v3.26.1
Segment Information
 6 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company, through its subsidiaries, owns and operates adult nightclubs and Bombshells Restaurants and Bars. The Company has identified such segments based on how the chief operating decision maker assigns management responsibility; how financial information is regularly reviewed; the nature of the Company’s products, services, and costs; regulatory environments; and how resources are allocated. There are no major distinctions in geographical areas served as all operations are in the United States. The Company's chief operating decision maker ("CODM") is its chief executive officer. The Company measures segment profit (loss) as income (loss) from operations. Segment assets are those assets controlled by each reportable segment. The Other category below includes our media and energy drink divisions that are not significant to the consolidated financial statements.
In adopting ASU 2023-07, we recast one of our shared-services subsidiary from Other to Corporate. We also recast three previously planned and previously reported casino-related subsidiaries classified in Other to Nightclubs and Bombshells. We reclassified certain prior year segment disclosures to conform to current year presentation.
4. Segment Information—continued
Below is the financial information (in thousands) related to the Company’s reportable segments as provided to the CODM:
Three Months Ended March 31, 2026Three Months Ended March 31, 2025
NightclubsBombshellsTotalNightclubsBombshellsTotal
Revenues
Third party$60,275 $8,359 $68,634 $57,541 $8,229 $65,770 
Intersegment1,323 — 1,323 1,114 — 1,114 
61,598 8,359 69,957 58,655 8,229 66,884 
Reconciliation of revenue
Other revenues, including intersegment187 171 
Elimination of intersegment revenues(1,422)(1,179)
Total consolidated revenues68,722 65,876 
Less:
Cost of goods sold, including intersegment6,733 2,064 8,797 6,512 1,882 8,394 
Salaries and wages14,565 2,817 17,382 14,091 2,791 16,882 
Selling, general, and administrative, including intersegment17,240 4,456 21,696 17,278 4,198 21,476 
Depreciation and amortization3,395 338 3,733 3,158 351 3,509 
Impairments and other charges (gains), net7,584 67 7,651 1,970 159 2,129 
Other segment items— — — — — — 
Segment income (loss)12,081 (1,383)10,698 15,646 (1,152)14,494 
Reconciliation of segment income (loss)
Other loss(163)(197)
Interest expense, net(4,433)(3,909)
Elimination of intersegment loss36 11 
Unallocated corporate overhead(6,755)(6,137)
Consolidated income (loss) before income taxes$(617)$4,262 
Segment capital expenditures$1,349 $387 $1,736 $692 $1,727 $2,419 
Reconciliation to consolidated capital expenditures
Other operating segments3 352 
Unallocated corporate129 83 
Consolidated capital expenditures$1,868 $2,854 
4. Segment Information—continued
Six Months Ended March 31, 2026Six Months Ended March 31, 2025
NightclubsBombshellsTotalNightclubsBombshellsTotal
Revenues
Third party$122,584 $16,740 $139,324 $119,265 $17,816 $137,081 
Intersegment2,646 — 2,646 2,133 — 2,133 
125,230 16,740 141,970 121,398 17,816 139,214 
Reconciliation of revenue
Other revenues, including intersegment398 415 
Elimination of intersegment revenues(2,818)(2,270)
Total consolidated revenues139,550 137,359 
Less:
Cost of goods sold, including intersegment13,895 4,051 17,946 13,636 4,174 17,810 
Salaries and wages29,307 5,693 35,000 28,021 5,598 33,619 
Selling, general, and administrative, including intersegment35,242 8,785 44,027 34,946 8,567 43,513 
Depreciation and amortization6,895 753 7,648 6,129 682 6,811 
Impairments and other charges (gains), net7,765 96 7,861 1,148 (1,171)(23)
Other segment items— — — — (979)(979)
Segment income (loss)32,126 (2,638)29,488 37,518 945 38,463 
Reconciliation of segment income (loss)
Other loss(293)(277)
Interest expense, net(8,684)(7,882)
Elimination of intersegment loss (income)1 (23)
Unallocated corporate overhead(24,229)(15,107)
Consolidated income (loss) before income taxes$(3,717)$15,174 
Segment capital expenditures$1,933 $1,657 $3,590 $2,246 $5,646 $7,892 
Reconciliation to consolidated capital expenditures
Other operating segments4 437 
Unallocated corporate605 279 
Consolidated capital expenditures$4,199 $8,608 
March 31, 2026September 30, 2025
NightclubsBombshellsTotalNightclubsBombshellsTotal
Segment assets$460,111 $78,138 $538,249 $478,516 $78,877 $557,393 
Reconciliation to consolidated total assets
Other operating segments3,524 3,775 
Unallocated corporate32,619 35,767 
Consolidated total assets$574,392 $596,935 
General corporate overhead includes corporate salaries, health insurance and social security taxes for officers, legal, accounting and information technology employees, corporate taxes and insurance, legal and accounting fees, unallocated self-insurance reserve, depreciation and other corporate costs such as automobile and travel costs. Management considers these to be non-allocable costs for segment purposes.