WOLVES HAND Co., Ltd. (194A) Stock Price

WOLVES HAND operates animal hospitals and pet salons as its core business, while also providing customer management software called "Wan Taro" for veterinary clinics, distributing educational websites and seminars for veterinarians, and manufacturing and selling medical equipment. The company aims to build a medical network that provides comprehensive care ranging from routine treatment to advanced medical procedures using CT and MRI technology.

Customers are primarily pet owners, while veterinarians and animal hospitals use the software and educational services. The company's revenue is dominated by its animal hospital business, which accounts for over 80% of consolidated sales, with pet salons representing approximately 8-10%. Software and education services generate stable income through initial fees and monthly subscriptions. Medical equipment business results are reflected through equity method affiliates.

Operationally, the company operates center hospitals and satellite hospitals across three regions—Kansai, Kanto, Kyushu, and Okinawa—with a total of 38 hospitals, 111 veterinarians, and approximately 395,000 annual clinical cases. "Wan Taro" has been adopted by 159 clinics, and the educational service VMN has over 1,200 paid members, showing strong adoption and usage. Asuka Medical manufactures and sells animal laser equipment as its primary product.

The company's strengths include seamless service delivery from routine care to advanced medicine through center-satellite coordination, and securing talent through veterinarian training programs leveraging extensive clinical experience. By efficiently operating high-cost medical equipment to improve profitability, the company plans to strengthen its service scope and revenue base through network expansion and software cloud migration.

The company aims to enhance corporate value through sustained expansion. Currently, it operates 38 facilities (combining central and satellite hospitals), employs 111 veterinarians, handles approximately 395,000 clinical cases annually, and generates consolidated revenue of approximately 5.46 billion yen (hospital operations revenue of approximately 4.76 billion yen). The company plans to systematically increase these key performance indicators—veterinarian count and clinical cases—to expand sales and cash flow, build internal reserves to prepare for debt repayment from LBO and M&A activities, and strengthen financial health. Revenue per veterinarian stands at approximately 43.01 million yen annually, and maintaining or improving this metric is positioned as a critical measure for financial stabilization.

The company differentiates itself through prioritizing talent development and capital investment. It deploys an average of three veterinarians per hospital, creating a multi-person structure where junior staff can seek guidance, while investing in high-cost medical equipment such as CT, MRI, and radiation therapy systems. This enables seamless service delivery from primary to secondary care. Additionally, by sharing clinical records across hospitals to standardize treatment protocols and improve quality, the company pursues operational advantages beyond simply owning equipment.

The company pursues growth primarily through business succession M&A while expanding into new markets. It targets individual hospitals facing closure due to lack of successors, acquiring and integrating them to strengthen market dominance in existing regions (Kansai, Kanto, Kyushu, and Okinawa) and expand its network. The customer management software "Wan Taro" is currently deployed at 159 hospitals; the company plans to advance cloud migration, expand subscription revenue, and pursue cross-selling with adjacent sectors (pet salons and medical device sales) to diversify its revenue base. The veterinary education platform VMN has grown steadily to over 1,200 paid members, with plans to expand educational content to simultaneously secure talent and generate revenue.

The company prioritizes technological innovation to enhance medical quality and operational efficiency. Led by its internal Systems Management Division, it promotes cloud migration of "Wan Taro" and implements initiatives to standardize clinical protocols and training materials using clinical data. Through a related company handling medical device manufacturing and sales, it pursues improvements in equipment utilization rates and cost reduction to enhance return on equipment investment and ensure profitability of high-value-added medical services.