Dave & Buster's Entertainment (PLAY) 10-Q 7 Jun 22 2022 Q1 Quarterly report Financial data

Cover Page

Cover Page - shares	3 Months Ended
	May 01, 2022	May 31, 2022
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	May 1, 2022
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q1
Trading Symbol	PLAY
Entity Registrant Name	Dave & Buster’s Entertainment, Inc.
Entity Central Index Key	0001525769
Entity Filer Category	Large Accelerated Filer
Current Fiscal Year End Date	--01-29
Document Quarterly Report	true
Document Transition Report	false
Entity Interactive Data Current	Yes
Entity File Number	001-35664
Entity Incorporation, State or Country Code	DE
Entity Common Stock, Shares Outstanding		48,934,844
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Entity Address, Address Line One	1221 Beltline Rd
Entity Address, City or Town	Coppell
Entity Address, State or Province	TX
City Area Code	214
Entity Address, Postal Zip Code	75019
Local Phone Number	357-9588
Entity Tax Identification Number	35-2382255
Entity Shell Company	false
Title of 12(b) Security	Common Stock $0.01 par value
Security Exchange Name	NASDAQ

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	May 01, 2022	Jan. 30, 2022
Current assets:
Cash and cash equivalents	$ 139,081	$ 25,910
Inventories	41,601	40,319
Prepaid expenses	16,403	11,316
Income taxes receivable	16,697	64,921
Other current assets	3,358	3,105
Total current assets	217,140	145,571
Property and equipment (net of $937,939 and $908,536 accumulated depreciation as of May 1, 2022 and January 30, 2022, respectively)	787,750	778,597
Operating lease right of use assets	1,055,328	1,037,197
Deferred tax assets	9,203	9,961
Tradenames	79,000	79,000
Goodwill	272,604	272,597
Other assets and deferred charges	22,075	22,867
Total assets	2,443,100	2,345,790
Current liabilities:
Accounts payable	54,528	62,493
Accrued liabilities	254,920	248,493
Income taxes payable	3,630	529
Total current liabilities	313,078	311,515
Deferred income taxes	15,446	12,012
Operating lease liabilities	1,294,486	1,277,539
Other liabilities	36,382	37,869
Long-term debt, net	431,966	431,395
Commitments and contingencies
Stockholders' equity:
Common stock, par value $0.01; authorized: 400,000,000 shares; issued: 61,817,849 shares at May 1, 2022 and 61,563,613 shares at January 30, 2022; outstanding: 48,718,457 shares at May 1, 2022 and 48,489,935 shares at January 30, 2022	618	616
Preferred stock, 50,000,000 authorized; none issued
Paid-in capital	557,977	548,776
Treasury stock, 13,099,392 and 13,073,678 shares as of May 1, 2022 and January 30, 2022, respectively	(606,669)	(605,435)
Accumulated other comprehensive loss	(2,299)	(3,628)
Retained earnings	402,115	335,131
Total stockholders' equity	351,742	275,460
Total liabilities and stockholders' equity	$ 2,443,100	$ 2,345,790

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	May 01, 2022	Jan. 30, 2022
Statement of Financial Position [Abstract]
Property and equipment, accumulated depreciation	$ 937,939	$ 908,536
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	400,000,000	400,000,000
Common stock, shares issued	61,817,849	61,563,613
Common stock, shares outstanding	48,718,457	48,489,935
Preferred stock, shares authorized	50,000,000	50,000,000
Preferred stock, shares issued	0	0
Treasury stock, shares	13,099,392	13,073,678

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended
	May 01, 2022	May 02, 2021
Total revenues	$ 451,101	$ 265,340
Total cost of products	70,021	39,771
Operating payroll and benefits	93,361	50,279
Other store operating expenses	124,425	84,445
General and administrative expenses	28,297	17,091
Depreciation and amortization expense	33,288	35,099
Pre-opening costs	2,997	1,659
Total operating costs	352,389	228,344
Operating income	98,712	36,996
Interest expense, net	11,391	14,820
Income before provision for income taxes	87,321	22,176
Provision for income taxes	20,337	2,541
Net income	66,984	19,635
Unrealized foreign currency translation gain (loss)	(42)	61
Unrealized gain on derivatives, net of tax	1,371	1,371
Total other comprehensive income	1,329	1,432
Total comprehensive income	$ 68,313	$ 21,067
Net income per share:
Basic	$ 1.38	$ 0.41
Diluted	$ 1.35	$ 0.4
Weighted average shares used in per share calculations:
Basic	48,580,273	47,695,705
Diluted	49,453,503	49,331,092
Amusement and Other Revenues [Member]
Total revenues	$ 299,189	$ 179,582
Cost of amusement and other	26,766	16,614
Food and Beverage [Member]
Total revenues	151,912	85,758
Cost of food and beverage	$ 43,255	$ 23,157

