RCI Hospitality (RICK) 10-Q 10 Aug 15 2015 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Jun. 30, 2015	Jul. 31, 2015
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q3
Entity Registrant Name	RCI HOSPITALITY HOLDINGS, INC.
Entity Central Index Key	935,419
Current Fiscal Year End Date	--09-30
Entity Filer Category	Accelerated Filer
Trading Symbol	RICK
Entity Common Stock, Shares Outstanding		10,257,323

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2015	Sep. 30, 2014
Current assets:
Cash and cash equivalents	$ 14,730	$ 9,964
Accounts receivable:
Trade, net	1,439	1,060
Other, net	815	685
Marketable securities	604	596
Inventories	2,517	1,879
Deferred tax asset	3,791	5,378
Prepaid expenses and other current assets	3,153	3,789
Total current assets	27,049	23,351
Property and equipment, net	121,150	113,962
Other assets:
Goodwill	47,316	43,374
Other indefinite lived intangibles	56,175	53,968
Definite lived intangibles	10,645	675
Other	2,650	3,812
Total other assets	116,786	101,829
Total assets	264,985	239,142
Current liabilities:
Accounts payable	2,848	2,198
Accrued liabilities	13,625	9,195
Texas patron tax liability	935	15,486
Current portion of long-term debt	11,390	12,315
Total current liabilities	28,798	39,194
Deferred tax liability	29,662	27,688
Other long-term liabilities	4,562	924
Long-term debt	72,971	58,037
Total liabilities	$ 135,993	$ 125,843
Commitments and contingencies
PERMANENT STOCKHOLDERS' EQUITY:
Preferred stock, $.10 par, 1,000 shares authorized; none issued and outstanding	$ 0	$ 0
Common stock, $.01 par, 20,000 shares authorized; 10,257 and 10,067 shares issued and outstanding, respectively	103	101
Additional paid-in capital	70,515	66,727
Accumulated other comprehensive income	99	91
Retained earnings	52,156	43,370
Total RCIHH’s permanent stockholders’ equity	122,873	110,289
Noncontrolling interests	6,119	3,010
Total permanent stockholders’ equity	128,992	113,299
Total liabilities and stockholders’ equity	$ 264,985	$ 239,142

CONSOLIDATED BALANCE SHEETS _Pa

CONSOLIDATED BALANCE SHEETS [Parenthetical] - $ / shares shares in Thousands	Jun. 30, 2015	Sep. 30, 2014
Preferred stock, par value (in dollars per share)	$ 0.10	$ 0.10
Preferred stock, shares authorized	1,000	1,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	20,000	20,000
Common stock, shares issued	10,257	10,067
Common stock, shares outstanding	10,257	10,067

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Revenues:
Sales of alcoholic beverages	$ 15,148	$ 13,626	$ 45,963	$ 38,300
Sales of food and merchandise	5,049	4,076	15,515	11,478
Service revenues	13,870	14,035	42,623	41,112
Other	1,694	1,606	5,557	4,746
Total revenues	35,761	33,343	109,658	95,636
Operating expenses:
Cost of goods sold	5,033	4,295	15,525	12,083
Salaries and wages	8,176	7,219	24,323	20,650
Stock compensation	120	2	360	156
Other general and administrative:
Taxes and permits	5,444	5,150	16,546	14,707
Charge card fees	562	479	1,653	1,356
Rent	1,189	1,315	3,514	3,699
Legal and professional	939	1,206	2,962	2,420
Advertising and marketing	1,506	1,420	4,185	4,111
Insurance	866	1,014	2,487	2,785
Utilities	727	650	2,169	1,891
Depreciation and amortization	1,923	1,532	5,454	4,438
Loss on sale of property	178	334	160	248
Impairment of assets	0	0	1,358	0
Settlement of lawsuits and other one-time costs	10	3,233	10,560	3,503
Gain on settlement of patron tax	(8,167)	0	(8,167)	0
Other	3,103	2,602	8,893	7,624
Total operating expenses	21,609	30,451	91,982	79,671
Operating income	14,152	2,892	17,676	15,965
Other income (expense):
Interest income	0	0	39	112
Interest expense	(1,630)	(2,060)	(5,032)	(5,996)
Gain from original investment in Drink Robust	0	0	577	0
Income before income taxes	12,522	832	13,260	10,081
Income taxes	4,442	203	5,023	3,448
Net income	8,080	629	8,237	6,633
Less: net (income) loss attributable to noncontrolling interests	187	62	549	183
Net income attributable to RCI Hospitality Holdings, Inc.	$ 8,267	$ 691	$ 8,786	$ 6,816
Basic earnings per share attributable to RCIHH's shareholders:
Net income (in dollars per share)	$ 0.81	$ 0.07	$ 0.86	$ 0.70
Diluted earnings per share attributable to RCIHH’s shareholders:
Net income (in dollars per share)	$ 0.78	$ 0.07	$ 0.85	$ 0.69
Weighted average number of common shares outstanding:
Basic (in shares)	10,245	9,883	10,262	9,695
Diluted (in shares)	10,707	9,968	10,724	9,922

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Net income	$ 8,080	$ 629	$ 8,237	$ 6,633
Other comprehensive income:
Unrealized holding gain (loss) on securities available for sale	(5)	13	8	31
Comprehensive income	8,075	642	8,245	6,664
Less: net (income) loss attributable to noncontrolling interests	187	62	549	183
Comprehensive income to common stockholders	$ 8,262	$ 704	$ 8,794	$ 6,847

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 8,237	$ 6,633
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation and amortization	5,454	4,438
Deferred taxes	3,459	225
Amortization of note discount	47	65
Beneficial conversion	8	0
Deferred rents	(24)	(17)
Stock compensation expense	360	156
Loss on sale of assets and impairment of assets	1,518	248
Gain on settlement of patron tax	(8,167)	0
Gain from original investment in Drink Robust	(577)	0
Changes in operating assets and liabilities:
Accounts receivable	(439)	(532)
Inventories	(410)	(324)
Prepaid expenses and other assets	1,340	(1,286)
Accounts payable and accrued liabilities	7,474	4,192
Cash provided by operating activities	18,280	13,798
CASH FLOWS FROM INVESTING ACTIVITIES:
Additions to property and equipment	(3,967)	(11,822)
Proceeds from sale of assets	0	223
Acquisition of development rights in New York building	0	(5,325)
Acquisition of businesses, net of cash acquired	(2,217)	(500)
Net cash used by investing activities	(6,184)	(17,424)
CASH FLOWS FROM FINANCING ACTIVITIES:
Payments on long-term debt	(9,916)	(5,899)
Proceeds from long-term debt	4,957	7,025
Exercise of stock options	87	3,126
Purchase of treasury stock	(2,296)	0
Distribution to minority interests	(162)	(162)
Cash provided by (used in) financing activities	(7,330)	4,090
NET INCREASE IN CASH	4,766	464
CASH AT BEGINNING OF PERIOD	9,964	10,638
CASH AT END OF PERIOD	14,730	11,102
CASH PAID DURING PERIOD FOR:
Interest	4,687	5,618
Income taxes	$ 2,877	$ 2,553

CONSOLIDATED STATEMENTS OF CAS7

CONSOLIDATED STATEMENTS OF CASH FLOWS NON-CASH TRANSACTIONS - USD ($) $ in Millions	9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Beneficial debt conversion feature on convertible debt	$ 2.1	$ 2.1
Debt Conversion, Converted Instrument, Shares Issued	205,067	211,443
Long Term Debt Amount Used Reclassified	$ 7.2
Stock Repurchased and Retired During Period, Shares	225,280
Stock Repurchased and Retired During Period, Value	$ 2.3
Debt incurred with seller in connection with acquiring businesses and other assets	$ 3.2
Issue of shares of common stock for acquiring a business Number of shares	200,000
Fair Value of Assets Acquired		$ 4.9

