RCI Reports 2Q24 Sales, Development Updates & Share Buybacks; Holding X Spaces Call at 4:30 PM ET Today
RCI is holding a related conference call on X Spaces at
Sales
-
Nightclubs: Sales totaled
$59.0 million , an increase of 4.2% or$2.4 million year-over-year. 2Q24 reflected increases of$7.4 million from acquisitions not in SSS. 2Q24 also reflected declines of 5.7% or$2.9 million in SSS and of$2.1 million from clubs reopened, reformatted or closed during or prior to the quarter. -
Bombshells: Sales totaled
$12.8 million , a decline of 10.4% or$1.5 million year-over-year. 2Q24 reflected increases of$1.2 million from locations not in SSS: Cherry Creek Food Hall inGreenwood Village (CO) with itsBombshells Kitchen , Bombshells San Antonio (TX), and Bombshells Stafford (TX). 2Q24 also reflected declines of 20.5% or$2.7 million in SSS. Bombshells didn't start implementing previously announced management and marketing changes and cost cutting untilmid-February 2024 .
Development Schedule & Acquisitions
-
Nightclubs:
PT's Centerfold Gentlemen's Club inLubbock (TX), a new BYOB club, opened the third week ofMarch 2024 . Baby Dolls Abilene (TX), a reformatted liquor club, opened the first week ofApril 2024 . Two of our BYOB locations inEl Paso (TX) andHarlingen (TX) are being converted into Chicas Locas and will open when their liquor licenses are issued. Baby Dolls West Fort Worth (TX) should have its construction permits soon. Scarlett's Cabaret inGlendale (CO) received its liquor license to sell and serve alcohol until4 AM . RCI is working on bringing the Scarlett's hybrid nightclub/adult entertainment concept toDallas . A letter of intent has been signed to purchase one club. -
Casinos: The planned Rick's
Cabaret Steakhouse & Casino andBombshells Sports Casino, both inCentral City (CO), received their 24-hour liquor licenses from the city and are still waiting on their gaming licenses. The Rick's location might open its cabaret and steakhouse without gaming possibly in late summer 2024. -
Bombshells: The
Rowlett (TX),Lubbock (TX) andDenver (CO) locations are expected to open late summer 2024.
Capital Management
-
New
Bank Loan : RCI anticipates the closing in April of a$20.0 million , 8.25% fixed rate, 10-year commercial bank loan (subject to one adjustment in five years), with a 20-year amortization schedule. The loan, expected to be secured by nine real estate properties appraised at$31.6 million , would provide additional funds for working capital, at favorable commercial bank rates and terms. -
Share Buybacks: During 2Q24, RCI repurchased 27,265 common shares for
$1.5 million or an average of$56.12 per share, bringing the 6M24 total to 65,219 repurchased shares for$3.6 million or an average of$55.23 per share. RCI had$13.0 million in remaining repurchase authorization atMarch 31, 2024 .
Club & Restaurant Sales ($ in Millions)
2Q24 |
Total Sales |
Total Sales vs. 2Q23 |
Same-Store Sales vs. 2Q23 |
Combined |
|
+1.3 % |
-8.6 % |
Nightclubs |
|
+4.2 % |
-5.7 % |
Bombshells |
|
-10.4 % |
-20.5 % |
|
|||
6M24 |
Total Sales |
Total Sales vs. 6M23 |
Same-Store Sales vs. 6M23 |
Combined |
|
+3.5 % |
-9.2 % |
Nightclubs |
|
+6.3 % |
-6.5 % |
Bombshells |
|
-7.6 % |
-20.4 % |
Notes
- Revenues from non-core operations, such as third-party rents, and revenues from RCI's Other segment, are not included in Nightclubs and Bombshells sales above.
- All references to "
RCI Hospitality Holdings, Inc. ," "company," "we," "our," and similar terms refer to RCI and/or its subsidiaries, unless the context indicates otherwise.
About RCI Hospitality Holdings, Inc. (Nasdaq: RICK) (X: @RCIHHinc )
With more than 60 locations,
Forward-Looking Statements
This press release may contain forward-looking statements that involve a number of risks and uncertainties that could cause the company's actual results to differ materially from those indicated, including, but not limited to, the risks and uncertainties associated with (i) operating and managing an adult entertainment or restaurant business, (ii) the business climates in cities where it operates, (iii) the success or lack thereof in launching and building the company's businesses, (iv) cyber security, (v) conditions relevant to real estate transactions, (vi) the impact of the COVID-19 pandemic, and (vii) numerous other factors such as laws governing the operation of adult entertainment or restaurant businesses, competition and dependence on key personnel. For more detailed discussion of such factors and certain risks and uncertainties, see RCI's annual report on Form 10-K for the year ended
Media & Investor Contacts
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