Bowlero (NYSE:BOWL) shares were launched higher after-hours as the company’s upbeat outlook for FY25 and strong FQ4 sales offset a wider loss in the current reported quarter.

“We ended fiscal 2024 on a high note,” said CEO Thomas Shannon, as same store sales were up 6.9% and total revenue increased 18.6% to $283.9M. “Our proven ability to deploy capital across our portfolio and operate acquired assets more efficiently while investing in our people and brand showed results with adjusted EBITDA growing 29%+ year-over-year,” he added.

While the company’s sales improved, increased expenses and an asset impairment charge of nearly $60M resulted in a net loss of $62.2M compared to a profit of $146.2M in the same quarter last year. For the fiscal year ended June 30, Bowlero (BOWL) swung to a loss of $83.6M versus a profit of $82.0M a year ago.

For FY25, the company expects total revenue to be up mid-single digits to 10%+ year-over-year, which equates to $1.22B to $1.28B, straddling the consensus estimate of $1.24B. Adjusted EBITDA margin is expected to be 32% to 34%, which equates to adjusted EBITDA of $390 million to $430 million, up 16% from FY24 at the midpoint.

Shares were last trading 13% higher from Thursday’s close.