BASIS OF PRESENTATION AND NAME

BASIS OF PRESENTATION AND NAME CHANGE	9 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	BASIS OF PRESENTATION AND NAME CHANGE The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q of Regulation S-X. They do not include all information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. However, except as disclosed herein, there has been no material change in the information disclosed in the notes to the consolidated financial statements for the year ended September 30, 2014 included in the Company's Annual Report on Form 10-K, as filed with the Securities and Exchange Commission. The interim unaudited consolidated financial statements should be read in conjunction with those consolidated financial statements included in the Form 10-K. In the opinion of management, all adjustments considered necessary for a fair presentation, consisting solely of normal recurring adjustments, have been made. Operating results for the nine months ended June 30, 2015 are not necessarily indicative of the results that may be expected for the year ending September 30, 2015. At the Company’s Annual Meeting of Stockholders on August 6, 2014, stockholders approved changing its name to RCI Hospitality Holdings, Inc. (“RCIHH”).

RECENT ACCOUNTING STANDARDS AND

RECENT ACCOUNTING STANDARDS AND PRONOUNCEMENTS	9 Months Ended
	Jun. 30, 2015
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
New Accounting Pronouncements and Changes in Accounting Principles [Text Block]	2. RECENT ACCOUNTING STANDARDS AND PRONOUNCEMENTS In May 2014, the FASB issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”), which supersedes nearly all existing revenue recognition guidance under GAAP. The core principle of ASU 2014-09 is to recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration to which an entity expects to be entitled for those goods or services. ASU 2014-09 defines a five step process to achieve this core principle and, in doing so, more judgment and estimates may be required within the revenue recognition process than are required under existing GAAP. The standard is effective for annual periods beginning after December 15, 2016, and interim periods therein, using either of the following transition methods: (i) a full retrospective approach reflecting the application of the standard in each prior reporting period with the option to elect certain practical expedients, or (ii) a retrospective approach with the cumulative effect of initially adopting ASU 2014-09 recognized at the date of adoption (which includes additional footnote disclosures). The Company is currently evaluating the impact of our pending adoption of ASU 2014-09 on its consolidated financial statements and have not yet determined the method by which it will adopt the standard in fiscal year 2018.

SIGNIFICANT ACCOUNTING POLICIES

SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Significant Accounting Policies [Text Block]	3. Following are certain remarkable accounting principles and disclosures. GAAP establishes a three-tier fair value hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value: ⋅ Level 1 – Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. ⋅ Level 2 – Include other inputs that are directly or indirectly observable in the marketplace. ⋅ Level 3 – Unobservable inputs which are supported by little or no market activity. The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The Company classifies its marketable securities as available-for-sale, which are reported at fair value. Unrealized holding gains and losses, net of the related income tax effect, if any, on available-for-sale securities are excluded from income and are reported as accumulated other comprehensive income in stockholders’ equity. Realized gains and losses from securities classified as available for-sale are included in income. Gross (in thousands) Cost Unrealized Fair Available for Sale Basis Gains Value Tax-Advantaged Bond Fund $ 505 $ 99 $ 604 The Company reviews its marketable securities to determine whether a decline in fair value of a security below the cost basis is other than temporary. Should the decline be considered other than temporary, the Company writes down the cost basis of the security and include the loss in current earnings as opposed to an unrealized holding loss. No losses were recognized during the quarter ended June 30, 2015. (in thousands) Carrying June 30, 2015 Amount Level 1 Level 2 Level 3 Marketable securities $ 604 $ 604 $ - $ - (in thousands) Carrying September 30, 2014 Amount Level 1 Level 2 Level 3 Marketable securities $ 596 $ 596 $ - $ - Certain prior year amounts have been reclassified to conform to the current year presentation

STOCK OPTIONS AND STOCK-BASED E

STOCK OPTIONS AND STOCK-BASED EMPLOYEE COMPENSATION	9 Months Ended
	Jun. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	4. STOCK OPTIONS AND STOCK-BASED EMPLOYEE COMPENSATION Employee and Director Stock Option Plans In 1995, the Company adopted the 1995 Stock Option Plan (the “1995 Plan”) for employees and directors. In August 1999, the Company adopted the 1999 Stock Option Plan (the “1999 Plan”) and in 2010, the Company’s Board of Directors approved the 2010 Stock Option Plan (the “2010 Plan”) (collectively, “the Plans”). The 2010 Plan was approved by the shareholders of the Company at the 2011 Annual Meeting of Shareholders. The options granted under the Plans may be either incentive stock options, or non-qualified options. The Plans are administered by the Board of Directors or by a compensation committee of the Board of Directors. The Board of Directors has the exclusive power to select individuals to receive grants, to establish the terms of the options granted to each participant, provided that the option price shall not be less than the fair market value of the share on the option’s date of grant, and to make all determinations necessary or advisable under the Plans. The compensation costs recognized for the three months ended June 30, 2015 and 2014 were $ 120,012 2,922 360,036 156,449 10,000 87,000 269,665 369,665 2.3 3.1 Stock Option Activity Weighted Average Remaining Weighted Contractual Aggregate (in thousands, except for per share Average Term Intrinsic and year information) Shares Exercise Price (years) Value Outstanding as of September 30, 2014 10 $ 8.70 Granted - - Cancelled or expired - - Exercised (10) 8.70 Outstanding as of June 30, 2015 - $ - - $ - Options exercisable as of June 30, 2015 - $ - - $ -

GOODWILL AND OTHER INTANGIBLES

GOODWILL AND OTHER INTANGIBLES	9 Months Ended
	Jun. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets Disclosure [Text Block]	5. GOODWILL AND OTHER INTANGIBLES 2014 (in thousands) 2015 2014 Definite-Lived Definite-Lived Intangibles Licenses Goodwill Intangibles Licenses Goodwill Beginning balance $ 729 $ 53,968 $ 43,374 $ 1,065 $ 54,966 $ 43,987 Intangibles acquired 10,375 3,565 3,891 - - - Impairment (1,358) - - - - Other (459) - 51 (171) 265 - Ending balance $ 10,645 $ 56,175 $ 47,316 $ 894 $ 55,231 $ 43,987

LONG-TERM DEBT

LONG-TERM DEBT	9 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
Long-term Debt [Text Block]	6. LONG-TERM DEBT On January 13, 2015 a Company subsidiary purchased Down in Texas Saloon gentlemen’s club in an Austin, Texas suburb. As part of the transaction, another subsidiary also purchased the club’s real estate. Total consideration of $ 6.8 3.5 3.3 3.5 1 1.4 On May 4, 2015 a Company subsidiary purchased The Seville gentlemen’s club in Minneapolis Minnesota. As part of the transaction, another subsidiary also purchased the club’s real estate. Total consideration of $ 8.5 4.5 4.0 5.7 5.5 1.8 1.1 In December 2014, the Company refinanced certain real estate debt amounting to $ 2.1 2.0 13,270 5.25 In December 2014, the Company borrowed $ 1.0 13,215 10 In December 2014, the Company borrowed $ 2.0 12 On October 15, 2013, the Company sold to certain investors (i) 9 4,525,000 72,400 12.50 9 April 15, 2014 452,500 16.25 12.50 October 15, 2016 16.25 4,525,000 271,500 105,318 Volatility 28.4 % Expected life 1.5 years Expected dividend yield - Risk free rate .33 % The cost of the warrants has been recognized as a discount on the related debt and was amortized over the life of the debt. In October 2013 the Company borrowed $ 2.5 13 36 In December 2013 the Company purchased an aircraft for $ 4.3 3.6 40,654 7.45 In May 2014, the Company acquired certain real estate in Houston, Texas for the purpose of constructing a corporate headquarters building. The cost of the land was $ 707,000 531,000 18,151 In October 2013, the Company acquired certain real estate in Beaumont, Texas. The cost of the property was $ 850,000 700,000 10,565

