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SEGMENT INFORMATION
 6 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION:
Segment information is presented on the same basis that the Company internally organizes the business for assessing performance and making decisions regarding allocation of resources. The Company's Chief Operating Decision Maker's (CODM) primary measures of segment performance are revenue and segment adjusted EBITDA. The Company’s Chief Executive Officer is the CODM. Revenue and segment adjusted EBITDA are regularly reviewed by the CODM to make decisions about resources to be allocated to the segments, assess current performance, and forecast future performance. The Company's CODM does not evaluate reportable segments using assets and capital expenditure information. Segment adjusted EBITDA is defined as income (loss) from continuing operations before interest, income taxes, depreciation, amortization, and impairment. Consistent with our internal management reporting, unallocated expenses include certain items impacting comparability. These unallocated items are not defined terms within GAAP. They are based on how management views the business, makes financial, operating and planning decisions and evaluates the Company's ongoing performance and are not attributable to either segment. Unallocated fees include one-time professional fees and settlements, severance expense, the benefit from lease liability decreases in excess of previously impaired ROU assets, lease termination fees, asset retirement obligation costs, goodwill and long-lived asset impairment charges, and the benefit from the Company's debt refinancing.

Financial information concerning the Company's reportable operating segments is shown in the tables below.


 Three Months Ended December 31, 2025Six Months Ended December 31, 2025
 (Dollars in thousands)(Dollars in thousands)
FranchiseCompany-ownedConsolidatedFranchiseCompany-ownedConsolidated
Total revenue$37,929 $19,188 $57,117 $76,676 $39,399 $116,075 
Expenses
General and administrative$9,182 $1,082 $10,264 $19,391 $2,224 $21,615 
Rent910 2,688 3,598 1,340 5,481 6,821 
Non-margin expenses (1)22,535 — 22,535 45,462 — 45,462 
Company-owned salon expense— 13,727 13,727 — 28,495 28,495 
Depreciation and amortization204 592 796 414 1,150 1,564 
Operating income$5,098 $1,099 $6,197 $10,069 $2,049 $12,118 
Unallocated expense, net(5,741)(10,306)
Total net income$456 $1,812 
Segment adjusted EBITDA$6,241 $1,750 $7,991 $12,625 $3,331 $15,956 
_______________________________________________________________________________

(1)Non-margin expenses include advertising fund and franchise rent expenses which are offset in total revenue and, as such, not used as a primary measure of performance by our CODM.
Financial information reconciling the Company's reportable operating segments Operating income to Adjusted EBITDA is shown in the table below.
 Three Months Ended December 31, 2025Six Months Ended December 31, 2025
 (Dollars in thousands)(Dollars in thousands)
FranchiseCompany-ownedConsolidatedFranchiseCompany-ownedConsolidated
Operating income$5,098 $1,099 $6,197 $10,069 $2,049 $12,118 
Depreciation and amortization204 592 796 414 1,150 1,564 
Other, net517 — 517 759 — 759 
Stock-based compensation expense280 — 280 910 — 910 
Discrete items (1)142 59 201 473 132 605 
Segment adjusted EBITDA$6,241 $1,750 $7,991 $12,625 $3,331 $15,956 
_______________________________________________________________________________

(1)Discrete items include one-time professional fees and legal settlements, severance expense, the benefit from lease liability decreases in excess of previously impaired right of use asset and lease termination fees.

 Three Months Ended December 31, 2024Six Months Ended December 31, 2024
(Dollars in thousands)(Dollars in thousands)
FranchiseCompany-ownedConsolidatedFranchiseCompany-ownedConsolidated
Total revenue$43,269 $3,450 $46,719 $88,544 $4,235 $92,779 
Expenses
General and administrative$9,799 $1,356 $11,155 $23,781 $1,408 $25,189 
Rent1,513 636 2,149 2,236 977 3,213 
Non-margin expenses (1)25,512 — 25,512 52,789 — 52,789 
Company-owned salon expense— 1,946 1,946 — 2,699 2,699 
Depreciation and amortization307 153 460 668 238 906 
Long-lived asset impairment— — — 352 — 352 
Operating income (loss)$6,138 $(641)$5,497 $8,718 $(1,087)$7,631 
Unallocated expenses, net2,148 (839)
Total net income$7,645 $6,792 
Segment adjusted EBITDA$6,414 $725 $7,139 $14,400 $376 $14,776 
_______________________________________________________________________________

(1)Non-margin expenses include advertising fund and franchise rent expenses which are offset in total revenue and, as such, not used as a primary measure of performance by our CODM.
Financial information reconciling the Company's reportable operating segments Operating income (loss) to Adjusted EBITDA is shown in the table below.
 Three Months Ended December 31, 2024Six Months Ended December 31, 2024
 (Dollars in thousands)(Dollars in thousands)
FranchiseCompany-ownedConsolidatedFranchiseCompany-ownedConsolidated
Operating income (loss)$6,138 $(641)$5,497 $8,718 $(1,087)$7,631 
Depreciation and amortization307 153 460 668 238 906 
Long-lived asset impairment— — — 352 — 352 
Other, net(307)— (307)370 — 370 
Stock-based compensation expense174 — 174 1,604 — 1,604 
Discrete items (1)102 1,213 1,315 2,688 1,225 3,913 
Segment adjusted EBITDA$6,414 $725 $7,139 $14,400 $376 $14,776 
_______________________________________________________________________________

(1)Discrete items include one-time professional fees and legal settlements, severance expense, the benefit from lease liability decreases in excess of previously impaired right of use asset and lease termination fees.
The Franchise reportable operating segment is comprised of franchise salons located mainly in strip center locations and Walmart stores. Franchise salons offer high quality, convenient and value-priced hair care and beauty services and retail products. This segment operates primarily in the U.S., Puerto Rico, and Canada and primarily includes the Supercuts, SmartStyle, Cost Cutters, First Choice Haircutters, Roosters, and Magicuts concepts.
The company-owned salons reportable operating segment is comprised of company-owned salons located mainly in strip center locations. Company-owned salons offer high quality, convenient and value priced hair care and beauty services and retail products. Supercuts, Cost Cutters and Holiday Hair operating in the U.S. are generally within the company-owned salons segment.
Segment information is prepared on the same basis that the CODM reviews financial information for operational decision-making purposes. The Company's reportable operating segments consisted of the following salons:
December 31,
2025		June 30,
2025
FRANCHISE SALONS:
Supercuts
1,667 1,711 
SmartStyle/Cost Cutters in Walmart stores
1,021 1,049 
Portfolio Brands
791 816 
Total North American salons
3,479 3,576 
Total International salons (1)
72 71 
Total franchise salons
3,551 3,647 
as a percent of total franchise and company-owned salons
92.7 %92.5 %
COMPANY-OWNED SALONS:
Supercuts
97 100 
Portfolio Brands
181 194 
Total company-owned salons
278 294 
as a percent of total franchise and company-owned salons
7.3 %7.5 %
Total franchise and company-owned salons
3,829 3,941 
_______________________________________________________________________________
(1)Canadian and Puerto Rican salons are included in the North American salon totals.