SBC Medical Group Holdings Incorporated announced the appointment of Sheng-FU Hsiao as Chief Technology Officer effective March 1, 2026 to support its AI and digital transformation strategy.

SBC Medical Group Holdings Incorporated (Nasdaq: SBC) ("SBC Medical" or the "Company"), a global provider of comprehensive consulting and management services to medical corporations and their clinics, today announced the appointment of Sheng-FU Hsiao as Chief Technology Officer (CTO), effective March 1, 2026. This appointment aligns with the Company's 2026 management strategy, "Sophistication of Management Structure through AI and DX," and strengthens its leadership team to accelerate technological transformation.

SBC Medical is transitioning from a traditional labor-intensive management model to an AI-driven infrastructure to address structural challenges in the medical industry, such as productivity, quality, and transparency. The Company aims to establish a next-generation operating system?an "Automated Management Infrastructure" that optimizes everything from decision support to operational execution with high reproducibility and scalability.

To lead this technological shift, SBC Medical has welcomed Mr. Hsiao, who brings a proven track record of spearheading AI-specialized organizations and establishing IT governance for pre-IPO companies. In his previous roles, Mr. Hsiao successfully automated large-scale operations, including the implementation of AI call centers that reduced labor requirements by approximately 31% (equivalent to approximately 50 personnel) and improved response times by 30%. He also led the modernization of 20-year-old legacy systems into flexible microservices architectures. At SBC Medical, Mr. Hsiao will oversee the modernization of existing core systems and transform the Group's vast clinical, customer, and management data into a strategic AI asset, while ensuring the highest standards of security, ethics, and data governance.

Key Initiatives for AI Transformation Mr. Hsiao will work alongside Vice President Yuya Yoshida to lead the Group's AI strategy. By integrating the vision of "SBC AI Lab" ?the in-house development organization led by Mr. Yoshida?with Mr. Hsiao's technical execution capabilities, the Company will redesign its management "OS" beyond simple operational efficiency.

1. Autonomous Operations and Advanced Management Implementation of AI-driven infrastructure to optimize all processes, from back-office tasks to patient booking flows. This scalable model aims to suppress fixed-cost ratios during business expansion.

Implementation of AI Call Centers: Achieving 24/7/365 availability and reducing inquiry response times by 30%.

Modernization of Core Systems: Shortening lead times for functional additions and updates by refreshing core systems operating across 283 global locations*1.

Expansion of Back-Office Automation: Leveraging AI to increase the automation of back-office tasks, thereby reducing inventory loss and manual labor hours.

Promotion of In-house Development: Maximizing ROI and reducing development costs through the advancement of internal development capabilities.

Integration and Utilization of Patient Visit Data: Optimizing physician allocation and improving counseling conversion rates by leveraging data from 6.63 million annual patient visits*2.

Notes: *1: Figures as of the end of December 2025, encompassing SBC brand clinics, Rize Clinic, Gorilla Clinic, AHH, JUN CLINIC, and OrangeTwist. *2: Figures as of the end of December 2025, encompassing SBC brand clinics, Rize Clinic, Gorilla Clinic, AHH, and JUN CLINIC (with certain exceptions). These figures exclude free consultations. Unique patient counts and repeat rates for AHH and JUN CLINIC are estimated based on the ratio to the annual patient counts of the SBC brand, Rize Clinic, and Gorilla Clinic.

2.Customer Experience (UX) Innovation Development of an "AI Concierge" providing 24/7 support and "AI Mirrors" for objective data visualization of treatment results, enhancing medical transparency.

3. Global Expansion of Medical OS Deploying the AI-native management platform proven in Japan to global markets, including the U.S. and Southeast Asia, to rapidly replicate high-quality clinic operations.

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