MEDIROM Healthcare Technologies, Inc. · NASDAQ:MRM
MEDIROM Healthcare Technologies — FY2021 Earnings Presentation
19 slides from MEDIROM Healthcare Technologies's earnings presentation, Dec 21, 2022
Slide 1: Preventative Health EMPOWERED Earnings Presentation
Preventative Health EMPOWERED Earnings Presentation December 2022
Slide 2: Notices & Disclaimers: Forward Looking Statements
Notices & Disclaimers Forward Looking Statements 02 Certain statements included in this presentation are not historical facts but are forward - looking statements for purposes of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995 . Forward - looking s
Slide 3: Financial Highlights FY2021 vs. FY2020
Financial Highlights FY2021 vs. FY2020 03 Cost of Revenues Increased by 37.1%, due to the aforementioned acquisitions, the opening of new salons, and an increased number of therapists to meet increased demand. However, the CoR ratio to Revenue was down from 87.2% to 73.8%. 01 Impairment Loss Decreas
Slide 4: Financial Highlights Financial Year 2021
Financial Highlights Financial Year 2021 04 Cash Flow from Operating Activities Negative $4.9 million , mainly due to the decrease in net income and changes in operating assets and liabilities*. 01 Cash Flow from Investing Activities Negative $0.7 million , primarily due to the acquisitions of busin
Slide 5: Consolidated Income Statement
Consolidated Income Statement 05 2021(USD) 2021(JPY) 2020(JPY) 2019(JPY) Change from 2020 to 2021 Revenues: Relaxation Salon $45,121 ¥5,196,540 ¥3,315,947 ¥3,864,656 56.7% Luxury Beauty $1,470 ¥169,320 — — 100% Digital Preventative Healthcare $382 ¥43,965 ¥25,670 ¥43,608 71.3% To
Slide 6: Revenue Comparison by Revenue Stream
Revenue Comparison by Revenue Stream 06 0 1000 2000 3000 4000 5000 6000 Total Revenue Directly Operated Relaxation Salons Sale of Directly Owned Salons Franchise Fees Royalty Income Staffing Services Sublease Revenue Other Franchise Revenues Digital Preventative Healthcare Luxury Hair Salon Revenue
Slide 7: Cost of Revenue Comparison
2020 ( JPY,Millions ) 2021 ( JPY,Millions ) Directly - Operated Salon COR 2,150 3,282 Franchised Salon COR 745 691 Other COR 18 21 Total COR ¥ 2,913 ¥3,994 Cost of Revenue Comparison 07 87.2% 73.8%
Slide 8: SG&A Comparison by Use of Expenses
SG&A Comparison by Use of Expenses 08 Professional Fees Additional professional fees paid for legal, audit, financial reporting services, and expenses in connection with the exercise of green shoe options issued at IPO and other financing efforts. Payments to other professionals, such as financial a
Slide 9: Consolidated Balance Statement
Consolidated Balance Statement 09 Year End December 31, 2021 2021(USD) 2021(JPY) 2020(JPY) Assets Current Assets $12,002 ¥ 1,382,302 ¥ 2,087,224 Non - Current Assets $37,950 ¥4,370,759 ¥ 3,626,242 Total Assets $49,952 ¥ 5,753,061 ¥ 5,713,466 Liabilities: Current Liabilities $27,754 ¥ 3,196,473
Slide 10: Consolidated Cashflow Statement
Consolidated Cashflow Statement 10 Year End December 31, 2021 2021(USD) 2021(JPY) 2020(JPY) Net (Loss) Income ($8,602) (¥990,731) (¥539,170) Net Cash (Used In) Provided By Operating Activities ($4,838) (¥557,231) (¥366,420) Net Cash Used In Investing Activities ($729) (¥83,936) (¥139,599) Net Cash (
Slide 11: 2021 Business Successes: Achievements in 2021
11 2021 Business Successes Achievements in 2021 Relaxation Salon • The Company introduced a new business model to sell salons to investors and continue operations as the outsourcer. We sold 12 salons at JPY559M in Q4 2021. • MEDIROM operated or franchised 312 bodywork salons at the end of 2021, whic
Slide 12: 2021 Business Successes: Key Performance Indicators
Damian Scultz 12 2021 Business Successes Key Performance Indicators (KPI) Increased Number of Salons Number of Salons has increased due to the acquisition of SAWAN and the acquisitions of franchised salons. 01 02 03 04 Improved Sales Per Customer Sales Per Customer have been constantly increasing du
Slide 13: 2022 Business Updates
13 2022 Business Updates Relaxation Salon • The Company continues to sell salons to investors and to operate the sold salons for management fees, which contributed to an increase in revenue for the first half of 2022 as compared to the first half of 2021. • The number of salons remains at 312 as of
Slide 14: The MOTHER Bracelet: World's First Thermoelectric Wearable
The World’s First (1) Wearable Device Featuring Thermoelectric Generator No More Recharging New Product The MOTHER Bracelet® Installed with a hybrid solar and temperature difference battery system , it recharges simply by being worn. No need to take it off ー uninterrupted 24/7 health data collection
Slide 15: Telehealth System Targeting Residents in Condominiums
Telehealth System Targeting Residents in Condominiums - Quality Healthcare at Home 15 1. Residents use the MOTHER Bracelet ® for automatic measurements of various health metrics (heart rate, sleep quality, body temperature, calories burned.) 2. Third party software analyses the data and recommends h
Slide 16: Business Alliance with Long-Term Care Facilities: Remote Patient Monitoring
Business Alliance with Long - Term Care Facilities: Remote Patient Monitoring System 16 Example 2: Focus on the B2B Market Provides SDK System Standard Costs Collaborative Development Collaborative Development Remote Patient Monitoring Monthly Service Fee Centralized Management System Family Members
Slide 17: Recent KPI Progress
Recent KPI Progress Number of Salons 320 315 310 305 300 295 290 285 Sales per Customer 280) 6,800 N Bod - & ss cs wr vs FF SS & 6,700 se & we Se SF os s = * 6,600 —e~2020 —e+2021 —e=2022 1800) 6,400 6,300 Total Customers Served 6,200 80,000 ep ee ee Se oH SH es SF F SSF SF 2 # 70,000 s & s we LW os
Slide 18: Recent KPI Progress
Recent KPI Progress Repeat Ratio 89.0% 87.0% 85.0% 83.0% 81.0% 79.0% SS SC & SES é es sf we FH OS 8 oe —e2020 —e=2021 —e=2022 Operation Ratio 53% 48% 43% 38% 33% 28% 23% 18% s >of oS es SF SSS SS oe < —e-2020 —e=2021 —e=2022 _
Slide 19: Thank You!
Thank You! ir@medirom.co.jp www.medirom.co.jp/en/ir MEDIROM Healthcare Technologies Inc. 2 - 3 - 1, Daiba , Minato - ku, Tokyo, JAPAN 135 - 0091
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