Investment Rating - The report maintains a "Recommended" rating for the company, with a current price of HKD 47.20 [2]. Core Insights - The company achieved a revenue of CNY 4.191 billion in 2023, representing a year-on-year increase of 56.6%. The net profit attributable to shareholders reached CNY 457 million, up 212.7% year-on-year, exceeding previous performance forecasts [1][2]. - The Han Shu brand showed strong momentum with a revenue increase of 144% year-on-year, driven by brand upgrades and increased sales on e-commerce platforms [1]. - The company is focusing on a multi-brand strategy, with expectations for continued growth from its brand matrix, particularly the Han Shu brand and its flagship product, the Hong Man Yao series [1]. Summary by Sections Financial Performance - In 2023, the company reported a revenue of CNY 4.191 billion, with a growth rate of 56.6%. The net profit attributable to shareholders was CNY 457 million, reflecting a growth rate of 212.7% [2][8]. - The gross profit margin improved to 72.1%, an increase of 8.5 percentage points year-on-year, primarily due to the Han Shu brand's performance [1][8]. Brand Performance - Han Shu brand revenue reached CNY 3.09 billion in 2023, a year-on-year increase of 143.8%. The brand's focus on high-value products and effective marketing strategies contributed to this growth [1]. - Other brands, such as Yi Ye Zi and Hong Se Xiao Xiang, experienced declines in revenue due to market competition and brand adjustments, while the new brand Newpage showed significant growth [1]. Strategic Initiatives - The company is implementing a three-pronged strategy focusing on channel expansion, a "2+2+2" brand strategy, and a "66 strategy" to enhance its market presence across various categories [1]. - The channel strategy emphasizes strengthening its presence on platforms like Douyin and Tmall, while also re-entering offline markets to prepare for future growth [1]. Profitability Forecast - The company expects net profits to reach CNY 801 million, CNY 1.088 billion, and CNY 1.411 billion for the years 2024, 2025, and 2026, respectively, with corresponding PE ratios of 22X, 16X, and 12X [2][8].

[Table_Main] 证券研究报告 | 公司点评 上美股份(02145.HK) 2024年3月22日 上美股份：23 全年业绩超预 买入（上调） 所属行业：美容护理/化妆品 期，抖音延续高增长 当前价格(元)：48.25 单击或点击此处输入文字。 证券分析师 投资要点 赵雅楠 资格编号：S0120523070002  上美股份 23 年业绩增长超预期。（1）2023 年全年：公司实现营收 41.91 亿元 邮箱：zhaoyn＠tebon.com.cn /+56.64%（落在此前预告40-42亿上沿），净利润4.61亿元/+213%（超出此前预 易丁依 告4.2-4.6亿），毛利率为72.05%/+8.52pcts，来自于高毛利率的韩束品牌占比提 资格编号：S0120523070004 升，公司加大抖音渠道投放，销售费率同比提升 6.45pcts 至 53.46%，净利率为 邮箱：yidy＠tebon.com.cn 11.0%/+5.50pcts；（2）23H2：实现营收 26.04 亿/+84.29%，净利润为 3.60 亿 /+327.1%，收入及利润环比均提速，23H2的毛利率为73.89%、环比+ ...