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Total	Common Stock [Member]	Paid-In Capital [Member]	Treasury Stock at Cost [Member]	Accumulated Other Comprehensive Loss [Member]	Retained Earnings [Member]
Beginning balance at Jan. 31, 2021	$ 153,232	$ 605	$ 531,191	$ (595,970)	$ (9,085)	$ 226,491
Beginning balance, shares at Jan. 31, 2021		60,488,833		12,842,227
Net income	19,635					19,635
Unrealized foreign currency translation gain (loss)	61				61
Unrealized gain on derivatives, net of tax	1,371				1,371
Share-based compensation	2,971		2,971
Issuance of common stock	1,608	$ 2	1,606
Issuance of common stock, shares		203,073
Repurchase of common stock	(236)			$ (236)
Repurchase of common stock, shares				5,071
Ending balance at May. 02, 2021	178,642	$ 607	535,768	$ (596,206)	(7,653)	246,126
Ending balance, shares at May. 02, 2021		60,691,906		12,847,298
Beginning balance at Jan. 30, 2022	275,460	$ 616	548,776	$ (605,435)	(3,628)	335,131
Beginning balance, shares at Jan. 30, 2022		61,563,613		13,073,678
Net income	66,984					66,984
Unrealized foreign currency translation gain (loss)	(42)				(42)
Unrealized gain on derivatives, net of tax	1,371				1,371
Share-based compensation	3,555		3,555
Issuance of common stock	5,648	$ 2	5,646
Issuance of common stock, shares		254,236
Repurchase of common stock	(1,234)			$ (1,234)
Repurchase of common stock, shares				25,714
Ending balance at May. 01, 2022	$ 351,742	$ 618	$ 557,977	$ (606,669)	$ (2,299)	$ 402,115
Ending balance, shares at May. 01, 2022		61,817,849		13,099,392

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	May 01, 2022	May 02, 2021
Cash flows from operating activities:
Net income	$ 66,984	$ 19,635
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization expense	33,288	35,099
Non-cash interest expense	1,887	1,887
Deferred taxes	3,677	(4,840)
Loss on disposal of fixed assets	216	145
Share-based compensation	3,555	2,971
Other, net	993	950
Changes in assets and liabilities:
Inventories	(1,282)	995
Prepaid expenses	(5,087)	197
Income tax receivable	48,224	14,840
Other current assets	(253)	(341)
Other assets and deferred charges	64	(2,097)
Accounts payable	(10,882)	1,173
Accrued liabilities	4,166	8,667
Income taxes payable	3,101	845
Other liabilities	(57)	(2,930)
Net cash provided by operating activities	148,594	77,196
Cash flows from investing activities:
Capital expenditures	(40,037)	(10,359)
Proceeds from sales of property and equipment	200	54
Net cash used in investing activities	(39,837)	(10,305)
Cash flows from financing activities:
Proceeds from debt	14,000	19,000
Payments of debt	(14,000)	(79,000)
Proceeds from the exercise of stock options	5,648	1,608
Repurchases of common stock to satisfy employee withholding tax obligations	(1,234)	(236)
Net cash provided by (used in) financing activities	4,414	(58,628)
Increase in cash and cash equivalents	113,171	8,263
Beginning cash and cash equivalents	25,910	11,891
Ending cash and cash equivalents	139,081	20,154
Supplemental disclosures of cash flow information:
Increase in fixed asset accounts payable	2,917	1,845
Cash paid (refund received) for income taxes, net	(35,129)	(8,525)
Cash paid for interest, net	$ 16,904	$ 22,525

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	May 01, 2022
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 1: Summary of Significant Accounting Policies The accompanying unaudited consolidated financial statements include the accounts of Dave & Buster’s Entertainment, Inc. (referred to herein as the “Company”, “we,” “us” and “our”), any predecessor companies and its wholly-owned subsidiaries, Dave & Buster’s Holdings, Inc. (“D&B Holdings”), which owns 100% of the outstanding common stock of Dave & Buster’s, Inc. (“D&B Inc”), the operating company. All intercompany balances and transactions have been eliminated in consolidation. The Company, headquartered in Coppell, Texas, is a leading operator of high-volume entertainment and dining venues (“stores”) in North The Company operates on a 52 or 53-week The Company’s financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) in the United States for interim financial information as prescribed by the Securities and Exchange Commission (“SEC”). Accordingly, they do not include all the information and notes required by GAAP for complete financial statements. In the opinion of management, these financial statements contain all adjustments, consisting of normal recurring accruals, necessary to present fairly the financial position, results of operations and cash flows for the periods indicated. Our quarterly financial data should be read in conjunction with the audited financial statements and notes thereto for the year ended January 30, 2022, included in our Annual Report on Form 10-K The preparation of consolidated financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosures of contingent assets and liabilities at the date of the consolidated financial statements and for the period then ended. Actual results could differ from those estimates. Operating results for the thirteen weeks ended May 1, 2022 are not necessarily indicative of results that may be expected for any other interim period or for the fiscal year ending January 29, 2023. Cash and cash equivalents Fair value of financial instruments The carrying amounts of cash and cash equivalents, accounts and notes receivable, accounts payable, and other current liabilities approximate fair value because of their short-term nature. The fair value of the Company’s interest rate swap is determined based upon Level Two inputs which includes valuation models as reported by our counterparties and third-party valuation specialists. These valuation models are based on the present value of expected cash flows using forward rate curves. The fair value of our senior secured notes was $455,387 and $456,204 as of May 1, 2022 and January 30, 2022, respectively. The fair value of the Company’s debt is determined based on a discounted cash flow method, using a sector-specific yield curve based on market-derived, trade price data as of the measurement date, and is classified as a Level Two input within the fair value hierarchy. The Company also measures certain non-financial right-of-use non-recurring Interest rate swaps Effective February 28, 2019, the Company entered into three interest rate swap agreements to manage our exposure to interest rate movements on our variable rate credit facility. The notional amount of the swap agreements, which mature August 17, 2022, totals and the fixed rate of interest for all agreements is %. Effective April 14, 2020, the Company amended its existing credit facility agreement to obtain relief from its financial covenants, and as a result, the variable interest rate terms were modified to create an interest rate floor of 1.00%. Accordingly, the Company discontinued the hedging relationship as of April 14, 2020 (de-designation date). Given the continued existence of the hedged interest payments, the Company is reclassifying its accumulated other comprehensive loss of de-designation as of May 1, 2022 will be fully amortized at maturity. Effective with the de-designation, any gain or loss on the derivatives are recognized in earnings in the period in which the change occurs. For the thirteen weeks ended May 1, 2022 and May 2, 2021, a gain of The fair value of outstanding interest rate swap derivatives liability was $1,172 and $3,823 as of May 1, 2022 and January 30, 2022, respectively, and the balance is included in “Accrued liabilities” in the Consolidated Balance Sheets. The following table summarizes the activity in accumulated other comprehensive loss related to our derivative instruments: Thirteen weeks ended May 1, 2022 May 2, 2021 Loss reclassified or amortized into interest expense $ 1,887 $ 1,887 Income tax effect $ (516 ) $ (516 ) Revenue recognition In jurisdictions where we do not have a legal obligation to remit unredeemed gift card balances to a legal authority, we recognize revenue on unredeemed gift cards in proportion to the pattern of redemption by the customers. During the thirteen weeks ended May 1, 2022, we recognized revenue of approximately $2,100 related to the amount in deferred gift card revenue as of the end of fiscal 2021, of which approximately $290 was breakage revenue. Stockholders’ equity Earnings per share basic respectively. Thirteen weeks ended May 1, 2022 May 2, 2021 Basic weighted average shares outstanding 48,580,273 47,695,705 Weighted average dilutive impact of awards 873,230 1,635,387 Diluted weighted average shares outstanding 49,453,503 49,331,092