COMMON STOCK

COMMON STOCK	9 Months Ended
	Jun. 30, 2015
Equity [Abstract]
Common Stock [Text Block]	7. COMMON STOCK During the nine months ended June 30, 2015, the Company purchased and retired 225,280 2.3 During the nine months ended June 30, 2014, the Company converted debt principal and interest valued at $ 2.1 211,443 During the nine months ended June 30, 2015, the Company converted debt principal and interest valued at $ 2.1 205,067 During the nine June 30 200,000

EARNINGS PER SHARE (EPS)

EARNINGS PER SHARE (EPS)	9 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Earnings Per Share [Text Block]	8. EARNINGS PER SHARE The Company computes earnings per share (“EPS”) in accordance with GAAP. GAAP provides for the calculation of basic and diluted earnings per share. Basic earnings per share includes no dilution and is computed by dividing income available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution of securities that could share in the earnings of the Company. Potential common stock shares consist of shares that may arise from outstanding dilutive common stock warrants and options (the number of which is computed using the “treasury stock method”) and from outstanding convertible debentures (the number of which is computed using the “if converted method”). FOR THE QUARTER FOR THE NINE MONTHS ENDED JUNE 30, ENDED JUNE 30, 2015 2014 2015 2014 Basic earnings per share: Net income attributable to RCIHH shareholders $ 8,267 $ 691 $ 8,786 $ 6,816 Average number of common shares outstanding 10,245 9,883 10,262 9,695 Basic earnings per share - net income attributable to RCIHH shareholders $ 0.81 $ 0.07 $ 0.86 $ 0.70 Diluted earnings per share: Net income attributable to RCIHH shareholders $ 8,267 $ 691 $ 8,786 $ 6,816 Adustment to net earnings from assumed conversion of debentures (1) 118 - 356 60 Adjusted net income attributable to RCIHH shareholders $ 8,385 $ 691 $ 9,142 $ 6,876 Average number of common shares outstanding: Common shares outstanding 10,245 9,883 10,262 9,695 Potential dilutive shares resulting from exercise of warrants and options (2) - 85 - 96 Potential dilutive shares resulting from conversion of debentures (3) 462 - 462 131 Total average number of common shares outstanding used for dilution 10,707 9,968 10,724 9,922 Diluted earnings per share - net income attributable to RCIHH shareholders $ 0.78 $ 0.07 $ 0.85 $ 0.69 (1) Represents interest expense on dilutive convertible debentures that would not occur if they were assumed converted. (2) All outstanding warrants and options were considered for the EPS computation. (3) Convertible debentures (principal and accrued interest) outstanding at June 30, 2015 and 2014 totaling $ 5.3 10.5 10.00 12.50 462,000 1.5 * EPS may not foot due to rounding.

ACQUISITIONS

ACQUISITIONS	9 Months Ended
	Jun. 30, 2015
Business Combinations [Abstract]
Business Combination Disclosure [Text Block]	9. ACQUISITIONS Nine Months Ended June 30, 2015 On May 4, 2015 a Company subsidiary purchased The Seville gentlemen’s club in Minneapolis Minnesota. As part of the transaction, another subsidiary also purchased the club’s real estate. Total consideration of $ 8.5 4.5 4.0 5.7 5.5 1.8 6 1.1 (in thousands) Buildings and land $ 4,050 Furniture and fixtures 250 Inventory 109 Goodwill 3,891 Noncompete 200 Net assets $ 8,500 On October 30, 2014, a 51 200,000 200,000 5.0 50,000 each 1 the preliminary (in thousands) Inventory and accounts receivable $ 501 Equipment, furniture and fixture 356 Definite-lived intangible 10,275 Accounts payable (1,196) Notes payable (963) Noncontrolling interest (3,888) Net assets $ 5,085 In accordance with GAAP, the Company recorded a gain of approximately $ 577,000 15 On January 13, 2015 a Company subsidiary purchased Down in Texas Saloon gentlemen’s club in an Austin, Texas suburb. As part of the transaction, another subsidiary also purchased the club’s real estate. Total consideration of $ 6.8 3.5 3.3 3.5 1 1.4 (in thousands) Buildings and land $ 3,130 Furniture and fixtures 20 Inventory 4 SOB license 3,566 Noncompete 100 Net assets $ 6,820 Nine Months Ended June 30, 2014 In October 2013, the Company purchased 49 500,000 Buildings and land $ 350 Property and equipment 20 SOB license 265 Minority interest (135) Net assets $ 500

INCOME TAXES

INCOME TAXES	9 Months Ended
	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Income Tax Disclosure [Text Block]	10. INCOME TAXES 34 For the Three Months For the Nine Months Ended June 30, Ended June 30, 2015 2014 2015 2014 Computed expected tax expense $ 4,257 $ 283 $ 4,508 $ 3,428 State income taxes 18 76 166 181 Stock option disqualifying dispositions and other permanent differences 167 (156) 349 (161) Total income tax expense $ 4,442 $ 203 $ 5,023 $ 3,448 Included in the Company’s deferred tax liabilities at June 30, 2015 is approximately $ 17.2

