RCI Hospitality (RICK)
NASDAQ:RICK
Earnings Data
Report Date
May 11, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
―Last Year’s EPS
0.36Same Quarter Last Year
Based on 0 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Neutral
The call presented a mixed picture. Operationally the core Nightclubs business showed resilience (slightly higher revenues and improved segment margins), free cash flow remained stable and the company strengthened its balance sheet modestly through cash and debt reduction while aggressively reducing share count. However, results were materially impacted by a large legal reserve and related spike in corporate expenses, producing a GAAP net loss, a sharp decline in adjusted EBITDA, and notable weakness in the Bombshells segment (fewer locations and down same-store sales). Management emphasized a clear capital allocation plan and multiple portfolio optimization actions, but the legal uncertainty and near-term profitability compression are prominent concerns. Balancing the material negatives against the execution on cash generation, buybacks and strategic actions, the overall impression is mixed with near-term headwinds but a defined plan to improve returns longer term.Company Guidance
Free Cash Flow Stability and Strong Cash Position
Free cash flow remained near $13.1 million for the quarter (virtually level year-over-year) with a free cash flow margin of 18%. Cash and cash equivalents ended the quarter at $33.7 million, up $4.4 million from June 30.
Aggressive Share Reduction and Buybacks
Shares outstanding reduced to approximately 7.7 million (about 14% lower than year-end Sept 30, 2024). Since fiscal '25 year-end through March 13, 2026 the company repurchased ~153,000 shares in the open market and used $2.7 million for buybacks during the quarter (in addition to earlier ADW-related purchases).
Nightclubs Segment Revenue and Margin Improvement
Nightclubs revenues totaled $60.9 million, up 0.4% year-over-year. Segment operating income increased to $16.3 million from $13.0 million, with operating margin improving to 26.8% from 21.5% year-over-year.
Debt Reduction and Controlled Interest Cost
Total debt declined $5.5 million from June 30. Weighted average interest rate remained controlled at 6.64% versus 6.67% a year ago. Excluding the legal accrual impact, debt to trailing-12-month adjusted EBITDA was ~3.83x.
Clear Capital Allocation Plan and Long-Term Targets
Management reiterated a 5-year 'Back to Basics' plan (allocate ~40% of free cash flow to club acquisitions and 60% to buybacks/debt reduction/dividends). Targets include adding roughly $6 million adjusted EBITDA per year and fiscal '29 targets of $400 million revenue, $75 million free cash flow and ~7.5 million shares outstanding.
Active Portfolio Optimization and Transactions
Since plan initiation the company divested 4 Bombshells in leased locations, acquired 3 nightclubs, opened 4 new clubs, attracted outside investment in one nightclub, sold 2 small underperforming clubs, and sold a club in Edinburg for $1.1 million. Marketing of nonperforming assets includes ~3 small clubs (estimated value $7.5M, debt $3M) and 8 nonincome-producing properties (estimated value $24.2M, debt $13.2M).
Bombshells Operational Turnaround Initiatives
Management is reformatting Bombshells toward a higher bar/alcohol mix (aiming to raise alcohol sales from ~52% toward 60–65%), targeting 15% operating margins and reporting initial positive results from concept changes rolled out in mid‑January.
RICK Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
RICK Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Mar 19, 2026 | $21.87 | $21.71 | -0.73% |
Feb 05, 2026 | $24.46 | $23.50 | -3.91% |
Aug 11, 2025 | $35.95 | $36.42 | +1.32% |
May 12, 2025 | $42.95 | $44.54 | +3.69% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does RCI Hospitality (RICK) report earnings?
RCI Hospitality (RICK) is schdueled to report earning on May 11, 2026, After Close (Confirmed).
What is RCI Hospitality (RICK) earnings time?
RCI Hospitality (RICK) earnings time is at May 11, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is RICK EPS forecast?
Currently, no data Available