Accrued Liabilities

Accrued Liabilities	3 Months Ended
	May 01, 2022
Other Liabilities Disclosure [Abstract]
Accrued Liabilities	Note 2: Accrued Liabilities Accrued liabilities consist of the following as of the end of each period: May 1, 2022 January 30, 2022 Deferred amusement revenue $ 99,883 $ 92,961 Current portion of operating lease liabilities, net (1) 52,780 45,445 Compensation and benefits 30,357 27,447 Current portion of deferred occupancy costs 14,248 19,164 Deferred gift card revenue 10,840 11,855 Property taxes 7,143 6,450 Current portion of long-term insurance 5,700 5,700 Customer deposits 5,592 3,471 Utilities 5,582 5,262 Sales and use taxes 5,574 4,465 Current portion of derivatives 1,172 3,823 Accrued interest 246 8,629 Other 15,803 13,821 Total accrued liabilitie $ 254,920 $ 248,493 (1) The balance of leasehold incentive receivables of $3,419 and $10,064 as of May 1, 2022 and January 30, 2022, respectively, is reflected as a reduction of the current portion of operating lease liabilities .

Debt

Debt	3 Months Ended
	May 01, 2022
Debt Disclosure [Abstract]
Debt	Note 3: Debt Long-term debt consists of the following: May 1, 2022 January 30, 2022 Senior secured notes $ 440,000 $ 440,000 Total debt outstanding 440,000 440,000 Less debt issuance costs (8,034 ) (8,605 ) Long-term debt, net $ 431,966 $ 431,395 On October 27, 2020, the Company issued $550,000 aggregate principal amount of 7.625% senior secured notes (the “Notes”). Interest on the Notes is payable in arrears on November 1 and May 1 of each year. The Notes mature on November 1, 2025, unless earlier redeemed, and are subject to the terms and conditions set forth in the related indenture. The Notes were issued by D&B Inc and are unconditionally guaranteed by D&B Holdings and certain of D&B Inc’s existing and future wholly owned material domestic subsidiaries, which is substantially the same as the guarantors of the Company’s existing credit facility. During fiscal 2021, the Company redeemed a total of outstanding principal amount of the Notes in two separate transactions, and paid prepayment premiums of , plus accrued and unpaid interest to the date of redemptions. The early redemptions of the Notes resulted in a loss on extinguishment of approximately related to a proportional amount of unamortized issuance costs. Beginning October 27, 2022, the Company may elect to further redeem the Notes, in whole or in part, at certain specified redemption prices, plus accrued and unpaid interest, at the redemption date. The interest rates per annum applicable to loans under our existing credit facility are based on a defined LIBOR rate plus an applicable margin, based on a total leverage ratio, as defined. The first amendment to the existing credit facility, effective April 14, 2020, increased the interest rate spread on variable rate debt to 2.00% and set a LIBOR floor of 1.00%. Concurrent and subject to the issuance of the Notes, the Company entered into a second amendment to its existing credit facility, which extended the maturity of the $500,000 revolving portion of the facility from August 17, 2022, to August 17, 2024, and during the financial covenant suspension increased pricing period, increased the interest rate spread to 4.00% and instituted a 1.00% utilization fee. Shortly after the end of the Company’s first quarter of fiscal 2022, the interest rate spread will range from 1.25% to 3.00% and the utilization fee, which is due at maturity, will cease. At the end of the first quarter of fiscal 2022, we had letters of credit outstanding of $7,505 and an unused commitment balance of $492,495 under the revolving credit facility. Amortization of debt issuance costs associated with the issuance of the Notes and credit facility was and $ for the first quarter of fiscal 2022 and fiscal 2021, respectively, and is included in “Interest expense, net” in the Consolidated Statements of Comprehensive Income. For the thirteen weeks ended May 1, 2022, and May 2, 2021, respectively, the Company’s weighted average effective interest rate on our total debt facilities (before capitalized interest amounts) wa s % and %, respectively. Our credit facility and Notes contain restrictive covenants that, among other things, place certain limitations on our ability to incur additional indebtedness, make loans or advances to subsidiaries and other entities, pay dividends, acquire other businesses or sell assets. As of the end of the first quarter of fiscal 2022, the Company was in compliance with the financial covenants of our credit facility and all the restrictive covenants of the Notes and credit facility.

