It is undeniable that Mao Geping's
Posted: Thu Dec 12, 2024 5:15 am
It is undeniable that Mao Geping's "scissors gap" business is booming, but this is largely based on the booming development of the Chinese beauty market. Since 2024, the Chinese beauty market has cooled down, and Mao Geping has also faced huge challenges.
Image source: FutureBeauty
Data released by the National Bureau of Statistics showed that in the first nine months of 2024, the cumulative retail sales of China's cosmetics industry was 306.9 billion yuan, a year-on-year decrease of 1%, and has fallen for four consecutive months since June. Among them, the retail sales in September were 32.9 billion yuan, a year-on-year list of latvia whatsapp phone numbers decrease of 4.5%.
In this context, the performance of many beauty companies has declined sharply. For example, in the first three quarters of 2024, the revenues of Shanghai Jahwa, Beitanni, and Huaxi Bio were 4.477 billion yuan, 4.018 billion yuan, and 3.878 billion yuan, respectively, down 12.07%, up 17.09%, and down 8.21% year-on-year; the net profits were 163 million yuan, 415 million yuan, and 362 million yuan, down 58.72%, 28.39%, and 29.62% year-on-year, respectively.
Source: Huaxi Bio's 2024 first half financial report
In order to get rid of the downward pressure, many beauty companies have begun to increase their R&D investment to boost their core competitiveness. According to the financial report, in the first half of 2024, the R&D expenses of Huaxi Biology, Beitanni, and Shangmei Co., Ltd. were 201 million yuan, 114 million yuan, and 78 million yuan, respectively, up 7.4%, 5.6%, and 43.9% year-on-year, and the R&D expense rates were 7.13%, 4.1%, and 2.2%, respectively.
Driven by large R&D expenditures, many beauty companies have drawn a "second curve". Take Huaxi Biotechnology as an example. Its independently developed Class III medical device collagen terminal product will enter the clinical stage in the second half of 2024, which is expected to help the company open up imagination space.
Image source: FutureBeauty
Data released by the National Bureau of Statistics showed that in the first nine months of 2024, the cumulative retail sales of China's cosmetics industry was 306.9 billion yuan, a year-on-year decrease of 1%, and has fallen for four consecutive months since June. Among them, the retail sales in September were 32.9 billion yuan, a year-on-year list of latvia whatsapp phone numbers decrease of 4.5%.
In this context, the performance of many beauty companies has declined sharply. For example, in the first three quarters of 2024, the revenues of Shanghai Jahwa, Beitanni, and Huaxi Bio were 4.477 billion yuan, 4.018 billion yuan, and 3.878 billion yuan, respectively, down 12.07%, up 17.09%, and down 8.21% year-on-year; the net profits were 163 million yuan, 415 million yuan, and 362 million yuan, down 58.72%, 28.39%, and 29.62% year-on-year, respectively.
Source: Huaxi Bio's 2024 first half financial report
In order to get rid of the downward pressure, many beauty companies have begun to increase their R&D investment to boost their core competitiveness. According to the financial report, in the first half of 2024, the R&D expenses of Huaxi Biology, Beitanni, and Shangmei Co., Ltd. were 201 million yuan, 114 million yuan, and 78 million yuan, respectively, up 7.4%, 5.6%, and 43.9% year-on-year, and the R&D expense rates were 7.13%, 4.1%, and 2.2%, respectively.
Driven by large R&D expenditures, many beauty companies have drawn a "second curve". Take Huaxi Biotechnology as an example. Its independently developed Class III medical device collagen terminal product will enter the clinical stage in the second half of 2024, which is expected to help the company open up imagination space.