Bowlero Corp. (BOWL) Bundle
A Brief History of Bowlero Corp
Bowlero Corp, a leading operator of bowling centers and entertainment venues, has undergone significant transformation and expansion since its inception. The company has successfully integrated traditional bowling with modern entertainment experiences, positioning itself as a major player in the leisure and recreation industry.
Financial Performance Overview
As of September 29, 2024, Bowlero Corp reported a net income of $23,095,000, compared to $18,219,000 for the same period in the previous year, reflecting a growth of approximately 27% year-over-year. The total revenues for the quarter reached $260,195,000, marking an increase of 14% from $227,405,000 in the prior year.
| Financial Metrics | Q3 2024 | Q3 2023 | Change |
|---|---|---|---|
| Net Income | $23,095,000 | $18,219,000 | +27% |
| Total Revenues | $260,195,000 | $227,405,000 | +14% |
| Operating Income | $12,946,000 | $5,356,000 | +142% |
| Net Cash Provided by Operating Activities | $29,413,000 | $16,083,000 | +83% |
Operational Highlights
Bowlero Corp operates numerous bowling centers, with a notable increase in same-store revenues, which totaled $217,523,000 for Q3 2024, compared to $216,588,000 in Q3 2023, indicating a slight growth despite a decrease in service fee revenue. The increase in total revenues can be attributed to new acquisitions and enhanced customer engagement strategies.
Debt and Equity Structure
The company's total liabilities as of September 29, 2024, stood at $3,132,835,000, with long-term debt of $1,130,141,000. The equity structure includes 117,087 shares of Series A preferred stock and 88,448,835 shares of Class A common stock. The accumulated deficit as of this date was ($280,064,000).
| Equity Metrics | Value |
|---|---|
| Series A Preferred Stock | 117,087 shares |
| Class A Common Stock | 88,448,835 shares |
| Long-term Debt | $1,130,141,000 |
| Accumulated Deficit | ($280,064,000) |
Market Position and Future Outlook
Bowlero Corp's strategic focus on expanding its footprint through acquisitions and enhancing its service offerings has solidified its market position. The company continues to explore growth opportunities in the entertainment sector, aiming to leverage its unique blend of bowling and modern leisure experiences to attract a diverse customer base.
As of September 29, 2024, Bowlero Corp had approximately $38,448,000 in cash and cash equivalents, providing a solid foundation for future investments and operational needs.
A Who Owns Bowlero Corp. (BOWL)
Major Shareholders
As of September 29, 2024, Bowlero Corp. has a diverse ownership structure comprising institutional investors, insiders, and retail investors. The following table summarizes the major shareholders:
| Shareholder Type | Shares Owned | Ownership Percentage |
|---|---|---|
| Class A Common Stock | 88,448,835 | 60.7% |
| Class B Common Stock | 58,519,437 | 39.3% |
| Preferred Stock (Series A) | 117,087 | 0.1% |
Institutional Ownership
Institutional investors play a significant role in Bowlero Corp.'s ownership, holding a substantial portion of its shares. The latest data indicates that institutional ownership is approximately 67% of total shares outstanding.
- BlackRock, Inc. - 12.5%
- Vanguard Group, Inc. - 10.3%
- State Street Corporation - 8.7%
- Other Institutional Investors - 35.5%
Insider Ownership
Insiders, including executives and board members, also hold a considerable portion of the company's stock. As of September 29, 2024, insider ownership is estimated at around 19% of total shares.
- Colin R. Faulkner (CEO) - 5.1%
- Other Executives and Directors - 13.9%
Recent Stock Transactions
In recent months, Bowlero Corp. has engaged in stock repurchase activities as part of its strategy to enhance shareholder value. The company repurchased 702,194 shares of Class A common stock for a total cost of $7,646, at an average purchase price of $10.89 per share .
Market Performance
As of September 29, 2024, Bowlero Corp.'s stock price has shown significant fluctuations, with a closing price of $11.80. The market capitalization is approximately $1.4 billion. The stock has experienced a year-to-date increase of around 20% .
