Recession Rocks Regis Corp.

Need more evidence that the recession has impacted the global beauty industry? Regis Corporation, the leading player in the salon market, reported a net loss of $4.5 million in the fourth quarter ended June 30 and a5% slide in fourth quarter sales to $466.5 million.

For the year, Regis’ sales fell 1.6% to $1.83 billion and the company reported a net loss of $124.4 million compared to a profit of $85.2 million in 2008.

“If ever you wanted proof that the salon business is suffering, and with it, professional hair care, these Regis results say it all,” commented Colin Hession, chief executive officer, Colin Hession Consulting. “Regis is the biggest salon operator in the world—the Walmart of the global salon business.”