REVENUE RECOGNITION (Tables)

3 Months Ended

Sep. 30, 2022

Revenue from Contract with Customer [Abstract]

Schedule of receivables, broker fees and deferred revenue

Information about receivables, broker fees and deferred revenue subject to the current revenue recognition guidance is as follows:

	September 30, 2022		June 30, 2022		Balance Sheet Classification
	(Dollars in thousands)
Receivables from contracts with customers, net	$	8,675	$	10,263	Receivables, net
Broker fees	14,765		15,592		Other assets
Deferred revenue:
Current
Gift card liability	$	1,951	$	2,037	Accrued expenses
Deferred franchise fees open salons	5,674		5,770		Accrued expenses
Total current deferred revenue	$	7,625	$	7,807
Non-current
Deferred franchise fees unopened salons	$	3,107	$	3,211	Other non-current liabilities
Deferred franchise fees open salons	25,391		26,827		Other non-current liabilities
Total non-current deferred revenue	$	28,498	$	30,038

Rollforward of allowance for doubtful accounts

The following table is a rollforward of the allowance for doubtful accounts for the period:

	Three Months Ended September 30,
	2022		2021
	(Dollars in thousands)
Balance at beginning of period	$	6,559	$	7,774
Provision for doubtful accounts	461		237
Provision for franchisee rent (1)	19		364
Reclass of accrued rent (2)	60		396
Write-offs	(725)		(102)
Balance at end of period	$	6,374	$	8,669

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(1)The provision for franchisee rent is recognized as rent in the unaudited Condensed Consolidated Statement of Operations.

(2)The reclass of accrued rent represents franchisee rent obligations guaranteed by the Company that were unbilled and deemed unrecoverable as of June 30, 2021. The amounts billed in fiscal year 2023 and 2022 and the related accrual were reclassified to allowance for doubtful accounts.

Broker fees

The following table is a rollforward of the broker fee balance for the periods indicated:

	Three Months Ended September 30,
	2022		2021
	(Dollars in thousands)
Balance at beginning of period	$	15,592	$	19,254
Additions	—		25
Amortization	(827)		(862)
Write-offs	—		(145)
Balance at end of period	$	14,765	$	18,272

Estimated revenue expected to be recognized

Estimated revenue expected to be recognized in the future related to deferred franchise fees for open salons as of September 30, 2022 is as follows (in thousands):

Remainder of 2023	$	4,255
2024	5,447
2025	5,064
2026	4,594
2027	4,132
Thereafter	7,573
Total	$	31,065