SBC Medical Group Holdings (SBC) Life Sciences Investor Forum summary

Company overview and business model

• Provides management support to franchise clinics in aesthetic medicine, generating income via franchise fees.

• Expanded services to include plastic surgery, ophthalmology, health, and infertility treatments.

• Serves over 6 million patients annually, making it the largest provider in Japan.

• Operates through three pillars: aesthetic medicine, medical services, and overseas operations.

• Strengthening platform business as foundational infrastructure.

Financial performance and restructuring

• Q1 FY2025 revenue decreased 14% YoY due to business restructuring and divestitures.

• Adjusted for one-time effects and currency, achieved around 5% growth.

• EBITDA margin at 52% and annualized ROE at 41%, reflecting strong profitability.

• Maintains a robust balance sheet with healthy cash and minimal debt.

• Capital allocated to organic/inorganic investments in Japan and internationally.

Pricing and franchise strategy

• Overhauled pricing in dermatology in March 2025 for clarity and competitiveness.

• Lowered prices improved cost efficiency; raised prices for high-demand women's hair removal.

• Revised franchise fee structure to ease early-stage burdens and support long-term growth.

• Changes expected to temporarily boost revenue and foster a resilient franchise ecosystem.