Financial Performance - Revenue for the year ended December 31, 2023, increased by 56.6% to RMB 4,190.7 million from RMB 2,675.3 million in 2022[2] - Gross profit rose by 77.7% to RMB 3,019.5 million compared to RMB 1,699.6 million in the previous year[2] - Net profit for 2023 was RMB 461.7 million, a significant increase of 236.8% from RMB 137.1 million in 2022[2] - The company's revenue from three main brands in 2023 was RMB 3,822.6 million, an increase of 55.9% from 2022, contributing 91.2% to total revenue[11] - The gross profit increased by 77.7% from RMB 1,699.6 million in 2022 to RMB 3,019.5 million in 2023, with gross margin improving from 63.5% to 72.1%[30] - The net profit for 2023 was RMB 461,663,000, up from RMB 137,080,000 in 2022, reflecting an increase of approximately 236.5%[41] - The company reported basic and diluted earnings per share of RMB 1.16 for 2023, compared to RMB 0.41 in 2022[41] Brand Performance - The main brand, Han Shu, generated revenue of RMB 3,090.4 million in 2023, representing a 143.8% increase and accounting for 73.7% of total revenue[8] - Han Shu's total GMV on Douyin reached approximately RMB 3,340 million, reflecting a year-on-year growth of about 374.4%[6] - The brand Yi Ye Zi generated revenue of RMB 356.5 million in 2023, a decrease of 32.7% compared to the previous year, contributing 8.5% to total revenue[9] - The revenue of Han Shu increased by 143.8% from RMB 1,267.4 million in 2022 to RMB 3,090.4 million in 2023, driven by brand upgrades and increased self-operated income from the Hong Man Yao series on e-commerce platforms[26] - The revenue of Yi Ye Zi decreased by 32.7% from RMB 529.9 million in 2022 to RMB 356.5 million in 2023, primarily due to ongoing transformation and upgrades[26] - The revenue of Hong Se Xiao Xiang decreased by 42.6% from RMB 655.1 million in 2022 to RMB 375.7 million in 2023, mainly due to intense market competition[26] Dividends and Shareholder Returns - The company plans to pay a final dividend of RMB 0.75 per share for the year ended December 31, 2023, up from RMB 0.25 per share in 2022[3] - The proposed final dividend for 2023 is RMB 0.75 per share, up from RMB 0.25 per share in 2022, which represents a 200% increase[60] - The annual general meeting is scheduled for May 30, 2024, to approve the proposed final dividend[72] - The final dividend payment is expected to be made on or around June 28, 2024, pending shareholder approval[72] Research and Development - Research and development expenses for 2023 were RMB 125.8 million, accounting for 3.0% of annual revenue, compared to RMB 110.3 million and 4.1% in 2022[16] - The company plans to enhance R&D investment in key skincare areas, including anti-aging technology and skin barrier repair technology[22] - In 2023, the company applied for 58 new patents, including 35 invention patents, and was granted 18 new patents, with 3 being invention patents[17] Market Strategy and Expansion - The company is expanding its marketing network, focusing on online platforms like Douyin, Tmall/Taobao, and JD to enhance brand presence[23] - The company plans to continue expanding its market presence and investing in new product development to sustain growth in the coming years[51] - The company launched a new product line targeting school-age children, including the "Primary School Series" and a popular "Cosmic Fun" children's makeup gift box[10] Financial Position and Assets - The total assets as of December 31, 2023, were RMB 3,127,648,000, compared to RMB 2,546,186,000 in 2022, showing an increase of approximately 22.8%[44] - Non-current assets totaled RMB 1,050,511,000 as of December 31, 2023, compared to RMB 893,501,000 in 2022, reflecting a growth of approximately 17.6%[44] - The company's cash and cash equivalents decreased from RMB 1,147.7 million in 2022 to RMB 697.7 million in 2023, while interest-bearing bank borrowings were reduced by 84.6% to RMB 100.0 million[38] Awards and Recognition - The company received multiple awards in 2023, including the "2023 Tmall Golden Baby Award" for maternal and infant public welfare and the "InnoCosme Beauty Material Award" for its core ingredient Tiracle Pro[11][18] Corporate Governance - The company's financial statements for the year ended December 31, 2023, have been reviewed by the audit committee and are in compliance with applicable accounting standards[70] - The audit committee consists of three independent non-executive directors, with Mr. Liang Haoxin serving as the chairman[69]

股 票 研 究 证 券 研 究 报 告 [Table_MainInfo] [Table_Title] 上美股份（2145） 业绩超预期，看好持续爆发 | --- | --- | --- | --- | |----------|------------------|----------------------|-------------------| | | 訾猛 ( 分析师 ) | 闫清徽 ( 分析师 ) | 杨柳 ( 分析师 ) | | | 021-38676442 | 021-38031651 | 021-38038323 | | | zimeng@gtjas.com | yanqinghui@gtjas.com | yangliu@gtjas.com | | 证书编号 | S0880513120002 | S0880522120004 | S0880521120001 | 本报告导读： 公司 2023 年业绩超预期，韩束抖音放量下收入规模及盈利能力大幅提升，我们认为 公司受益平价消费趋势，大品牌、强运营下有望持续爆发。 摘要： [Table_Summary] 投资建议：公司韩束品牌抖音高势能叠加多渠道拓 ...