Leases

Leases	3 Months Ended
	May 01, 2022
Leases
Leases	Note 4: Leases We currently lease most of the buildings or sites for our stores, store support center, and warehouse space under facility operating leases. These leases typically have initial terms ranging from ten to twenty years and include one or more options to renew. When determining the lease term, we include option periods for which renewal is reasonably certain. Most of the leases require us to pay property taxes, insurance, and maintenance of the leased assets. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. Operating leases also includes certain equipment leases that have a term in excess of one year. Certain facility leases also have provisions for additional contingent rentals based on revenues. Operating lease cost, variable lease cost and short-term lease cost related primarily to our facilities is included in “Other store operating expenses” for our operating stores, “Pre-opening The components of lease expense, including variable lease costs primarily consisting of common area maintenance charges and property taxes, are as follows for the fiscal year ended: Thirteen Weeks Ended May 1, 2022 May 2, 2021 Operating lease cost $ 34,782 33,294 Variable lease cost 9,847 7,389 Short-term lease cost 117 123 Total $ 44,746 $ 40,806 During fiscal 2020 and the first half of fiscal 2021, the Company entered into rent relief agreements with our respective landlords. The Company elected to apply an available practical expedient to account for lease concessions and deferrals resulting directly from the COVID-19 pandemic as though the enforceable rights and obligations to the deferrals existed in the respective contracts at lease inception and not account for the concessions as lease modifications unless the concession results in a substantial increase in the Company’s obligations. A total of 208 of our 225 rent relief agreements qualified for this accounting election, and the remaining agreements were treated as lease modifications, primarily due to a significant extension of the lease term. The Company has bifurcated our current operating lease liabilities into the portion that remains subject to accretion and the portion that is accounted for as a deferral of payments. The current portion of deferred occupancy costs is included in “Accrued liabilities” and the balance, or

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	May 01, 2022
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 5: Commitments and Contingencies We are subject to certain legal proceedings and claims that arise in the ordinary course of our business, including claims alleging violations of federal and state law regarding workplace and employment matters, discrimination, slip-and-fall The Company is a defendant in several lawsuits filed in courts in California alleging violations of California Business and Professions Code, industry wage orders, wage-and-hour e determined to be class actions or Private Attorneys General Act representative actions and seek substantial damages and penalties. During fiscal 2020, the Company settled a portion of the cases at the approximate amount estimated and accrued. For the remaining cases, the Company’s assessments are based on assumptions that have been deemed reasonable by management, but that may prove to be incomplete or inaccurate, and unanticipated events and circumstances may occur that might cause the Company to change those estimates and assumptions. Management’s assessment of these California Cases, as well as other lawsuits, could change because of future determinations or the discovery of facts that are not presently known. Accordingly, the ultimate costs of resolving these cases may be substantially higher or lower than estimated. The Company continues to aggressively defend the remaining

Share-Based Compensation

Share-Based Compensation	3 Months Ended
	May 01, 2022
Share-based Payment Arrangement [Abstract]
Share-Based Compensation	Note 6: Share-Based Compensation Compensation expense related to stock options and restricted stock units is included in “General and administrative expenses” in the Consolidated Statements of Comprehensive Income and is as follows: Thirteen Weeks Ended May 1, 2022 May 2, 2021 Stock options $ 261 274 Restricted stock units 3,294 2,697 Share-based compensation expense $ 3,555 $ 2,971 Transactions related to stock option awards during the thirteen weeks ended May 1, 2022 were as follows: 2014 Stock Incentive Plan 2010 Stock Incentive Plan Number Wtd. Avg. Number Wtd. Avg. of Options Exercise Price of Options Exercise Price Outstanding at January 30, 2022 933,379 $ 42.50 73,554 $ 8.33 Granted 36,844 47.71 — — Exercised (160,091 ) 34.95 (6,059 ) 8.69 Forfeited (7,855 ) 58.42 — — Outstanding at May 1, 2022 802,277 $ 44.08 67,495 $ 8.30 Exercisable at May 1, 2022 765,433 $ 43.91 67,495 $ 8.30 The total intrinsic value of options exercised during the thirteen weeks ended May 1, 2022 was $2,287. The unrecognized expense related to our stock option plan totaled approximately $954 as of May 1, 2022 and will be expensed over a weighted average period of 3.0 years. Transactions related to restricted stock units during the thirteen weeks ended May 1, 2022, were as follows: Wtd. Avg. Shares Fair Value Outstanding at January 30, 2022 922,799 $ 24.88 Granted 485,522 47.17 Performance adjusted units 11,808 46.75 Vested (88,086 ) 47.46 Forfeited (41,212 ) 51.66 Outstanding at May 1, 2022 1,290,831 $ 31.07 Fair value of our time-based and performance-based restricted stock units is based on our closing stock price on the date of grant. The grant date fair value of stock options was determined using the Black-Scholes option valuation model. The unrecognized expense related to restricted stock units was $27,575 as of May 1, 2022 and will be expensed over a weighted average period of 3.2 years. During the thirteen weeks ended May 1, 2022 and May 2, 2021, excess tax expense (benefit) of $(63) and $(1,135), respectively, were recognized in the “Provision for income taxes” in the Consolidated Statement of Comprehensive Income and classified as a source in operating activities in the Consolidated Statement of Cash Flows.

