Financial Data and Key Metrics Changes - Total revenue declined by 18% year on year due to strategic restructuring and increased point redemption by customers [5][6][21] - The elevated effective tax rate was primarily due to non-deductibility of some executive compensation and temporary timing differences in aircraft sales recognition [6][7] Business Line Data and Key Metrics Changes - The average customer spending is trending lower than last year, but there are early signs of recovery in certain areas such as the gorilla clinic [5][6] - The Jun clinic and Neo Skin clinic are achieving an average spend per customer that exceeds existing clinics, indicating strong growth potential [12][13] Market Data and Key Metrics Changes - The aesthetics medicine industry in Japan is experiencing severe competition, yet customer visits have increased to 6,310,000 annually, with a high repeat rate of 72% [4][5] - The dermatological aesthetics segment is showing a higher growth rate, presenting significant growth potential [10] Company Strategy and Development Direction - The company is implementing a multi-brand strategy tailored to different market segments to meet diverse customer needs [10][14] - The focus is on enhancing the medical tourism business, particularly targeting Chinese tourists [15] - The company aims to expand its clinic network from 260 to 1,000 clinics over the next ten years [32] Management's Comments on Operating Environment and Future Outlook - Management acknowledges that while there were negative factors impacting performance, they believe the business will improve moving forward [35][41] - The company is entering a phase of growth investment after completing business restructuring [44] Other Important Information - The company conducted its first-ever share buyback from May to July, which positively impacted share price and liquidity [22][44] - The company is considering new share issuance and partial sale by the founder to improve accessibility for a broader investor base [22][46] Q&A Session Summary Question: Are the new clinics starting up as planned? - Newly opened clinics are seeing steady customer visits, with an increase in male customers noted [24][25] Question: What is the future pricing trend? - The company is adopting a multi-brand strategy with different pricing tiers to meet varying customer needs [26] Question: Can you explain the growth strategy regarding organic and inorganic growth? - The company plans to proactively open new clinics and conduct M&A, with a strong track record of turning around acquired clinics [27][29] Question: How many clinics are you planning to open in Japan? - The company aims to increase the number of clinics to 1,000 over the next ten years [32] Question: What is the outlook for future profitability? - The company expects to secure sufficient margins and improve overall profitability as new clinics are established [34] Question: How is the company addressing the current share price trend? - The company is focusing on improving liquidity through share buybacks and considering dividend payments [43][44] Question: What are the plans for the CEO's shareholding? - The CEO is considering selling shares to improve liquidity and fund investments [46]
SBC Medical Group Holdings Incorporated(SBC) - 2025 Q2 - Earnings Call Transcript