申万宏源研究 上海市南京东路99号 | +86 21 2329 7818 www.swsresearch.com 简单金融 成就梦想 美容护理 | 公司研究 23 年业绩大超预期，韩束延续高增，子品牌势能向上 2024年3月3日 上美股份 (02145.HK)业绩快报点评 23年业绩大超预期，韩束放量，盈利质量大幅提升。公司发布23年业绩预告，预计23年收入约40-42 买入 亿元，较22年收入26.75亿元同增49.5%-57.0%；公司23年归母净利润4.2-4.6亿元，较22年 1.47 亿元，同增 185.5%-212.7%。我们推算，23 年净利润率为 10%-11.5%，同增 4.5-6.0pct； 维持 23H2 营收 24-26 亿元，同比+69.85%-84.01%，归母净利润3.2-3.6 亿元，同比+290%-339%， 23H2 归母净利润率13.2%-13.7%，同增7.4-7.9pct，盈利质量大超预期，公司收入与利润率的增长 主要源于主品牌韩束抖音放量及产品收入结构的调整。 市场数据：2024年3月1日 24 年包材采购预计翻倍，产品需求旺盛，韩束开年抖音销售连续霸榜第一。公司公 ...

上美股份（2145.HK）2023年业绩预告点评 韩束品牌抖音高增，23 年公司归母净利润同比增长超 180% 2024年03月03日 ➢ 事件：上美股份发布 2023 年业绩预告。营业收入方面，23 年公司预计实 推荐 维持评级 现营业收入40.0~42.0亿元，同比增长49.5%~57.0%；23H2预计实现营业收 当前价格： 40.65港元 入 24.1~26.1 亿元，同比增长 70.8%~84.9%。归母净利润方面，23 年公司预 计实现归母净利润4.2~4.6亿元，同比增长185.5%~212.7%；23H2预计实现 归母净利润3.2~3.6亿元，同比增长290.2%~339.1%。公司收入及利润高增主 要系韩束品牌收入增加。 [T able_Author] ➢ 产品、渠道、营销多维度齐发力，韩束品牌势能持续提升，抖音渠道销售率 先实现高增。 1）产品端：采取产品聚焦策略，围绕“韩束红”的品牌心智，集 中资源培育主打抗衰功效、定价399元、卡位高性价比套组赛道的大单品红蛮腰 系列，以单品带品牌出圈；同时储备有主打美白淡斑功效的白蛮腰、主打舒缓紧 致的蓝蛮腰等系列产品，套组在价格、外观、产品结构等方 ...

智通财经APP获悉，上美股份(02145)盘中涨超6%，截至发稿，涨3.27%，报37.9港元，成交额1552.3万 港元。 消息面上，据蝉妈妈数据显示，1月，上美股份旗下品牌韩束总GMV达7.73亿元，位列抖音美妆排名榜 首，取得断层式领先。据悉，该成绩不仅是欧莱雅的近4倍，更创下韩束单月抖音GMV新高、抖音美妆 行业单月GMV新纪录。 此外，值得一提的是，韩束限定红蛮腰礼盒一经上线即在各平台热销。数据显示，新年限定红蛮腰礼盒 上线仅15天，就已实现了35.8万套的全渠道销量，且在1月13日-28日春节特别策划期间，韩束成交GMV 累计超过4.3亿元。 ...

