8-K

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549
FORM 8-K
CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
July 26, 2006
Date of report (date of earliest event reported)
STEINER LEISURE LIMITED
(Exact Name of Registrant as Specified in Its Charter)
Commonwealth of The Bahamas
(State or other Jurisdiction of Incorporation)
0-28972	98-0164731
(Commission File Number)	(IRS Employer Identification No.)
Suite 104A, Saffrey Square
Nassau, The Bahamas	Not Applicable
(Address of Principal Executive Offices)	(Zip Code)
(242) 356-0006
(Registrant's Telephone Number, Including Area Code)
Not Applicable
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): o   Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) o   Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) o   Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) o   Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02.  Results of Operations and Financial Condition

Disclosure under this Item 2.02 is furnished to comply with the SEC requirement that the earnings press release of the registrant be furnished to the SEC under cover of Form 8-K. The Company's earnings press release for the second quarter ending June 30, 2006 was issued after the close of regular trading on the Nasdaq National Market on July 26, 2006.

The information in this Form 8-K, including the exhibit, shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and is not incorporated by reference into any filing of the Company, whether made before or after the date hereof, regardless of any general language in such filing, unless it is specifically identified therein as being incorporated therein by reference.

Item 9.01.  Financial Statement and Exhibits

3. Exhibits

99.1 - Press Release issued by Steiner Leisure Limited on July 26, 2006.

Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	STEINER LEISURE LIMITED
Date: July 27, 2006	/s/ Leonard I. Fluxman
	Leonard I Fluxman
	President and Chief Executive Officer

EX-99

EXHIBIT 99.1

STEINER LEISURE LIMITED
Post Office Box N-9306
Suite 104A
Nassau, The Bahamas

For Release: IMMEDIATELY

Contact:    Leonard I. Fluxman, President and Chief Executive Officer (305) 358-9002, ext. 215

Steiner Leisure Limited Announces

Second Quarter 2006 Financial Results

NASSAU, THE BAHAMAS, July 26, 2006 - Steiner Leisure Limited (NASDAQ: STNR) today announced financial results for the second quarter ended June 30, 2006. Included in our 2006 second quarter results are the post acquisition results of operations of Utah College of Massage Therapy ("UCMT"), a post secondary massage therapy school, and an entity affiliated with UCMT that offers spa products, equipment and services to UCMT students and others. We acquired UCMT and that other entity on April 3, 2006.

Steiner Leisure's revenues for the second quarter ended June 30, 2006 rose 19.9% to $117.2 million from $97.8 million during the comparable quarter in 2005. Income from continuing operations, before discontinued operations for the second quarter, was $10.8 million compared with $9.6 million for the same quarter in 2005.

Earnings per share before discontinued operations for the second quarter ended June 30, 2006 was $0.61 per share, compared with $0.53 per share for the comparable quarter in 2005. The earnings per share data are presented on a diluted basis.

Revenues for the six months ended June 30, 2006 rose 15.2% to $221.8 million from $192.5 million during the comparable six months in 2005. Income from continuing operations, before discontinued operations for the six months ended June 30, 2006 was $21.4 million compared with $18.7 million for the same six months in 2005.

Earnings per share before discontinued operations for the six months ended June 30, 2006 was $1.20 per share compared with $1.01 per share for the comparable six months in 2005. The above earnings per share data are presented on a diluted basis.

Leonard I. Fluxman, President and Chief Executive Officer of Steiner Leisure, commented "Our second quarter performance was in line with our expectations. Despite the annual repositioning of certain ships to Alaska and the Mediterranean during this quarter, our execution in our maritime business remained strong."

Steiner Leisure Limited is a worldwide provider of spa services. The Company's operations include spas and salons on 124 cruise ships, and in 58 resort spas and two luxury day spas. Our cruise line and land-based resort customers include Carnival Cruise Lines, Caesars Entertainment, Celebrity Cruises, Crystal Cruises, Cunard/Seabourn Cruise Lines, Hilton Hotels, Holland America Line, Kerzner International, Marriott Hotels, Norwegian Cruise Lines, Princess Cruises and Royal Caribbean Cruises. Our Elemis Limited subsidiary manufactures its Elemis® brand products for use in our cruise ship and land-based spas. This top quality European line of beauty products is also distributed worldwide to exclusive hotels, salons, health clubs and destination spas. Elemis® as well as other Steiner products, including La Therapie®, Ionithermie, and Steiner Hair Care, are available at www.timetospa.com.

Steiner Leisure owns and operates four post secondary schools (comprised of a total of 14 campuses) located in Miami, Orlando, Pompano Beach and Sarasota, Florida; Baltimore, Maryland; Charlottesville, Virginia; York, Pennsylvania; Salt Lake City and Lindon, Utah; Las Vegas, Nevada; Tempe and Phoenix, Arizona; and Westminster and Aurora, Colorado. Offering degree and non-degree programs in massage therapy and, in some cases, skin care, these schools train and qualify spa professionals for health and beauty positions within the Steiner family of companies or other industry entities..

