Company Overview - SBC Medical Group Holdings Incorporated is a global franchise and provider of services for aesthetic clinics, headquartered in Irvine, California and Tokyo, Japan [6] - The company focuses on providing comprehensive management services to franchisee clinics, including advertising, staff management, booking reservations, and medical equipment procurement [6] Leadership Appointment - Shinya Inoue has been appointed as Chief Marketing Officer (CMO) effective July 1, 2025 [1][2] - Inoue will lead efforts to enhance the brand value of the group's portfolio, including Shonan Beauty Clinic, and will focus on digital innovation in marketing [2][3] Experience and Background of Shinya Inoue - Inoue has extensive experience in brand strategy and integrated marketing, having worked at companies such as P&G Japan, Eli Lilly Japan, Adobe, and KDDI [4] - He previously served as CMO at Pioneer Corporation, where he was responsible for launching the marketing organization and restructuring planning and communication areas [4] Strategic Vision - The company aims to strengthen its global competitiveness and contribute to the sustainable advancement of the medical aesthetics industry through strategic initiatives [3] - Inoue expressed commitment to making aesthetic medicine more accessible and transforming it into a more approachable part of everyday life [5]

Group 1 - SBC Medical Group Holdings Incorporated recently participated in several prominent investor conferences in May and June 2025, delivering webcast presentations and conducting one-on-one meetings with institutional investors [1][3] - The company is headquartered in Irvine, California, and Tokyo, Japan, and focuses on providing management services and products to cosmetic treatment centers [2] - SBC Medical offers comprehensive management services to franchisee clinics, including advertising, staff management, booking reservations, employee housing assistance, clinic construction, medical equipment procurement, and IT software solutions [2] Group 2 - The main speakers at the recent investor conferences included Yuya Yoshida (CFO), Hikaru Fukui (Head of IR), and Stephen Rodgers (Head of Overseas Department) [3] - Key conferences attended by SBC Medical include the Zacks SCR Life Sciences Virtual Investor Forum, Sidoti Small-Cap Virtual Conference, Noble Capital Markets' Emerging Growth Virtual Equity Conference, and Lytham Partners Spring 2025 Virtual Investor Conference [3]

Core Insights - SBC Medical Group Holdings Incorporated announced the participation of 22 representatives, including its CEO Yoshiyuki Aikawa, at "The 113th Congress of Japan Society of Aesthetic Surgery" [1][4] - The congress focused on international trends and future developments in aesthetic medicine, promoting collaboration among experts [2][4] Company Overview - SBC Medical is headquartered in Irvine, California, and Tokyo, Japan, providing management services and products to cosmetic treatment centers [13] - The company focuses on comprehensive management services for franchisee clinics, including marketing, staff management, and medical equipment procurement [13] Event Details - The congress took place from May 28 to May 30, 2025, at The Okura Tokyo, under the theme "TO BE THE BEST -The Journey of Knowledge Never Ends-" [2][8] - Dr. Ayaka Nishikawa served as Vice Chair of the congress, facilitating discussions on aesthetic medicine [2][5] Research Presentations - Key presentations included topics on cosmetic medical business management, fat injection breast augmentation, and microneedle RF techniques [8][10] - Each speaker shared insights from their clinical practice and research, contributing to the advancement of knowledge in the field [4][7] Industry Trends - The field of aesthetic medicine is rapidly evolving, with a growing emphasis on technological advancements and diverse customer needs [7] - SBC Medical is committed to engaging with academic societies and incorporating the latest global knowledge and technologies into its practices [7]

