HOUSTON, Dec. 4, 2018 /PRNewswire/ -- RCI Hospitality
Holdings, Inc. (Nasdaq: RICK) announced its initial Fiscal 2019
free cash flow target.
As FY19 gets underway, the company is projecting net cash from
operating activities of around $29.0
million, less maintenance capital expenditures of around
$3.0 million, resulting in free cash
flow of approximately $26.0 million.
This would represent a 13% increase over RCI's original FCF target
for FY18.
"In line with our capital allocation strategy, we will consider
repurchasing shares in the open market if the yield on our free
cash flow run rate relative to our market cap approaches or exceeds
double digits," said Eric Langan,
President & CEO of RCI. "With our new free cash flow run rate
of $26 million, this would correspond
to a share price of approximately $27.00."
RCI plans to discuss the FY19 target with investors today and
Wednesday at the LD Micro Main Event conference in Los Angeles and during the company's
presentation on Wednesday at 1:00 PM
PT (4:00 PM ET). To access the
live webcast, slides, and replay, visit
http://wsw.com/webcast/ldmicro15/rick/.
About RCI Hospitality Holdings, Inc. (Nasdaq: RICK)
With more than 40 units, RCI Hospitality Holdings, Inc., through
its subsidiaries, is the country's leading company in gentlemen's
clubs and sports bars/restaurants. Clubs in New York City, Chicago, Dallas/Ft.
Worth, Houston,
Miami, Minneapolis, St.
Louis, Charlotte, Pittsburgh, and other markets operate under
brand names, such as Rick's Cabaret, XTC, Club Onyx, Vivid Cabaret,
Jaguars, Tootsie's Cabaret, and Scarlett's Cabaret. Sports
bars/restaurants operate under the brand name Bombshells Restaurant
& Bar. Please visit http://www.rcihospitality.com
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
in this press release, including the risks and uncertainties
associated with operating and managing an adult business, the
business climates in cities where it operates, the success or lack
thereof in launching and building the company's businesses, risks
and uncertainties related to cybersecurity, conditions relevant to
real estate transactions, and numerous other factors such as laws
governing the operation of adult entertainment businesses,
competition and dependence on key personnel. The company has no
obligation to update or revise the forward-looking statements to
reflect the occurrence of future events or circumstances.
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.