Regis Reports Fiscal Year 2026 Earnings with Revenue Growth but Declining Net Income
Regis Corporation (RGS) reported fiscal year 2026 earnings, showing revenue growth to $224.5 million and adjusted EBITDA of $32.8 million, driven by improved performance in company-owned salons and lower administrative costs. Unrestricted cash from operations rose significantly to $13.5 million compared to the prior year. Supercuts saw 3% same-store sales growth for the full year, with a slight dip in Q4 due to declining retail sales. Despite these gains, net income fell sharply to $6.9 million from $123.5 million in fiscal 2025, largely because of an absence of a one-time tax benefit recognized last year. Fourth-quarter revenue dropped by 7.3% compared to the prior-year period due to fewer franchise salons and lower rental income. The company ended with 3,448 franchise locations after closing nearly 199 during fiscal 2026. Regis remains focused on strengthening its business foundation through strategic initiatives for Supercuts while addressing operational challenges in SmartStyle. Management expects continued salon closures but is working to mitigate the impact via resale activity and brand improvements.
Topics: adjusted_ebitda franchise_performance net_income revenue same-store_sales