Full Press Release Details
Technologies Inc. Announces September 2023
Served: 84,393 - Sales Per Customer: JPY 6,991 - Customer Repeat Ratio: 76.7%
New York/October 24,
2023 - MEDIROM Healthcare Technologies Inc. (NasdaqCM: MRM), a holistic healthcare company based in Japan (the "Company"),
today announced its major Key Performance Indicators, or KPIs, updated for the month of September 2023. Data is provided for all
salons for which comparative financial and customer data is available and excludes certain salons where such information is not available.
The following monthly
KPIs provide insight into the business fundamentals and progress of the Company, updated for the month of September 2023:
| Number of Salons (*1) | Number of Salons with Data (*2) | Total Customers Served (*3) | Sales per Customer (*4) | Repeat Ratio (*5) | Operation Ratio (*6) | ||||||||||||||||||||
| September-22 | 312 | 233 | 71,770 | JPY | 6,505 | 80.8 | % | 50.3 | % | ||||||||||||||||
| October-22 | 313 | 234 | 72,252 | JPY | 6,630 | 81.8 | % | 50.0 | % | ||||||||||||||||
| November-22 | 312 | 232 | 65,724 | JPY | 6,717 | 82.6 | % | 48.8 | % | ||||||||||||||||
| December-22 | 312 | 231 | 68,571 | JPY | 6,913 | 82.8 | % | 50.1 | % | ||||||||||||||||
| January-23 | 312 | 266 | 77,657 | JPY | 6,624 | 77.9 | % | 48.3 | % | ||||||||||||||||
| February-23 | 312 | 266 | 71,707 | JPY | 6,612 | 78.5 | % | 47.3 | % | ||||||||||||||||
| March-23 | 311 | 273 | 78,063 | JPY | 6,680 | 77.4 | % | 45.8 | % | ||||||||||||||||
| April-23 | 313 | 284 | 83,130 | JPY | 6,669 | 77.0 | % | 47.2 | % | ||||||||||||||||
| May-23 | 314 | 284 | 86,895 | JPY | 6,660 | 75.7 | % | 47.5 | % | ||||||||||||||||
| June-23 | 314 | 287 | 81,280 | JPY | 6,801 | 76.0 | % | 46.7 | % | ||||||||||||||||
| July-23 | 315 | 290 | 88,240 | JPY | 6,985 | 76.0 | % | 48.1 | % | ||||||||||||||||
| August-23 | 316 | 291 | 87,224 | JPY | 6,946 | 74.6 | % | 48.0 | % | ||||||||||||||||
| September-23 | 315 | 290 | 84,393 | JPY | 6,991 | 76.7 | % | 47.0 | % |
Repeat ratios shown in the chart above do not include salons in public bath houses. In September 2023, the repeat ratios for all
salons and salons in public bathhouses only were 76.7% and 58.0%, respectively.
*Since July 2021, the salon operation
business has been managed by Wing Inc., which is a wholly-owned subsidiary of the Company.
Tech Business (Lav )
a government-specific health guidance program (the "Program") using Lav , an on-demand
training application developed by the Company. The Program is designed to be less burdensome for the users and is delivered through
a completely remote support style using the web remote interview and chat function of Lav .
This approach helps to reduce the dropout rate of the conventional specific health guidance program.
Program provides support to medical professionals, such as public health nurses, dietitians, etc., that assist eligible individuals
(age between 40 and 74) who are at risk of developing lifestyle-related diseases that can be caused
by an unbalanced diet, lack of sleep, lack of exercise, smoking, stress, and other factors, by reviewing their lifestyle habits through
specific health checkups that focus on metabolic syndrome. The implementation of specific health checkups and specific health guidance
has become mandatory for medical insurers, including the national health insurance and the employee's health insurance, since April 2008.
