Adult-nightclub operator VCG Holding Corp. Friday reported a higher third-quarter profit on a rise in revenue. Lakewood-based VCG (NASDAQ: VCGH) owns 19 adult nightclubs, including Denver's Diamond Cabaret, La Boheme, Penthouse Club and two PTs. Attributable net income for the most recent quarter was $1,918,482, or 12 cents a share, up from $632,227, or 4 cents a share, in the same quarter of 2009. Income from continuing operations was $1,527,437, or 9 cents a share, up from $759,300, or 3 cents a share, in the year-ago quarter. In July, early in the third quarter, VCG sold its Jaguar's Gold Club in Fort Worth, Texas, to a unit of Rick's Cabaret International Inc. Revenue for the third quarter rose to $14,384,186 from $13,408,673 a year earlier. In particular, the company saw a 19.8 percent rise in "service revenue," including "table side services, wristband access to special areas, table dances, and suite fees," VCG said in a statement. But alcohol sales revenue declined. Troy Lowrie, VCG's chairman and CEO, said the company saw same-store sales rise at 15 of its clubs. Earlier this week, VCG announced that its board has agreed to a takeover bid by Lowrie and President and COO Michael Ocello, who plan to take the company private. Lowrie and Ocello are offering to buy up all publicly held shares in the company. The deal still must be approved by shareholders other than Lowrie, who controls about a third of the company's 16 million shares of common stock already.
Adult-nightclub operator VCG posts higher Q3 earnings
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Good for them, let's all go to Denver and increase their bottom line. I enjoyed my visit to Denver. I'll be back.
Including the Louisville one, which I will be giving a mostly favorable review when I get the chance to sit down and write it. I'm surprised a chain club turned out as decent as it did. Not great, but decent.
It's still a shitty stock IMHO...with it being waaay down from where it was in 2007 & even earlier this year.
mg- VCG is far from the only stock down from where it was in 2007.
ss1- So, what are you thinking about VCG clubs? Or purchasing VCG stock?
Myself: For the longest time, VCG (almost all PT's named clubs) was my fave corporate chain. (If that is possible without being too much of an oxymoron). They'd consistently provided more of an upscale lean without a lot of the upscale BS. This based mostly on pre-Tuscl experience with 6 clubs in 4 different metro areas.
In the last 2-3 years, they seem more interested in remodeling clubs/buying out existing clubs, jacking up the prices(they weren't bargain basement to start with, mostly average for area), and instituting PITA Policies/Practices. My experience with 1 club (PT's Indy- travel patterns don't take me to ESL anymore) has been a club that went from being fun to one with markedly higher prices than other area clubs . I wonder if VCG is going much further down the road of being just another corporate chain. At least they haven't started clipping songs too much like a couple of other chains do.
I'm curious what other posters experiences have been, and also if recently bought out clubs have been improved, or worsened as a result of the buyout. Eg- Was prior mediocre club upgraded overall, or was it a case of prior popular unique local club being quashed in reinvented corporate cookie cutter approach??
Wasn't in PT's before it was PT's, and the one in Louisville doesn't appear to have changed much, at least in atmosphere. Still about the most expensive club in town, still the hottest women in town, still one of the least permissive in terms of contact in town, still the least likely place to arrange a hookup. Well, for me. Some of you "players" may be able to walk and and schmooze one of them out of a little action. I'm gonna have to work at it a bit longer.
Not a bad place, if you know what you're in for when you go in, but it ain't a budget fuck shop by any means.
"VCG is far from the only stock down from where it was in 2007."
Ummmm, did I say that VCGH was the only stock down from 2007? Nope. Purchase that dog of a stock at your own risk.
minnow, I think I will avoid VCGH stock it is too risky for me but I am still interested in the company for owning so many strip clubs.
They own more then two Pt's Showclub's I know they own at least 8 of just the Pt's Brand