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Jun. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies Disclosure [Text Block]	11. COMMITMENTS AND CONTIGENCIES Legal Matters Texas Patron Tax The Company has reached a settlement with the State of Texas over payment of the state’s Patron Tax on adult club customers. To resolve the issue of taxes owed, the Company agreed to pay $10.0 million in equal monthly installments of $119,000, without interest, over the next 84 months for all but two non settled locations. Going forward, the Company agreed to remit the Patron Tax on a monthly basis, based on the current rate of $5 per customer. For accounting purposes, the Company has discounted the $10.0 million at an imputed interest rate of 9.6%, establishing a net present value for the settlement of $7.2 million. This is included as long-term debt in the consolidated balance sheets. New York Settlement On April 1, 2015, we and our subsidiaries, RCI Entertainment (New York), Inc. and Peregrine Enterprises, Inc., entered into an agreement to settle in full a New York based federal wage and hour class action case filed in the United States District Court for the Southern District of New York. The settlement has been filed with the court for preliminary approval. Trial was scheduled to begin April 27, 2015. Under terms of the agreement, RCI Entertainment (New York), Inc. and Peregrine Enterprises, Inc. will make up to $15 million available to class members and their attorneys. The actual amount paid will be determined based on the number of class members responding by the end of a three-month notice period, with final court approval expected sometime after that. Any unclaimed checks or payments will revert back to our subsidiaries. Based on the current schedule, an initial payment of $1,833,333 will be made in approximately five months, with two subsequent payments of $1,833,333 each being made in equal annual installments. As part of the settlement, we were required to guarantee the obligations of RCI Entertainment (New York), Inc. and Peregrine Enterprises, Inc. under the settlement. Filed in 2009, the case claimed Rick’s Cabaret New York misclassified entertainers as independent contractors. Plaintiffs sought minimum wage for the hours they danced and return of certain fees. RCI Entertainment (New York), Inc. and Peregrine Enterprises, Inc. maintained the dancers were properly classified, and alternatively, amounts earned were well in excess of the minimum wage and should satisfy any obligations. In accordance with GAAP, the Company has accrued $10.3 million as of June 30, 2015 as the estimated liability for its obligations under the settlement. This is included as accrued liabilities in the consolidated balance sheets. Indemnity Insurance Corporation As previously reported, the Company and its subsidiaries were insured under a liability policy issued by Indemnity Insurance Corporation, RRG (“IIC”) through October 25, 2013. The Company and its subsidiaries changed insurance companies on that date. On November 7, 2013, the Court of Chancery of the State of Delaware entered a Rehabilitation and Injunction Order (“Rehabilitation Order”), which declared IIC impaired, insolvent and in an unsafe condition and placed IIC under the supervision of the Insurance Commissioner of the State of Delaware (“Commissioner”) in her capacity as receiver (“Receiver”). The Rehabilitation Order empowered the Commissioner to rehabilitate IIC through a variety of means, including gathering assets and marshaling those assets as necessary. Further, the order stayed or abated pending lawsuits involving IIC as the insurer until May 6, 2014. Since the expiration of the order the lawsuits have resumed. We are funding 100% of the costs of litigation and will seek reimbursement from the bankruptcy receiver. On April 10, 2014, the Court of Chancery of the State of Delaware entered a Liquidation and Injunction Order With Bar Date (“Liquidation Order”), which ordered the liquidation of IIC and terminated all insurance policies or contracts of insurance issued by IIC. The Liquidation Order further ordered that all claims against IIC must be filed with the Receiver before the close of business on January 16, 2015 and that all pending lawsuits involving IIC as the insurer are further stayed or abated until October 7, 2014. As a result, the Company and its subsidiaries no longer have insurance coverage under the liability policy with IIC. Currently, there are multiple civil lawsuits pending or threatened against the Company and its subsidiaries; and other potential lawsuits for incidents that occurred before October 25, 2013 could still be filed. The Company has retained counsel to defend against and evaluate these claims and lawsuits. The Company filed the appropriate claims against IIC with the Receiver before the January 16, 2015 deadline. however, there are no assurances of any recovery from these claims. It is unknown at this time what effect this uncertainty will have on the Company. As previously stated, the Company has obtained general liability coverage from another insurer, effective October 25, 2013, which will cover any claims arising from actions after that date. Settlement of lawsuits and other one-time costs include no payments during the quarters ended June 30, 2015 and 2014 in settlements with claimants which were unpaid by our general liability insurance carrier.

WARRANTS ISSUED

WARRANTS ISSUED	9 Months Ended
	Jun. 30, 2015
Stockholders Equity Note [Abstract]
Stockholders Equity Note Disclosure [Text Block]	12. WARRANTS ISSUED In February 2014, the Company issued warrants to acquire 100,000 11.77 147,683 Fair Value Measurements Volatility 31.5 % Expected life 1.0 years Expected dividend yield - Risk free rate .12 %

RESTRICTED STOCK ISSUANCE

RESTRICTED STOCK ISSUANCE	9 Months Ended
	Jun. 30, 2015
Restricted Assets Disclosure [Abstract]
Restricted Assets Disclosure [Text Block]	13. RESTRICTED STOCK ISSUANCE In July 2014, the Company granted to an executive officer and an officer of a subsidiary an aggregate total of 96,325 938,478 500,513 June 30 nine June 30 360,036

SEGMENT INFORMATION

SEGMENT INFORMATION	9 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Segment Reporting Disclosure [Text Block]	14. SEGMENT INFORMATION The Company is engaged in adult nightclubs and Bombshells Restaurants and Bars. The Company has identified such segments based on management responsibility and the nature of the Company’s products, services and costs. There are no major distinctions in geographical areas served as all operations are in the United States. The Company measures segment profit (loss) as income (loss) from operations. Total assets are those assets controlled by each reportable segment. The other category below includes our media, Robust and internet divisions. Three Months Ended Nine Months Ended June 30, June 30, 2015 2014 2015 2014 Business segment sales: Night clubs $ 30,568 $ 31,486 $ 93,564 $ 91,037 Bombshells 4,789 1,585 14,510 3,668 Other 404 272 1,584 931 $ 35,761 $ 33,343 $ 109,658 $ 95,636 Business segment operating income: Night clubs $ 17,271 $ 8,526 $ 26,000 $ 25,947 Bombshells 369 (170) 1,480 (268) Other (682) (220) (1,995) (521) General corporate (2,806) (5,244) (7,809) (9,193) $ 14,152 $ 2,892 $ 17,676 $ 15,965 Business segment capital expenditures: Night clubs $ 207 $ 1,744 $ 882 $ 6,109 Bombshells 300 1,827 1,853 4,979 Other 529 3 973 3 General Corporate 62 50 259 731 $ 1,098 $ 3,624 $ 3,967 $ 11,822 Business segment depreciation and amortization: Night clubs $ 823 $ 1,297 $ 3,731 $ 3,802 Bombshells 229 62 502 115 Other 733 4 813 54 General corporate 138 169 408 467 $ 1,923 $ 1,532 $ 5,454 $ 4,438 General corporate expenses include corporate salaries, health insurance and social security taxes for officers, legal, accounting and information technology employees, corporate taxes and insurance, legal and accounting fees, depreciation and other corporate costs such as automobile and travel costs. Management considers these to be non-allocable costs for segment purposes.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	Jun. 30, 2015
Subsequent Events [Abstract]
Subsequent Events [Text Block]	15. SUBSEQUENT EVENTS On July 28, 2015, a subsidiary of the Company acquired the building in which the Company’s Miami Gardens, Florida nightclub operates. The cost was $ 15,300,000 11,325,000 78,000 5.45 matures in five years and the balance with cash.

SIGNIFICANT ACCOUNTING POLICI23

SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Fair Value Measurement, Policy [Policy Text Block]	GAAP establishes a three-tier fair value hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value: ⋅ Level 1 – Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. ⋅ Level 2 – Include other inputs that are directly or indirectly observable in the marketplace. ⋅ Level 3 – Unobservable inputs which are supported by little or no market activity. The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The Company classifies its marketable securities as available-for-sale, which are reported at fair value. Unrealized holding gains and losses, net of the related income tax effect, if any, on available-for-sale securities are excluded from income and are reported as accumulated other comprehensive income in stockholders’ equity. Realized gains and losses from securities classified as available for-sale are included in income. Gross (in thousands) Cost Unrealized Fair Available for Sale Basis Gains Value Tax-Advantaged Bond Fund $ 505 $ 99 $ 604 The Company reviews its marketable securities to determine whether a decline in fair value of a security below the cost basis is other than temporary. Should the decline be considered other than temporary, the Company writes down the cost basis of the security and include the loss in current earnings as opposed to an unrealized holding loss. No losses were recognized during the quarter ended June 30, 2015. (in thousands) Carrying June 30, 2015 Amount Level 1 Level 2 Level 3 Marketable securities $ 604 $ 604 $ - $ - (in thousands) Carrying September 30, 2014 Amount Level 1 Level 2 Level 3 Marketable securities $ 596 $ 596 $ - $ -
Reclassification, Policy [Policy Text Block]	Reclassifications Certain prior year amounts have been reclassified to conform to the current year presentation

SIGNIFICANT ACCOUNTING POLICI24

SIGNIFICANT ACCOUNTING POLICIES (Tables)	9 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Available-for-sale Securities [Table Text Block]	The Company measures the fair value of its marketable securities based on quoted prices for identical securities in active markets, or Level 1 inputs. As of June 30, 2015, available-for-sale securities consisted of the following: Gross (in thousands) Cost Unrealized Fair Available for Sale Basis Gains Value Tax-Advantaged Bond Fund $ 505 $ 99 $ 604
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques [Table Text Block]	Financial assets and liabilities measured at fair value on a recurring basis are summarized below: (in thousands) Carrying June 30, 2015 Amount Level 1 Level 2 Level 3 Marketable securities $ 604 $ 604 $ - $ - (in thousands) Carrying September 30, 2014 Amount Level 1 Level 2 Level 3 Marketable securities $ 596 $ 596 $ - $ -

