Irvine, Calif.--(ANTARA/Business Wire)--SBC Medical Group Holdings Incorporated (Nasdaq: SBC) (“SBC Medical” or the “Company”), a Medical Services Organization providing management support across a wide range of healthcare fields, today announced its financial results for the three months ended March 31, 2026.

First Quarter 2026 Highlights

• Total revenues were $43 million, representing a 9% year-over-year decrease.
• Net income attributable to SBC Medical Group Holdings Incorporated was $11 million, representing a 47% year-over-year decrease. Net income margin was 26% for the first quarter of 2026, representing a year-over-year decrease of 19 percentage points.
• Earnings per share, which is defined as net income attributable to the Company divided by the weighted average number of outstanding shares, was $0.11 for the three months ended March 31, 2026, representing a 48% year-over-year decrease.
• EBITDA¹, which is calculated by adding depreciation and amortization expense to income from operations was $18 million, representing a 26% year-over-year decrease. EBITDA margin¹ was 43% for the first quarter of 2026, representing a year-over-year decrease of 10 percentage points.
• Return on equity², which is defined as net income attributable to the Company divided by the average shareholders' equity as of March 31, 2026, was 18% representing a year-over-year decrease of 23 percentage points.
• Number of franchise locations³ was 284 as of March 31, 2026, representing an increase of 33 locations from March 31, 2025.
• Number of customers⁴ in the last twelve months ended March 31, 2026, was 6.76 million, representing a 10% year-over-year increase.
• Repeat rate for customers⁵ who visited franchisee’s clinics twice or more was 72%.

Yoshiyuki Aikawa, Chairman and Chief Executive Officer of SBC Medical, said, “For the first quarter of fiscal year 2026, SBC Medical reported revenue of $43 million, representing a 9% year-over-year decline. This decrease was primarily attributable to a strategic structural reform implemented in April 2025, involving a revision of the franchise fee structure. Excluding this structural change, the performance of our core business remained solid. In terms of profitability, our net income margin was 26%, and our EBITDA margin remained at a high level of 43%.

Looking ahead, we will continue to promote our multi-brand strategy in the aesthetic dermatology field, expand our non-aesthetic medical business, and strengthen our operational foundation in overseas markets. In addition, we will pursue opportunities in the longevity market and further enhance our services through the utilization of AI, with the goal of building a sustainable and continuously growing healthcare platform.”

Conference Call

The Company will hold a conference call on Thursday, May 14, 2026, at 8:30 a.m. Eastern Time (or Thursday, May 14, 2026, at 9:30 p.m. Japan Time) to discuss the financial results for the first quarter ended March 31, 2026. A question‑and‑answer session with analysts and investors will follow the prepared remarks.

Please register in advance of the conference using the link provided below. https://zoom.us/webinar/register/WN_6RZgrwsUREiRpAmBBGTikA

It will automatically direct you to the registration page of “ 1Q 2026 Earning Call ”. Please follow the steps to enter your registration details, then click “Submit.”. Upon registration, you will be able to access the dedicated Conference Call viewing site. In addition to viewing the conference call, this site provides access to information about the speakers as well as past investor relations materials.

Additionally, the earnings release, accompanying slides, and an archived webcast of this conference call will be available at the Company’s Investor Relations website at https://ir.sbc-holdings.com/

About SBC Medical

SBC Medical Group Holdings Incorporated is a Medical Services Organization providing management support across a wide range of healthcare fields, including advanced aesthetic healthcare, dermatology, orthopedics, fertility treatment, gynecology, dentistry, alopecia treatment (AGA), and ophthalmology. The Company manages a diverse portfolio of clinic brands and is actively expanding its global presence, particularly in the United States and Asia, through both direct operations and medical tourism initiatives. In September 2024, the Company was listed on Nasdaq, and in June 2025, it was selected for inclusion in the Russell 3000® Index, a broad benchmark of the U.S. equity market. Guided by its Group Purpose “Contributing to the well-being of people around the world through medical innovation,” SBC Medical Group Holdings Incorporated continues to provide safe, trusted, and high-quality medical services while further strengthening its international reputation for quality and trust in medical care.

For more information, visit https://sbc-holdings.com/en
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Use of Non-GAAP Financial Measures

The Company uses non-GAAP measures, such as EBITDA and EBITDA margin, in evaluating its operating results and for financial and operational decision-making purposes. The Company believes that the non-GAAP financial measures help identify underlying trends in its business. The Company believes that the non-GAAP financial measures provide useful information about the Company’s results of operations, enhance the overall understanding of the Company’s past performance and future prospects and allow for greater visibility with respect to key metrics used by the Company’s management in its financial and operational decision-making.

The non-GAAP financial measures are not defined under U.S. GAAP and are not presented in accordance with U.S. GAAP. The non-GAAP financial measures have limitations as analytical tools, and when assessing the Company’s operating performance, cash flows or liquidity, investors should not consider them in isolation, or as a substitute for net income, net income margin, cash flows provided by operating activities, or other consolidated statements of operations and cash flows data prepared in accordance with U.S. GAAP.

The Company mitigates these limitations by reconciling the non-GAAP financial measures to the most comparable U.S. GAAP performance measures, all of which should be considered when evaluating the Company’s performance.

For more information on the non-GAAP financial measures, please see the table captioned “Unaudited Reconciliations of GAAP and Non-GAAP Results.”

Forward-Looking Statements

This press release contains forward-looking statements. Forward-looking statements are not historical facts or statements of current conditions, but instead represent only the Company’s beliefs regarding future events and performance, many of which, by their nature, are inherently uncertain and outside of the Company’s control. These forward-looking statements reflect the Company’s current views with respect to, among other things, the Company’s financial performance; growth in revenue and earnings; business prospects and opportunities; and capital deployment plans and liquidity. In some cases, forward-looking statements can be identified by the use of words such as “may,” “should,” “expects,” “anticipates,” “contemplates,” “estimates,” “believes,” “plans,” “projected,” “predicts,” “potential,” or “hopes” or the negative of these or similar terms. The Company cautions readers not to place undue reliance upon any forward-looking statements, which are current only as of the date of this release and are subject to various risks, uncertainties, assumptions, or changes in circumstances that are difficult to predict or quantify. The forward-looking statements are based on management’s current expectations and are not guarantees of future performance. The Company does not undertake or accept any obligation to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions, or circumstances on which any such statement is based, except as required by law. Factors that may cause actual results to differ materially from current expectations may emerge from time to time, and it is not possible for the Company to predict all of them; such factors include, among other things, changes in global, regional, or local economic, business, competitive, market and regulatory conditions, and those listed under the heading “Risk Factors” and elsewhere in the Company’s filings with the U.S. Securities and Exchange Commission (the “SEC”), which are accessible on the SEC’s website at www.sec.gov.

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Contacts

SBC Medical Group Holdings Incorporated
Hikaru Fukui / Head of IR Department E-mail: ir@sbc-holdings.com

Source: SBC Medical Group Holdings Incorporated