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P1253037289RnMwc

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Treat the Customer Like Royalty. Strive for Repeat Business. Don't 'Hustle' Customers ... NYC. 50 West 33rd Street. Free Admission for FAMMS. The First Drink ... – PowerPoint PPT presentation

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Title: P1253037289RnMwc


1
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2
Safe Harbor Statement
  • In this presentation you may hear or see
    forward-looking statements that are covered under
    the provisions of Section 27A of the Securities
    Act of 1933 regarding Safe Harbor statements.
    Forward-looking statements may involve revenue,
    income and other business activities of Ricks
    Cabaret. Actual results could differ materially
    from those projected in the forward-looking
    statements as a result of many factors, including
    but not limited to the risks associated with
    operating an adult business, our ability to
    complete the acquisitions of new business units,
    business climates in New York City and elsewhere,
    the success or lack thereof in building the
    companys business in New York City and
    elsewhere, and numerous other factors. Under
    provisions of the Safe Harbor section, the
    company is under no obligation to correct, update
    or amend such statements. Definitive information
    about the company is presented on the companys
    Website, www.ricks.com, and in filings made to
    the SEC, which are also available on the Website.

3
A QUICK LOOK BACK
  • OCTOBER 6, 2005
  • 2.95 per share

4
Whats Happened Since?
  • October 6, 2005 first presentation of Ricks
    Cabaret to FAMMS
  • Since then RICK value has risen 237 per share
  • Market Recognizes We Are Monitizing a Unique
    Industry

5
INTERESTING COMPS
  • SP 500 on October 6, 2005 1212
  • SP 500 on August 15, 2006 1265 (up 4.3)
  • NASDAQ Composite on October 6, 2005 2105
  • NASDAQ Composite on August 15, 2006 2089 (down
    .766)

6
OUR VISION
  • CONTINUE GROWING ORGANICALLY AND THROUGH
    ACQUISITIONS 15 NET
  • TRACKING CASINO INDUSTRY ROLL-UP
  • BRAND-NAME AWARENESS INCREASES TRAFFIC AND
    MERCHANDISING
  • ENERGIZED/MOTIVATED MANAGEMENT TEAM CONCIERGE
    MODEL

7
QUICK OVERVIEW - RICKS BUSINESS MODEL
  • Multiple Revenue Streams
  • - Alcoholic Beverages
  • - Food Merchandise-Steak Houses
  • - Service Revenue (Cover Charges,
  • Entertainer fees, CC ATM Fees)
  • Higher Revenues Higher Margins

8
HOW WE OPERATE
  • Treat the Customer Like Royalty
  • Strive for Repeat Business
  • Dont Hustle Customers
  • Offer Exceptional Entertainment Experience/First
    Class Dining

9
3Q 2006 HIGHLIGHTS
  • Revenue 6.25M compared to 3.73M in 2Q 05
  • Total Revenue Increase 67.6
  • Nightclub Revenue Up 71.6
  • Net Income 635,857 or 13 cents per basic share
  • Returning 10.2 to the Bottom Line

10
3Q 2006 SEGMENT HIGHLIGHTS
  • Alcoholic Beverage Sales Up 62.4 to 2.2M
  • Food Merchandise Up 64 to 679,049
  • Service Revenues Up 75 to 2.9M
  • Internet Segment Down 2 to 196,948

11
3Q 2006DRIVING FACTORS
  • New York City, Charlotte and the new Ricks
    Cabaret-Sports Bar in Houston contributed 1.8M
    in Revenues
  • Same Club-Same Period sales totaled 4.3M, a Gain
    of 22.4 from 2005
  • Decrease in Cost of Goods Sold

12
LOOK AT 4Q SO FAR
  • July (First Month of our 4Q) Sales were 1.9M, up
    49.2 over last year
  • Same Club Sales Up 11.2 in July
  • New Clubs in South Houston, Hobby Airport, San
    Antonio Coming On Line

13
ACQUISITION STRATEGY - 1
  • What We Look For Generally
  • - Strong Metro Areas
  • - High Business Traffic
  • - Conventions
  • - Tourism
  • Business Up and Running

14
ACQUISITIONS STRATEGY- 2
  • Purchase at 3-5 Times
  • Earnings
  • Prefer Businesses Rapidly
  • Accretive to Profit
  • Prefer Minimal Cap-Ex
  • Start-up Time
  • Use Stock Owner Financing
  • Cash As Acquisition Tools

15
CLUBS SO FAR 2006
  • New South Houston Club
  • (Conversion of Hobby Airport Club)
  • New San Antonio Club
  • Closing of New San Antonio Club Anticipated for
    August 25
  • Gain Profit Accretion Added
  • Market Leverage Purchasing
  • Power

16
RICKS IMMEDIATE GOALS
  • Keep Ricks Cabaret-NYC On Track to Optimum
    Performance by 2007
  • Continue to Seek Acquisitions
  • Increase Margins
  • Continue to Reduce Existing Outstanding Debt

17
GUIDANCE for 2006
  • We are reiterating our guidance for 2006 of
    23-24M in revenue and 2.2M in net income.
  • Factors Unknown revenues and costs related to
    San Antonio acquisitions.

18
RICKS CABARET
Thanks to FAMMS Please Visit Ricks Cabaret
NYC 50 West 33rd Street Free Admission for
FAMMS The First Drink is on Us!!!
19
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