STOCK OPTIONS AND STOCK-BASED25

STOCK OPTIONS AND STOCK-BASED EMPLOYEE COMPENSATION (Tables)	9 Months Ended
	Jun. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	The following is a summary of all stock option transactions for the nine months ended June 30, 2015: Weighted Average Remaining Weighted Contractual Aggregate (in thousands, except for per share Average Term Intrinsic and year information) Shares Exercise Price (years) Value Outstanding as of September 30, 2014 10 $ 8.70 Granted - - Cancelled or expired - - Exercised (10) 8.70 Outstanding as of June 30, 2015 - $ - - $ - Options exercisable as of June 30, 2015 - $ - - $ -

GOODWILL AND OTHER INTANGIBLES

GOODWILL AND OTHER INTANGIBLES (Tables)	9 Months Ended
	Jun. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Intangible Assets and Goodwill [Table Text Block]	2014 (in thousands) 2015 2014 Definite-Lived Definite-Lived Intangibles Licenses Goodwill Intangibles Licenses Goodwill Beginning balance $ 729 $ 53,968 $ 43,374 $ 1,065 $ 54,966 $ 43,987 Intangibles acquired 10,375 3,565 3,891 - - - Impairment (1,358) - - - - Other (459) - 51 (171) 265 - Ending balance $ 10,645 $ 56,175 $ 47,316 $ 894 $ 55,231 $ 43,987

LONG-TERM DEBT (Tables)

LONG-TERM DEBT (Tables)	9 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
Schedule Of Warrants Valuation Assumptions [Table Text Block]	The fair value of the warrants was estimated to be $ 105,318 Volatility 28.4 % Expected life 1.5 years Expected dividend yield - Risk free rate .33 %

EARNINGS PER SHARE (EPS) (Table

EARNINGS PER SHARE (EPS) (Tables)	9 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Diluted EPS considers the potential dilution that could occur if the Company’s outstanding common stock options, warrants and convertible debentures were converted into common stock that then shared in the Company’s earnings (as adjusted for interest expense that would no longer occur if the debentures were converted). FOR THE QUARTER FOR THE NINE MONTHS ENDED JUNE 30, ENDED JUNE 30, 2015 2014 2015 2014 Basic earnings per share: Net income attributable to RCIHH shareholders $ 8,267 $ 691 $ 8,786 $ 6,816 Average number of common shares outstanding 10,245 9,883 10,262 9,695 Basic earnings per share - net income attributable to RCIHH shareholders $ 0.81 $ 0.07 $ 0.86 $ 0.70 Diluted earnings per share: Net income attributable to RCIHH shareholders $ 8,267 $ 691 $ 8,786 $ 6,816 Adustment to net earnings from assumed conversion of debentures (1) 118 - 356 60 Adjusted net income attributable to RCIHH shareholders $ 8,385 $ 691 $ 9,142 $ 6,876 Average number of common shares outstanding: Common shares outstanding 10,245 9,883 10,262 9,695 Potential dilutive shares resulting from exercise of warrants and options (2) - 85 - 96 Potential dilutive shares resulting from conversion of debentures (3) 462 - 462 131 Total average number of common shares outstanding used for dilution 10,707 9,968 10,724 9,922 Diluted earnings per share - net income attributable to RCIHH shareholders $ 0.78 $ 0.07 $ 0.85 $ 0.69 (1) Represents interest expense on dilutive convertible debentures that would not occur if they were assumed converted. (2) All outstanding warrants and options were considered for the EPS computation. (3) Convertible debentures (principal and accrued interest) outstanding at June 30, 2015 and 2014 totaling $ 5.3 10.5 10.00 12.50 462,000 1.5 * EPS may not foot due to rounding.

ACQUISITIONS (Tables)

ACQUISITIONS (Tables)	9 Months Ended
	Jun. 30, 2015
Seville Gentlemens Club [Member]
Business Acquisition [Line Items]
Business Acquisition Fair Values Assets and Liabilities [Table Text Block]	The following information summarizes the allocation of fair values assigned to the assets at the purchase date. (in thousands) Buildings and land $ 4,050 Furniture and fixtures 250 Inventory 109 Goodwill 3,891 Noncompete 200 Net assets $ 8,500
Robust [Member]
Business Acquisition [Line Items]
Business Acquisition Fair Values Assets and Liabilities [Table Text Block]	The following information summarizes the preliminary (in thousands) Inventory and accounts receivable $ 501 Equipment, furniture and fixture 356 Definite-lived intangible 10,275 Accounts payable (1,196) Notes payable (963) Noncontrolling interest (3,888) Net assets $ 5,085
Texas Saloon Gentlemen’s Club [Member]
Business Acquisition [Line Items]
Business Acquisition Fair Values Assets and Liabilities [Table Text Block]	The following information summarizes the allocation of fair values assigned to the assets at the purchase date. (in thousands) Buildings and land $ 3,130 Furniture and fixtures 20 Inventory 4 SOB license 3,566 Noncompete 100 Net assets $ 6,820
PTs Platinum [Member]
Business Acquisition [Line Items]
Business Acquisition Fair Values Assets and Liabilities [Table Text Block]	The following information summarizes the allocation of fair values assigned to the assets at the purchase date. Buildings and land $ 350 Property and equipment 20 SOB license 265 Minority interest (135) Net assets $ 500

INCOME TAXES (Tables)

INCOME TAXES (Tables)	9 Months Ended
	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]	Income tax expense on continuing operations for the periods presented differs from the “expected” federal income tax expense computed by applying the U.S. federal statutory rate of 34 For the Three Months For the Nine Months Ended June 30, Ended June 30, 2015 2014 2015 2014 Computed expected tax expense $ 4,257 $ 283 $ 4,508 $ 3,428 State income taxes 18 76 166 181 Stock option disqualifying dispositions and other permanent differences 167 (156) 349 (161) Total income tax expense $ 4,442 $ 203 $ 5,023 $ 3,448

WARRANTS ISSUED (Tables)

WARRANTS ISSUED (Tables)	9 Months Ended
	Jun. 30, 2015
Stockholders Equity Note [Abstract]
Schedule of Stockholders Equity Note, Warrants or Rights [Table Text Block]	The fair value of the warrants, which was entirely charged to expense upon issuance, was estimated to be $ 147,683 Fair Value Measurements Volatility 31.5 % Expected life 1.0 years Expected dividend yield - Risk free rate .12 %

SEGMENT INFORMATION (Tables)

SEGMENT INFORMATION (Tables)	9 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Schedule of Segment Reporting Information, by Segment [Table Text Block]	Below is the financial information related to the Company’s segments: Three Months Ended Nine Months Ended June 30, June 30, 2015 2014 2015 2014 Business segment sales: Night clubs $ 30,568 $ 31,486 $ 93,564 $ 91,037 Bombshells 4,789 1,585 14,510 3,668 Other 404 272 1,584 931 $ 35,761 $ 33,343 $ 109,658 $ 95,636 Business segment operating income: Night clubs $ 17,271 $ 8,526 $ 26,000 $ 25,947 Bombshells 369 (170) 1,480 (268) Other (682) (220) (1,995) (521) General corporate (2,806) (5,244) (7,809) (9,193) $ 14,152 $ 2,892 $ 17,676 $ 15,965 Business segment capital expenditures: Night clubs $ 207 $ 1,744 $ 882 $ 6,109 Bombshells 300 1,827 1,853 4,979 Other 529 3 973 3 General Corporate 62 50 259 731 $ 1,098 $ 3,624 $ 3,967 $ 11,822 Business segment depreciation and amortization: Night clubs $ 823 $ 1,297 $ 3,731 $ 3,802 Bombshells 229 62 502 115 Other 733 4 813 54 General corporate 138 169 408 467 $ 1,923 $ 1,532 $ 5,454 $ 4,438