Health, Labor and Welfare has set a nationwide target of at least 70% for specific medical checkup implementation rates and at least
45% for specific health guidance implementation rates. In fiscal year 2021, however, the medical checkup implementation rates and specific
health guidance implementation rates were only 56.5% and 24.6%, respectively. As a result, the market for these services is expected
to expand due to the government's effort to achieve the set target implementation rates. According to a survey by the Japan Health
Guidance Association, the utilization of Information and Communication Technology (ICT) has been increasing, and the adoption rate has
exceeded 50% due to the impact of COVID-19 in recent years.
As of September 2023, the Company has entered into contracts
with 71 corporate insurance associations,
and the cumulative number of users of our Lav app has exceeded 5,000 people, bringing
the total to 5,713 individuals.
| Number of New Contracts with Corporate Insurance Associations (*1) | Number of Users (*2) | Cumulative Number of Contracts with Corporate Insurance Associations | Cumulative Number of Users | |||||||||||||
| September-22 | 6 | 191 | 58 | 3,424 | ||||||||||||
| October-22 | 4 | 186 | 62 | 3,610 | ||||||||||||
| November-22 | 1 | 241 | 63 | 3,851 | ||||||||||||
| December-22 | 1 | 183 | 64 | 4,034 | ||||||||||||
| January-23 | 2 | 177 | 66 | 4,211 | ||||||||||||
| February-23 | 0 | 188 | 66 | 4,399 | ||||||||||||
| March-23 | 0 | 220 | 66 | 4,619 | ||||||||||||
| April-23 | 1 | 295 | 67 | 4,914 | ||||||||||||
| May-23 | 1 | 158 | 68 | 5,072 | ||||||||||||
| June-23 | 1 | 199 | 69 | 5,271 | ||||||||||||
| July-23 | 0 | 163 | 69 | 5,434 | ||||||||||||
| August-23 | 0 | 100 | 69 | 5,534 | ||||||||||||
| September-23 | 2 | 179 | 71 | 5,713 |
new contracts with corporate insurance associations entered into in the month to implement specified health guidance program offered
Number of new users that started using specified health guidance offered by us in the month.
in this press release are forward-looking statements for purposes of the safe harbor provisions under the U.S. Private Securities Litigation
Reform Act of 1995. Forward-looking statements may include estimates or expectations about the Company's possible or assumed operational
results, financial condition, business strategies and plans, market opportunities, competitive position, industry environment, and potential
growth opportunities. In some cases, forward-looking statements can be identified by terms such as "may," "will,"
"should," "design," "target," "aim," "hope," "expect," "could,"
"intend," "plan," "anticipate," "estimate," "believe," "continue,"
"predict," "project," "potential," "goal," or other words that convey the uncertainty
of future events or outcomes. These statements relate to future events or to the Company's future financial performance, and involve
known and unknown risks, uncertainties and other factors that may cause the Company's actual results, levels of activity, performance,
or achievements to be different from any future results, levels of activity, performance or achievements expressed or implied by these
forward-looking statements. You should not place undue reliance on forward-looking statements since they involve known and unknown risks,
uncertainties and other factors which are, in some cases, beyond the Company's control and which could, and likely will, affect
actual results, levels of activity, performance or achievements. Any forward-looking statement reflects the Company's current views
with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to the Company's
operations, results of operations, growth strategy and liquidity. The Company assumes no obligation to publicly update or revise these
forward-looking statements for any reason, or to update the reasons actual results could differ from those anticipated in these forward-looking
statements, even if new information becomes available in the future.
About MEDIROM Healthcare Technologies
a holistic healthcare company, operates 315 (as of September 30, 2023) relaxation salons across Japan, Re.Ra.Ku ,
being its leading brand, and provides healthcare services. In 2015, MEDIROM entered the health tech business, and launched new healthcare
programs using on-demand training app called "Lav ",
which is developed by the Company. MEDIROM also entered the device business in 2020 and has developed a smart tracker "MOTHER Bracelet ".
MEDIROM started selling "MOTHER Bracelet "
to individual customers in 2021, and has already received orders from corporate clients. MEDIROM hopes that its diverse health related
services and products offering will help it collect and manage healthcare data from users and customers and enable it to become a leader
in big data in the healthcare industry. For more information, visit https://medirom.co.jp/en.