Twitter Spaces Conference Call Today at
10:30 AM ET
HOUSTON, July 12,
2022 /PRNewswire/ -- RCI Hospitality Holdings, Inc.
(Nasdaq: RICK) reported sales for its Nightclubs and Bombshells
restaurants of $70.1 million for the
fiscal third quarter ended June 30,
2022. Sales do not include non-core operations and are
preliminary and subject to final closing. Full 3Q22 financial
results are expected by August 9. RCI
also announced it bought back 168,069 shares in 3Q22 totaling
$9.2 million.
Eric Langan, President and CEO of
RCI Hospitality Holdings, Inc., EVP Travis Reese, and CFO
Bradley Chhay will participate in a
Twitter Spaces conference call regarding today's news at
10:30 AM ET. The Twitter Spaces call
will be hosted by Mr. Langan; co-hosted by WOLF Financial and
Mark Moran of Litquidity; and
accessible at https://twitter.com/i/spaces/1lDGLLLYMQwGm. A replay
will be available immediately thereafter.
"We're pleased revenues hit the higher end of our target annual
run rate of $260-$280 million," Mr. Langan said. "The third
quarter was the first period since 1Q20 not affected by COVID. It
also benefitted from the full integration of our 1Q22 club
acquisitions. Bombshells faced comparisons to an unusually strong
year-ago quarter, when it was one of the few bar and restaurant
chains open in Texas, with little
competition due to the state of COVID at the time. Otherwise,
Bombshells saw typical seasonal trends. Armed with high cash
balances from strong sales, we took advantage of market conditions
to repurchase 1.78% of shares outstanding since March 31, 2022, and we ended the quarter with
$37.5 million cash and cash
equivalents."
Club & Restaurant Sales ($ in
Millions)
|
3Q22 Total
Sales
|
Total Sales vs.
3Q21
|
Same-Store Sales vs.
3Q21
|
Combined
|
$70.1
|
+23.7 %
|
-0.1 %
|
Nightclubs
|
$54.3
|
+33.8 %
|
+4.8 %
|
Bombshells
|
$15.8
|
-1.9 %
|
-12.3 %
|
|
9M22 Total
Sales
|
Total Sales vs.
9M21
|
Same-Store Sales vs.
9M21
|
Combined
|
$194.3
|
+40.7 %
|
+8.4 %
|
Nightclubs
|
$148.4
|
+54.9 %
|
+13.2 %
|
Bombshells
|
$45.9
|
+8.7 %
|
-1.6 %
|
Share Buybacks
|
3Q22
|
9M22
|
FY16-9M22
|
Repurchased
Shares
|
168,069
|
213,712
|
1,769,279
|
Total Cash Used for
Repurchase ($M)
|
$9.2
|
$12.1
|
$34.6
|
Average Price Per
Share
|
$54.81
|
$56.42
|
$19.58
|
Notes
Club acquisitions contributed sales of $11.8 million in 3Q22 and $27.0 million in 9M22. 11 clubs were acquired in
October, one in November, and one in early May. Northern clubs
continued to rebound. Clubs in key markets benefited from customer
traffic related to major sporting events and NFT conferences.
Bombshells Arlington
contributed sales of $1.7 million in
3Q22 and $4.3 million since its
December opening. Bombshells' first franchisee in San Antonio has seen very strong sales since
opening June 27.
The COVID pandemic first impacted sales in RCI's 2Q20. All
locations were required to close mid-March
2020. Bombshells and some Nightclubs began to reopen
May 2020. All Nightclubs were not
fully reopened to their full operating hours until 4Q21.
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) www.rcihospitality.com
With more than 50 units, RCI Hospitality Holdings, Inc., through
its subsidiaries, is the country's leading company in adult
nightclubs and sports bars/restaurants. Clubs in New York City, Chicago, Dallas-Fort
Worth, Houston,
Miami, Minneapolis, Denver, St.
Louis, Charlotte,
Pittsburgh, Raleigh, Louisville, and other markets operate under
brand names such as Rick's Cabaret, XTC, Club Onyx, Vivid Cabaret,
Jaguars Club, Tootsie's Cabaret, and Scarlett's Cabaret. Sports
bars/restaurants operate under the brand name Bombshells Restaurant
& Bar.
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 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 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 September 30,
2021, as well as its other filings with the U.S. Securities
and Exchange Commission. The company has no obligation to update or
revise the forward-looking statements to reflect the occurrence of
future events or circumstances.
Media & Investor
Contacts
Gary Fishman and Steven Anreder at 212-532-3232 or
gary.fishman@anreder.com and steven.anreder@anreder.com
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SOURCE RCI Hospitality Holdings, Inc.