SIGNIFICANT ACCOUNTING POLICI33

SIGNIFICANT ACCOUNTING POLICIES (Details) - Jun. 30, 2015 - Tax Advantaged Bond Fund [Member] - Fair Value, Inputs, Level 1 [Member] - USD ($) $ in Thousands	Total
Significant Accounting Policies [Line Items]
Available for Sale, Cost Basis	$ 505
Available for Sale, Gross Unrealized Gains	99
Available for Sale, Fair Value	$ 604

SIGNIFICANT ACCOUNTING POLICI34

SIGNIFICANT ACCOUNTING POLICIES (Details 1) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands	Jun. 30, 2015	Sep. 30, 2014
Significant Accounting Policies [Line Items]
Marketable securities	$ 604	$ 596
Fair Value, Inputs, Level 1 [Member]
Significant Accounting Policies [Line Items]
Marketable securities	604	596
Fair Value, Inputs, Level 2 [Member]
Significant Accounting Policies [Line Items]
Marketable securities	0	0
Fair Value, Inputs, Level 3 [Member]
Significant Accounting Policies [Line Items]
Marketable securities	$ 0	$ 0

STOCK OPTIONS AND STOCK-BASED35

STOCK OPTIONS AND STOCK-BASED EMPLOYEE COMPENSATION (Details) - Jun. 30, 2015 - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	Total
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Outstanding beginning	10
Shares, Granted	0
Shares, cancelled or Expired	0
Shares, Exercised	(10)
Shares, Outstanding ending	0
Shares, Options exercisable as of June 30, 2015	0
Weighted Average Exercise Price, Outstanding beginning	$ 8.70
Weighted Average Exercise Price, Granted	0
Weighted Average Exercise Price, cancelled or Expired	0
Weighted Average Exercise Price, Exercised	8.70
Weighted Average Exercise Price, Outstanding ending	0
Weighted Average Exercise Price, Options exercisable as of June 30, 2015	$ 0
Weighted Average Remaining Contractual Term, Outstanding (in years)
Weighted Average Remaining Contractual Term, Options exercisable (in years)
Aggregate Intrinsic Value , Outstanding	$ 0
Options exercisable, Aggregate Intrinsic Value as of June 30, 2015	$ 0

STOCK OPTIONS AND STOCK-BASED36

STOCK OPTIONS AND STOCK-BASED EMPLOYEE COMPENSATION (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Allocated Share-based Compensation Expense	$ 120,012	$ 2,922	$ 360,036	$ 156,449
Share-Based Compensation Arrangement By Share-Based Payment Award, Options, Grants In Period, Gross			0
Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Fair Value		$ 2,300,000	$ 87,000	$ 3,100,000
Share-Based Compensation Arrangement By Share-Based Payment Award, Options, Grants In Period, Gross		269,665	10,000	369,665

GOODWILL AND OTHER INTANGIBLE37

GOODWILL AND OTHER INTANGIBLES (Details) - USD ($) $ in Thousands	9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Definite-lived Intangible Assets [Line Items]
Definite- Lived Intangibles, Beginning balance	$ 675	$ 1,065
Definite- Lived Intangibles, Intangibles acquired	10,375	0
Definite- Lived Intangibles, Impairment	0	0
Definite- Lived Intangibles, Other	(459)	(171)
Definite- Lived Intangibles, Ending balance	10,645	894
Licenses, Beginning balance	53,968	54,966
Licenses, Intangibles acquired	3,565	0
Licenses, Impairment	(1,358)	0
Licenses, Other	0	265
Licenses, Ending balance	56,175	55,231
Goodwill, Beginning balance	43,374	43,987
Goodwill, Intangibles acquired	3,891	0
Goodwill, Imapairment	0	0
Goodwill, Other	51	0
Goodwill, Ending balance	$ 47,316	$ 43,987

LONG-TERM DEBT (Details)

LONG-TERM DEBT (Details) - 9 months ended Jun. 30, 2015 - Warrants Outstanding 105,318 [Member]	Total
Debt Instrument [Line Items]
Volatility	28.40%
Expected life (in years)	1 year 6 months
Expected dividend yield	0.00%
Risk free rate	0.33%

LONG-TERM DEBT (Details Textual

LONG-TERM DEBT (Details Textual) - Range [Domain] - Entity [Domain]	May. 04, 2015USD ($)	Jan. 13, 2015USD ($)a	Oct. 15, 2013USD ($)$ / sharesshares	Jul. 28, 2015USD ($)	May. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Dec. 31, 2013USD ($)	Oct. 31, 2013USD ($)	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)	Feb. 28, 2014USD ($)$ / shares
Debt Instrument [Line Items]
Debt Instrument, Interest Rate, Stated Percentage				5.45%
Debt Instrument, Periodic Payment				$ 78,000
Debt Instrument, Maturity Date, Description								October 31.2020
Class Of Warrant Or Right Fair Value										$ 105,318	$ 147,683
Debt Instrument, Convertible, Conversion Price | $ / shares			$ 12.50
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares			$ 12.50								$ 11.77
Debt Instrument, Term				5 years 5 months 12 days
Notes Issued				$ 11,325,000
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | shares			72,400
Repayments of Debt			$ 4,525,000
Fair Value of Assets Acquired									$ 4,900,000
Business Combination, Consideration Transferred		$ 6,800,000
Sale of Stock, Consideration Received on Transaction		1,000,000
Sale of Stock, Consideration Received Per Transaction		1,400,000
Warrant Expiration Date			Oct. 15, 2016
Debt Conversion, Original Debt, Interest Rate of Debt			9.00%
Debt Conversion, Converted Instrument, Expiration or Due Date			Apr. 15, 2014
Debt Instrument, Annual Principal Payment			$ 452,500
Shares Issued, Price Per Share | $ / shares			$ 16.25
Convertible Debenture [Member]
Debt Instrument [Line Items]
Debt Instrument, Interest Rate, Stated Percentage			9.00%
Proceeds from Convertible Debt			$ 4,525,000
Aircraft [Member]
Debt Instrument [Line Items]
Debt Instrument, Interest Rate, Stated Percentage							7.45%
Debt Instrument, Periodic Payment							$ 40,654
Closing Price Of Common Stock | $ / shares			$ 16.25
Notes Issued							3,600,000
Fair Value of Assets Acquired							$ 4,300,000
Individual Counterparty [Member]
Debt Instrument [Line Items]
Debt Instrument, Interest Rate, Stated Percentage								13.00%
Proceeds from Issuance of Unsecured Debt								$ 2,500,000
Debt Instrument, Periodic Payment						$ 13,215
Debt Instrument, Term								36 months
Loans Payable						$ 1,000,000
Debt Instrument, Interest Rate During Period						10.00%
Real Estate [Member]
Debt Instrument [Line Items]
Debt Instrument, Interest Rate, Stated Percentage						5.25%
Debt Instrument, Periodic Payment					$ 18,151	$ 13,270		$ 10,565
Debt Instrument, Maturity Date, Description	May1, 2019
Notes Issued					531,000			700,000
Long-term Debt, Gross						2,100,000
Loans Payable to Bank, Noncurrent						2,000,000
Business Combination, Consideration Transferred		$ 3,300,000
Area of Land | a		3.5
Payments to Acquire Land					$ 707,000
Real Estate Investment Property, at Cost								$ 850,000
Club Business [Member]
Debt Instrument [Line Items]
Payments to Acquire Businesses, Gross	$ 4,500,000
Business Combination, Consideration Transferred		$ 3,500,000
Seville Gentlemens Club [Member]
Debt Instrument [Line Items]
Payments to Acquire Businesses, Gross	$ 8,500,000
Debt Instrument, Interest Rate, Effective Percentage	5.50%
Sale of Stock, Consideration Received Per Transaction	$ 1,100,000
Sale of Stock, Nature of Consideration Received Per Transaction		seller financing at 6% annual interest, with the balance provided by commercial bank financing at a variable interest rate equal to the prime rate plus 2%, but in no event less than 6.5%.
Payment Was Made Through Bank Financing	5,700,000
Payment Was Made Through Seller Financing	1,800,000
Clubs Real Estate [Member]
Debt Instrument [Line Items]
Payments to Acquire Businesses, Gross	$ 4,000,000
Lender [Member]
Debt Instrument [Line Items]
Loans Payable						$ 2,000,000
Debt Instrument, Interest Rate During Period						12.00%
Adviser [Member]
Debt Instrument [Line Items]
Loan Origination Cost			$ 271,500

