Quick Index
 Adult Industry News
Search AINews Database
Type Keyword or Phrase Here
The Movie That Started it All!
   
 

Front Page
Film News
Media News
Business News
Clubs & Appearances
Law & Politics
Internet & Mobile News
Lifestyles Arts Health Charity
Letters to the Editor
Columns
Movie Spotlight Reviews
Interviews
Pornstar Pages
AINews Staff
Ad Rates
PR 101: Press Release Service

Caliente Swinger Vacations!

Club Jessica Jaymes - Official Website

February 12, 2002 09:06am
Rick’s Cabaret Reports Income for First Quarter, Club Margins Improve
Source: Rick’s Cabaret International, Inc.
by: Company Press Release

(HOUSTON, TX) -- Rick's Cabaret International, Inc. [Nasdaq: Rick] today reported net income of $247,222 or six cents per share for its first quarter in fiscal 2002 ending Dec. 31, 2001, compared with $250,765 and six cents in the previous year. Consolidated total revenue for the quarter was $4,054,425, compared with $5,051,413, due to a planned cutback in low margin Internet marketing programs. Rick's Cabaret operates a network of adult entertainment nightclubs and Websites.

"Given the economic conditions in our key markets we are very pleased with our results for the quarter, particularly since the restructuring of our Internet marketing system caused a steep drop in revenue for that segment." said Eric Langan, President and CEO of Rick's Cabaret. "Net income at the clubs more than doubled from the previous year to $320,406 from $156,755, even though revenue for our club operations was up by just 12 percent over the same quarter."

Mr. Langan noted that Internet revenue for the first quarter in the previous year was exceptionally high because the company acquired traffic through expensive subscription marketing services in order to build consumer interest in its Websites. "We no longer need the high volume of samplers we did during our launch phase and can now concentrate on recruiting subscribers who will stay with us over a longer period of time. We also are building our adult auction sites." Internet revenues declined by 67 percent from $2 million to $663,720 year on year, but net income from the Internet sites dropped by only 53 percent to $126,739 from $269,464. The drop in Internet revenues is a result of the Company eliminating costly subscription marketing programs that generate high revenues with low margins. The Company is focusing on programs that are expected to yield higher margins on reduced revenues.

Cash provided by operating activities for the period was $428,508, compared with $380,880 in the previous year and the company had cash at the end of the period of $838,103, compared with $359,303 at the end of the period in the previous year.

As a result of overall emphasis in cost reductions the cost of goods sold declined to 21 percent from 36 percent in the first quarter of the previous year. "Operating margins at the clubs should continue to improve as we continue our efforts to reduce costs through improved inventory management," Mr. Langan said.

"We are in excellent shape to resume our growth pattern as the economy turns around in the months ahead, both through improvements at the existing clubs and through acquisitions," Mr. Langan said.

About Rick's Cabaret:
Rick's Cabaret is organized into two business lines: 1) Nightclubs and entertainment, comprising four Rick's Cabaret clubs in Houston and Minneapolis, two XTC Clubs in San Antonio and Austin, and the Encounters club in Houston catering to couples in the swingers' lifestyle and, 2) Internet activities, which encompass adult entertainment sites such as the www.xxxpassword.com membership portal that provides access to 127,000 adult oriented Websites, and six auction sites led by www.naughtybids.com operating on a single proprietary technology platform that earn revenue from commissions on auctions of adult paraphernalia and on Webmaster referral fees.

Forward-Looking Statements:
This press release contains forward-looking statements that involve a number of risks and uncertainties. Important factors that could cause Rick's actual results to differ materially from those indicated in this press release include the risks and uncertainties as to the future operational and financial results of our Web sites, the future operational performance of our partners, the laws governing the operation of adult entertainment businesses, competitive factors, dependence on key personnel and the ability to manage operations. Rick's has no obligation to update or revise the forward-looking statements to reflect the occurrence of future events or circumstances.

[Operating Results redacted]

CONTACTS:
Investors: Allan Priaulx, 212-338-0050, ir@ricks.com
Media: Ellie Reeve, 212-338-0052, elliereeve@aol.com

Distributed by:
Resource Media, Inc.
211 E. 43rd St. * Suite 1102
New York NY 10017
T: 212-338-0050
F: 212-692-0832
resourcemedia@aol.com

The Movie That Started it All!

