SBC Medical Group Holdings Incorporated (NASDAQ:SBC) reported fourth-quarter results on Friday that exceeded earnings forecasts, although revenue came in below analysts’ expectations.
Shares of the medical services company rose 0.26% in pre-market trading following the announcement.
For the quarter ended December 31, 2025, SBC Medical posted adjusted earnings per share of $0.14, surpassing the consensus estimate of $0.11 by $0.03.
The result represented a 133% increase from earnings of $0.06 per share recorded in the same period a year earlier. However, quarterly revenue totaled $39.57 million, missing analysts’ forecast of $44.02 million and declining 11% from $44.42 million in the prior-year quarter.
Net income attributable to SBC Medical climbed 117% year over year to $14 million, while the company’s net income margin expanded to 36% from 15% in the same quarter last year.
The improvement in profitability came even as revenue declined, which management said was largely due to a restructuring of the business carried out in 2024 and changes to franchise fee arrangements introduced in April 2025.
“Our full-year 2025 results reflect a business in transition,” said Yoshiyuki Aikawa, Chairman and Chief Executive Officer. “Revenue declined 15% to $174 million, primarily due to two structural changes: the business restructuring undertaken in 2024, and the revision of franchise fee arrangements implemented in April 2025.”
For the full year 2025, SBC Medical reported adjusted earnings per share of $0.50, up 4% compared with the previous year, on revenue of $173.61 million, down 15% from $205.42 million in 2024. The company expanded its franchise network to 283 locations as of December 31, 2025—an increase of 34 locations year over year—while serving 6.6 million customers, a 12% rise from the prior year.