On May 20, 2025, MEDIROM Healthcare Technologies Inc. announced its financial results for the year ended December 31, 2024, reporting a total revenue of $52,736,000. This represents a 22% increase compared to $43,388,000 in the prior year.
The company achieved a net income of $878,000, or $0.17 per basic share, marking a 20% improvement from $731,000, or $0.15 per basic share, in 2023. This growth was primarily driven by a 23% increase in the Relaxation Salon Segment's revenue, reaching $47,317,000.
Operational efficiency improved, with the cost of revenues as a percentage of total revenues decreasing to 72.9% in 2024 from 77.0% in 2023. Selling, general and administrative expenses also decreased as a percentage of total revenues to 27.0% from 28.7%.
As of December 31, 2024, cash and cash equivalents increased to $2,093,000 from $676,000 in 2023, while total indebtedness rose to $11,925,000 from $9,857,000. Net cash provided by financing activities significantly increased to $7,583,000 in 2024, partly offsetting net cash used in operating activities of $8,462,000.
CEO Koji Eguchi highlighted recent developments, including the provision of REMONY and MOTHER Bracelet to TOPPAN Inc. and additional executive investments in Mother Labs. Looking ahead, MEDIROM aims to improve revenue growth and bottom-line performance, expand its Digital Preventative Healthcare business, and accelerate MOTHER Bracelet production for corporate clients.
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