The Company will be holding a conference call at 11:00 am (EST) on Thursday, July 27, 2006. Clive E. Warshaw, Chairman of the Board, and Leonard I. Fluxman, President and Chief Executive Officer, will discuss the contents of this press release.

If you wish to participate in this conference call, please call (706) 679-5917 for domestic and international calls approximately ten minutes before the scheduled time. This call is available for replay from Thursday, July 27, 2006 (approximately 3 hours after the call takes place) until Thursday, August 3, 2006 at 12:00 pm. You may reach it by dialing (706) 645-9291 for both domestic and international calls. The conference ID # is 2933467.

SELECTED FINANCIAL DATA

($ and shares in thousands, except per share data)

(Unaudited)

	Second Quarter Ended						Six Months Ended
	June 30,						June 30,
			2006(1)		2005			2006(1)		2005
Revenues:
Services		$	79,871	$	65,169	$		150,817	$	130,495
Products			37,355		32,603			70,958		62,021
Total revenues			117,226		97,772			221,775		192,516
Cost of Sales:
Cost of services			63,427		51,917			119,930		103,209
Cost of products			27,631		24,786			52,008		47,141
Total cost of sales			91,058		76,703			171,938		150,350
Gross profit			26,168		21,069			49,837		42,166
Operating Expenses:
Administrative			6,393		5,045			12,188		10,675
Salary and payroll taxes			8,402		5,647			15,757		11,342
Total operating expenses			14,795		10,692			27,945		22,017
Income from continuing operations			11,373		10,377			21,892		20,149
Other Income (Expense):
Interest expense			(73	)	(62	)		(85	)	(113)
Other income			344		62			1,269		210
Total other income (expense)			271		--			1,184		97
Income from continuing operations before provision for income taxes and discontinued operations			11,644		10,377			23,076		20,246
Provision for income taxes			865		813			1,716		1,586
Income from continuing operations before discontinued operations			10,779		9,564			21,360		18,660
Income (loss) from discontinued operations, net of taxes			--		(3	)		225		(17)
Net income		$	10,779	$	9,561	$		21,585	$	18,643
Income (loss) per share-Basic:
Income before discontinued operations		$	0.62	$	0.55	$		1.23	$	1.06
Income (loss) from discontinued operations			--		--			0.01		--
		$	0.62	$	0.55	$		1.24	$	1.06
Income (loss) per share-Diluted:
Income before discontinued operations		$	0.61	$	0.53	$		1.20	$	1.01
Income (loss) from discontinued operations			--		--			0.01		--
		$	0.61	$	0.53	$		1.21	$	1.01
Weighted average shares outstanding:
Basic			17,329		17,312			17,350		17,653
Diluted			17,774		18,087			17,866		18,491

Notes:

(1) Includes post acquisition results of UCMT and its affiliate which were acquired on April 3, 2006.

STATISTICS

		Second Quarter Ended						Six Months Ended
		June 30,						June 30,
		2006			2005				2006			2005
Average number of ships served1:		119		115			118				115
Spa		86		82			85				82
Non-Spa		33		33			33				33
Average total number of staff on ships served:		1,771		1,646			1,733				1,632
Spa		1,543		1,412			1,504				1,397
Non-Spa		228		234			229				235
Revenue per staff per day2:	$	468	$	448		$	464			$	447
Spa	$	491	$	471		$	487			$	473
Non-Spa	$	308	$	314		$	310			$	300
Average weekly revenues:	$	48,549	$	44,962		$	47,853			$	44,422
Spa	$	61,391	$	56,662		$	60,694			$	56,460
Non-Spa	$	14,924	$	15,706		$	15,022			$	14,832
Average number of land-based spas served 3		56		49			56				48
Average weekly land-based spas revenues	$	26,608	$	26,785		$	27,072			$	27,578
Total schools revenues4,5	$	11,052,000	$	4,239,000		$	16,160,000			$	8,665,000
Total wholesale and retail product revenues	$	11,534,000	$	9,428,000		$	21,093,000			$	17,352,000

_____________

1 Average number of ships served reflects the fact that during the period ships were in and out of service and,   accordingly, the number of ships served during the period varied.

2 Revenue includes all sales of services and products on ships. Staff includes all shipboard employees. Per day refers to each day that a cruise ship is in service.

3 Average number of land-based day spas operated reflects the fact that during the period spas were opened or closed and, accordingly, the number of spas served during the period varied.

4 Includes $126,000 and $151,000 for the three months ended June 30, 2006 and 2005, respectively, and $295,000 and $368,000 for the six months ended June 30, 2006 and 2005, respectively, relating to the Steiner training school near London, England.

5 Includes post acquisition results of UCMT and its affiliate which were acquired on April 3, 2006.