Benzinga | Oct 14, 2020 07:32AM EDT

Dave & Buster's Says Has Reopened 98 Of 136 Stores, Says Comparable Store Sales Have 'steadily improved' In Q3, Declining 62% In Sept.; Says As Of Oct. 4 Had $197M In Cash And Equivalents

DALLAS, Oct. 14, 2020 (GLOBE NEWSWIRE) -- Dave & Buster's Entertainment, Inc., (NASDAQ:PLAY), ("Dave & Buster's" or "the Company"), an owner and operator of entertainment and dining venues, today provided an update on the status of store re-openings and its continued encouraging business recovery trends. Key highlights include:

* As of October 4, 2020, we have safely opened one new store and reopened 98 of the Company's 136 stores consistent with local health restrictions;

* Comparable store sales have steadily improved during the third quarter. After declining 87% during the second quarter, comparable store sales declined 75% in August and 62% in September.

* In August, 84 stores were open at the end of the month, of which 68 stores were comparable stores. The 68 comparable stores performed at an index of 46% compared to their 2019 levels, In September, 99 stores were open at the end of the month, of which 81 stores were comparable stores. The 81 comparable stores performed at an index of 65% compared to their 2019 levels, excluding 5 open stores where governments have not permitted arcades to open.

* Sales among the top-quartile of the 81 re-opened comparable stores indexed at 84% of 2019 levels during September.

* Through managing costs and refining our lean operating model, the Company estimates that the EBITDA breakeven point can be achieved with revenue at 50-55% of 2019 sales.

* As of October 4, 2020, the Company had $197 million in cash and equivalents and approximately $744 million outstanding under its credit facility.

Brian Jenkins, Dave & Buster's Chief Executive Officer, commented, "The progress we've made re-opening stores and driving sales recovery demonstrates the enduring strength of the Dave & Buster's brand and the loyalty of our guests across the country. We remain optimistic that we will emerge from this challenge in a stronger competitive position to deliver fun to our guests and value to our shareholders."

Dave & Buster's has posted a new investor presentation containing additional information on the Company's financial position, results of operations, initiatives and industry statistics on its investors website at www.daveandbusters.com under the Investor Relations section. The Company does not expect to provide such intra-quarter updates in the future.