Regis (NASDAQ:RGS) Announces Quarterly Earnings Results

Regis (NASDAQ:RGS) posted its quarterly earnings data on Tuesday. The company reported $1.04 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.17 by $0.87, FiscalAI reports. The company had revenue of $56.00 million for the quarter, compared to the consensus estimate of $53.00 million. Regis had a net margin of 3.09% and a return on equity of 4.10%.

Here are the key takeaways from Regis’ conference call:

• Fiscal 2026 profitability and cash generation improved. Adjusted EBITDA rose to $32.8 million, while unrestricted cash from operations more than doubled to $13.5 million, supporting debt repayment and refinancing efforts.
• Supercuts delivered its fifth consecutive year of same-store sales growth, reaching 3% for fiscal 2026. Management said its brand, digital, loyalty, and operational initiatives have moved from planning into execution, although growth was driven primarily by higher average ticket rather than traffic.
• The franchise network continued to contract, with 207 closures and only eight openings for a net decline of 199 salons in fiscal 2026. Management expects fiscal 2027 closures to be broadly similar for franchises, though it anticipates fewer closures among company-owned salons.
• Regis is prioritizing traffic growth and operational improvements across its portfolio, including a new Supercuts marketing campaign, online scheduling and loyalty initiatives, company-owned salon productivity efforts, and targeted SmartStyle pilots.
• Refinancing remains a key priority because the company carries approximately $128 million of funded debt, or about 3.1 times adjusted EBITDA net of cash. Management is evaluating all options but provided no specific transaction or terms, while lease costs continue to rise through inflationary renewals.

Regis Price Performance

NASDAQ:RGS opened at $28.59 on Thursday. The company has a 50-day moving average of $27.74 and a 200-day moving average of $26.32. The company has a market capitalization of $71.47 million, a price-to-earnings ratio of 11.81 and a beta of 1.42. Regis has a 52 week low of $19.31 and a 52 week high of $31.50. The company has a debt-to-equity ratio of 1.26, a quick ratio of 0.57 and a current ratio of 0.62.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently weighed in on the company. Lake Street Capital began coverage on Regis in a research report on Tuesday, May 26th. They set a “buy” rating and a $42.00 target price on the stock. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Regis in a report on Wednesday, August 26th. One equities research analyst has rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $42.00.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the business. Mink Brook Asset Management LLC lifted its stake in Regis by 653.0% during the fourth quarter. Mink Brook Asset Management LLC now owns 69,011 shares of the company’s stock worth $1,915,000 after purchasing an additional 59,846 shares during the period. Kent Lake PR LLC acquired a new position in shares of Regis in the 2nd quarter worth approximately $412,000. DRW Securities LLC bought a new position in shares of Regis during the 4th quarter worth approximately $247,000. Renaissance Technologies LLC lifted its position in shares of Regis by 12.7% during the 4th quarter. Renaissance Technologies LLC now owns 13,344 shares of the company’s stock worth $370,000 after buying an additional 1,500 shares during the period. Finally, Geode Capital Management LLC boosted its stake in Regis by 1.8% in the 4th quarter. Geode Capital Management LLC now owns 26,695 shares of the company’s stock valued at $741,000 after buying an additional 478 shares in the last quarter. Institutional investors and hedge funds own 31.50% of the company’s stock.

About Regis

Regis (NASDAQ: RGS) is a company that owns, operates and franchises a portfolio of hair salon and beauty service brands. Its business centers on providing haircutting, styling, coloring and other salon services through both company-owned and franchised locations. The company’s brand portfolio includes well-known names in the haircut and salon market that serve a range of customer segments from value-focused walk-in haircuts to full-service salon experiences.

Regis generates revenue through salon operations, franchise fees and the sale of professional hair-care products and retail items.