9 unchanged sentences
Our fiscal quarters chronologically end on December 31, March 31, June 30 and September 30.
−Removed: Our corporate website address is www.rcihospitality.com.
−Removed: Upon written request, we make available free of charge our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and all amendments to those reports as soon as reasonably practicable after such material is electronically filed with the SEC under the Securities Exchange Act of 1934, as amended (www.sec.gov).
−Removed: Information contained in the corporate website shall not be construed as part of this Form 10-K.
−Removed: We operate several businesses, which we aggregate for financial reporting purposes into two reportable segments – Nightclubs and Bombshells.
+Added: Through our subsidiaries, we operate several businesses, which we aggregate for financial reporting purposes into two reportable segments – Nightclubs and Bombshells.
Businesses that are not included as Nightclubs or Bombshells are combined as “Other.”
16 unchanged sentences
Nightclubs Segment
−Removed: We operate our adult entertainment nightclubs through several brands that target many different demographics of customers by providing a unique, quality entertainment environment.
+Added: Our Nightclubs subsidiaries operate our adult entertainment nightclubs through several brands that target many different demographics of customers by providing a unique, quality entertainment environment.
Our clubs do business as Rick’s Cabaret, Jaguars Club, Tootsie’s Cabaret, XTC Cabaret, Club Onyx, Hoops Cabaret and Sports Bar, Scarlett’s Cabaret, Diamond Cabaret, Cheetah Gentlemen's Club, PT's Showclub, Playmates Club, Country Rock Cabaret, Temptations Adult Cabaret, Foxy’s Cabaret, Vivid Cabaret, Downtown Cabaret, Cabaret East, The Seville, Silver City Cabaret, Heartbreakers Gentlemen's Club, Kappa Men’s Club, Baby Dolls, and Chicas Locas.
9 unchanged sentences
Same-stores sales for Nightclubs in 2024 was -2.1%.
−Removed: During fiscal 2023, we acquired six gentlemen’s clubs, certain related real estate properties, and associated intellectual property through two transactions with an aggregate acquisition price of $75.5 million (with a combined fair value of $72.3 million).
−Removed: These six clubs contributed $18.2 million in revenues during fiscal 2023.
−Removed: See Note 14 to our consolidated financial statements for details of the transactions.
For a list of our nightclub locations, refer to Item 2—“Properties.”
5 unchanged sentences
Their mission, in addition to waitressing, is to interact with guests and generate a fun atmosphere.
−Removed: Bombshells is also franchising under our subsidiary, BMB Franchising Services, Inc., which has been approved to sell franchises in all 50 states.
−Removed: On December 22, 2020, the Company signed a franchise development agreement with a group of private investors to open three Bombshells locations in San Antonio, Texas, over a period of five years, and the right of first refusal for three more locations in Corpus Christi, New Braunfels, and San Marcos, all in Texas.
−Removed: On May 2, 2022, the Company signed its second franchise development agreement with a private investor to open three Bombshells locations in the state of Alabama over a period of five years.
−Removed: We opened one company-owned location in Arlington, Texas (Dallas area), in December 2021 and our first franchised location opened in June 2022 in San Antonio, Texas.
−Removed: In February 2023, we acquired the San Antonio franchise location and terminated our franchise and development agreement.
−Removed: As of September 30, 2023, we have twelve company-owned Bombshells locations, all in Texas with two in the Dallas area, one in Austin, one in San Antonio, and eight in the Greater Houston area.
−Removed: In December 2022, we acquired a food hall in Denver, Colorado.
−Removed: Subsequent to our fiscal 2023 year-end, we opened one Bombshells location in Stafford, Texas in November 2023.
+Added: During fiscal 2024, we opened one Bombshells location in Stafford, Texas and sold one location in San Antonio, Texas.
During fiscal 2024, Bombshells sales mix was 54.3% alcoholic beverages and 45.7% food, merchandise, and other.
31 unchanged sentences
• We consider paying down our most expensive debt if it makes sense on a tax-adjusted basis, or there is an otherwise strategic rationale.
−Removed: Over a five-year period from fiscal 2018 through fiscal 2023, we improved diluted earnings per share at a compound annual growth rate (“CAGR”) of approximately 8%, which was mainly caused by increasing revenue at a CAGR of approximately 12%, and flowing through net income at a CAGR of approximately 7%.
−Removed: As a result, net cash provided by operating activities improved at approximately 18% and free cash flow at also approximately 18% CAGR for the same period.
+Added: Over a five-year period from fiscal 2019 through fiscal 2024, our diluted earnings per share declined at a compound annual growth rate (“CAGR”) of 30.9%, which was mainly caused by increasing revenue at a CAGR of 10.3%, with impairment of assets as the most significant offset at a CAGR of 44.9% increase.
+Added: Excluding noncash and certain nonrecurring items, our non-GAAP diluted earnings per share improved at a CAGR of 14.1%.
+Added: Net cash provided by operating activities improved at 8.5% and free cash flow also improved at 7.8% CAGR for the same period.
See discussions of our non-GAAP financial measures starting on page 44 .
+Added: During 2022, we achieved our highest financial performance in terms of profitability and cash flow due to government stimulus due to the pandemic and the fact that our restaurants and clubs were among the first to open and resume business operations.
+Added: Compared to our record net income in 2022, our 2024 net income decreased by 93%.
+Added: But for the same time period, our net cash from operating activities only decreased by 13%.
+Added: We are managing this by carefully evaluating our Bombshells program in view of recent performance trends.
+Added: Currently, we have three locations that are under construction and do not plan to add anymore locations after those.
+Added: We terminated our franchising program, and are aggressively closing underperforming locations.
The adult entertainment and the restaurant/sports bar businesses are highly competitive with respect to price, service and location.
All of our nightclubs compete with a number of locally owned adult clubs, some of whose brands may have name recognition that equals that of ours.
−Removed: The names “Rick’s” and “Rick’s Cabaret,” “Tootsie’s Cabaret,” “XTC Cabaret,” “Scarlett’s,” “Silver City,” “Club Onyx,” “Downtown Cabaret,” “Temptations,” “The Seville,” “Jaguars,” “Hoops Cabaret,” “Foxy’s Cabaret,” "Studio 80," “Country Rock Cabaret,” “PT’s,” “Diamond Cabaret,” “Baby Dolls Saloon," "Baby Dolls," and "Chicas Locas" are proprietary.
+Added: The names “Rick’s” and “Rick’s Cabaret,” “Tootsie’s Cabaret,” “XTC Cabaret,” “Scarlett’s,” “Silver City,” “Club Onyx,” “Downtown Cabaret,” “Temptations,” “The Seville,” “Jaguars,” “Hoops Cabaret,” “Foxy’s Cabaret,” "Studio 80," “Country Rock Cabaret,” “PT’s,” “Diamond Cabaret,” “Baby Dolls Saloon," "Baby Dolls," "Chicas Locas," "Rick's Rewards," and "Venice Cabaret" are proprietary.
In the restaurant/sports bar business, “Bombshells” is also proprietary.
35 unchanged sentences
See related discussion in “Risk Factors” below.
+Added: AVAILABLE INFORMATION
+Added: Our corporate website address is www.rcihospitality.com.
+Added: Upon written request, we make available free of charge our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and all amendments to those reports as soon as reasonably practicable after such material is electronically filed with the SEC under the Securities Exchange Act of 1934, as amended (www.sec.gov).
+Added: Information contained in the corporate website shall not be construed as part of this Form 10-K.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.