Regis Meets on the Top Line, Misses Where it Counts

Regis (NYSE: RGS  ) reported earnings on Jan. 31. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q2), Regis met expectations on revenues and missed estimates on earnings per share.

Compared to the prior-year quarter, revenue dropped and GAAP loss per share dropped.

Gross margins shrank, operating margins dropped, net margins expanded.

Revenue details
Regis reported revenue of $506.2 million. The six analysts polled by S&P Capital IQ expected to see a top line of $504.2 million on the same basis. GAAP reported sales were 10% lower than the prior-year quarter's $563.3 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.03. The seven earnings estimates compiled by S&P Capital IQ anticipated $0.14 per share. GAAP EPS were -$0.22 for Q2 compared to -$1.01 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 33.0%, 410 basis points worse than the prior-year quarter. Operating margin was 1.7%, 240 basis points worse than the prior-year quarter. Net margin was -2.4%, 780 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $525.7 million. On the bottom line, the average EPS estimate is $0.22.

Next year's average estimate for revenue is $2.06 billion. The average EPS estimate is $0.67.

Investor sentiment

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Regis is hold, with an average price target of $16.93.

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