LEASES (Tables)

9 Months Ended

Mar. 31, 2024

Leases [Abstract]

Schedule of Real Estate Taxes and Other Occupancy Expenses

Total rent includes the following:

	Three Months Ended March 31,				Nine Months Ended March 31,
	2024		2023		2024		2023
	(Dollars in thousands)
Office rent	$	756	$	875	$	2,330	$	2,581
Lease termination (benefit) expense	(39)		266		122		1,571
Lease liability benefit (1)	(59)		(297)		(281)		(1,515)
Franchise salon rent (2)	627		415		193		372
Company-owned salon rent	481		818		1,893		2,911
Total	$	1,766	$	2,077	$	4,257	$	5,920

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(1)Upon termination of previously impaired leases, the Company derecognizes the corresponding ROU assets and lease liabilities, which results in a net gain. In addition, the Company recognizes a benefit from lease liabilities decreasing in excess of previously impaired ROU assets for ongoing leases that were previously impaired.

(2)Franchise salon rent is lower in the nine months ended March 31, 2024 due to settlements with landlords for less than previously accrued.

Lessor, Future Operating Lease Commitments

As of March 31, 2024, future operating lease commitments, including one renewal option for leases expected to be renewed, to be paid and received by the Company were as follows (dollars in thousands):

Fiscal Year	Leases for Franchise Salons		Leases for Company-owned Salons		Corporate Leases		Total Operating Lease Payments		Sublease Income to be Received from Franchisees		Net Rent Commitments
Remainder of 2024	$	22,753	$	198	$	331	$	23,282	$	(22,753)	$	529
2025	81,625		673		1,334		83,632		(81,625)		2,007
2026	68,306		500		1,367		70,173		(68,306)		1,867
2027	58,272		295		1,401		59,968		(58,272)		1,696
2028	48,925		286		1,436		50,647		(48,925)		1,722
Thereafter	74,815		138		2,981		77,934		(74,815)		3,119
Total future obligations	$	354,696	$	2,090	$	8,850	$	365,636	$	(354,696)	$	10,940
Less amounts representing interest	41,545		224		1,065		42,834
Present value of lease liability	$	313,151	$	1,866	$	7,785	$	322,802
Less short-term lease liability	71,838		621		1,026		73,485
Long-term lease liability	$	241,313	$	1,245	$	6,759	$	249,317

Lessee, Future Operating Lease Commitments

As of March 31, 2024, future operating lease commitments, including one renewal option for leases expected to be renewed, to be paid and received by the Company were as follows (dollars in thousands):

Fiscal Year	Leases for Franchise Salons		Leases for Company-owned Salons		Corporate Leases		Total Operating Lease Payments		Sublease Income to be Received from Franchisees		Net Rent Commitments
Remainder of 2024	$	22,753	$	198	$	331	$	23,282	$	(22,753)	$	529
2025	81,625		673		1,334		83,632		(81,625)		2,007
2026	68,306		500		1,367		70,173		(68,306)		1,867
2027	58,272		295		1,401		59,968		(58,272)		1,696
2028	48,925		286		1,436		50,647		(48,925)		1,722
Thereafter	74,815		138		2,981		77,934		(74,815)		3,119
Total future obligations	$	354,696	$	2,090	$	8,850	$	365,636	$	(354,696)	$	10,940
Less amounts representing interest	41,545		224		1,065		42,834
Present value of lease liability	$	313,151	$	1,866	$	7,785	$	322,802
Less short-term lease liability	71,838		621		1,026		73,485
Long-term lease liability	$	241,313	$	1,245	$	6,759	$	249,317