May 18, 2000 08:02am
Rick's Cabaret Reports Revenues From Web Site During April Surpassed Previous Three Months Combined
Source: Rick's Cabaret Inc.
by: Company Press Release
(HOUSTON, TX) -- Rick's Cabaret International Inc. (Nasdaq:RICK - news) today announced that in April 2000, revenues from its flagship Internet Web site, www.DancerDorm.com, surpassed those for all of the fiscal second quarter ended March 31, 2000. For the month of April, DancerDorm revenues were $61,700, compared to $57,500 for the previous three months combined.
Also during the month of April, the company reported its first positive ratio between Internet traffic bought and sold. The company lost approximately $46,000 on this activity during the March quarter but recorded a slight profit from the sale of its Internet traffic during April.
Eric Langan, president and chief executive officer of Rick's, commented, ``We are beginning to see the growth in revenues derived from the Internet that we anticipated when we launched our sites in late 1999. We were pleased with the increase in revenues during April and we are optimistic that during May we will experience a continuation of this trend of increasing revenues. If this trend continues we anticipate positive earnings from Internet operations by fiscal year end.''
Rick's Cabaret International Inc. opened its first ``Rick's Cabaret'' in Houston, Texas, in 1983 and went public with its IPO in 1995, making Rick's the world's first publicly traded topless entertainment business. Rick's owns and operates premier adult entertainment Internet Web sites, such as www.DancerDorm.com and www.SmutDog.com. Rick's also owns and operates three Rick's Cabaret locations, two of which are in Houston and one of which is in Minneapolis. Rick's also owns and operates two XTC Cabarets, which are located in San Antonio and Austin, through its 93% owned subsidiary, Taurus Entertainment Companies Inc. Rick's and its subsidiaries own all the real estate properties where their cabarets and Internet production studio are located.
Other companies in the adult entertainment industry include Playboy Enterprises Inc., New Frontier Media Inc. and Private Media Group.
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 whether the definitive documentation will ultimately be executed, the future operational and financial results of the newly acquired Web site, the future operational strength of Voice Media, 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.
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