Summary of SBC Medical Group Holdings Conference Call Company Overview - SBC Medical Group Holdings operates in the aesthetic medicine sector, providing comprehensive management support services to franchise clinics, generating income through franchise fees [4][5] - The company was successfully listed on the Nasdaq in September 2024, marking a significant milestone in its expansion plans [4] - SBC serves over 6 million patients annually, making it the largest provider in Japan's aesthetic medicine market [5] Financial Performance - Revenue decreased by 14% year-over-year due to business restructuring and currency fluctuations, but excluding these factors, there was a 5% growth [9] - The EBITDA margin stands at 52%, and the annualized Return on Equity (ROE) is 41%, indicating strong profitability [10] - The company maintains a robust balance sheet with a healthy cash position and minimal debt obligations, allowing for strategic growth opportunities [10] Business Strategy - SBC is focusing on a multi-brand strategy to cater to diverse customer needs in aesthetic medicine [7][15] - The company aims to evolve into a global medical services provider by 2027, with a strong emphasis on aesthetic medicine and international expansion [14] - The Japanese market has a penetration rate of around 10%, indicating substantial growth opportunities, particularly among middle-aged women and male customers [15] Pricing Strategy - A major overhaul of the pricing structure was implemented in March 2025 to streamline pricing and improve cost efficiency [11] - Franchise fee structures were revised to alleviate financial burdens on newly opened clinics, promoting long-term sustainability [13] International Expansion - SBC is focusing on the US and Asia for international growth, with plans to establish a presence in the US medical spa market [19] - The company acquired a leading provider in Singapore, marking a key milestone in its Asian expansion strategy [20] - Local market adaptation is crucial for successful international operations, with plans to integrate Japanese expertise selectively [31] New Initiatives - The launch of SBC Wellness, a corporate employee benefit program, aims to meet the growing demand for health-oriented workplace initiatives [21] - A strategic partnership with a leading vertical SaaS provider for aesthetic clinics was announced to enhance operational capabilities [21] Shareholder Value and Capital Policy - The company is considering a share repurchase program to improve liquidity and enhance shareholder value, with an initial approval for a buyback of 5 million shares [22][23] - Additional liquidity measures, including potential secondary offerings, are being evaluated to balance supply and demand in the market [28][29] Market Response - The multi-brand strategy has been well received, with the recent launch of the SBIC NeoSkin Clinic experiencing strong demand and limited appointment availability [34] This summary encapsulates the key points discussed during the SBC Medical Group Holdings conference call, highlighting the company's strategic direction, financial performance, and market initiatives.

Summary of SBC Medical Group Holdings Conference Call Company Overview - SBC Medical Group Holdings operates primarily in the aesthetic medicine sector, providing comprehensive management support services to franchise clinics, generating income through franchise fees [4][5] - The company achieved a significant milestone by listing on the Nasdaq stock exchange in September 2023, reflecting strong financial performance and growth potential [4] Market Position and Growth - SBC Medical serves over 6 million patients annually, making it the largest provider in Japan's aesthetic medicine market [6] - The company has maintained strong growth despite increasing competition by implementing strategic pricing models and expanding its clinic network [5] - The Japanese aesthetic medicine market has a penetration rate of around 10%, indicating substantial growth opportunities, particularly among middle-aged women and male customers [14] Financial Performance - The company underwent business restructuring in early 2024, leading to a 14% year-over-year decrease in revenue; however, excluding these effects, a 5% growth was achieved [8] - SBC Medical maintains an EBITDA margin of approximately 52% and an annualized ROE of 41%, indicating strong profitability [8] - The company has a healthy cash position and minimal debt obligations, providing flexibility for strategic growth opportunities [9] Strategic Initiatives - A major overhaul of pricing was implemented in March 2025 to streamline pricing structures and improve cost efficiency [10][11] - The franchise fee structure was revised to support long-term growth and sustainability of franchise clinics, easing initial cost pressures [12] - Future growth strategies include expanding service offerings, enhancing international presence, and focusing on high-demand areas such as orthopedics and ophthalmology [13][16] International Expansion - SBC Medical is focusing on the US and Asia for international expansion, with plans to establish a presence in the rapidly growing US med spa market [17] - The acquisition of a leading provider in Singapore marks a key milestone in the company's expansion strategy across Asia [18] Capital Allocation and Shareholder Value - The company is considering measures to improve stock liquidity, including a share repurchase program of 5 million shares, reflecting confidence in the company's fundamentals [19][20] - The share buyback aims to enhance market liquidity and provide an exit mechanism for large shareholders [27][28] - Concerns about share dilution from new share issuance are acknowledged, but the company aims to implement growth-oriented capital policies [29][30] Future Outlook - Key growth drivers include franchise expansion, dermatology services, and overseas market penetration [24][25] - The company plans to continue enhancing its multi-brand strategy to meet diverse customer needs and improve accessibility [23] Conclusion - SBC Medical Group Holdings is well-positioned for sustainable growth through strategic initiatives, strong financial performance, and a focus on expanding both domestically and internationally [20][32]