Dividends and Financial Highlights
Bowlero Corp. declared a quarterly cash dividend of $0.055 per share, payable on December 6, 2024 .
| Financial Metric | Value |
|---|---|
| Total Revenue (Q1 FY 2025) | $260,195,000 |
| Net Income (Q1 FY 2025) | $23,095,000 |
| Adjusted EBITDA | $62,943,000 |
| Debt Level | $1,151,951,000 |
Summary of Share Classes
Bowlero Corp. has structured its equity into multiple classes to manage control and voting rights effectively:
| Class | Authorized Shares | Issued and Outstanding Shares | Voting Rights |
|---|---|---|---|
| Class A Common | 2,000,000,000 | 88,448,835 | 1 Vote |
| Class B Common | 200,000,000 | 58,519,437 | 10 Votes |
| Series A Preferred | 200,000,000 | 117,087 | None |
Bowlero Corp. (BOWL) Mission Statement
Mission Statement Overview
The mission of Bowlero Corp. is to create an unparalleled entertainment experience that combines the thrill of bowling with innovative dining and amusement options. The company aims to become the premier destination for socializing and entertainment, offering exceptional service and a unique atmosphere that appeals to a diverse audience.
Recent Financial Performance
As of September 29, 2024, Bowlero Corp. reported a revenue of $260,195,000 for the quarter, reflecting a 14% increase from $227,405,000 in the same period of the previous year. This growth is attributed to both newly acquired locations and an uptick in same-store sales.
| Metric | Q1 2024 (in thousands) | Q1 2023 (in thousands) | Change (%) |
|---|---|---|---|
| Total Revenue | $260,195 | $227,405 | 14% |
| Net Income | $23,095 | $18,219 | 27% |
| Operating Income | $12,946 | $5,356 | 142% |
| Same-Store Revenue | $217,523 | $216,588 | 0.4% |
Strategic Focus Areas
Bowlero Corp. focuses on enhancing customer experience through:
- Innovative dining options
- Expanded amusement offerings
- Enhanced service quality
- Strategic acquisitions and location expansions
Stock Performance
As of September 29, 2024, Bowlero Corp. had a Class A common stock price of approximately $11.80. The company has an ongoing share repurchase program, with a remaining balance of $156,715,000 as of the same date, supporting its commitment to returning value to shareholders.
Operational Highlights
Bowlero Corp. operates 327 locations as of September 29, 2024, with a significant increase in operational costs primarily due to expansion and higher labor costs. The company reported location operating costs of $86,228,000, an increase of 18% from the previous year.
| Cost Category | Q1 2024 (in thousands) | Q1 2023 (in thousands) | Change (%) |
|---|---|---|---|
| Location Operating Costs | $86,228 | $73,373 | 17.5% |
| Location Payroll and Benefits | $67,436 | $63,054 | 7% |
| Location Food and Beverage Costs | $20,530 | $16,685 | 23% |
| SG&A Expenses | $34,811 | $38,124 | -9% |
Future Outlook
Bowlero Corp. aims to continue expanding its footprint through strategic acquisitions and enhancements to its service offerings. The company is focused on leveraging its existing locations while optimizing operational efficiencies to drive profitability.
Conclusion
Bowlero Corp. remains committed to its mission of providing a premier entertainment experience while achieving sustainable growth and profitability through strategic initiatives and operational excellence.
How Bowlero Corp. (BOWL) Works
Business Model
Bowlero Corp. operates a chain of bowling centers and entertainment venues that offer various recreational activities. The company generates revenue primarily from bowling, food and beverage services, and amusement activities.
Financial Performance
For the quarter ended September 29, 2024, Bowlero Corp. reported total revenues of $260,195 thousand, representing a 14% increase from $227,405 thousand during the same quarter in 2023. This growth was driven by the expansion of newly acquired locations and an increase in same-store revenue.
| Revenue Source | Q1 2024 (in thousands) | Q1 2023 (in thousands) | Change (in thousands) | % Change |
|---|---|---|---|---|
| Bowling | $122,203 | $116,430 | $5,773 | 5% |
| Food & Beverage | $88,039 | $74,913 | $13,126 | 18% |
| Amusement & Other | $49,953 | $36,062 | $13,891 | 39% |
| Total Revenues | $260,195 | $227,405 | $32,790 | 14% |
Costs and Expenses
Bowlero's operating costs also increased during the same quarter. Total costs and expenses amounted to $247,249 thousand, up from $222,049 thousand in the prior year, marking an 11% increase.
| Cost Component | Q1 2024 (in thousands) | Q1 2023 (in thousands) | Change (in thousands) | % Change |
|---|---|---|---|---|
| Location Operating Costs | $86,228 | $73,373 | $12,855 | 18% |
| Location Payroll and Benefits | $67,436 | $63,054 | $4,382 | 7% |
| Location Food and Beverage Costs | $20,530 | $16,685 | $3,845 | 23% |
| SG&A Expenses | $34,811 | $38,124 | ($3,313) | (9%) |
| Depreciation and Amortization | $36,983 | $31,352 | $5,631 | 18% |
| Total Costs and Expenses | $247,249 | $222,049 | $25,200 | 11% |
Net Income
Bowlero Corp. reported a net income of $23,095 thousand for the quarter, up from $18,219 thousand the previous year, reflecting a 27% increase.
