DISCONTINUED OPERATIONS

6 Months Ended

Dec. 31, 2023

Discontinued Operations and Disposal Groups [Abstract]

DISCONTINUED OPERATIONS:

On June 30, 2022, the Company sold its Opensalon® Pro (OSP) solution to Soham Inc. As a result of the sale, the Company classified the OSP business as discontinued operations in the financial statements for all periods presented. The Company received $13.0 million in proceeds in June 2022 and received $5.0 million in fiscal year 2023, offset by a $0.5 million transaction fee. In the quarter ended December 31, 2023, the Company earned $2.0 million of proceeds that had been previously held back. The Company received the $2.0 million in January 2024. The Company recorded the $2.0 million gain and receivable in the quarter ended December 31, 2023. No income taxes have been allocated to discontinued operations based on the methodology required by accounting for income taxes guidance.

The following summarizes the results of discontinued operations for the periods presented:


	Three Months Ended December 31,				Six Months Ended December 31,
	2023		2022		2023		2022

	(Dollars in thousands)

Discontinued operations:
OSP fees	$	—	$	—	$	—	$	(226)

General and administrative	—		—		—		(27)
Rent	—		26		—		(341)



Gain from sale of OSP	2,000		108		2,000		4,034


Income from OSP discontinued operations, net	$	2,000	$	134	$	2,000	$	3,440