Summary of SBC Medical Group Holdings Conference Call Company Overview - SBC Medical Group Holdings (SBC) is primarily focused on providing comprehensive management support services to franchise clinics, generating income through franchise fees [4][5] - The company was successfully listed on the Nasdaq in September 2024, marking a significant milestone in its expansion plans [4][5] - SBC's primary area of focus is aesthetic medicine, with ongoing diversification into specialized medical services such as plastic surgery, ophthalmology, hair loss treatment, and infertility treatment [5][6] Market Position and Strategy - SBC serves over 6 million patients annually, making it the largest provider in Japan's aesthetic medical market [6] - The company maintains strong growth despite increasing competition by implementing strategic pricing models and expanding its clinic network [6][7] - A multi-brand strategy is employed to cater to diverse customer needs, with brands like Shonan Beauty Clinic and NeoScan targeting different demographics and service preferences [8][15] Financial Performance - Revenue decreased by 14% year-over-year due to a business restructuring in 2024, but excluding these effects, SBC achieved around 5% growth [9][10] - The EBITDA margin stands at 52%, and annualized ROE is at 41%, indicating strong profitability [10] - SBC has a healthy cash position and minimal debt obligations, providing flexibility for strategic growth opportunities [10][11] Pricing and Franchise Strategy - A major overhaul of pricing was implemented in March 2025 to streamline pricing structures and improve cost efficiency [12] - Adjustments to the franchise fee structure were made to alleviate financial burdens on newly opened clinics, promoting long-term growth and sustainability [13] Growth Strategy Towards 2027 - SBC aims to evolve into a global medical service company by 2027, focusing on aesthetic medicine and expanding service offerings [14] - The Japanese aesthetic medicine market has a penetration rate of around 10%, indicating substantial growth opportunities [15] - The company is enhancing its digital outreach and language support to attract international customers, particularly from China [16] International Expansion - SBC is focusing on the US and Asia for international expansion, with plans to establish med spas and provide management services based on its experience in Japan [19] - A strategic acquisition in Singapore marks a key milestone in SBC's expansion strategy across Asia [20] Employee and B2B Services - The company launched SBC Wellness, a corporate employee benefit program, to meet the growing demand for health-oriented workplace initiatives [21] - SBC is expanding its B2B services by offering consulting and system services to insurance-based clinics facing operational challenges [18][19] Capital Strategy - SBC plans to enhance shareholder value through a $5 million share repurchase program, aimed at improving liquidity and signaling confidence in the company's valuation [22][23] - The company is considering additional liquidity measures, including issuing new shares to increase free float and improve market dynamics [33] Conclusion - SBC Medical Group Holdings is well-positioned for sustainable growth through strategic pricing, diversification of services, and international expansion, while maintaining a strong financial foundation [10][11][14]

Company Overview - SBC Medical Group Holdings Incorporated is a global franchise and provider of services for aesthetic clinics, headquartered in Irvine, California, and Tokyo, Japan [4] - The company focuses on providing comprehensive management services to franchisee clinics, including advertising, staff management, customer booking, employee housing assistance, clinic construction, medical equipment procurement, and IT solutions [4] Upcoming Investor Events - SBC Medical will participate in several upcoming investor events, including: - Lytham Partners Spring 2025 Virtual Investor Conference on May 29, 2025, from 2:00-2:30 PM (ET) [1] - Noble Capital Markets' Emerging Growth Virtual Equity Conference on June 5, 2025 [2] - Sidoti Small-Cap Virtual Conference on June 11, 2025, from 8:30-9:00 AM (ET) [3] - Zacks SCR Life Sciences Virtual Investor Forum on June 12, 2025, from 10:30-11:00 AM (ET) [3] Webcast Access - Webcasts for the investor events can be accessed through specific links provided for each event, with post-event access also available [1][2][3]

