v3.25.2
Selected Account Information
 9 Months Ended
Jun. 30, 2025
Selected Account Information [Abstract]  
Selected Account Information Selected Account Information
The components of receivables, net are as follows (in thousands):
June 30, 2025September 30, 2024
Credit card receivables$2,010 $2,056 
Income tax refundable479 2,017 
ATM in-transit839 877 
Insurance claims receivable30 — 
Current portion of notes receivable314 269 
Other (net of allowance for doubtful accounts of $67 and $42, respectively)
934 613 
Total receivables, net$4,606 $5,832 
Notes receivable consist primarily of secured promissory notes executed between the Company and various buyers of our businesses and assets with interest rates ranging from 6% to 9% per annum and having original terms ranging from 1 to 20 years.
5. Selected Account Information—continued
The components of prepaid expenses and other current assets are as follows (in thousands):
June 30, 2025September 30, 2024
Prepaid insurance$1,012 $2,792 
Prepaid legal190 177 
Prepaid taxes and licenses742 522 
Prepaid rent421 322 
Other849 614 
Total prepaid expenses and other current assets$3,214 $4,427 
The components of accrued liabilities are as follows (in thousands):
June 30, 2025September 30, 2024
Insurance$37 $2,390 
Sales and liquor taxes2,215 2,440 
Payroll and related costs4,662 4,676 
Property taxes2,432 3,347 
Interest553 568 
Patron tax893 1,024 
Unearned revenues451 99 
Lawsuit settlement5,248 1,985 
Construction in progress— 1,012 
Estimated self-insurance liability1,982 — 
Other3,291 2,739 
Total accrued liabilities$21,764 $20,280 
The components of other long-term liabilities are as follows (in thousands):
June 30, 2025September 30, 2024
Estimated self-insurance liability
$7,439 $— 
Other326 398 
Total other long-term liabilities$7,765 $398 
In fiscal 2025, the Company started self-insuring a significant portion of expected losses under its general liability and liquor insurance programs due to increasingly prohibitive costs of such coverage from third-party insurers. The Company continues to purchase insurance for workers' compensation, property, auto, and business interruption, as well as the minimum insurance coverage where it is required by law for licensing requirements. See also tables of accrued liabilities (above) and selling, general and administrative expenses (below).
5. Selected Account Information—continued
The components of selling, general and administrative expenses are as follows (in thousands):
Three Months Ended
June 30,		Nine Months Ended
June 30,
2025202420252024
Taxes and permits$3,418 $4,575 $10,664 $12,584 
Advertising and marketing2,974 3,072 8,537 9,539 
Supplies and services2,503 2,642 7,459 8,073 
Insurance5,389 3,183 13,495 9,763 
Legal1,383 1,034 4,138 2,883 
Lease1,607 1,793 4,746 5,402 
Charge card fees1,791 1,798 5,189 5,212 
Utilities1,320 1,467 4,199 4,414 
Security1,019 1,178 3,121 3,876 
Stock-based compensation392 471 980 1,412 
Accounting and professional fees1,259 910 3,570 3,232 
Repairs and maintenance1,221 1,154 3,712 3,367 
Other1,864 1,780 5,437 5,154 
Total selling, general and administrative expenses$26,140 $25,057 $75,247 $74,911 
The components of impairments and other charges, net are as follows (in thousands):
Three Months Ended
June 30,		Nine Months Ended
June 30,
2025202420252024
Impairment of assets$— $17,931 $1,780 $25,964 
Settlement of lawsuits3,281 141 3,587 308 
Loss (gain) on sale of businesses and assets202 188 (984)180 
Gain on insurance(1,134)— (2,151)— 
Total impairments and other charges, net$2,349 $18,260 $2,232 $26,452 
During the second quarter ended March 31, 2025, we recorded $1.8 million in SOB license impairment related to four clubs. During the second quarter ended March 31, 2024, we recorded $4.4 million in SOB license impairment related to four clubs, $2.9 million in goodwill impairment related to two clubs, and $693,000 in tradename impairment related to one club. During the third quarter ended June 30, 2024, we recorded $6.0 million in goodwill impairment related to four clubs, $5.7 million in operating lease right-of-use asset impairment related to five Bombshells restaurants, $1.4 million in SOB license impairment related to two clubs, and $4.8 million in property and equipment impairment related to one club and five restaurants.
During the third quarter ended June 30, 2025, we recorded $2.95 million for a class action settlement agreement to resolve claims under the Illinois Biometric Information Privacy Act. See Note 9.
During the first quarter ended December 31, 2024, we sold Bombshells Austin for a gain of $1.3 million. See Note 13.
During the first quarter ended December 31, 2024, we received insurance recovery amounting to $1.15 million for a club razed by fire in a prior period.