohol-free cocktails and team-building initiatives boost guest satisfaction.
- **Marketing Investment Payoff**: $1M incremental spend drives 42% season pass growth, with plans to scale to 2.5%-3% of revenue.
- **California Recovery Expected**: Off-line events business improving, with comps expected to stabilize in Q4 FY26.

**【CEO Summary Section】**
- **Revenue Growth**: Fiscal 2025 ended with 4% revenue growth, driven by double-digit July growth and acquisitions of 2 iconic water parks and 3 family entertainment centers (FECs). Total guest visits exceeded 1.5 million annually across new assets.
- **Acquisition Strategy**: $306M real estate purchase of 58 locations is immediately accretive, highlighting long-term asset value and operational flexibility. Boomers FECs and water parks added $7M EBITDA in Q4.
- **Organic Momentum**: July saw double-digit total revenue growth, with same-store sales improving sequentially each month in Q4. Season pass sales grew 42% to $13.4M, boosting guest engagement and F&B spend.

**【CFO Financial Commentary】**
- **Q4 Results**: Total revenue $301.2M (+6.1% YoY), Adjusted EBITDA $88.7M (+6.3% YoY). Same-store sales declined 4.1% due to California weakness, offset by F&B outperformance (+2.5% food, -2.7% alcohol).
- **Cost Management**: $5M payroll savings and $2M repair cost reductions. GAAP net income $420M, Non-GAAP EPS exceeded expectations. FY26 guidance: $1.26B-$1.31B revenue, $375M-$415M EBITDA.
- **Liquidity**: $342M liquidity, $1.3B net debt. FY26 capex $130M, down from $195M, focused on high ROI projects.

**【President (Lev Ekster) Organic Initiatives】**
- **Marketing & Sales**: $1M incremental marketing drove $13.4M season pass sales. New LMS platform and sales contests boosted associate engagement and F&B attachment rates.
- **F&B Innovation**: Craft lemonade generated $800K in 2 months, on track for $5M annualized. Zero-proof cocktails and shareable drinks targeted health-conscious trends. Same-store food comps +2.5%.
- **Guest Experience**: Net Promoter Score improving with enhanced training, field trading teams, and quarterly team-building initiatives.

**【Q&A Highlights】**
- **FY26 Cadence**: Q4 EBITDA $10M-$20M higher than Q2, driven by summer seasonality. California comps expected to improve sequentially.
- **Marketing Spend**: Moving from <1% to 2.5%-3% of revenue to capture market share. $10M-$15M incremental cost for location operating expenses.
- **Acquisition Impact**: New water parks and FECs contribute $7M EBITDA in Q4 but remain negative for first 3 FY26 quarters, flipping positive in Q4.
- **Bowling Rebranding**: 55/100 locations rebranded to Lucky Strike, with California rebranding expected to drive lift in FY26.

Lucky Strike Entertainment Corporation (LUCK) Q4 2025 Earnings Call Transcript

- **Resilient Growth Despite Headwinds**: Q3 revenue up 0.7% to $339.9M, with leagues up low single digits and food sales +8% YoY.
- **Summer Pass Surge**: Season pass presales up 200%+ YoY, signaling consumer shift to local entertainment.
- **Cost Control Success**: $11M in savings from payroll and R&M reductions offset 5.6% same-store sales decline.
- **New Assets Driving Growth**: 3 new water parks and FECs expected to add $30M+ in peak season revenue.
- **Corporate Event Recovery**: West Coast corporate bookings down double digits, but April sales groups positive and rebound expected Q3 2026.


**【CEO Opening Remarks】**
- Total revenue rose 0.7% QoQ to $339.9M, driven by growth in retail, online, and leagues segments.
- Leagues business up low single digits, corporate events down double digits due to West Coast macro weakness.
- Summer season pass presales up 200%+ YoY, with 100,000+ passes sold pre-redemption.
- New water parks (Destin, Panama City Beach) and FECs expected to add $8M+ in Q3 revenue.

