Hollywood Bowl reports 10% increase in profits to £29.5 million and increases dividend

The company's UK business – its largest division – saw like-for-like sales increase by 1.3%, with the Splitsville brand in Canada reporting 8% growth.

Hollywood Bowl reports jump in profits ((PA Wire/PA Images)

Bowling alley operator Hollywood Bowl reported a jump in profits and increased dividend payments as a result of its expansion in Canada.

Shares in the bowling operator rose on Monday morning as a result. The company, which operates 71 bowling centres in the UK and a further 11 in Canada, reported pre-tax profits of £29.5 million for the six months to March, an annual increase of 10.5%.

A further 8.1% increase in sales was achieved, bringing annual sales to £119.2 million. The game is doing well in the company's main market, the UK, with like-for-like sales up 1.3%, while the Canadian brand of Splitsville saw growth of 8%.

It appears that the investment in refurbishing the site portfolio is paying off, with the stated refurbishment plan remaining ‘on track’ and delivering pleasing returns. Taking things a step further, a new site in Lincoln has been rebranded and just last month a new centre was opened in Dundee.

They are also set to open in the current half of the year and hope to compete with another Canadian venue. Hollywood Bowl CEO Stephen Burns said: “We are delighted to welcome so many families, friends and colleagues to our centres in the first half of the year. This demonstrates the continued demand for high-quality, family-friendly leisure experiences at affordable prices, especially against a backdrop of higher living costs.”

He further reiterated his confidence in the future, adding: “We are confident about the prospects for the Hollywood Bowl and that we can capitalise on the long-term opportunity to expand our facilities to over 130 centres over the next 10 years.” The company announced an interim dividend of 3.98 pence per share, a significant increase of 21.7% compared to the same period last year, following “strong earnings growth”.