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RCI HOSPITALITY HOLDINGS INC RCI Reports Positive Operating Cash Flow and EPS for 1Q21 HOUSTON - February 9 , 2021 - RCI Hospitality Holdings , Inc. ( Nasdaq : RICK ) today reported results for the fiscal 2021 first quarter ended December 31 , 2020 and filed its Form 10 - Q . Results are not comparable to year- ago periods due to the COVID - 19 pandemic , which has caused state and local governments to restrict the opening , occupancy , and operating hours of locations in different ways , at different times . 1Q21 Highlights • GAAP EPS of $ 1.07 and non - GAAP EPS of $ 0.39 • • GAAP results included $ 4.9 million pre - tax gain from debt extinguishment and a $ 384,000 tax benefit Weighted average shares outstanding declined 3.3 % year - over - year ● $ 17.0 million cash and cash equivalents at December 31 , 2020 • • Net cash from operating activities of $ 6.3 million and free cash flow * of $ 5.7 million Nightclubs segment revenues of $ 25.2 million with 33.7 % operating margin • Total revenues of $ 38.4 million , up 33 % from 4Q20 and equal to 79 % of 1Q20 revenues • Bombshells segment revenues of $ 13.0 million with 20.9 % operating margin Eric Langan , President & CEO , said : " 1Q21 saw the best overall company and Nightclubs performance since the pandemic began in our March 2020 quarter , as well as continued strong Bombshells results . This enabled us to keep our teams employed , generate free cash flow , build cash , and achieve operating and net profitability on a GAAP and non - GAAP basis . Once again , we thank our loyal customers , dedicated team members , and steadfast investors . " Looking ahead , we're encouraged more clubs have been allowed to reopen and hope this trend continues as the COVID - 19 vaccines are rolled out . As of today , 31 clubs and all 10 Bombshells are open . We're also evaluating potential club acquisitions . To expand Bombshells , we recently acquired a great site in the Dallas area and are conducting due diligence on three more . In addition , we are closely collaborating with our initial franchisee on their first location and continue to speak with potential new franchisees . As part of the effort to refinance our real estate debt at better terms , we are awaiting results of appraisals . " Conference Call Today at 4:30 PM ET ● Live Participant Phone Number : Toll Free 877-407-9210 , International 201-689-8049 • Access the live webcast , slides or replay here : https://www.webcaster4.com/Webcast/Page/2209/39831 • Phone replay : Toll Free 877-481-4010 , International 919-882-2331 , Passcode : 39831 1Q21 Statement of Operations ( All comparisons are to 1Q20 ) • Consolidated revenues of $ 38.4 million compared to $ 48.4 million . By segment , Bombshells generated $ 13.0 million compared to $ 10.4 million , and Nightclubs generated $ 25.2 million compared to $ 37.9 million . • During 1Q21 , 24 clubs were open the full quarter and 26 by period end , and all 10 Bombshells were open the full quarter . During 1Q20 , 38 clubs were open , and the ninth Bombshells opened October 2019 . 1