Core Viewpoint - Brompton Split Banc Corp. has renewed its at-the-market equity program to issue Class A and Preferred Shares, replacing the previous program established in April 2023 [1][2]. Group 1: ATM Program Details - The renewed ATM Program allows the Fund to issue shares at prevailing market prices through the Toronto Stock Exchange or other Canadian marketplaces, with maximum gross proceeds of $75 million for each share class [2][3]. - The program will be effective until June 22, 2027, unless terminated earlier by the Fund, and the volume and timing of distributions will be at the Fund's discretion [3]. Group 2: Investment Portfolio - The Fund invests in a portfolio consisting of common shares of the six largest Canadian banks, with the option to hold up to 10% of total assets in global financial companies for diversification [4]. Group 3: Investment Objectives - The investment objective for Class A Shares is to provide regular monthly cash distributions targeted at least at $0.10 per share and growth in net asset value [5]. - The investment objective for Preferred Shares is to provide fixed cumulative preferential quarterly cash distributions of $0.15625 per share (6.25% per annum) and return the original issue price by November 29, 2027 [6]. Group 4: Performance Metrics - Over the last 10 years, Class A Shares have delivered a 12.0% per annum total return based on NAV, outperforming the S&P/TSX Composite Total Return Index by 3.7% per annum [7][10]. - Preferred Shares have returned 5.3% per annum over the last 10 years, outperforming the S&P/TSX Preferred Share Total Return Index by 1.7% per annum [7][10].

Revenue Performance - For the three months ended March 31, 2025, the company generated revenues of $47,328,701, a decrease of 13.65% from $54,808,042 in the same period of 2024[204]. - Franchising revenue increased by 4.03% to $15,719,282 for the three months ended March 31, 2025, compared to $15,110,268 in 2024[210]. - Procurement revenue rose by 8.61% to $14,332,783 for the three months ended March 31, 2025, up from $13,195,984 in 2024[211]. - Management services revenue decreased by 44.25% to $8,728,103 for the three months ended March 31, 2025, down from $15,654,670 in 2024[212]. - Rental services revenue increased significantly by 55.90% to $5,640,514 for the three months ended March 31, 2025, compared to $3,617,941 in 2024[213]. - Other revenues decreased by 59.77% to $2,908,019 for the three months ended March 31, 2025, down from $7,229,179 in 2024[214]. Profitability - Net income attributable to SBC Medical Group Holdings Incorporated for the three months ended March 31, 2025 was $21,502,446, representing an increase of 14.63% from $18,757,752 in 2024[204]. - Gross profit for the three months ended March 31, 2025 was $37,733,084, a decrease of 4.52% from $39,519,375 in 2024[216]. - Net income increased by $2,741,734, or 14.62%, to $21,491,950 for the three months ended March 31, 2025, from $18,750,216 for the same period in 2024[225]. Expenses - Cost of revenues decreased to $9,595,617 for the three months ended March 31, 2025, from $15,288,667 in 2024, primarily due to cost reduction efforts[215]. - Operating expenses decreased by $1,527,480, or 10.14%, to $13,531,010 for the three months ended March 31, 2025, compared to $15,058,490 for the same period in 2024[217]. - Recruiting expense decreased by $512,678, or 67.72%, to $244,377 for the three months ended March 31, 2025, from $757,055 for the same period in 2024[218]. - Depreciation and amortization expense decreased by $507,299, or 52.37%, to $461,405 for the three months ended March 31, 2025, from $968,704 for the same period in 2024[219]. Cash Flow and Financial Position - Cash and cash equivalents increased by $7,011,731, or 37.30%, to $132,055,823 as of March 31, 2025, compared to $96,181,550 as of March 31, 2024[233]. - Net cash provided by operating activities decreased by $1,753,554, or 47.62%, to $1,928,621 for the three months ended March 31, 2025, from $3,682,175 for the same period in 2024[233]. - As of March 31, 2025, the company had retained earnings of $210,965,453[204]. Tax and Compliance - The effective tax rate was 31.67% for the three months ended March 31, 2025, compared to 31.07% for the same period in 2024[224]. - The company qualifies as an "emerging growth company," allowing it to take advantage of certain exemptions from reporting requirements[252]. - The company is classified as a "smaller reporting company," which permits reduced disclosure obligations, including providing only two years of audited financial statements[254]. - The company has not experienced material changes to its critical accounting policies and estimates since the last annual report[251]. - The company has elected not to opt out of the extended transition period for new or revised financial accounting standards, aligning its compliance with private companies[253]. Future Outlook and Strategic Initiatives - The Company expects to deploy capital for investment opportunities in the expanding global medical aesthetics market[230]. - A share repurchase program with an aggregate purchase limit of up to $5 million was approved, set to begin on May 20, 2025[242]. - The revised fee structure effective April 1, 2025, aims to support the establishment of new clinics and is expected to stabilize the business foundation[239]. Liabilities and Financial Risks - As of March 31, 2025, total undiscounted lease payments amount to $5,473,817, with total lease liabilities of $5,443,973 after accounting for imputed interest[245]. - Future minimum borrowing payments total $6,864,995, with the largest repayment of $6,750,622 due in 2027[247]. - The company is exposed to foreign currency exchange rate fluctuations, primarily due to operations in Japan and revenues in Japanese yen, while reporting in U.S. dollars[249]. - There are no off-balance sheet arrangements as of March 31, 2025, indicating a straightforward financial position[248]. - The company borrowed loans from various banks and a financial institution for working capital purposes, indicating reliance on external financing[246]. - The company continues to evaluate its accounting estimates and assumptions, which could lead to actual results differing from expectations[250].

