The following is a summary of the Pinstripes Holdings, Inc. (PNST) Q2 2025 Earnings Call Transcript:
Financial Performance:
Q2 2025 total revenue increased by 7.5% to $26.5 million, driven by the opening of four new stores.
EBITDA as a percentage of total revenue decreased by 160 basis points to 5%, influenced by costs from new locations.
Venue-level contribution margins from mature stores improved by 50 basis points year-over-year to 8.3%.General and administrative expenses rose to $5.1 million from $3.8 million the previous year due to increased corporate activity.
Business Progress:
Focused on improving top line comp growth with new promotional strategies and local store marketing campaigns.
Opened a new venue in Walnut Creek, California, which has shown promising bookings.
Continuing efforts to drive profitability through strategic cost reductions, achieving $10 million in savings, and targeting additional savings in SG&A.
Preparing for significant sales during the holiday season with strong event bookings.
Opportunities:
Ongoing investment in event business, particularly in tourism and conventions, shows promising growth in bookings.
New promotional activities and community events are positively impacting guest engagement and sales.
Risks:
Continuing challenges in comp growth with specific pressures from macroeconomic factors and volatility in open play business.
Need to raise additional external capital, highlighting current liquidity concerns.
Cost efficiencies are yet to fully counterbalance sales decreases, particularly in new locations.
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