**【President Lev Ekster’s Initiatives】**
- Food sales comp up 1%, total food up 8% YoY, tablets driving 7%+ check growth.
- PBA viewership up 103% YoY, new CW media rights deal for 10 weekly events.
- Shipwreck Island acquisition ($30M) expected to deliver 6-7x EBITDA multiple.

**【CFO Financial Highlights】**
- Adjusted EBITDA $117.3M vs. $122.8M prior quarter, 5.6% same-store sales decline.
- Offsetting headwinds: $8M payroll savings, $3M R&M cost reductions.
- Boomers/Raging Waves drag $2M Q3, expected to reverse in Q4/Q1.
- Liquidity strong at $391M, net debt $1.2B, leverage ratio 2.9x.

**【Q&A Key Takeaways】**
- Corporate events business (20% of sales) expected to recover by Q3 2026.
- Tariffs adding $40M+ annual construction cost, 8 new builds paused.
- 15 Lucky Strike rebrands Q1, targeting 75 by year-end for $0.5M+ EBITDA uplift.
- 200%+ season pass presale growth to drive summer traffic resilience.
- Share buybacks ($15M+ YTD) to continue, deleveraging to begin post-2026.


Lucky Strike Entertainment Corporation (LUCK) Q3 2025 Earnings Call Transcript

- **Revenue resilience**: Despite 1.8% YoY decline, new centers and brand repositioning drove $3M EBITDA from new locations.
- **Cost control success**: 33% YoY CapEx reduction and 9% YoY payroll savings offset top-line pressure.
- **Growth catalysts**: Lucky Strike rebranding (75 centers by year-end) and summer businesses (Boomer's, Raging Waves) poised for EBITDA expansion.
- **Consumer trends**: Food attachment rate up 5.3% YoY, but alcohol sales lagging; promotions to drive nighttime traffic.
- **Leverage focus**: Targeting 2.9x leverage ratio, with buybacks balanced against M&A and rebranding investments.

**【CEO Opening Remarks】**
- Q2 2025 revenue: $300.1M (down 1.8% YoY), Adjusted EBITDA: $98.8M (down 4.2% YoY). Same-store sales comp: -6.2% due to calendar shifts and macro uncertainty.
- Key initiatives: 
  - **Cost optimization**: Payroll hours reduced by double digits, CapEx down 33% YoY.
  - **New locations**: 4 new Lucky Strike centers opened, generating $1M+ revenue in first 30 days.
  - **Brand evolution**: 21 centers rebranded to Lucky Strike, targeting 75 by year-end.

**【CFO Financial Highlights】**
- GAAP net income: $420M; Non-GAAP EPS: $1.08 (exceeds expectations).
- Margins: Food & amusements outperformed bowling, with F&B attachment rate rising to $0.80 (from $0.76 YoY).
- Liquidity: $397M cash, $1.2B net debt, 2.9x leverage ratio.
- Growth drivers: Boomers (summer 2025 EBITDA: $6M+) and Raging Waves (summer 2024 EBITDA: $9M).

**【President's Operational Updates】**
- **Menu success**: NPS score up to 74 (from 72 YoY), food sales growth driven by new menu.
- **Technology adoption**: Server tablets rolled out to 30 locations, reducing payroll costs by 9% YoY.
- **Event business recovery**: PBA EBITDA loss cut in half, new menu launch expected to boost Q3+ events.

**【Q&A Key Takeaways】**
- **Macroeconomic impact**: Corporate events down mid-single digits, but retail traffic steady. Alcohol sales lagged food, prompting promotions to drive nighttime traffic.
- **Brand differentiation**: Lucky Strike's premium experience (e.g., Beverly Hills center generating $1M+ in first month) and amusement offerings set it apart from peers.
- **Guidance caution**: EBITDA expected within full-year range, but cautious on revenue due to macro uncertainty. Summer businesses (Boomer's, Raging Waves) seen as key growth drivers.


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