Supercuts 2009 Annual Report Download - page 58

Download and view the complete annual report

Please find page 58 of the 2009 Supercuts annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 160

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160

Table of Contents
The percentage increases (decreases) during the years ended June 30, 2009, 2008, and 2007 were due to the following factors.
We did not acquire any international salons during the twelve months ended June 30, 2009. The organic decline was primarily due to a
decrease of same-store sales of 7.2 percent for the twelve months ended June 30, 2009, partially offset by the four company-owned international
salons constructed. The foreign currency impact during fiscal year 2009 resulted from the strengthening of the United States dollar against the
British Pound and Euro as compared to the exchange rates for fiscal year 2008. Franchise revenues decreased primarily due to the merger of our
continental Europe franchise salon operations with Franck Provost Salon Group on January 31, 2008.
We acquired 25 international salons during the twelve months ended June 30, 2008, none of which were franchise buybacks. The decrease
in organic growth was due to a decrease of same-store sales of 4.3 percent for the twelve months ended June 30, 2008 and due to an additional
week in the fiscal year 2007 reporting period as compared to the fiscal year 2008 reporting period. This decrease was partially offset by the 15
company-owned international salons constructed and the inclusion of the four United Kingdom Sassoon schools for the twelve months ended
June 30, 2008. The foreign currency impact during fiscal year 2008 was driven by the weakening of the United States dollar against the British
Pound and Euro as compared to the exchange rates for fiscal year 2007. Franchise revenues decreased primarily due to the merger of our
continental Europe franchise salon operations with Franck Provost Salon Group on January 31, 2008.
We acquired 16 international salons during the twelve months ended June 30, 2007, including four franchise buybacks. The organic growth
was due to the construction of 25 company-
owned international salons during the twelve months ended June 30, 2007 and the additional week in
the fiscal year 2007 reporting period as compared to the fiscal year 2006 reporting period, partially offset by a same-store sales decrease of
0.6 percent for the twelve months ended June 30, 2007. The foreign currency impact during fiscal year 2007 was driven by the weakening of the
United States dollar against the British pound and the Euro as compared to the exchange rates for fiscal year 2006.
56
Percentage Increase
(Decrease) in Revenues
For the Years
Ended June 30, 2009
2009 2008 2007
Acquisitions (previous twelve months)
—
%
4.1
%
2.6
%
Organic
(4.8
)
(0.7
)
4.4
Foreign currency
(14.5
)
4.5
8.5
Franchise revenues
(9.2
)
(5.9
)
0.3
Closed salons
(4.5
)
(1.0
)
(1.0
)
(33.0
)%
1.0
%
14.8
%