Related Stories

Related Sites - WARNING! Graphic Content

RavenBay01.3gp

See BiBi Jones at Digital Playground

Top Stories

Bright Lights, Lonely Nights

Taormino Speaks at Goucher

Cumisha Amado at Sagebrush

Vivid Radio 1st Anniversary

The Gardener ~ Reviewer Rated

BoodiGo: Privacy & Porn

Shades of Scarlet ~ Reviewer Rated

AINews: Skow Among Best

Heaven & Hell Halloween Party

These Things We Do ~ Reviewer Rated

Farrah Abraham at Hustler Hollywood

Sex Workshop Hustler San Diego

Halloween Art Show

O Awards Pre-Noms Open

Trophy Girl Casting Call

Cum in Me Baby 4 ~ Reviewer Rated

More Phoenix Mainstream

BoodiGo Partners PornGuardian

BoodiGo Supports ASACP

BoodiGo Blocks Child Porn

Boodigo Adult Search Engine

AVN Show Discounts End Today

Inside The Industry 10/08/2014

Amber Lynn at Wasteland

Nikki's Fit as Phoenix

Vivid Extends Patrick Hosting

Fake Test Results

Angelyne on Amber Lynn's RNSU

Red Cardinal Wraps Betrothed

Siri Wins Round 2

J.Lo Doc Johnson Offer

Stripclub Microbrewery on CNN

Father's Day ~ Reviewer Rated

Our Father ~ Reviewer Rated

Nikki Phoenix Album Released

Passport to Hustler Event

Fox News Wasteland

Asianmodelpalooza 14

Nikki Phoenix Appearances

Nikki Phoenix Karaoke XXX

Nina Elle Retains Star Factory

Tasha Reign Grads UCLA

Tera Patrick Hosts Vivid Radio

It's Just Work

Traci Bryant Goes Legal

CET Free Panel Month

Miss LA Karaoke XXX

Freedom Acres Location

Summer Lovers

Nikki Delano at Centerfolds

Karen Summer Returns

Advertise on AINews

Cytherea Auctions Fan Scene

Entertainment is Entertainment is Entertainment

More
Stories From

Business News

Cumisha Amado at Sagebrush

J.Lo Doc Johnson Offer

Passport to Hustler Event

Advertise on AINews

Freedom Acres Location

Nina Elle Retains Star Factory

Karen Summer Returns

She's Judas & Available

Camming Con Moves Dates

Exquisite Distributes DDF

Cherie Deville Returns

Roxanne Rae Available

Cherie Deville Available

Maryjean Available in LA

Alicia Silver Productions Content

Thomas Bagley Outed Belle Knox

Casting Call for 'Operation: Outdoors'

Mission Control Open House

Cherie Deville in LA

PASS Holiday Schedule

Santa Susana Pass Location

Sure Fuck Clothing Line

Nadia Night With Lucky Devil

Richelle Ryan Available

LATATA Responds to FSC

FSC Burdens Performers

Online Dating Summit Curacao

Tanya Tate Action Figure

Cam Studio Rental Rates

Sportsheets ILS Blitz

Fantasy Lingerie Storerotica Noms

New Networking Event

Crowdfunding for Adult Entertainment

Jack Hammer Coming Back

Jodie Stacks Available

TES Early Bird Price

XBIZ Executive Awards

June SCCC Mixer

Von James Hires Rub

Entertainment Equipment Floaters

AEE/ANE Seminar Schedule

Mia Gold Available

Topco StorErotica Nom

NS Novelties Storerotica Noms

Baci Announces New Distributor

Sliquid Fifty Shades Collection

Zolo StorErotica Nom

ECN StorErotica Noms

Sliquid StorErotica Noms

Obamacare Expert Randy Limbeck

SLS at Mister Leather

Barcelona Trade Show

Sensuva StorErotica Nom

SLS StorErotica Nom

Angel Del Rey New Pictures

Kira Lake New Pictures

RingO Ranglers Nominated

CB-X Nommed For 2

PHS Nommed StorErotica Awards

Good News From Lallasa

May is Masturbation Month

Kira Lake Available

OCM Rub Valentine

Sin City Chamber April Event

Crystal Delights Creates Trophies

AINews New Look

Business News Section Index

     
Copyright © 1998 - 2014 Adult Industry News (AINews.com)
All materials constituting text, articles, press releases, stories, columns, photographs, graphics, and code on the AINews.com domain are protected by copyright, and either owned by Adult Industry News (AINews.com), or reproduced with permission from other copyright owners. It may be downloaded and printed for personal reference, but not otherwise copied, altered in any way, or transmitted to others, without the written permission of Adult Industry News (AINews.com).