Regis Corp.(RGS: Quote) Monday reported a 1.3 percent decline in consolidated revenues for the third quarter. The hairstyling and hair care salons operator said its same-store sales for the period decreased 3.4 percent, compared to a 2.3 percent decline last year.
Eric Bakken, executive vice president and interim corporate chief operating officer stated," Third quarter same-store sales results came in at the lower end of our expectations. However, we are encouraged by our March same-store sales which were down 1.7 percent versus down 4.3 percent for the first two months of the quarter."
The company said it is taking aggressive steps to improve performance by simplifying operating model and focusing business around four distinct consumer segments with differentiated marketing strategies and product offerings. Regis further noted that it is vigilant in controlling costs and increasing operating efficiencies.
Revenues for the quarter dropped to $573.62 million from $581.27 million in the previous year. Revenues from North America saloons were $503.35 million, down from $509.84 million in the prior year. International saloons operations revenues declined to $32.59 million from $35.54 million a year ago.
Meanwhile, revenues from Hair Restoration centers increased to $37.69 million from $35.89 million in the same quarter last year.
North America same-store sales dropped 3.5 percent and international same-store sales fell 10.6 percent, compared to a 2 percent decline last year. Hair Restoration same-store sales grew 4.3 percent, in comparison with a 1.3 percent rise in the preceding year.
Same-store customer counts decreased 3 percent for the quarter.
RGS closed Thursday's regular trading at $17.92 on the NYSE.
by RTT Staff Writer
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