RCI Hospitality Holdings to Report Q4 Earnings: What's in Store?

RCI Hospitality Holdings, Inc. RICK is scheduled to report fourth-quarter fiscal 2024 results on Dec. 16. In the last reported quarter, the company’s earnings missed the Zacks Consensus Estimate by 163.6%.Q4 Estimates of RICKThe Zacks Consensus Estimate for earnings is pegged at 37 cents per share, indicating growth of 60.9% from 23 cents a year ago.The consensus mark for revenues is pegged at $73 million, implying a decrease of 3% from the year-ago figure.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.Factors to Note Ahead of RICK’s Q4 ReleaseThe company’s results in fourth-quarter fiscal 2024 are likely to be aided by an effective capital allocation strategy. Amid economic distress, RCI Hospitality came up with a strategic initiative to improve its business conditions and ensure smooth functioning across all the company’s reportable segments. The Back-to-Basics business approach outlines the company’s aim to ensure the efficient and profitable functioning of its locations. These efforts are likely to have aided the company’s performance in fourth-quarter fiscal 2024. However, the dismal performance of Bombshells restaurants is likely to have negatively impacted the top line.Q4 Preliminary Revenue ResultsIn October, the company reported preliminary results for fourth-quarter fiscal 2024. The company reported total sales of $72.1 million, down 2.6% year over year. In the quarter, the company’s same-store sales dropped 1.1% year over year, due to external challenges like Hurricane Beryl, which caused temporary closures at key locations.In the quarter, sales from Nightclubs was $60.2 million, down 0.5% year over year. This downside can be attributed to the disruption caused by Hurricane Beryl, which led to 10 closure days at three of RICK’s clubs in Houston. In addition, temporary closures, such as the fire at Baby Dolls Fort Worth, impacted overall performance. However, this was partially mitigated by contributions from three new or reformatted clubs (in Harlingen, Lubbock and Tye, TX) and 2.2% same-store sales growth.Sales from Bombshells restaurants in the fiscal fourth quarter was $11.9 million, down 12.2% from the year-ago quarter’s levels. This downside was due to a fall in same-store sales (down 16.2% year over year). Also, the prolonged closure of five Houston-area locations (impacted by Hurricane Beryl) added to the negatives.RCI Hospitality Holdings, Inc. Price and EPS Surprise RCI Hospitality Holdings, Inc. price-eps-surprise | RCI Hospitality Holdings, Inc. QuoteWhat the Zacks Model Unveils for RICKOur proven model does not conclusively predict an earnings beat for RCI Hospitality. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is not the case here. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.RCI Hospitality has an Earnings ESP of 0.00% and a Zacks Rank #3 at present.Stocks to ConsiderHere we present three stocks you may want to consider as our model shows that these have the right combination of elements to post an earnings beat this season.Boyd Gaming Corporation BYD currently has an Earnings ESP of +4.95% and a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.BYD’s earnings for the to-be-reported quarter are expected to increase 6.6%. It reported better-than-expected earnings in three of the trailing four quarters and missed the other, the average surprise being 6.9%.Carnival Corporation & plc CCL has an Earnings ESP of +10.21% and a Zacks Rank of 3 at present.It reported better-than-expected earnings in each of the trailing four quarters, with an average earnings surprise of 318.1%.Norwegian Cruise Line Holdings Ltd. NCLH currently has an Earnings ESP of +10.00% and a Zacks Rank of 2.NCLH’s earnings for the to-be-reported quarter are expected to increase 155.6%. It reported better-than-expected earnings in three of the trailing four quarters and missed the other, the average surprise being 4.2%.Free Report: 5 Clean Energy Stocks with Massive UpsideEnergy is the backbone of our economy. It’s a multi-trillion dollar industry that has created some of the world’s largest and most profitable companies.Now state-of-the-art technology is paving the way for clean energy sources to overtake “old-fashioned” fossil fuels. Trillions of dollars are already pouring into clean energy initiatives, from solar power to hydrogen fuel cells.Emerging leaders from this space could be some of the most exciting stocks in your portfolio.Download Nuclear to Solar: 5 Stocks Powering the Future to see Zacks’ top picks free today.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Carnival Corporation (CCL): Free Stock Analysis Report Boyd Gaming Corporation (BYD): Free Stock Analysis Report Norwegian Cruise Line Holdings Ltd. (NCLH): Free Stock Analysis Report RCI Hospitality Holdings, Inc. (RICK): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks