Sales surge at Ten Entertainment

Ten Entertainment Group posted a surge in full-year sales on Wednesday, following the tenpin bowling specialist’s "strongest ever" trading performance.

The hospitality group, which owns 48 bowling and entertainment centres, said sales jumped 87.6% year-on-year in 2022, or by 5.5% on a like-for-like basis. Compared to 2019, underlying sales leapt 39.8%.

The group called the trading performance its "strongest ever", and said full-year profits were expected to be at the upper end of market expectations as a result.

Graham Blackwell, chief executive, said: "A record-breaking performance delivered for 2022, demonstrating our customer appeal.

"We know that there will be challenges this year, but with such a strong 2022 behind us and a proven track record, we are confident that we will continue to deliver an excellent experience and high-quality service."

The company, which opened two new centres in 2022, intends to open "at least" four centres in the current year.

Douglas Jack, analyst at Peel Hunt, which has a ‘buy’ recommendation on the stock, said: "Despite having the highest like-for-like sales in the leisure sector, Ten Entertainment has one of the lowest valuations.

"We are increasing our target price from 400p to 450p. As inflation slows and sector sentiment recovers, we expect Ten Entertainment to lead the sector’s recovery."

As at 1000 GMT, shares in Ten Entertainment - which is due to publish full-year results on 22 March - were down 2% at 285.36p.