SEGMENT INFORMATION (Tables)

3 Months Ended

Sep. 30, 2019

Segment Reporting [Abstract]

Schedule of reportable operating segment salons

The Company’s reportable operating segments consisted of the following salons:

	September 30, 2019		June 30, 2019
FRANCHISE SALONS:
SmartStyle/Cost Cutters in Walmart Stores	825		615
Supercuts	2,456		2,340
Signature Style	948		766
Total North American Salons	4,229		3,721
Total International Salons (1)	227		230
Total Franchise Salons	4,456		3,951
as a percent of total Company-owned and Franchise salons	63.6	%	56.0	%
COMPANY-OWNED SALONS:
SmartStyle/Cost Cutters in Walmart Stores	1,333		1,550
Supercuts	312		403
Signature Style	906		1,155
Total Company-owned salons	2,551		3,108
as a percent of total Company-owned and Franchise salons	36.4	%	44.0	%
OWNERSHIP INTEREST LOCATIONS:
Equity ownership interest locations	85		86
Grand Total, System-Wide	7,092		7,145

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(1) Canadian and Puerto Rican salons are included in the North American salon totals.

(2)

As of September 30, 2019, the Company-owned operating segment is comprised primarily of SmartStyle^®, Supercuts^®, Cost Cutters^®, and other regional trade names and the Franchise operating segment is comprised primarily of Supercuts^®, SmartStyle^®, Cost Cutters^®, First Choice Haircutters^®, Roosters^® and Magicuts^® concepts.

Schedule of summarized financial information of reportable operating segments

Financial information concerning the Company's reportable operating segments is shown in the following table:

	For the Three Months Ended September 30, 2019
	Franchise		Company - owned		Corporate			Consolidated
	(Dollars in thousands)
Revenues:
Service	$	—	$	141,941	$	—		$	141,941
Product	13,105		32,551		—			45,656
Royalties and fees	28,017		—		—			28,017
Franchise rental income	31,424		—		—			31,424
	72,546		174,492		—			247,038
Operating expenses:
Cost of service	—		90,482		—			90,482
Cost of product	10,280		16,047		—			26,327
Site operating expenses	10,426		22,516		—			32,942
General and administrative	8,357		10,150		22,118			40,625
Rent	190		23,789		285			24,264
Franchise rent expense	31,424		—		—			31,424
Depreciation and amortization	160		6,107		3,113			9,380
TBG restructuring (Note 3)	1,500		—		—			1,500
Total operating expenses	62,337		169,091		25,516			256,944
Operating income (loss)	10,209		5,401		(25,516		)	(9,906		)
Other (expense) income:
Interest expense	—		—		(1,439		)	(1,439		)
Loss on sale of salon assets to franchisees, net	—		—		(5,860		)	(5,860		)
Interest income and other, net	—		—		171			171
Income (loss) from continuing operations before income taxes	$	10,209	$	5,401	$	(32,644	)	$	(17,034	)

	For the Three Months Ended September 30, 2018
	Franchise		Company-owned		Corporate			Consolidated
	(Dollars in thousands)
Revenues:
Service	$	—	$	207,848	$	—		$	207,848
Product	15,629		41,962		—			57,591
Royalties and fees	22,396		—		—			22,396
	38,025		249,810		—			287,835
Operating expenses:
Cost of service	—		121,497		—			121,497
Cost of product	12,413		19,768		—			32,181
Site operating expenses	7,976		28,845		—			36,821
General and administrative	7,664		16,381		23,682			47,727
Rent	94		35,686		198			35,978
Depreciation and amortization	158		8,057		1,987			10,202
Total operating expenses	28,305		230,234		25,867			284,406
Operating income (loss)	9,720		19,576		(25,867		)	3,429
Other (expense) income:
Interest expense	—		—		(1,006		)	(1,006		)
Loss on sale of salon assets to franchisees, net	—		—		(3,960		)	(3,960		)
Interest income and other, net	—		—		360			360
Income (loss) from continuing operations before income taxes	$	9,720	$	19,576	$	(30,473	)	$	(1,177	)