XML 13 R4.htm IDEA: XBRL DOCUMENT v3.22.4
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited) - USD ($)
shares in Thousands, $ in Thousands
3 Months Ended 6 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2022
Dec. 31, 2021
Revenues:        
Franchise $ 28,886 $ 33,772 $ 59,216 $ 67,534
Total revenue 59,967 69,270 121,838 146,088
Operating expenses:        
Inventory reserve 1,228 0 1,228 0
General and administrative 11,747 15,082 26,108 35,866
Rent 28,900 33,800 59,200 67,500
Advertising fund expense 7,965 8,021 16,216 16,136
Depreciation and amortization 3,793 1,605 5,044 3,144
Long-lived asset impairment 0 52 0 215
Total operating expenses 59,237 69,758 118,638 151,461
Operating income (loss) 730 (488) 3,200 (5,373)
Other expense:        
Interest expense (4,519) (3,270) (8,336) (6,397)
Loss from sale of salon assets to franchisees, net 0 (615) 0 (1,695)
Other, net 1,248 99 785 (140)
Loss from operations before income taxes (2,541) (4,274) (4,351) (13,605)
Income tax benefit (expense) 0 164 (28) 213
Loss from continuing operations (2,541) (4,110) (4,379) (13,392)
Income (loss) from discontinued operations (Note 3) 134 (818) 3,440 (1,914)
Net loss $ (2,407) $ (4,928) $ (939) $ (15,306)
Basic and diluted:        
Loss from continuing operations, basic (in dollars per share) $ (0.06) $ (0.09) $ (0.10) $ (0.32)
Loss from continuing operations, diluted (in dollars per share) (0.06) (0.09) (0.10) (0.32)
Income (loss) from discontinued operations, basic (in dollars per share) 0.00 (0.02) 0.07 (0.05)
Income (loss) from discontinued operations, diluted (in dollars per share) 0.00 (0.02) 0.07 (0.05)
Net loss per share, basic (in dollars per share) [1] (0.05) (0.11) (0.02) (0.37)
Net loss per share, diluted (in dollars per share) $ (0.05) $ (0.11) $ (0.02) $ (0.37)
Weighted average common and common equivalent shares outstanding:        
Basic (in shares) 46,148 45,721 46,091 41,274
Diluted (in shares) 46,148 45,721 46,091 41,274
Non-Franchise Lease        
Operating expenses:        
Rent $ 2,090 $ 3,042 $ 3,843 $ 4,789
Franchisor        
Operating expenses:        
Rent 28,886 33,772 59,216 67,534
Royalties        
Revenues:        
Revenues 16,158 16,125 33,338 32,726
Fees        
Revenues:        
Revenues 3,238 3,881 5,791 6,208
Product sales to franchisees        
Revenues:        
Revenues 1,107 2,428 1,550 10,436
Operating expenses:        
Cost of product sales to franchisees 1,310 3,117 1,780 10,766
Advertising fund contributions        
Revenues:        
Revenues 7,965 8,021 16,216 16,136
Company-owned salon revenue        
Revenues:        
Revenues 2,613 5,043 5,727 13,048
Operating expenses:        
Company-owned salon expense [2] $ 2,218 $ 5,067 $ 5,203 $ 13,011
[1] Total is a recalculation; line items calculated individually may not sum to total due to rounding.
[2] Includes cost of service and product sold to guests in our Company-owned salons. Excludes general and administrative expense, rent and depreciation and amortization related to Company-owned salons