SBC Medical is like:

• Marriott for cosmetic treatment centers. They operate and provide comprehensive management services to a network of branded clinics, some owned and many franchised, much like how a hotel chain manages its properties.
• McDonald's for cosmetic surgery and beauty clinics. Similar to a fast-food giant, SBC provides a full suite of services—from marketing and HR to IT and procurement—to ensure standardized operations and a strong brand across its network of clinics.

Major Customers of SBC Medical (SBC)

SBC Medical Group Holdings primarily sells its services and products to other companies, specifically its network of franchisee clinics and other managed cosmetic treatment centers. The company focuses on providing comprehensive management services, advertising and marketing support, staff management, booking services, facility and equipment procurement, provision of cosmetic products, licensure of medical technologies, IT solutions, customer rewards program management, and payment tools to these clinics.

The specific names and symbols of these franchisee clinics and managed treatment centers are not provided in the background information, as they are likely private entities operating under the SBC brand or management umbrella.

Yoshiyuki Aikawa, Director (Chairman), CEO

Dr. Aikawa graduated from Nihon University School of Medicine in 1997, after which he obtained his medical license. In 2000, he opened Shonan Beauty Clinic in Fujisawa City, Japan, which serves as the origin of SBC Medical Group. He currently holds the position of Chairman and Chief Executive Officer of SBC Medical Group Holdings, Inc., and is also a Director at SBC Medical Group Co., Ltd. (Japan). Since 2008, he has been an active member of the Post Graduate Assembly (PGA) of the Department of Anesthesia at Harvard Medical School. From 2014 to 2015, he served as President and Director of the Japanese Society of Aesthetic Plastic Surgery (JSAPS). As of 2023, his work has expanded to include general medicine in addition to aesthetic medicine.

Yuya Yoshida, Director, CFO, COO

Mr. Yoshida held various roles at Mitsubishi UFJ Financial Group from 2003, focusing on market operations, securitization, M&A, and ALM/treasury functions. He earned an MBA from UCLA Anderson School of Management in 2014. From 2016 to 2023, he worked at Rakuten Group Co., Ltd., where he was responsible for Corporate Development and became the Global Head & Director of Corporate Development in 2018. He was appointed Chief Operating Officer and a member of the Board of Directors of SBC Medical Group Holdings, Inc. on September 29, 2023, and assumed the role of Chief Financial Officer on April 1, 2025. In 2026, he was appointed President and Representative Director of SBC Medical M&A Advisory Co., Ltd. He also leads the group's AI transformation as a core management strategy, establishing the SBC AI Lab and serving as its Director and Chief AI Evangelist.

Miki Shimizu, Chief Strategy Officer

Ms. Shimizu worked in the Investment Banking Division of Goldman Sachs Japan from April 2008 to April 2024, providing a range of advisory services including domestic and cross-border M&A, initial public offerings (IPOs), equity and debt financing, and anti-activist defense. She assumed the role of Chief Strategy Officer of SBC Medical Group Holdings, Inc. on April 10, 2025. Concurrently, she has served as President and Representative Director of AI Med Inc. since February 1, 2026.

Taiki Sakaguchi, Chief Human Resources Officer, Chief Planning Officer

Mr. Sakaguchi spent 20 years at Sumitomo Mitsui Banking Corporation from 2004 to 2024, where his responsibilities included human resources (with over 10 years of experience in both Japan and the United States), corporate governance, and digital transformation. He was appointed Chief Planning Officer of SBC Medical Group Holdings, Inc. on April 1, 2025, and Chief Human Resources Officer on May 1, 2024.

Sheng-FU Hsiao, Chief Technology Officer

Mr. Hsiao was appointed Chief Technology Officer of SBC Medical Group Holdings, Inc., effective March 1, 2026. In this role, he oversees the modernization of core systems and the transformation of the group's clinical, customer, and management data into a strategic AI asset. He has a proven track record of spearheading AI-specialized organizations and establishing IT governance for pre-IPO companies. Prior to joining SBC Medical, he served as Executive Officer and CTO at an AI-specialized firm for over eight years. His past achievements include implementing AI call centers that reduced labor requirements by approximately 31% and improved response times by 30%, as well as modernizing 20-year-old legacy systems into microservices architectures. Mr. Hsiao graduated from National United University in Taiwan, studied at Curtin University in Australia, and moved to Japan in 2008. He collaborates with Vice President Yuya Yoshida on the company's AI strategy.

