Hollywood Bowl achieved record half-year revenue as the cost-of-living crisis encouraged consumers to seek out cheaper forms of entertainment.
Turnover at Britain’s largest ten-pin bowling operator grew by 10.9 per cent year-on-year to £111.1million for the six months ending March as it also benefited from the absence of Covid-related restrictions.
Stephen Burns, the company’s chief executive, said the results reflected many customers ‘being more selective with their time and money’, and strong demand over the February half-term period.
Results: Turnover at Hollywood Bowl grew to a record £111.1million for the six months ending March as consumers increasingly sought out cheaper forms of entertainment
The Hertfordshire-based firm added that its newly simplified food menu, and ‘snacks and sharers’ lane had encouraged visitors to spend more money.
Trading at recently-opened venues in Speke and Peterborough also performed ahead of bosses’ forecasts, as did sites in Calgary, Canada.
Construction on two further sites in Colchester and the West Midlands shopping complex Merry Hill is due to begin later this year as part of the firm’s goal to launch another ten establishments by the end of 2025.
Alongside this, the business is conducting a major refurbishment programme, with the share of its UK sites operating solar panels now at around 37 per cent.
Meanwhile, the proportion of UK bowling centres fully containing ‘Pins on Strings’ technology, which are cheaper to maintain than the traditional metal frames used to return pins to a standing formation, has grown to 75 per cent.
In Canada, where the company runs the Splitsville brands, it recently exchanged contracts on a new-build bowling centre in Ontario,
Burns added: ‘We are excited about the significant growth opportunities ahead – our highly cash-generative business model and insulation from cost of goods and energy inflationary pressures leaves us well-placed to continue to expand and invest in our portfolio, both in the UK and Canada.
Hollywood Bowl operates 73 bowling venues across the UK and Canada, along with five mini-golf courses under the Puttstars brand.
According to its website, 16.6 million games took place at its bowling centres during the last fiscal year, reflecting about half of all revenue over the period. The remaining sales were equally divided between refreshments and amusements.
Russ Mould, investment director at AJ Bell, said: ‘There is a misconception that consumers stop spending completely when the economic outlook deteriorates.
‘They might find ways to save money by trading down to cheaper alternatives, but that doesn’t mean leisure activities grind to a complete halt.
‘If life is hard, it is nice to have a few little treats and things like going to the cinema or for a few games of bowling are deemed affordable luxuries.’
Hollywood Bowl Group shares were 2 per cent higher at 250.5p on Tuesday morning, meaning their value has risen by about a fifth in the past six months.
