Hollywood Bowl Group PLC (LSE:BOWL, FRA:2H4) racked up a 9.8% gain to 285.5p after the 10-pin bowling lane operator reported higher interim profits, lifted its dividend and announced a new £5 million share buyback.
Adjusted pre-tax profit rolled 8.1% higher to £32.1 million in the six months to 31 March on revenue up 9.5% at £141.5 million, with like-for-like sales growth improved to 2.3%.
The board increased the interim dividend by 10.2% to 4.52p per share and said it would launch a £5 million share buyback programme in the second half.
Hollywood Bowl said demand for affordable leisure activities remained strong, flagging that a UK family of four would be able to bowl for £26.
The company pointed to benefits from dynamic pricing and AI-driven marketing tools, which it said were improving conversion rates and spend per visit.
With a new site opened in Edmonton, the Canadian arm is now targeting 35 centres by 2032, three years earlier than previously planned.
Chief executive Stephen Burns said: "Looking ahead, we are confident in delivering on expectations for FY26, as customer appeal for our value offer remains robust, and we continue to maintain a tight grip on costs.
"We have an exciting pipeline of centres for H2 and expect this to accelerate in FY27 and beyond, positioning us for sustainable profitable growth over the long-term."
Hollywood Bowl ended the period with net cash of £26 million and an undrawn £25 million revolving credit facility.