On 29 February 1892 Penley produced the farce "Charley's Aunt" at the Theatre Royal, Bury St. Edmunds, appearing in the role of Lord Fancourt Babberley (who reluctantly impersonates a rich widow from Brazil). Brandon Thomas wrote the play as a vehicle for Penley; later the two disagreed (and went to court) about how much, if any, of the plot was Penley's invention rather than Thomas's. Penley told a journalist in 1894, "The play was my idea and Brandon Thomas wrote it. Later on, we went down into the country and worked at it. Then we worked it out on the stage." The provincial production was a success, and Penley then produced the play in London at the Royalty in December 1892, after which it transferred to the larger Globe in 1893. "Charley's Aunt" became an unprecedented hit, running for 1,466 performances in London, a record that lasted for decades. The original run finally ended in December 1896, but the play was revived several times. "The Times" commented that it was probable that although the "long runs filled his pockets, broke his strength". Penley's last new role was as the eccentric Lord Markham, in the comedy "A Little Ray of Sunshine", by Mark Ambient and Wilton Heriot, in which he toured from May 1898 and opened at the Royalty in January 1899.