REVENUE RECOGNITION (Tables)
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12 Months Ended |
Jun. 30, 2020 |
Revenue from Contract with Customer [Abstract] |
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Disaggregation of revenue |
The following table disaggregates revenue by timing of revenue recognition and is reconciled to reportable segment revenues as follows: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | For the Year Ended June 30, 2020 | | | | For the Year Ended June 30, 2019 | | | | | Franchise | | Company-owned | | Franchise | | Company-owned | | | | | | | | | | | | (Dollars in thousands) | | | | | | | Revenue recognized at a point in time: | | | | | | | | | Service | | $ | — | | | $ | 331,538 | | | $ | — | | | $ | 749,660 | | Product | | 52,421 | | | 85,165 | | | 59,905 | | | 165,713 | | Total revenue recognized at a point in time | | $ | 52,421 | | | $ | 416,703 | | | $ | 59,905 | | | $ | 915,373 | | | | | | | | | | | Revenue recognized over time: | | | | | | | | | Royalty and other franchise fees | | $ | 60,061 | | | $ | — | | | $ | 59,688 | | | $ | — | | Advertising fund fees | | 13,341 | | | — | | | 34,073 | | | — | | Franchise rental income | | 127,203 | | | — | | | — | | | — | | Total revenue recognized over time | | 200,605 | | | — | | | 93,761 | | | — | | Total revenue | | $ | 253,026 | | | $ | 416,703 | | | $ | 153,666 | | | $ | 915,373 | |
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Schedule of receivables, broker fees and deferred revenue |
Information about receivables, broker fees and deferred revenue subject to the revenue recognition guidance is as follows: | | | | | | | | | | | | | | | | | | | | | | | June 30, 2020 | | June 30, 2019 | | Balance Sheet Classification | | | | | | | | | | (Dollars in thousands) | | | | | Receivables from contracts with customers, net | | $ | 22,991 | | | $ | 23,210 | | | Accounts receivable, net | Broker fees | | $ | 20,516 | | | $ | 17,819 | | | Other assets | | | | | | | | Deferred revenue: | | | | | | | Current | | | | | | | Gift card liability | | $ | 2,543 | | | $ | 3,050 | | | Accrued expenses | Deferred franchise fees unopened salons | | 77 | | | 193 | | | Accrued expenses | Deferred franchise fees open salons | | 5,537 | | | 4,164 | | | Accrued expenses | Total current deferred revenue | | $ | 8,157 | | | $ | 7,407 | | | | Non-current | | | | | | | Deferred franchise fees unopened salons | | $ | 11,855 | | | $ | 15,173 | | | Other non-current liabilities | Deferred franchise fees open salons | | 33,623 | | | 24,194 | | | Other non-current liabilities | Total non-current deferred revenue | | $ | 45,478 | | | $ | 39,367 | | | |
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Allowance for doubtful accounts |
The following table is a rollforward of the allowance for doubtful accounts for the periods indicated (in thousands): | | | | | | | | | Balance as of June 30, 2019 | | $ | 2,025 | | Provision for doubtful accounts | | 5,958 | | Write-offs | | (1,084) | | Balance as of June 30, 2020 | | $ | 6,899 | |
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Broker fees |
The following table is a rollforward of the broker fee balance for the periods indicated (in thousands): | | | | | | | | | Balance as of June 30, 2019 | | $ | 17,819 | | Additions | | 5,606 | | Amortization | | (2,852) | | Write-offs | | (57) | | Balance as of June 30, 2020 | | $ | 20,516 | |
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Estimated revenue expected to be recognized |
Estimated revenue expected to the recognized in the future related to deferred franchise fees for open salons as of June 30, 2020 is as follows (in thousands): | | | | | | | | | 2021 | | $ | 5,471 | | 2022 | | 5,351 | | 2023 | | 5,174 | | 2024 | | 4,939 | | 2025 | | 4,577 | | Thereafter | | 13,648 | | Total | | $ | 39,160 | |
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