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Regis Corporation Common Stock

Regis Corporation owns and franchises hair care salons primarily in North America. It operates through two segments: Franchise Salons and Company-Owned Salons. Its salons offer haircutting, styling such as shampooing and conditioning, and hair coloring, and also sell hair care and other beauty products. The company additionally provides business performance coaching, stylist training and education, site approval, marketing, loyalty and CRM programs, and technology support. Its salons operate primarily under the Supercuts, SmartStyle, Cost Cutters, First Choice Haircutters, Roosters, Hair Masters, Magicuts, Holiday Hair, and Regis concept names. Regis Corporation was founded in 1922 and is headquartered in Minneapolis, Minnesota.

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Regis closes 199 salons in fiscal 2026 amid labor shortage

Regis, the 104-year-old beauty chain, closed 199 net salons in fiscal 2026, ending the year with 207 closures and 8 openings, as the company continues to shrink its footprint amid a persistent staffing shortage. The closures were predominantly lower-volume locations, with an average unit volume of approximately $136,000, roughly $364,000 below the average of the highest-performing quartile. Despite the decline, Regis reported $32.8 million in adjusted EBITDA, up $1.2 million from fiscal 2025, and $13.5 million in unrestricted cash from operations, up from $5.4 million. CEO Susan Lintonsmith highlighted positive comparable sales growth in the fourth quarter, with consolidated same-store sales up 0.1% and Supercuts up 2.6%, while full-year same-store sales rose 0.9%. However, CFO Kersten Zupfer warned that fiscal 2027 closures are not expected to be materially different from fiscal 2026, as the company faces challenges from a labor shortage and competition from chains like Great Clips and Sport Clips.
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Regis Reports Improved Fiscal 2026 Cash Flow, Plans Refinancing

Regis Corp reported higher adjusted EBITDA and substantially improved unrestricted operating cash flow for fiscal 2026, while outlining plans to build on Supercuts' sales momentum, improve company-owned salon operations and address traffic and value challenges at SmartStyle. Revenue rose to $224.5 million, adjusted EBITDA increased to $32.8 million, and unrestricted operating cash flow more than doubled to $13.5 million. Regis ended the year with $26 million in unrestricted cash after repaying $2.7 million of term-loan principal. Fourth-quarter revenue and EBITDA declined due mainly to lower franchise rental income, royalties and fees as the franchise salon count fell. However, Supercuts same-store sales grew 2.6% in the quarter and 3% for the full year, extending its growth streak to five years. Refinancing and brand improvements are key fiscal 2027 priorities: Regis is evaluating options to reduce its debt costs while planning Supercuts modernization, better company-owned salon traffic and value initiatives, and targeted efforts to address SmartStyle's performance and salon closures.
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