RCI Hospitality Increases Share Buyback Authorization by $20 Million

Key Facts

1RCI Hospitality's board authorized an additional $20 million for its share repurchase program.

2The total amount currently available for buybacks is approximately $24.8 million, including the remaining balance from the previous authorization.

3The company has spent nearly $80 million on share repurchases since implementing its capital allocation strategy in FY16.

The Board of Directors of RCI Hospitality Holdings (Nasdaq: RICK) has authorized an additional $20 million for its share repurchase program. This expansion brings the total amount currently available for buybacks to approximately $24.8 million, including the remaining balance from the previous authorization. The move is a core component of the company's ongoing capital allocation strategy aimed at returning value to shareholders through stock repurchases. Since the implementation of this strategy in fiscal year 2016, RCI Hospitality has spent nearly $80 million on stock buybacks. Management's decision signals continued confidence in the company's intrinsic value and its long-term financial health. Investors generally view such buyback expansions as bullish signals, as they can enhance earnings per share (EPS) by reducing the total share count.