Revenue and Income - Total revenues for Q1 2025 were $47 million, a 14% year-over-year decrease due to the discontinuation of the staffing business and divestitures [4]. - Total revenues for the three months ended March 31, 2025, were $47,328,701, a decrease of 13.7% compared to $54,808,042 for the same period in 2024 [17]. - Net income attributable to SBC Medical Group increased by 15% year-over-year to $22 million, compared to $19 million in Q1 2024 [6]. - Net income attributable to SBC Medical Group Holdings Incorporated for Q1 2025 was $21,502,446, representing an increase of 14.7% from $18,757,752 in Q1 2024 [17]. EBITDA and Margins - EBITDA for Q1 2025 was $25 million, representing a 3% year-over-year decrease, with an EBITDA margin of 52%, up from 46% in Q1 2024 [4]. - EBITDA for the three months ended March 31, 2025, was $24,830,378, with an EBITDA margin of 52%, compared to an EBITDA of $25,479,362 and a margin of 46% in Q1 2024 [23]. - Operating margin improved from 45% in Q1 2024 to 51% in Q1 2025, showcasing enhanced profitability [3]. Customer Metrics - The total number of customers in the last twelve months ended March 31, 2025, was 6.1 million, reflecting a 14% year-over-year increase [4]. - The repeat customer rate for franchise clinics was 71%, indicating strong customer loyalty [4]. - The number of partner clinics increased to 251 as of March 31, 2025, an increase of 36 clinics from the previous year [4]. Cash and Assets - Cash and cash equivalents as of March 31, 2025, were $132.06 million, an increase from $125.04 million at the end of 2024 [12]. - Cash and cash equivalents at the end of the period increased to $132,055,823, up from $96,181,550 at the end of Q1 2024 [21]. - Total assets increased to $284.61 million as of March 31, 2025, compared to $266.08 million at the end of 2024 [15]. Operating Expenses and Other Income - Operating expenses decreased to $13,531,010 in Q1 2025 from $15,058,490 in Q1 2024, reflecting a reduction of 10.1% [17]. - The company reported a gain on redemption of life insurance policies amounting to $8,746,138 in Q1 2025 [17]. - Interest income increased to $55,333 in Q1 2025, compared to $17,689 in Q1 2024, marking a growth of 212.5% [17]. - The net cash provided by operating activities for Q1 2025 was $1,928,621, down from $3,682,175 in Q1 2024 [21]. - The company experienced a foreign currency translation adjustment resulting in other comprehensive income of $9,808,327 in Q1 2025, compared to a loss of $10,193,852 in Q1 2024 [17]. Share Information - The weighted average shares outstanding for basic and diluted earnings per share increased to 103,276,637 in Q1 2025 from 94,192,433 in Q1 2024 [17]. Strategic Focus - The company is focusing on strategic expansion and optimizing its profitability structure to adapt to changing market dynamics [3].