Income Taxes

Income Taxes	3 Months Ended
	May 01, 2022
Income Tax Disclosure [Abstract]
Income Taxes	Note 7: Income Taxes The effective tax rate for the thirteen weeks ended May 1, 2022, was 23.3%, compared to 11.5% for the thirteen weeks ended May 2, 2021. The previous quarter tax provision includes higher excess tax benefits associated with share-based compensation and credits associated with the reversal of certain tax valuation allowances. On March 27, 2020, the Coronavirus Aid, Relief and Economic Security Act (“CARES Act”) was signed into law. Intended to provide economic relief to those impacted by the COVID-19

Acquisition

Acquisition	3 Months Ended
	May 01, 2022
Business Combinations [Abstract]
Acquisition	Note 8: Acquisition On April 6, 2022, the Company announced its entry into an Agreement and Plan of Merger, pursuant to which the Company has agreed to acquire of the equity interests of Ardent Leisure Holding US, Inc. (“Ardent US”), doing business as “Main Event”, in exchange for cash consideration of million (to be adjusted for cash on hand, Ardent US transaction expenses, payments pursuant to Ardent US’s long term incentive plan, certain capital expenditures, and certain agreed upon working capital adjustments) less the indebtedness of Ardent US immediately prior to the closing of the transaction. As of May 1, 2022, Ardent US owns and operates family entertainment centers under the name “Main Event” and family entertainment centers under the name “The Summit.” All of The closing of the transaction is subject to customary closing conditions, including approval by the shareholders of Ardent Leisure Group, and the transaction is expected to close in the second quarter. We expect the full amount of the cash consideration paid will be funded by a new term loan facility.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	May 01, 2022
Accounting Policies [Abstract]
Description of the business	The accompanying unaudited consolidated financial statements include the accounts of Dave & Buster’s Entertainment, Inc. (referred to herein as the “Company”, “we,” “us” and “our”), any predecessor companies and its wholly-owned subsidiaries, Dave & Buster’s Holdings, Inc. (“D&B Holdings”), which owns 100% of the outstanding common stock of Dave & Buster’s, Inc. (“D&B Inc”), the operating company. All intercompany balances and transactions have been eliminated in consolidation. The Company, headquartered in Coppell, Texas, is a leading operator of high-volume entertainment and dining venues (“stores”) in North The Company operates on a 52 or 53-week The Company’s financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) in the United States for interim financial information as prescribed by the Securities and Exchange Commission (“SEC”). Accordingly, they do not include all the information and notes required by GAAP for complete financial statements. In the opinion of management, these financial statements contain all adjustments, consisting of normal recurring accruals, necessary to present fairly the financial position, results of operations and cash flows for the periods indicated. Our quarterly financial data should be read in conjunction with the audited financial statements and notes thereto for the year ended January 30, 2022, included in our Annual Report on Form 10-K
Use of estimates	The preparation of consolidated financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosures of contingent assets and liabilities at the date of the consolidated financial statements and for the period then ended. Actual results could differ from those estimates. Operating results for the thirteen weeks ended May 1, 2022 are not necessarily indicative of results that may be expected for any other interim period or for the fiscal year ending January 29, 2023.
Cash and cash equivalents	Cash and cash equivalents
Fair value of financial instruments	Fair value of financial instruments The carrying amounts of cash and cash equivalents, accounts and notes receivable, accounts payable, and other current liabilities approximate fair value because of their short-term nature. The fair value of the Company’s interest rate swap is determined based upon Level Two inputs which includes valuation models as reported by our counterparties and third-party valuation specialists. These valuation models are based on the present value of expected cash flows using forward rate curves. The fair value of our senior secured notes was $455,387 and $456,204 as of May 1, 2022 and January 30, 2022, respectively. The fair value of the Company’s debt is determined based on a discounted cash flow method, using a sector-specific yield curve based on market-derived, trade price data as of the measurement date, and is classified as a Level Two input within the fair value hierarchy. The Company also measures certain non-financial right-of-use non-recurring
Interest rate swap	Interest rate swaps Effective February 28, 2019, the Company entered into three interest rate swap agreements to manage our exposure to interest rate movements on our variable rate credit facility. The notional amount of the swap agreements, which mature August 17, 2022, totals and the fixed rate of interest for all agreements is %. Effective April 14, 2020, the Company amended its existing credit facility agreement to obtain relief from its financial covenants, and as a result, the variable interest rate terms were modified to create an interest rate floor of 1.00%. Accordingly, the Company discontinued the hedging relationship as of April 14, 2020 (de-designation date). Given the continued existence of the hedged interest payments, the Company is reclassifying its accumulated other comprehensive loss of de-designation as of May 1, 2022 will be fully amortized at maturity. Effective with the de-designation, any gain or loss on the derivatives are recognized in earnings in the period in which the change occurs. For the thirteen weeks ended May 1, 2022 and May 2, 2021, a gain of The fair value of outstanding interest rate swap derivatives liability was $1,172 and $3,823 as of May 1, 2022 and January 30, 2022, respectively, and the balance is included in “Accrued liabilities” in the Consolidated Balance Sheets. The following table summarizes the activity in accumulated other comprehensive loss related to our derivative instruments: Thirteen weeks ended May 1, 2022 May 2, 2021 Loss reclassified or amortized into interest expense $ 1,887 $ 1,887 Income tax effect $ (516 ) $ (516 )
Revenue recognition	Revenue recognition In jurisdictions where we do not have a legal obligation to remit unredeemed gift card balances to a legal authority, we recognize revenue on unredeemed gift cards in proportion to the pattern of redemption by the customers. During the thirteen weeks ended May 1, 2022, we recognized revenue of approximately $2,100 related to the amount in deferred gift card revenue as of the end of fiscal 2021, of which approximately $290 was breakage revenue.
Stockholders' equity	Stockholders’ equity
Earnings per share	Earnings per share basic respectively. Thirteen weeks ended May 1, 2022 May 2, 2021 Basic weighted average shares outstanding 48,580,273 47,695,705 Weighted average dilutive impact of awards 873,230 1,635,387 Diluted weighted average shares outstanding 49,453,503 49,331,092

