v3.25.4
LEASES (Tables)
 6 Months Ended
Dec. 31, 2025
Leases [Abstract]  
Schedule of Total Rent from Continuing Operations Total rent includes the following:
Three Months Ended December 31,Six Months Ended December 31,
2025202420252024
(Dollars in thousands)
Office rent (1)$679 $700 $1,433 $1,426 
Lease termination expense (2)82 27 206 79 
Lease liability benefit (3)(56)(65)(111)(128)
Franchise salon rent 292 881 48 952 
Company-owned salon rent (4)2,601 606 5,245 884 
Total$3,598 $2,149 $6,821 $3,213 
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(1)Rental income associated with the sublease of the corporate office space is recorded in other income and was $0.3 million for both three month periods ended December 31, 2025, and 2024, and $0.6 million for both six month periods ended December 31, 2025, and 2024.
(2)Costs incurred to exit salons before the lease end date in order to relieve the Company of future lease obligations.
(3)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.
(4)Includes rent related to the salons acquired in the December 2024 Alline acquisition. See Note 13.
Schedule of Lessor, Future Operating Lease Commitments
As of December 31, 2025, 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 YearLeases for Franchise SalonsLeases for Company-owned SalonsCorporate LeasesTotal Operating Lease PaymentsSublease Income to be Received from FranchiseesNet Rent Commitments
Remainder of 2026$33,178 $3,752 $689 $37,619 $(33,178)$4,441 
202760,317 6,143 1,401 67,861 (60,317)7,544 
202850,787 4,372 1,436 56,595 (50,787)5,808 
202939,914 2,633 1,472 44,019 (39,914)4,105 
203026,998 1,402 1,509 29,909 (26,998)2,911 
Thereafter32,574 362 — 32,936 (32,574)362 
Total future obligations$243,768 $18,664 $6,507 $268,939 $(243,768)$25,171 
Less amounts representing interest35,752 1,876 571 38,199 
Present value of lease liability$208,016 $16,788 $5,936 $230,740 
Less short-term lease liability52,639 6,155 1,164 59,958 
Long-term lease liability$155,377 $10,633 $4,772 $170,782 
Schedule of Lessee, Future Operating Lease Commitments
As of December 31, 2025, 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 YearLeases for Franchise SalonsLeases for Company-owned SalonsCorporate LeasesTotal Operating Lease PaymentsSublease Income to be Received from FranchiseesNet Rent Commitments
Remainder of 2026$33,178 $3,752 $689 $37,619 $(33,178)$4,441 
202760,317 6,143 1,401 67,861 (60,317)7,544 
202850,787 4,372 1,436 56,595 (50,787)5,808 
202939,914 2,633 1,472 44,019 (39,914)4,105 
203026,998 1,402 1,509 29,909 (26,998)2,911 
Thereafter32,574 362 — 32,936 (32,574)362 
Total future obligations$243,768 $18,664 $6,507 $268,939 $(243,768)$25,171 
Less amounts representing interest35,752 1,876 571 38,199 
Present value of lease liability$208,016 $16,788 $5,936 $230,740 
Less short-term lease liability52,639 6,155 1,164 59,958 
Long-term lease liability$155,377 $10,633 $4,772 $170,782