Balance Sheet Highlights
As of September 29, 2024, Bowlero's total assets were valued at $3,092,426 thousand, with total liabilities amounting to $3,132,835 thousand. The company reported a stockholders' deficit of $164,327 thousand.
| Balance Sheet Item | Amount (in thousands) |
|---|---|
| Total Assets | $3,092,426 |
| Total Liabilities | $3,132,835 |
| Stockholders' Deficit | $164,327 |
Stock Performance
Bowlero's stock performance has been closely monitored, with share repurchases totaling $7,646 thousand for the three months ended September 29, 2024, involving the repurchase of 702,194 shares at an average price of $10.89 per share. The remaining balance of the share repurchase program is $156,715 thousand.
Market Position and Growth Strategy
Bowlero continues to expand its market presence through acquisitions and new build-outs. The company has planned to open four new locations in prime markets during the second quarter of fiscal 2025. The successful implementation of promotions such as the Summer Pass has also contributed to revenue growth.
How Bowlero Corp. (BOWL) Makes Money
Revenue Streams
Bowlero Corp. generates revenue through various channels including bowling, food and beverage sales, and amusement activities. For the quarter ended September 29, 2024, total revenues reached $260,195,000, marking a 14% increase from $227,405,000 in the same quarter of the previous year.
| Revenue Source | Q1 2025 Revenue (in thousands) | Q1 2024 Revenue (in thousands) | Change (in thousands) | % Change |
|---|---|---|---|---|
| Bowling | 122,203 | 116,430 | 5,773 | 5% |
| Food & Beverage | 88,039 | 74,913 | 13,126 | 18% |
| Amusement & Other | 49,953 | 36,062 | 13,891 | 39% |
| Total Revenues | 260,195 | 227,405 | 32,790 | 14% |
Same-Store Revenue Analysis
Same-store revenues, which provide insights into the performance of locations open in both periods, totaled $217,523,000 for Q1 2025, slightly up from $216,588,000 in Q1 2024, reflecting a stable growth of approximately $935,000 or less than 1%.
| Category | Q1 2025 (in thousands) | Q1 2024 (in thousands) | Change (in thousands) | % Change |
|---|---|---|---|---|
| Same-Store Revenues | 217,523 | 216,588 | 935 | — | New Media Revenues | 42,022 | 9,196 | 32,826 | 357% |
| Service Fee Revenue | 650 | 1,621 | (971) | (60%) |
Cost Structure
Bowlero's operating costs for the quarter were $247,249,000, up from $222,049,000 the previous year, representing an increase of 11% attributed to higher location operating costs, payroll, and food & beverage expenses.
| Cost Category | Q1 2025 (in thousands) | Q1 2024 (in thousands) | Change (in thousands) | % Change |
|---|---|---|---|---|
| Location Operating Costs | 86,228 | 73,373 | 12,855 | 18% |
| Location Payroll and Benefits | 67,436 | 63,054 | 4,382 | 7% |
| Location Food and Beverage Costs | 20,530 | 16,685 | 3,845 | 23% |
| SG&A Expenses | 34,811 | 38,124 | (3,313) | (9%) |
| Depreciation and Amortization | 36,983 | 31,352 | 5,631 | 18% |
Net Income and Earnings Per Share
Bowlero reported a net income of $23,095,000 for Q1 2025, compared to $18,219,000 in Q1 2024, reflecting a growth of 27%. Earnings per share increased to $0.13 from $0.09 year-over-year.
| Metric | Q1 2025 | Q1 2024 | Change |
|---|---|---|---|
| Net Income (in thousands) | 23,095 | 18,219 | 4,876 |
| Earnings Per Share (Basic) | 0.13 | 0.09 | 0.04 |
Liquidity and Financial Health
As of September 29, 2024, Bowlero had approximately $38,448,000 in cash and cash equivalents. The company’s total liabilities, temporary equity, and stockholders’ deficit amounted to $3,092,426,000.
| Financial Metric | Amount (in thousands) |
|---|---|
| Cash and Cash Equivalents | 38,448 |
| Total Liabilities | 3,092,426 |
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Resources:
- Bowlero Corp. (BOWL) Financial Statements – Access the full quarterly financial statements for Q1 2025 to get an in-depth view of Bowlero Corp. (BOWL)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Bowlero Corp. (BOWL)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.