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	3 Months Ended
	May 01, 2022
Accounting Policies [Abstract]
Summarizes the Activity in Accumulated Other Comprehensive Loss	The following table summarizes the activity in accumulated other comprehensive loss related to our derivative instruments: Thirteen weeks ended May 1, 2022 May 2, 2021 Loss reclassified or amortized into interest expense $ 1,887 $ 1,887 Income tax effect $ (516 ) $ (516 )
Summary of Calculation of Basic and Diluted Earnings Per Share	Basic weighted average shares outstanding are reconciled to diluted weighted average shares outstanding as follows: Thirteen weeks ended May 1, 2022 May 2, 2021 Basic weighted average shares outstanding 48,580,273 47,695,705 Weighted average dilutive impact of awards 873,230 1,635,387 Diluted weighted average shares outstanding 49,453,503 49,331,092

Accrued Liabilities (Tables)

Accrued Liabilities (Tables)	3 Months Ended
	May 01, 2022
Text Block [Abstract]
Accrued Liabilities	Accrued liabilities consist of the following as of the end of each period: May 1, 2022 January 30, 2022 Deferred amusement revenue $ 99,883 $ 92,961 Current portion of operating lease liabilities, net (1) 52,780 45,445 Compensation and benefits 30,357 27,447 Current portion of deferred occupancy costs 14,248 19,164 Deferred gift card revenue 10,840 11,855 Property taxes 7,143 6,450 Current portion of long-term insurance 5,700 5,700 Customer deposits 5,592 3,471 Utilities 5,582 5,262 Sales and use taxes 5,574 4,465 Current portion of derivatives 1,172 3,823 Accrued interest 246 8,629 Other 15,803 13,821 Total accrued liabilitie $ 254,920 $ 248,493 (1) The balance of leasehold incentive receivables of $3,419 and $10,064 as of May 1, 2022 and January 30, 2022, respectively, is reflected as a reduction of the current portion of operating lease liabilities .

Debt (Tables)

Debt (Tables)	3 Months Ended
	May 01, 2022
Debt Disclosure [Abstract]
Long-Term Debt	Long-term debt consists of the following: May 1, 2022 January 30, 2022 Senior secured notes $ 440,000 $ 440,000 Total debt outstanding 440,000 440,000 Less debt issuance costs (8,034 ) (8,605 ) Long-term debt, net $ 431,966 $ 431,395

Leases (Tables)

Leases (Tables)	3 Months Ended
	May 01, 2022
Lessee, Operating Lease, Disclosure	The components of lease expense, including variable lease costs primarily consisting of common area maintenance charges and property taxes, are as follows for the fiscal year ended: Thirteen Weeks Ended May 1, 2022 May 2, 2021 Operating lease cost $ 34,782 33,294 Variable lease cost 9,847 7,389 Short-term lease cost 117 123 Total $ 44,746 $ 40,806

Share-Based Compensation - (Ta

Share-Based Compensation - (Tables)	3 Months Ended
	May 01, 2022
Share-based Payment Arrangement [Abstract]
Schedule of Compensation Cost for Share-based Payment Arrang	Compensation expense related to stock options and restricted stock units is included in “General and administrative expenses” in the Consolidated Statements of Comprehensive Income and is as follows: Thirteen Weeks Ended May 1, 2022 May 2, 2021 Stock options $ 261 274 Restricted stock units 3,294 2,697 Share-based compensation expense $ 3,555 $ 2,971
Transactions Related to Stock Options Awards	Transactions related to stock option awards during the thirteen weeks ended May 1, 2022 were as follows: 2014 Stock Incentive Plan 2010 Stock Incentive Plan Number Wtd. Avg. Number Wtd. Avg. of Options Exercise Price of Options Exercise Price Outstanding at January 30, 2022 933,379 $ 42.50 73,554 $ 8.33 Granted 36,844 47.71 — — Exercised (160,091 ) 34.95 (6,059 ) 8.69 Forfeited (7,855 ) 58.42 — — Outstanding at May 1, 2022 802,277 $ 44.08 67,495 $ 8.30 Exercisable at May 1, 2022 765,433 $ 43.91 67,495 $ 8.30
Transactions Related to Restricted Stock Units	Transactions related to restricted stock units during the thirteen weeks ended May 1, 2022, were as follows: Wtd. Avg. Shares Fair Value Outstanding at January 30, 2022 922,799 $ 24.88 Granted 485,522 47.17 Performance adjusted units 11,808 46.75 Vested (88,086 ) 47.46 Forfeited (41,212 ) 51.66 Outstanding at May 1, 2022 1,290,831 $ 31.07