Brand Performance - The company has successfully launched multiple cosmetic brands in China, including Han Shu, Yi Ye Zi, and Hong Se Xiao Xiang, catering to diverse consumer needs [12]. - Han Shu ranked second in skincare brand sales on Douyin and first among domestic skincare brands in the first half of 2023 [13]. - In the first half of 2023, Han Shu's flagship product "Red Waist Gift Box" topped multiple rankings on Douyin, achieving significant market visibility [13]. - The collaboration with Douyin and renowned influencer Li Jiaqi has resulted in extensive exposure for Han Shu's products, achieving over 100 million views [13]. - Yi Ye Zi's revenue for the first half of 2023 was RMB 203.6 million, a decrease of 23.1% year-on-year, contributing 12.8% to total revenue [14]. - Hong Se Xiao Xiang's revenue in the first half of 2023 was RMB 189.1 million, down 38.2% from the previous year, representing 11.9% of total revenue [15]. - New Page Yi Ye's revenue reached RMB 59.0 million in the first half of 2023, a remarkable increase of 209.1 times compared to the same period in 2022, contributing 3.7% to total revenue [16]. - The total revenue from the three main brands in the first half of 2023 was RMB 1,420.7 million, an increase of 21.0% year-on-year, accounting for 89.5% of total revenue [15]. Financial Performance - The financial summary and detailed performance metrics for the first half of 2023 are available in the mid-term report [5]. - Han Shu generated revenue of RMB 1,028.0 million in the first half of 2023, an increase of 70.3% compared to the same period in 2022, accounting for 64.8% of total revenue [14]. - Revenue increased by 25.7% from RMB 1,262.4 million in H1 2022 to RMB 1,586.8 million in H1 2023 [30]. - Gross profit rose from RMB 819.5 million in H1 2022 to RMB 1,095.5 million in H1 2023 [27]. - Net profit for H1 2023 was RMB 100.9 million, compared to RMB 62.8 million in H1 2022 [27]. - The net profit for the first half of 2023 was RMB 100.9 million, compared to RMB 62.8 million in the first half of 2022 [43]. - Basic and diluted earnings per share for the period were RMB 0.25, compared to RMB 0.18 for the same period in 2022, indicating improved earnings performance [77]. - Total comprehensive income for the period was RMB 96,939 thousand, compared to RMB 56,036 thousand in the same period of 2022, showing a strong overall financial performance [78]. Research and Development - The core ingredient TIRACLE, developed using dual fermentation technology, has been upgraded to Tiracle Pro, enhancing its effectiveness in addressing skin issues [13]. - R&D expenditure for H1 2023 was RMB 54.4 million, accounting for 3.4% of total revenue, compared to 4.1% in H1 2022 [20]. - The company applied for 40 new patents in H1 2023, including 24 invention patents [20]. - The skincare segment will see increased investment in core ingredient research, particularly in anti-aging and skin barrier repair technologies [25]. - Yi Ye Zi launched a new product, the Light-Transmitting Repair Essence, featuring 10% panthenol, addressing industry pain points related to skin feel [14]. Market Strategy - The company has maintained a multi-brand strategy for over 20 years, establishing itself as a leader in the Chinese cosmetics industry [11]. - The company aims to enhance its market position in the pure beauty segment and plans to invest in plant extraction technology and skin barrier repair research for Yi Ye Zi [14]. - The company is developing new brands and products to meet diverse consumer needs, including high-performance and sensitive skin care lines [18]. - The company aims to enhance brand recognition and expand its product portfolio to capture emerging market opportunities [24]. Operational Efficiency - Online channel revenue reached RMB 1,291.2 million in the first half of 2023, accounting for 81.4% of total revenue, compared to RMB 931.2 million and 73.8% in the first half of 2022 [33]. - Selling and distribution expenses rose from RMB 607.9 million in the first half of 2022 to RMB 850.6 million in the first half of 2023, representing 53.6% of total revenue [38]. - Administrative expenses increased by 9.1% from RMB 102.6 million in the first half of 2022 to RMB 111.9 million in the first half of 2023 [39]. - Research and development costs rose