Selected Account Information

6 Months Ended

Mar. 31, 2024

Selected Account Information [Abstract]

The components of accounts receivable, net are as follows (in thousands):


	March 31, 2024		September 30, 2023
Credit card receivables	$	4,154	$	4,141
Income tax refundable	1,756		2,989
ATM in-transit	1,753		1,675
Other (net of allowance for doubtful accounts of $21 and $62, respectively)	1,116		1,041
Total accounts receivable, net	$	8,779	$	9,846

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.

The components of prepaid expenses and other current assets are as follows (in thousands):


	March 31, 2024		September 30, 2023
Prepaid insurance	$	6,203	$	375
Prepaid legal	61		184
Prepaid taxes and licenses	801		486
Prepaid rent	513		346
Other	809		552
Total prepaid expenses and other current assets	$	8,387	$	1,943

The components of accrued liabilities are as follows (in thousands):


	March 31, 2024		September 30, 2023
Insurance	$	6,017	$	9
Sales and liquor taxes	2,646		2,468
Payroll and related costs	4,654		4,412
Property taxes	2,103		3,086
Interest	680		654
Patron tax	1,229		914
Unearned revenues	552		96
Lawsuit settlement	2,153		2,448
Other	2,563		1,964
Total accrued liabilities	$	22,597	$	16,051

5. Selected Account Information - continued

The components of selling, general and administrative expenses are as follows (in thousands):


	For the Three Months Ended March 31,				For the Six Months Ended March 31,
	2024		2023		2024		2023
Taxes and permits	$	3,967	$	2,739	$	8,009	$	5,423
Advertising and marketing	2,993		2,731		6,467		5,401
Supplies and services	2,736		2,657		5,431		5,081
Insurance	3,265		2,238		6,580		4,820
Legal	1,116		1,296		1,849		2,281
Lease	1,785		1,765		3,609		3,527
Charge card fees	1,682		1,683		3,414		3,580
Utilities	1,462		1,353		2,947		2,624
Security	1,287		1,308		2,698		2,472
Stock-based compensation	471		706		941		1,647
Accounting and professional fees	1,136		657		2,322		2,175
Repairs and maintenance	1,114		1,207		2,213		2,371
Other	1,639		1,686		3,374		3,356
Total selling, general and administrative expenses	$	24,653	$	22,026	$	49,854	$	44,758

The components of other charges, net are as follows (in thousands):


	For the Three Months Ended March 31,				For the Six Months Ended March 31,
	2024		2023		2024		2023
Impairment of assets	$	8,033	$	662	$	8,033	$	662
Settlement of lawsuits	167		3,120		167		3,120
Loss (gain) on disposal of businesses and assets	(5)		3		(8)		(587)
Gain on insurance	—		(27)		—		(91)
Total other charges, net	$	8,195	$	3,758	$	8,192	$	3,104

During the 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, whereas during the quarter ended March 31, 2023, we recorded $662,000 in goodwill impairment related to one club.

During the quarter ended March 31, 2023, we recognized lawsuit settlements of $3.1 million, of which $2.8 million related to a settlement with the New York Department of Labor related to the assessment by the New York Department of Labor for state unemployment insurance. See Note 9.