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Additional Information (Detail) $ in Thousands	Apr. 14, 2020USD ($)	May 01, 2022USD ($)StoresStatesSegmentProvinceshares	May 02, 2021USD ($)shares	Jan. 30, 2022USD ($)
Description Of Business And Summary Of Significant Accounting Policies [Line Items]
Number of stores | Stores		145
Number of states store operates | States		41
Number of operating segment | Segment		1
Number of reportable segment | Segment		1
Book overdrafts reclassified to accounts payable		$ 0		$ 16,673
Shares Paid for Tax Withholding for Share Based Compensation | shares		25,714	5,071
Payments Related to Tax Withholding for Share-based Compensation		$ 1,234	$ 236
National amount of the swap agreement		$ 350,000
Derivative, Average Fixed Interest Rate		2.47%
Notes payable, fair value		$ 455,387		456,204
Weighted average anti-dilutive options excluded from calculation of common equivalent shares | shares		102,896	111,485
Interest rate swap derivative liability		$ 1,172		$ 3,823
Impairments of long lived assets		0
Interest Rate Swap [Member]
Description Of Business And Summary Of Significant Accounting Policies [Line Items]
Interest payments reclassified to interest expense	$ 17,609
Interest payments to be reclassified during next 12 months		2,201
Loss on Derivative		$ 701	$ 131
Dave And Busters Holdings Inc [Member]
Description Of Business And Summary Of Significant Accounting Policies [Line Items]
Percentage of outstanding common stock owned		100.00%
Canada [Member]
Description Of Business And Summary Of Significant Accounting Policies [Line Items]
Number of Canadian province | Province		1
South Dakota [Member]
Description Of Business And Summary Of Significant Accounting Policies [Line Items]
Number of stores | Stores		1
Amusement Revenue [Member] | Other Comprehensive Income (Loss) [Member]
Description Of Business And Summary Of Significant Accounting Policies [Line Items]
Deferred amusement revenue		$ 19,100
Gift Card Revenue [Member]
Description Of Business And Summary Of Significant Accounting Policies [Line Items]
Deferred amusement revenue		2,100
Gift card breakage revenue		$ 290

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended
	May 01, 2022	May 02, 2021
Loss reclassified or amortized into interest expense	$ 1,887	$ 1,887
Income tax effect	$ (516)	$ (516)

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Summary of Calculation of Basic and Diluted Earnings Per Share (Detail) - shares	3 Months Ended
	May 01, 2022	May 02, 2021
Earnings Per Share [Abstract]
Basic weighted average shares outstanding	48,580,273	47,695,705
Weighted average dilutive impact of awards	873,230	1,635,387
Diluted weighted average shares outstanding	49,453,503	49,331,092

Accrued Liabilities - Accrued L

Accrued Liabilities - Accrued Liabilities (Detail) - USD ($) $ in Thousands		May 01, 2022	Jan. 30, 2022
Deferred amusement revenue		$ 99,883	$ 92,961
Current portion of operating lease liabilities, net	[1]	52,780	45,445
Compensation and benefits		30,357	27,447
Current portion of deferred occupancy costs		14,248	19,164
Deferred gift card revenue		10,840	11,855
Property taxes		7,143	6,450
Current portion of long-term insurance		5,700	5,700
Customer deposits		5,592	3,471
Utilities		5,582	5,262
Sales and use taxes		5,574	4,465
Current portion of derivatives		1,172	3,823
Accrued interest		246	8,629
Other		15,803	13,821
Total accrued liabilities		$ 254,920	$ 248,493
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration]		Total accrued liabilities	Total accrued liabilities
[1]	The balance of leasehold incentive receivables of $3,419 and $10,064 as of May 1, 2022 and January 30, 2022, respectively, is reflected as a reduction of the current portion of operating lease liabilities.

Accrued Liabilities - Accrued_2

Accrued Liabilities - Accrued Liabilities (Parenthetical) (Detail) - USD ($) $ in Thousands	May 01, 2022	Jan. 30, 2022
Accrued Liabilities, Current [Abstract]
Receivables for tenant improvement allowances	$ 3,419	$ 10,064

Debt - Additional Information (

Debt - Additional Information (Detail) - USD ($) $ in Thousands	Oct. 27, 2020	May 01, 2022	May 02, 2021
Debt Instrument [Line Items]
Weighted average interest rate on outstanding borrowings		10.90%	10.15%
Amortization of debt issuance costs		$ 960	$ 1,102
Senior Notes [Member]
Debt Instrument [Line Items]
Senior secured credit facility	$ 550,000
Maturity date	Nov. 1, 2025
Weighted average interest rate on outstanding borrowings	7.625%
Write off of Deferred Debt Issuance Cost		2,300
Frequency of periodic interest payment	November 1 and May 1 of each year
Early Repayment of Senior Debt		110,000
Payment of debt extinguishment costs		3,300
Credit Facility [Member]
Debt Instrument [Line Items]
Letter of credit facility outstanding		7,505
Borrowing available		$ 492,495
Credit Facility [Member] | First Amendment [Member]
Debt Instrument [Line Items]
Debt instrument interest rate		2.00%
Interest Rate LIBOR Floor		1.00%
Credit Facility [Member] | Second Amendment [Member]
Debt Instrument [Line Items]
Revolving credit facility, maximum borrowing capacity		$ 500,000
Debt instrument interest rate		4.00%
Utilization fee percent		1.00%
Credit Facility [Member] | Minimum [Member] | Interest Rate Spread Post Financial Covenant Suspension Increased Pricing Period [Member]
Debt Instrument [Line Items]
Debt instrument interest rate		1.25%
Credit Facility [Member] | Maximum [Member] | Interest Rate Spread Post Financial Covenant Suspension Increased Pricing Period [Member]
Debt Instrument [Line Items]
Debt instrument interest rate		3.00%