COMMON STOCK (Details Textual)

COMMON STOCK (Details Textual) - USD ($) $ in Millions	9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Class of Stock [Line Items]
Stock Repurchased and Retired During Period, Shares	225,280
Stock Repurchased and Retired During Period, Value	$ 2.3
Debt Conversion, Converted Instrument, Amount	$ 2.1
Debt Conversion, Original Debt, Amount		$ 2.1
Debt Conversion, Converted Instrument, Shares Issued	205,067	211,443
Stock Issued During Period, Shares, Acquisitions	200,000

EARNINGS PER SHARE (EPS) (Detai

EARNINGS PER SHARE (EPS) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands		3 Months Ended		9 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Basic earnings per share:
Net income attributable to RCIHH shareholders		$ 8,267	$ 691	$ 8,786	$ 6,816
Average number of common shares outstanding		10,245	9,883	10,262	9,695
Basic earnings per share - net income attributable to RCIHH shareholders		$ 0.81	$ 0.07	$ 0.86	$ 0.70
Diluted earnings per share:
Net income attributable to RCIHH shareholders		$ 8,267	$ 691	$ 8,786	$ 6,816
Adustment to net earnings from assumed conversion of debentures	[1]	118	0	356	60
Adjusted net income attributable to RCIHH shareholders		$ 8,385	$ 691	$ 9,142	$ 6,876
Average number of common shares outstanding:
Common shares outstanding		10,245	9,883	10,262	9,695
Potential dilutive shares resulting from exercise of warrants and options	[2]	0	85	0	96
Potential dilutive shares resulting from conversion of debentures	[3]	462	0	462	131
Total average number of common shares outstanding used for dilution		10,707	9,968	10,724	9,922
Diluted earnings per share - net income attributable to RCIHH shareholders		$ 0.78	$ 0.07	$ 0.85	$ 0.69
[1]	Represents interest expense on dilutive convertible debentures that would not occur if they were assumed converted.
[2]	All outstanding warrants and options were considered for the EPS computation.
[3]	Convertible debentures (principal and accrued interest) outstanding at June 30, 2015 and 2014 totaling $5.3 million and $10.5 million, respectively, were convertible into common stock at a price of $10.00 to $12.50 per share each year. Potential dilutive shares amounting to 462,000 for each of the three and nine month periods ended June 30, 2015 have been excluded from earnings per share due to being anti-dilutive. Potential dilutive shares of 1.5 million for each of the three and nine month periods ended June 30, 2014, have been excluded from earnings per share due to being anti-dilutive.

EARNINGS PER SHARE (EPS) (Det42

EARNINGS PER SHARE (EPS) (Details Textual) - USD ($) $ / shares in Units, shares in Millions	3 Months Ended		9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Oct. 15, 2013
Earnings Per Share [Line Items]
Debt Instrument, Convertible, Conversion Price					$ 12.50
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount		1.5		1.5
Amount Of Antidilutive Securities Excluded From Computation Of Earnings Per Share	$ 462,000		$ 462,000
Convertible Debenture [Member]
Earnings Per Share [Line Items]
Convertible Debt	$ 5,300,000	$ 10,500,000	$ 5,300,000	$ 10,500,000
Maximum [Member] | Convertible Debenture [Member]
Earnings Per Share [Line Items]
Debt Instrument, Convertible, Conversion Price	$ 12.50		$ 12.50
Minimum [Member] | Convertible Debenture [Member]
Earnings Per Share [Line Items]
Debt Instrument, Convertible, Conversion Price	$ 10		$ 10

ACQUISITIONS (Details)

ACQUISITIONS (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Sep. 30, 2014	Jun. 30, 2014
Business Acquisition [Line Items]
Minority interest	$ (6,119)	$ (3,010)
Seville Gentlemens Club [Member]
Business Acquisition [Line Items]
Buildings and land	4,050
Furniture and fixtures	250
Inventory	109
Goodwill	3,891
Noncompete	200
Net assets	8,500
Texas Saloon Gentlemen’s Club [Member]
Business Acquisition [Line Items]
Buildings and land	3,130
Furniture and fixtures	20
Inventory	4
SOB license	3,566
Noncompete	100
Net assets	$ 6,820
PTs Platinum [Member]
Business Acquisition [Line Items]
Buildings and land			$ 350
Property and equipment			20
SOB license			265
Minority interest			(135)
Net assets			$ 500

ACQUISITIONS (Details 1)

ACQUISITIONS (Details 1) - Robust [Member] $ in Thousands	Jun. 30, 2015USD ($)
Restructuring Cost and Reserve [Line Items]
Inventory and accounts receivable	$ 501
Equipment, furniture and fixture	356
Definite-lived intangible	10,275
Accounts payable	(1,196)
Notes payable	(963)
Noncontrolling interest	(3,888)
Net assets	$ 5,085

ACQUISITIONS (Details Textual)