Key Business Risks for SBC Medical:

1. Regulatory Compliance, Medical Liability, and Reputation Risk: SBC Medical operates in the highly regulated cosmetic treatment industry, providing management services and owning centers that perform various medical procedures. This exposes the company to significant risks related to evolving healthcare regulations, potential medical malpractice claims at its owned or franchisee clinics, and reputational damage from adverse events or negative publicity. As the company licenses medical technologies, it must ensure these technologies meet safety and efficacy standards. Any failure to comply with regulations, incidence of medical errors, or public safety concerns can lead to severe legal and financial penalties, loss of licenses, and a significant decline in customer trust across its entire network.
2. Dependence on Franchisee Performance and Operational Risks: SBC Medical's business model relies heavily on the operational success, quality control, and adherence to standards by its numerous franchisee clinics. While SBC Medical provides comprehensive management services, it does not directly control all aspects of daily operations at franchised locations. Poor performance, inconsistent service quality, financial instability, or legal issues at franchisee clinics could directly impact SBC Medical's revenue streams from management fees, product sales, and technology licensing. This distributed operational model also presents challenges in maintaining a consistent brand image and service quality across all locations, which can dilute brand value if not managed effectively.
3. Intellectual Property Protection and Technological Obsolescence: SBC Medical licenses the use of "patent-pending and non-patented medical technologies" to its franchisee clinics. The "patent-pending" status implies that legal protection is not yet fully secured, leaving the company vulnerable if patents are not granted or are challenged. "Non-patented" technologies offer even less intellectual property protection, allowing competitors to potentially replicate or develop similar solutions without legal impediment. Furthermore, the cosmetic treatment industry is subject to rapid technological advancements. This creates a risk that SBC Medical's licensed technologies could become obsolete or less competitive over time, impacting demand and the value of its licensing agreements.

SBC Medical Group Holdings provides comprehensive management services to cosmetic treatment centers, primarily in Japan, with additional operations in Vietnam and California. The addressable market for SBC Medical's services can be estimated by the size of the aesthetic medicine and cosmetic treatment markets in these regions.

Japan Aesthetic Medicine Market

The aesthetic medicine market in Japan generated a revenue of approximately USD 3,370.6 million in 2024 and is projected to reach USD 11,938.6 million by 2033, demonstrating a compound annual growth rate (CAGR) of 15.1% from 2025 to 2033. Another report indicates the aesthetic medicine market size reached 631.0 billion yen in 2024, which is approximately USD 4.2 billion (using an exchange rate of 1 USD = 150 JPY). The broader Japan aesthetics market was valued at USD 2.6 billion in 2023 and is expected to grow to USD 9.0 billion by 2033, at a CAGR of 13.0%. The Japan cosmetic surgery and procedure market was valued at USD 3,555.7 million in 2022, and is projected to reach USD 7,366.2 million by 2032, growing at a CAGR of 7.60%.

Vietnam Aesthetic Medicine Market

The Vietnam aesthetic medicine market was valued at approximately USD 5.3 billion in 2022 and is anticipated to reach around USD 12.8 billion by 2030, growing at a CAGR of 12.3% from 2022 to 2030. The Vietnam medical aesthetics market was valued at USD 165.93 million in 2022 and is projected to reach USD 399.07 million by 2030, with a CAGR of 11.69% between 2023 and 2030. Another estimate for the Vietnam Aesthetic Services Market was USD 351.35 million in 2024, with a projection to reach USD 672.59 million by 2032 at a CAGR of 9.72%.

United States Aesthetic Medicine Market (including California)

The U.S. aesthetic medicine market size was estimated at USD 37.94 billion in 2023 and is projected to grow to USD 90.82 billion by 2030, exhibiting a CAGR of 13.4% from 2024 to 2030. Another report values the U.S. aesthetic medicine market at USD 25.17 billion in 2024 and projects it to reach USD 71.49 billion by 2033, with a CAGR of 12.65% from 2025-2033. The U.S. medical aesthetics market was valued at USD 4.1 billion in 2024 and is estimated to reach USD 8.8 billion by 2033, with a CAGR of 8.7% from 2025-2033. California is noted as a significant hub within the broader North American cosmetic surgery sector, accounting for a substantial portion of this market.