Debt - Long-Term Debt (Detail)

Debt - Long-Term Debt (Detail) - USD ($) $ in Thousands	May 01, 2022	Jan. 30, 2022
Debt Instrument [Line Items]
Total debt outstanding	$ 440,000	$ 440,000
Less debt issuance costs	(8,034)	(8,605)
Long-term debt, net	431,966	431,395
Senior Secured Debt [Member]
Debt Instrument [Line Items]
Total debt outstanding	$ 440,000	$ 440,000

Leases - Additional Information

Leases - Additional Information (Detail) - USD ($) $ in Thousands	May 01, 2022	Jan. 30, 2022
Other Liabilities [Member]
Deferred occupancy costs	$ 6,353	$ 8,434

Leases - Lease Expense (Detail)

Leases - Lease Expense (Detail) - USD ($) $ in Thousands	3 Months Ended
	May 01, 2022	May 02, 2021
Leases
Operating lease cost	$ 34,782	$ 33,294
Variable lease cost	9,847	7,389
Short-term lease cost	117	123
Total	$ 44,746	$ 40,806

Share-Based Compensation - Addi

Share-Based Compensation - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended
	May 01, 2022	May 02, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Excess income tax benefit related to stock-based compensation plans	$ (63)	$ (1,135)
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total intrinsic value of stock options exercised	2,287
Unrecognized expense related to stock option plan	$ 954
Unrecognized compensation expense, weighted average years	3 years
Restricted Stock Units (RSU's) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expense, weighted average years	3 years 2 months 12 days
Unrecognized expense related to unvested restricted stock and RSUs	$ 27,575

Share-Based Compensation - Sche

Share-Based Compensation - Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan (Detail) - USD ($) $ in Thousands	3 Months Ended
	May 01, 2022	May 02, 2021
Share-based Payment Arrangement, Noncash Expense [Abstract]
Stock options	$ 261	$ 274
Restricted stock units	3,294	2,697
Share-based compensation expense	$ 3,555	$ 2,971

Share-Based Compensation - Tran

Share-Based Compensation - Transactions Related to Stock Option Awards (Detail)	3 Months Ended
	May 01, 2022$ / sharesshares
2014 Stock Incentive Plan [Member]
Number of Options
Options outstanding at January 30, 2022 | shares	933,379
Granted | shares	36,844
Exercised | shares	(160,091)
Forfeited | shares	(7,855)
Options outstanding at May 1, 2022 | shares	802,277
Options exercisable at May 1, 2022 | shares	765,433
Weighted Average Exercise Price
Options outstanding at January 30, 2022 | $ / shares	$ 42.5
Granted | $ / shares	47.71
Exercised | $ / shares	34.95
Forfeited | $ / shares	58.42
Options outstanding at May 1, 2022 | $ / shares	44.08
Options exercisable at May 1, 2022 | $ / shares	$ 43.91
2010 Stock Incentive Plan [Member]
Number of Options
Options outstanding at January 30, 2022 | shares	73,554
Exercised | shares	(6,059)
Options outstanding at May 1, 2022 | shares	67,495
Options exercisable at May 1, 2022 | shares	67,495
Weighted Average Exercise Price
Options outstanding at January 30, 2022 | $ / shares	$ 8.33
Exercised | $ / shares	8.69
Options outstanding at May 1, 2022 | $ / shares	8.3
Options exercisable at May 1, 2022 | $ / shares	$ 8.3

Share-Based Compensation - Tr_2

Share-Based Compensation - Transactions Related to Restricted Stock Units (Detail)	3 Months Ended
	May 01, 2022$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted Stock Awards, January 30, 2022 | shares	922,799
Restricted Stock Awards, Granted | shares	485,522
Restricted Stock Awards, Performance adjusted units | shares	11,808
Restricted Stock Awards, Vested | shares	(88,086)
Restricted Stock Awards, Forfeited | shares	(41,212)
Restricted Stock Awards, May 1, 2022 | shares	1,290,831
Weighted Average Grant Date Fair Value, January 30, 2022 | $ / shares	$ 24.88
Weighted Average Grant Date Fair Value, Granted | $ / shares	47.17
Weighted Average Fair Value Grant Date, Performance adjusted units | $ / shares	46.75
Weighted Average Fair Value, Vested | $ / shares	47.46
Weighted Average Fair Value, Forfeited | $ / shares	51.66
Weighted Average Fair Value, May 1, 2022 | $ / shares	$ 31.07

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended
	May 01, 2022	May 02, 2021	Jan. 30, 2022
Income Taxes [Line Items]
Corporate tax rate	23.30%	11.50%
Income Tax Receivable			$ 57,400
Income tax refund received	$ 33,200

Acquisition - (Detail)

Acquisition - (Detail) - Ardent [Member] $ in Millions	Apr. 06, 2022USD ($)Center
Business Acquisition Percentage Of Voting Interests Acquired	100.00%
Payments To Acquire Businesses Gross | $	$ 835
Main Event [Member]
Number Of Business Owned	48
The Summit [Member]
Number Of Business Owned	3