ACQUISITIONS (Details Textual)	May. 04, 2015USD ($)	Jan. 13, 2015USD ($)a	Oct. 30, 2014USD ($)	Oct. 31, 2013USD ($)	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Jul. 28, 2015	Dec. 31, 2014
Business Acquisition [Line Items]
Debt Instrument, Interest Rate, Stated Percentage									5.45%
Business Combination, Consideration Transferred		$ 6,800,000
Sale of Stock, Consideration Received on Transaction		1,000,000
Sale of Stock, Consideration Received Per Transaction		1,400,000
Net Income (Loss) Attributable to Parent, Total					$ 8,267,000	$ 691,000	$ 8,786,000	$ 6,816,000
Seville Club of Minneapolis [Member]
Business Acquisition [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	5.50%
Business Acquisitions Cost Of Acquired Entity Cash Paid	$ 1,100,000
Business Combination, Consideration Transferred	8,500,000
Payment Was Made Through Bank Financing	5,700,000
Payment Was Made Through Seller Financing	$ 1,800,000
Seville Club of Minneapolis [Member] | Seller Financing [Member]
Business Acquisition [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	6.00%
Texas Saloon Gentlemen’s Club [Member]
Business Acquisition [Line Items]
Business Combination, Consideration Transferred		6,800,000
Sale of Stock, Consideration Received on Transaction		1,000,000
Sale of Stock, Consideration Received Per Transaction		$ 1,400,000
Sale of Stock, Nature of Consideration Received Per Transaction		seller financing at 6% annual interest, with the balance provided by commercial bank financing at a variable interest rate equal to the prime rate plus 2%, but in no event less than 6.5%.
Net Income (Loss) Attributable to Parent, Total			$ 1,000,000
Real Estate [Member]
Business Acquisition [Line Items]
Debt Instrument, Interest Rate, Stated Percentage										5.25%
Business Combination, Consideration Transferred		$ 3,300,000
Area of Land | a		3.5
Real Estate [Member] | Seville Club of Minneapolis [Member]
Business Acquisition [Line Items]
Business Combination, Consideration Transferred	$ 4,000,000
Real Estate [Member] | Texas Saloon Gentlemen’s Club [Member]
Business Acquisition [Line Items]
Business Combination, Consideration Transferred		$ 3,300,000
Area of Land | a		3.5
Club Business [Member] | Seville Club of Minneapolis [Member]
Business Acquisition [Line Items]
Business Combination, Consideration Transferred	$ 4,500,000
Club Business [Member] | Texas Saloon Gentlemen’s Club [Member]
Business Acquisition [Line Items]
Business Combination, Consideration Transferred		$ 3,500,000
PTs Platinum [Member]
Business Acquisition [Line Items]
Business Acquisition, Percentage of Voting Interests Acquired				49.00%
Business Combination, Consideration Transferred				$ 500,000
Robust Energy LLC [Member]
Business Acquisition [Line Items]
Payments to Acquire Businesses, Gross			$ 200,000
Noncontrolling Interest, Ownership Percentage by Parent			51.00%
Business Combination, Consideration Transferred			$ 5,000,000
Percentage On Investment			15.00%
Gain (Loss) on Investments			$ 577,000
Robust Energy LLC [Member] | Common Stock [Member]
Business Acquisition [Line Items]
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable			50,000
Robust Energy LLC [Member] | Restricted Stock [Member]
Business Acquisition [Line Items]
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable			$ 200,000

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income Taxes [Line Items]
Computed expected tax expense	$ 4,257	$ 283	$ 4,508	$ 3,428
State income taxes	18	76	166	181
Stock option disqualifying dispositions and other permanent differences	167	(156)	349	(161)
Total income tax expense	$ 4,442	$ 203	$ 5,023	$ 3,448

INCOME TAXES (Details Textual)

INCOME TAXES (Details Textual) - Jun. 30, 2015 - USD ($) $ in Millions	Total
Income Taxes [Line Items]
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent	34.00%
Deferred Tax Liabilities, Net	$ 17.2

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details Textual) - USD ($)	3 Months Ended		6 Months Ended	9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Apr. 02, 2015	Jun. 30, 2015	Jun. 30, 2014
Commitments And Contingencies [Line Items]
Litigation Settlement, Expense	$ 10,000	$ 3,233,000		$ 10,560,000	$ 3,503,000
Texas patron tax [Member]
Commitments And Contingencies [Line Items]
Loss Contingency, Damages Sought, Value				10,000,000
Monthly Installment Of Settlement Loss				$ 119,000
Number Of Installments For Settlement				84 months
Patron Tax Rate Per Customer				$ 5
Settlement With Imputed Interest Discount				9.60%
Net Present Value For The Settlement				$ 7,200,000
Pre Tax Gain For Previously Accrued For Tax				8,200,000
New York Settlement [Member]
Commitments And Contingencies [Line Items]
Loss Contingency, Range of Possible Loss, Maximum			$ 15,000,000
Loss Contingency Accrual, Payments			$ 1,833,333
Loss Contingency Accrual	$ 10,300,000			$ 10,300,000
Indemnity Insurance Corporation [Member]
Commitments And Contingencies [Line Items]
Percentage of Costs of Litigation				100.00%
Other Litigation [Member]
Commitments And Contingencies [Line Items]
Litigation Settlement, Expense				$ 2,000,000

WARRANTS ISSUED (Details)

WARRANTS ISSUED (Details) - 1 months ended Feb. 28, 2014 - Warrants Outstanding 147,683 [Member]	Total
Class of Warrant or Right [Line Items]
Volatility	31.50%
Expected life (in years)	1 year
Expected dividend yield	0.00%
Risk free rate	0.12%

WARRANTS ISSUED (Details Textua

WARRANTS ISSUED (Details Textual) - USD ($)	Jun. 30, 2015	Feb. 28, 2014	Oct. 15, 2013
Class of Warrant or Right [Line Items]
Class of Warrant or Right, Exercise Price of Warrants or Rights		$ 11.77	$ 12.50
Class Of Warrant Or Right Fair Value	$ 105,318	$ 147,683
Warrants Issued		100,000

RESTRICTED STOCK ISSUANCE (Deta

RESTRICTED STOCK ISSUANCE (Details Textual) - USD ($)	1 Months Ended	9 Months Ended
	Jul. 31, 2014	Jun. 30, 2015
Restricted Assets Disclosure [Line Items]
Restricted Stock, Shares Issued Net of Shares for Tax Withholdings	96,325
Restricted Stock, Value, Shares Issued Net of Tax Withholdings	$ 938,478
Unamortized Restricted Stock Issuance Cost		$ 500,513
Employee Service Share-based Compensation, Allocation of Recognized Period Costs, Capitalized Amount		$ 360,036
Restricted Stock [Member]
Restricted Assets Disclosure [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	2 years

SEGMENT INFORMATION (Details)

SEGMENT INFORMATION (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Segment information line items [Line Items]
Sales	$ 35,761	$ 33,343	$ 109,658	$ 95,636
Operating income	14,152	2,892	17,676	15,965
Depreciation and Amortization	1,923	1,532	5,454	4,438
Business Segment [Member]
Segment information line items [Line Items]
Sales	35,761	33,343	109,658	95,636
Operating income	14,152	2,892	17,676	15,965
Capital Expenditures	1,098	3,624	3,967	11,822
Depreciation and Amortization	1,923	1,532	5,454	4,438
Nightclubs [Member] | Business Segment [Member]
Segment information line items [Line Items]
Sales	30,568	31,486	93,564	91,037
Operating income	17,271	8,526	26,000	25,947
Capital Expenditures	207	1,744	882	6,109
Depreciation and Amortization	823	1,297	3,731	3,802
Bombshells [Member] | Business Segment [Member]
Segment information line items [Line Items]
Sales	4,789	691	14,510	3,668
Operating income	369	(170)	1,480	(268)
Capital Expenditures	300	1,827	1,853	4,979
Depreciation and Amortization	229	62	502	115
Other [Member] | Business Segment [Member]
Segment information line items [Line Items]
Sales	404	272	1,584	931
Operating income	(682)	(220)	(1,995)	(521)
Capital Expenditures	529	3	973	3
Depreciation and Amortization	733	4	813	54
General Corporate [Member] | Business Segment [Member]
Segment information line items [Line Items]
Operating income	(2,806)	(5,244)	(7,809)	(9,193)
Capital Expenditures	62	50	259	731
Depreciation and Amortization	$ 138	$ 169	$ 408	$ 467

SUBSEQUENT EVENTS (Details Text

SUBSEQUENT EVENTS (Details Textual) - Jul. 28, 2015 - Business Acquisition, Acquiree [Domain] - Property, Plant and Equipment, Type [Domain] - Short-term Debt, Type [Domain] - USD ($)	Total
Subsequent Event [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	5.45%
Investment Building and Building Improvements	$ 15,300,000
Notes Issued	11,325,000
Debt Instrument, Periodic Payment	$ 78,000
Debt Instrument, Term	5 years 5 months 12 days