by 4.8% from RMB 51.9 million in the first half of 2022 to RMB 54.4 million in the first half of 2023, reflecting increased R&D activities [40]. Cash Flow and Liquidity - Cash and cash equivalents as of June 30, 2023, were approximately RMB 581.0 million, down from RMB 1,147.7 million at the end of 2022 [43]. - The current ratio improved to 1.8 times as of June 30, 2023, compared to 1.1 times a year earlier [44]. - The company had no significant contingent liabilities as of June 30, 2023, and maintained a strong liquidity position to meet operational funding needs [44]. - Operating cash flow for the six months ended June 30, 2023, was RMB 171,643 thousand, a significant increase from a cash outflow of RMB 74,558 thousand in the same period of 2022 [83]. Shareholder Information - The board proposed an interim dividend of RMB 0.2 per share for the first half of 2023, subject to shareholder approval on October 16, 2023 [49]. - The company declared a dividend of RMB 99,489 thousand during the period, impacting retained earnings [81]. - As of June 30, 2023, Mr. Lu Yixiong holds a beneficial interest in 51.08% of the H shares, equating to 100,800,000 shares [59]. - Major shareholder Hongyin Investment holds 90,000,000 domestic shares, representing 44.86% of the domestic shares and 22.62% of the total shares [63]. Corporate Governance - The company has complied with all applicable corporate governance code provisions, except for the separation of roles between the chairman and CEO [47]. - The audit committee confirmed that the interim financial results comply with applicable accounting standards and regulations, ensuring transparency and reliability [75]. Future Outlook - The company plans to continue expanding its product offerings and market presence, focusing on research and development in cosmetics [85]. - The expected timeline for utilizing the net proceeds is subject to adjustments based on future market conditions and actual business needs [57].

Revenue and Profit Growth - Revenue increased by 25.7% to RMB 1,586.8 million in the first half of 2023 compared to RMB 1,262.4 million in the same period of 2022[2] - Gross profit rose by 33.7% to RMB 1,095.5 million in the first half of 2023 from RMB 819.5 million in the first half of 2022[2] - Net profit surged by 60.7% to RMB 100.9 million in the first half of 2023 compared to RMB 62.8 million in the same period of 2022[2] - Revenue increased by 25.7% from RMB 1,262.4 million in H1 2022 to RMB 1,586.8 million in H1 2023, driven by growth in emerging e-commerce platforms like Douyin[21] - Gross profit increased by 33.7% from RMB 819.5 million in H1 2022 to RMB 1,095.5 million in H1 2023, with gross margin improving from 64.9% to 69.0%[27] - Profit for the first half of 2023 was RMB 100.9 million, compared to RMB 62.8 million in the first half of 2022[34] - Revenue for the first half of 2023 was RMB 1,586.8 million, up from RMB 1,262.4 million in the first half of 2022, with gross profit increasing to RMB 1,095.5 million from RMB 819.5 million[38] - Total revenue for the six months ended June 30, 2023, was RMB 1,586,826 thousand, an increase from RMB 1,262,394 thousand in the same period in 2022[45][47][48][49] - Basic earnings per share for the six months ended June 30, 2023, were RMB 0.25, up from RMB 0.18 for the same period in 2022[54] Brand Performance - HanShu brand revenue grew by 70.3% to RMB 1,028.0 million in the first half of 2023, accounting for 64.8% of total revenue[7] - One Leaf brand revenue decreased by 23.1% to RMB 203.6 million in the first half of 2023, representing 12.8% of total revenue[9] - Red Elephant's revenue in the first half of 2023 was RMB 189.1 million, a decrease of 38.2% compared to the same period in 2022, accounting for 11.9% of the company's total revenue[10] - Newpage's revenue in the first half of 2023 was RMB 59.0 million, a significant increase of 209.1 times compared to the same period in 2022, contributing 3.7% of the company's total revenue[11] - The company's total revenue from its three main brands in the first half of 2023 was RMB 1,420.7 million, an increase of 21.0% year-on-year, accounting for 89.5% of total revenue[10] - HanShu brand revenue grew from RMB 603.6 million in H1 2022 to RMB 1,028.0 million in H1 2023, accounting for 64.8% of total