Dave & Buster's Entertainment (PLAY) investor relations material

Executive summary

• Back to basics strategy is driving operational improvements and sequential same-store sales gains, with six consecutive months of improvement when adjusted for weather impacts.

• Revenue for Q4 2025 was $530 million, down 0.9% year-over-year; fiscal 2025 revenue was $2.1 billion, down 1.4% year-over-year.

• February ended with roughly flat same-store sales, and early FY 2026 shows continued momentum in revenue and adjusted EBITDA.

• CEO highlighted progress in food and beverage, marketing, and guest value proposition, with expectations for improved results in 2026.

• Leadership team strengthened, with emphasis on field operations, guest experience, and culture.

Financial highlights

• Q4 2025 total revenue was $530 million, with a net loss of $40 million ($1.15 per share) and adjusted net loss of $12 million ($0.35 per share).

• Adjusted EBITDA for Q4 was $111 million, with a margin of 21%, down from $127.2 million year-over-year.

• Comparable store sales declined 3.3% year-over-year in Q4, but only 1.5% excluding winter storm impact.

• F&B same-store sales grew approximately 7% in Q4; special events also up nearly 7%.

• Operating cash flow for Q4 was $103 million; year-end liquidity stood at $483 million.

Outlook and guidance

• Management expects positive comparable sales, revenue, and adjusted EBITDA growth in FY 2026, with over $100 million in free cash flow.

• Targeting net CapEx not exceeding $200 million for FY 2026.

• 11 new store openings planned for FY 2026 (8 Dave & Buster's, 3 Main Event), plus 3 new international franchise locations.

• Deferred revenue headwind expected to be ~$10 million for FY 2026.

• Strategic focus areas include marketing, menu/pricing, new games, and remodel program.