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SEGMENT INFORMATION (Tables) | 3 Months Ended
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Sep. 30, 2022
Segment Reporting [Abstract] |
Schedule of reportable operating segment salons | The Company's reportable operating segments consisted of the following salons:
|  | September 30, 2022 |  | June 30, 2022
FRANCHISE SALONS: |  |  |  |
Supercuts |  | 2,233 |  |  | 2,264 |
SmartStyle/Cost Cutters in Walmart Stores |  | 1,625 |  |  | 1,646 |
Portfolio Brands |  | 1,325 |  |  | 1,344 |
Total North American salons |  | 5,183 |  |  | 5,254 |
Total International salons (1) |  | 140 |  |  | 141 |
Total Franchise salons |  | 5,323 |  |  | 5,395 |
as a percent of total Franchise and Company-owned salons |  | 98.2 | % |  | 98.1 | %
COMPANY-OWNED SALONS: |  |  |  |
Supercuts |  | 15 |  |  | 18 |
SmartStyle/Cost Cutters in Walmart Stores |  | 49 |  |  | 49 |
Portfolio Brands |  | 31 |  |  | 38 |
Total Company-owned salons |  | 95 |  |  | 105 |
as a percent of total Franchise and Company-owned salons |  | 1.8 | % |  | 1.9 | %
OWNERSHIP INTEREST LOCATIONS: |  |  |  |
Equity ownership interest locations |  | 76 |  |  | 76 |
Grand Total, System-wide |  | 5,494 |  |  | 5,576 |
_______________________________________________________________________________ (1)Canadian and Puerto Rican salons are included in the North American salon totals.
Schedule of summarized financial information of reportable operating segments | Financial information concerning the Company's reportable operating segments is shown in the following tables:
|  | Three Months Ended September 30, 2022
|  | Franchise |  | Company-owned |  | Consolidated
|  | (Dollars in thousands)
Revenues: |  |  |  |  |  |
Royalties |  | $ | 17,180 |  |  | $ | — |  |  | $ | 17,180 |
Fees |  | 2,553 |  |  | — |  |  | 2,553 |
Product sales to franchisees |  | 443 |  |  | — |  |  | 443 |
Advertising fund contributions |  | 8,251 |  |  | — |  |  | 8,251 |
Franchise rental income |  | 30,330 |  |  | — |  |  | 30,330 |
Company-owned salon revenue |  | — |  |  | 3,114 |  |  | 3,114 |
Total revenue |  | 58,757 |  |  | 3,114 |  |  | 61,871 |
Operating expenses: |  |  |  |  |  |
Cost of product sales to franchisees |  | 470 |  |  | — |  |  | 470 |
General and administrative |  | 14,182 |  |  | 179 |  |  | 14,361 |
Rent |  | 509 |  |  | 1,244 |  |  | 1,753 |
Advertising fund expense |  | 8,251 |  |  | — |  |  | 8,251 |
Franchise rent expense |  | 30,330 |  |  | — |  |  | 30,330 |
Company-owned salon expense |  | — |  |  | 2,985 |  |  | 2,985 |
Depreciation and amortization |  | 950 |  |  | 301 |  |  | 1,251 |
Total operating expenses |  | 54,692 |  |  | 4,709 |  |  | 59,401 |
Operating income (loss) |  | $ | 4,065 |  |  | $ | (1,595) |  |  | $ | 2,470 |
|  | Three Months Ended September 30, 2021
|  | Franchise |  | Company-owned |  | Consolidated
|  | (Dollars in thousands)
Revenues: |  |  |  |  |  |
Royalties |  | $ | 16,602 |  |  | $ | — |  |  | $ | 16,602 |
Fees |  | 2,327 |  |  | — |  |  | 2,327 |
Product sales to franchisees |  | 8,008 |  |  | — |  |  | 8,008 |
Advertising fund contributions |  | 8,114 |  |  | — |  |  | 8,114 |
Franchise rental income |  | 33,762 |  |  | — |  |  | 33,762 |
Company-owned salon revenue |  | — |  |  | 8,005 |  |  | 8,005 |
Total revenue |  | 68,813 |  |  | 8,005 |  |  | 76,818 |
Operating expenses: |  |  |  |  |  |
Cost of product sales to franchisees |  | 7,648 |  |  | — |  |  | 7,648 |
General and administrative |  | 20,238 |  |  | 546 |  |  | 20,784 |
Rent |  | 1,621 |  |  | 126 |  |  | 1,747 |
Advertising fund expense |  | 8,114 |  |  | — |  |  | 8,114 |
Franchise rent expense |  | 33,762 |  |  | — |  |  | 33,762 |
Company-owned salon expense |  | — |  |  | 7,945 |  |  | 7,945 |
Depreciation and amortization |  | 1,293 |  |  | 246 |  |  | 1,539 |
Long-lived asset impairment |  | — |  |  | 163 |  |  | 163 |
Total operating expenses |  | 72,676 |  |  | 9,026 |  |  | 81,702 |
Operating loss |  | $ | (3,863) |  |  | $ | (1,021) |  |  | $ | (4,884) |

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