Dave & Buster's scores after zipping past Wall Street's fiscal 4Q forecasts

Shares of Dave & Buster’s (NASDAQ:PLAY) climbed in after-hours trade Tuesday after the restaurant and arcade chain beat Wall Street’s revenue and profit forecasts for the fiscal fourth quarter thanks to steady demand for its amusements.

In the three months until February 3, the Dallas-based company posted net income of $29.4 million, or $0.75 per share, compared with net income of $35.6 million, or $0.85 per share in the year-ago period.

READ: Dave & Buster’s shares slump after missing Street’s estimates on fiscal 3Q same-store sales

Its revenue, meanwhile, came in at $331.8 million, up from $304.9 million in the year-ago quarter. Comparable store sales also jumped 2.9%, whizzing past analysts’ reported projection of 2%.

The results exceeded the estimates of analysts who had expected Dave & Buster’s to report $0.63 per share in earnings on revenue of $323.29 million.

In response, investors sent Dave & Buster’s shares up 5% to $53.00 after the market closed.

In a statement, CEO Brian Jenkins heaped praise on the arcade chain for finishing the year on a “strong note”.

“On a comparable week basis, we drove double-digit revenue growth in Q4 as comparable store sales increased 2.9% and new store performance remained strong,” he said.

Looking ahead to fiscal 2019, the company is forecasting full-year revenue of $1.37 billion to $1.4 billion, which beats analysts’ estimates, and same store sales to range from flat to up 1.5%.

Contact Ellen Kelleher at [email protected]

Story by ProactiveInvestors