Ten Entertainment predicted a surprise annual profit after a record half-term holiday at its bowling alleys, escape rooms and other venues.
After exceptional trading following the end of the Covid-19 lockdown, sales growth of more than 30% has continued to exceeded expectations in September and October, Ten said in a trading update. As a result it predicted a modest annual profit for the year to the end of December, beating earlier guidance for a small loss.
Ten shares rose 7.6% at 10:05 GMT to 282p – the stock’s highest value since February 2020 before the first Covid-19 lockdown.
Ten left its guidance for 2022 unchanged because of the uncertain economic outlook. It predicted double digit sales growth compared with 2019 and modest margin compression because of rising costs.
Chief Executive Graham Blackwell said: “The group has continued to perform very well since the half-year results in September 2021. This is a significant achievement for a business that was entirely closed for the first 20 weeks of the year. We remain confident that our centres have broad appeal and offer great value for money.”
