MEDIROM Healthcare Technologies Has Received Orders for Over 25,000 MOTHER Bracelet Units

Rhea-AI Summary

MEDIROM Healthcare Technologies (NASDAQ: MRM) announces that its subsidiary MEDIROM MOTHER Labs has secured orders for over 25,000 MOTHER Bracelet units, including orders from Japanese companies like NFES Technologies and two other major Tokyo Stock Exchange-listed companies. This order volume exceeds all previous orders received and fulfilled to date.

MEDIROM operates over 300 wellness salons across Japan under the Re.Ra.Ku® brand. The company expanded into health tech in 2015 with the Lav® on-demand training app, and in 2020 developed the MOTHER Bracelet smart tracker. In 2023, they launched REMONY, a remote monitoring system for corporate clients, serving various industries including nursing care, transportation, construction, and manufacturing.

Positive

• Secured record-breaking orders for 25,000 MOTHER Bracelet units
• Validation from major Tokyo Stock Exchange-listed companies as customers
• Expanding product adoption indicates successful market penetration

Negative

• None.

Insights

Market Research Analyst

The order for 25,000 MOTHER Bracelet units represents a significant milestone for MEDIROM's hardware business segment. The deal's importance is amplified by the involvement of multiple Tokyo Stock Exchange-listed companies, indicating growing market acceptance in the Japanese corporate sector. With MEDIROM's current market cap of approximately $14.7M, this order could materially impact their revenue stream. The expansion into corporate clients through the REMONY remote monitoring system suggests a strategic pivot towards B2B sales channels. However, without specific pricing details or profit margins for the MOTHER Bracelet, it's challenging to quantify the exact financial impact. The concurrent F-1 registration filing indicates possible capital raising activities, which could fund further expansion of this promising product line.

Tech Industry Analyst

The MOTHER Bracelet represents MEDIROM's strategic expansion from traditional wellness services into health tech hardware. The product's integration with their REMONY remote monitoring system demonstrates a comprehensive IoT ecosystem approach, particularly appealing to corporate clients across diverse sectors like nursing care and construction. The substantial order volume suggests strong product-market fit and validates their technology commercialization strategy. The company's evolution from operating wellness salons to developing health tech solutions positions them uniquely in Japan's growing digital health market. Their focus on data collection through multiple touchpoints (salons, devices and apps) could create valuable healthcare analytics capabilities, though monetization strategies for this data remain unclear.

TOKYO, Dec. 09, 2024 (GLOBE NEWSWIRE) -- MEDIROM Healthcare Technologies Inc. (NASDAQ: MRM) (“MEDIROM”) announces that its subsidiary MEDIROM MOTHER Labs Inc. has received orders for over 25,000 MOTHER Bracelet units, including orders from Japanese companies such as NFES Technologies Inc.

“Our long-term mission is for the Mother Bracelet to be revolutionary in the Healthcare Technology and Wellness industries. The 25,000 unit MOTHER Bracelet orders surpasses the amount we’ve received and fulfilled to date and shows the continued momentum of our market penetration. Furthermore, we believe such orders received from not only NFES Technologies but also two other major companies listed on the Tokyo Stock Exchange further validates the commercialization of our technology,” said Kouji Eguchi, CEO, MEDIROM.

About MEDIROM Healthcare Technologies Inc.
MEDIROM, a holistic healthcare company, operates over 300 wellness 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 an on-demand training app called “Lav®”, which is developed by MEDIROM. MEDIROM also entered the device business in 2020 and has developed a smart tracker “MOTHER Bracelet®”. In 2023, MEDIROM launched REMONY, a remote monitoring system for corporate clients, and has received orders from a broad range of industries, including nursing care, transportation, construction, and manufacturing, among others. MEDIROM hopes that its diverse health-related product and service offerings 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.

Contact:
Investor Relations Team
E-mail:ir@medirom.co.jp

Free Writing Prospectus Statement

This free writing prospectus relates to the public offering of American Depositary Shares representing common shares of MEDIROM Healthcare Technologies Inc. (the “Company”) and should be read together with the preliminary prospectus dated December 4, 2024 (the “Preliminary Prospectus”) that was included in Amendment No. 3 to the Registration Statement on Form F-1 (File No. 333-281771), which can be accessed through the following web link:

https://www.sec.gov/Archives/edgar/data/1819704/000110465924125282/tm2422156-10_f1a.htm

The Company has filed a registration statement (including a prospectus) with the SEC for the offering to which this communication relates. Before you invest, you should read the prospectus in that registration statement and other documents the Company has filed with the SEC for more complete information about the Company and this offering. You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, any underwriter or any dealer participating in the offering will arrange to send you the prospectus if you request it by contacting ThinkEquity LLC at (877) 436-3673 or by email at prospectus@think-equity.com.

Forward-Looking Statements Regarding MEDIROM

Certain statements 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 MEDIROM’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 MEDIROM’s future financial performance, and involve known and unknown risks, uncertainties and other factors that may cause MEDIROM’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 because they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond MEDIROM’s control and which could, and likely will, affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects MEDIROM’s current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to MEDIROM’s operations, results of operations, growth strategy and liquidity. Some of the factors that could cause actual results to differ materially from those expressed or implied by the forward-looking statements in this press release include:

• MEDIROM’s ability to achieve its development goals for its business and execute and evolve its growth strategies, priorities and initiatives;
• changes in Japanese and global economic conditions and financial markets, including their effects on MEDIROM’s expansion in Japan and certain overseas markets;
• MEDIROM’s ability to achieve and sustain profitability in its Digital Preventative Healthcare Segment;
• the fluctuation of foreign exchange rates, which affects MEDIROM’s expenses and liabilities payable in foreign currencies;
• MEDIROM’s ability to maintain and enhance the value of its brands and to enforce and maintain its trademarks and protect its other intellectual property;
• MEDIROM’s ability to raise additional capital on acceptable terms or at all;
• MEDIROM’s level of indebtedness and potential restrictions on MEDIROM under MEDIROM’s debt instruments;
• changes in consumer preferences and MEDIROM’s competitive environment;
• MEDIROM’s ability to respond to natural disasters, such as earthquakes and tsunamis, and to global pandemics, such as COVID-19; and
• the regulatory environment in which MEDIROM operates.

More information on these risks and other potential factors that could affect MEDIROM’s business, reputation, results of operations, financial condition, and stock price is included in MEDIROM’s filings with the Securities and Exchange Commission (the “SEC”), including in the “Risk Factors” and “Operating and Financial Review and Prospects” sections of MEDIROM’s most recently filed periodic report on Form 20-F and subsequent filings, which are available on the SEC website at www.sec.gov. MEDIROM assumes no obligation to 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.

FAQ

How many MOTHER Bracelet units has MEDIROM (MRM) received orders for in December 2024?

MEDIROM has received orders for over 25,000 MOTHER Bracelet units, which surpasses all previous orders received and fulfilled to date.

Which companies have placed orders for MEDIROM's (MRM) MOTHER Bracelet?

NFES Technologies and two other major companies listed on the Tokyo Stock Exchange have placed orders for the MOTHER Bracelet.

What products and services does MEDIROM (MRM) currently offer?

MEDIROM operates 300+ wellness salons under Re.Ra.Ku brand, offers the Lav on-demand training app, MOTHER Bracelet smart tracker, and REMONY remote monitoring system for corporate clients.