By Will Feuer
Shares of Bowlero rose on Tuesday after Chief Executive Tom Shannon said same-store sales turned positive in October.
The stock climbed 12% to $10.37 in midday trading. Shares are still down about 23% this year.
Same-store sales for the bowling center operator fell in the fiscal first quarter 5.5%, but that figure turned positive in the middle of October after the quarter had already ended, Shannon said during the company’s earnings call with analysts Tuesday.
Shannon said the company experimented during the quarter with removing midweek discounts and offering new bundled packages. That weighed on demand, so the company reversed many of the changes and saw sales recover. Bowlero learned more about its customers and how to get more tactical with its offerings, allowing them to drive traffic during slow midweek periods and upsell to customers during the busy weekends.
For the three-months ended Oct. 1, Bowlero’s sales slipped 1% to $227.4 million, below the $228.8 million that analysts expected. The profit of $18.2 million topped analysts’ expectations.
Write to Will Feuer at [email protected]
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