revenue[22][23] - Skincare category revenue rose from RMB 929.7 million in H1 2022 to RMB 1,282.9 million in H1 2023, driven by HanShu[26] Product Launches and Innovations - HanShu launched new product lines including "White Waist Series" and "Blue Waist Series" in the first half of 2023[7] - One Leaf introduced a new product, the Light Repair Water Essence, featuring 10% panthenol and olive leaf extract in the first half of 2023[8] - The company launched new products such as the "Soothing Special Care Essence" and "Chardonnay Grape Essence Cream" under the Red Elephant brand in the first half of 2023[10] - Newpage introduced the "Baby Soothing Special Care Essence Lotion" in the first half of 2023, featuring natural organic bisabolol and glycyrrhetinic acid for skin barrier strengthening[11] Marketing and Distribution - Online channel revenue increased to RMB 1,291.2 million in H1 2023, representing 81.4% of total revenue, up from 73.8% in H1 2022[24] - Online self-operated sales revenue surged from RMB 485.7 million in H1 2022 to RMB 983.8 million in H1 2023, primarily due to Douyin[25] - Sales and distribution expenses increased by RMB 242.7 million to RMB 850.6 million in H1 2023, accounting for 53.6% of revenue, up from 48.2% in H1 2022[29] - Marketing and promotion expenses rose by RMB 220.0 million to RMB 629.7 million in H1 2023, reflecting increased brand exposure and channel investment[29] - Marketing and promotion expenses increased significantly to RMB 630,208 thousand in 2023, compared to RMB 407,633 thousand in 2022[51] R&D and Innovation - R&D expenditure in the first half of 2023 was RMB 54.4 million, accounting for 3.4% of total revenue, compared to RMB 51.9 million (4.1% of total revenue) in the same period in 2022[14] - The company applied for 40 new patents in the first half of 2023, including 24 invention patents, and was granted 7 new patents, including 2 invention patents[14] - The company plans to strengthen its R&D focus on anti-aging and skin barrier repair technologies to drive product innovation[19] - R&D costs rose by 4.8% from RMB 51.9 million in the first half of 2022 to RMB 54.4 million in the first half of 2023, driven by increased R&D activities[31] - 12.2% of the net proceeds (HKD 104.9 million) were allocated to enhance R&D capabilities, with HKD 24.8 million used and HKD 80.1 million remaining[65] Financial Position and Capital Expenditure - Capital expenditure in the first half of 2023 was RMB 35.6 million, primarily for new machinery, equipment, vehicles, factory expansion, and construction payments[16] - The company's right-of-use assets as of June 30, 2023, were RMB 135.1 million, with lease liabilities of RMB 70.0 million[17] - Total payroll costs in the first half of 2023 were RMB 238.4 million, an increase from RMB 217.5 million in the same period in 2022[15] - Cash and cash equivalents stood at RMB 581.0 million as of June 30, 2023, down from RMB 1,147.7 million as of December 31, 2022, while external bank borrowings decreased by 60.1% to RMB 259.4 million[34] - The company's debt-to-asset ratio improved to 38.4% as of June 30, 2023, from 61.6% in the same period last year, and the current ratio increased to 1.8x from 1.1x[35] - The company's cash and bank balances were predominantly denominated in RMB (97.2%) as of June 30, 2023, compared to 28.5% as of December 31, 2022, reflecting a shift in currency exposure[37] - Total assets as of June 30, 2023, were RMB 1,996,060 thousand, up from RMB 1,893,501 thousand as of December 31, 2022[41] - Total liabilities decreased to RMB 1,082,608 thousand as of June 30, 2023, from RMB 1,439,022 thousand as of December 31, 2022[41][42] - Net current assets stood at RMB 803,290 thousand as of June 30, 2023, down from RMB 938,436 thousand as of December 31, 2022[41] - The company's equity attributable to owners of the parent company increased to RMB 1,726,917 thousand as of June 30, 2023, from RMB 1,705,086 thousand as of December 31, 2022[42] - The company's investment in associates increased significantly to RMB 16,264 thousand as of June 30, 2023, from RMB 1,797 thousand as of December 31, 2022[41] - Inventory as of June 30, 2023, was RMB 472,456 thousand, down from RMB 518,113 thousand as of December 31, 2022[56] - Trade receivables and bills receivable net of impairment were