Expected Drivers of Future Revenue Growth for SBC Medical (SBC)

Over the next 2-3 years, SBC Medical Group Holdings (SBC) is expected to drive future revenue growth through several key strategic initiatives:

1. Global Expansion, Particularly in the U.S. and Asia: SBC Medical is actively expanding its international footprint. The company formally entered the United States market in January 2026 through a strategic minority equity investment and collaboration with OrangeTwist, a U.S.-based MedSpa chain, marking a significant milestone in its global expansion strategy. SBC plans to expand its U.S. presence through both directly operated and franchised clinics. Additionally, SBC acquired Aesthetic Healthcare in Singapore in 2024 and is exploring expansion into Thailand. The company is also targeting Chinese consumers for cosmetic tourism in Japan and is holding events in Shanghai to court new customers.
2. Diversification and Expansion of Specialized Medical and Aesthetic Services: SBC is strategically shifting its focus from general surgery to specialized dermatology in Japan, responding to increased demand for non-surgical treatments. The company plans to offer advanced aesthetic treatments and better pricing to differentiate itself. Beyond aesthetics, SBC is expanding its medical business to address prevalent issues in Japan, including orthopedic problems, infertility, and alopecia. This includes opening joint pain treatment and rehabilitation centers, offering a wide range of infertility treatments such as egg freezing, and providing comprehensive alopecia treatments. The recent acquisition of JUN CLINIC further enables SBC to offer customized treatments, potentially leading to higher charges.
3. Growth in Franchisee Clinics and Customer Base: SBC continues to grow its network of franchisee clinics and expand its customer base. In Q3 2025, the company reported an increase to 258 franchisee locations and an expansion of its customer base to approximately 6.5 million. In fiscal year 2024, SBC added 43 new clinics, representing a 21% increase, bringing the total to 251 clinics, with annual patient visits growing by 15% to 6.03 million. The company's strategic focus is on expanding its market presence and enhancing service offerings to further attract and retain customers, leveraging a high repeat visit rate.
4. Leveraging AI and Technology for Operational Efficiency and Management: SBC Medical is investing in technology to enhance its operational capabilities and management infrastructure. A Chief Technology Officer (CTO) was appointed in March 2026 with the goal of building an AI-driven management infrastructure across its global locations. By leveraging medical big data from its extensive network of clinics and patient visits, SBC aims to create a scalable and efficient medical management system. This technological advancement is expected to drive efficiency, optimize operations, and contribute to improved margins.
5. Strategic Pricing and Increased Average Revenue Per Customer Visit: The company has noted positive trends in its average revenue per customer visit, indicating effective pricing strategies and service value. SBC plans to offer advanced treatments coupled with better pricing strategies to attract and retain customers. The acquisition of JUN CLINIC, for instance, allows for customized treatments that can command higher prices. Furthermore, SBC revised its franchise fees in April 2025 as part of a strategic restructuring to ensure future growth, which could also contribute to increased revenue.

Share Repurchases

• SBC Medical Group Holdings announced a share repurchase program of up to $20 million on December 31, 2025.

Share Issuance

• SBC Medical Group Holdings became a publicly traded company on Nasdaq on September 18, 2024, following a business combination with Pono Capital Two.
• As of April 3, 2025, the company had 103 million shares issued.
• As of December 26, 2025, there were 102,576,943 shares of common stock outstanding.

Outbound Investments

• In November 2024, SBC Medical Group Holdings acquired Singapore's Aesthetic Healthcare Holdings Pte. Ltd. (AHH), which operates four brands and 21 stores.
• SBC Medical Group Holdings made a strategic investment in the U.S. MedSpa platform OrangeTwist in January 2026, alongside alliances for U.S. market entry and global growth.
• In 2025, the company acquired 66 Bitcoin (BTC) on February 14 and an additional 5 BTC on April 14 as part of its asset diversification strategy.

Capital Expenditures

• SBC Medical Group Holdings expanded its clinic network to 251 locations in 2024, adding 43 new clinics.
• The company's core operations include the construction and design of franchisee clinics and the procurement of medical equipment and consumables. [cite: BACKGROUND]