RMB 289,895 thousand as of June 30, 2023, compared to RMB 373,985 thousand as of December 31, 2022[57] - Trade payables as of June 30, 2023, were RMB 359,446 thousand, down from RMB 424,150 thousand as of December 31, 2022[60] Dividends and Shareholder Returns - The company proposed an interim dividend of RMB 0.2 per share for the first half of 2023, subject to shareholder approval[2] - The company declared an interim dividend of RMB 0.20 per ordinary share for the six months ended June 30, 2023, totaling approximately RMB 79,591,580[55] - The board has proposed an interim dividend of RMB 0.2 per share for the first half of 2023, subject to approval at the extraordinary general meeting on October 16, 2023[69] Regulatory and Corporate Governance - The company plans to revise its articles of association in accordance with recent regulatory changes, with the proposed amendments to be voted on at the extraordinary general meeting on October 16, 2023[70] Other Income and Expenses - Other income and gains increased by 13.2% from RMB 59.3 million in H1 2022 to RMB 67.1 million in H1 2023, mainly due to foreign exchange and financial asset gains[28] - Administrative expenses increased by 9.1% from RMB 102.6 million in the first half of 2022 to RMB 111.9 million in the first half of 2023, primarily due to employee benefits and office-related costs[30] - Net impairment loss on financial assets reversed from a loss of RMB 0.7 million in the first half of 2022 to a recovery of RMB 14.7 million in the first half of 2023, mainly due to reduced expected credit losses on trade receivables[31] - Other expenses decreased by 20.7% from RMB 27.1 million in the first half of 2022 to RMB 21.5 million in the first half of 2023, primarily due to reduced inventory impairment losses and no foreign exchange losses[32] - Finance costs increased by 19.4% from RMB 9.8 million in the first half of 2022 to RMB 11.7 million in the first half of 2023, mainly due to higher interest on bank and other borrowings[33] - Total tax expense for the six months ended June 30, 2023, was RMB 23,481 thousand, compared to RMB 15,586 thousand for the same period in 2022[53] Capital Market Activities - The company's H shares were listed on the Hong Kong Stock Exchange on December 22, 2022, with net proceeds from the global offering amounting to approximately HKD 859.7 million[64] - The total net proceeds from the global offering amounted to approximately HKD 859.7 million, including HKD 835.1 million from the December 2022 global offering and HKD 24.6 million from the partial exercise of the over-allotment option in January 2023[66] - As of June 30, 2023, the company has utilized HKD 335.7 million of the net proceeds, with HKD 524.0 million remaining, expected to be fully utilized by December 31, 2026[65] - The company allocated 32.0% of the net proceeds (HKD 275.5 million) for brand-building activities, with HKD 69.9 million already used and HKD 205.6 million remaining[65] - 19.8% of the net proceeds (HKD 170.6 million) were allocated to strengthen production and supply chain capabilities, with only HKD 1.4 million used and HKD 169.2 million remaining[65] - The company allocated 18.0% of the net proceeds (HKD 154.5 million) to expand its sales network, with the entire amount already utilized[65] Brand Experience and Collaborations - HanShu established its first "Scientific Anti-Aging" brand experience center at Shanghai Hongqiao Airport in the first half of 2023[7] - One Leaf collaborated with TMall Innovation Center and Kantar to release China's first "Clean Beauty Industry White Paper" in the first half of 2023[8]

Financial Performance - Revenue decreased from RMB 3,618.9 million in 2021 to RMB 2,675.3 million in 2022, representing a decline of approximately 26.1%[6] - Gross profit fell from RMB 2,360.6 million in 2021 to RMB 1,699.6 million in 2022, a decrease of about 28.0%[6] - Net profit for 2022 was RMB 137.1 million, down from RMB 338.8 million in 2021, indicating a decline of approximately 59.6%[6] - Skincare revenue decreased by 27.4% from RMB 2,679.7 million in 2021 to RMB 1,944.8 million in 2022, while maternal and infant care revenue decreased by 21.6% from RMB 901.9 million to RMB 706.7 million[23] - The company's total comprehensive income for the year was RMB 330,623,000, down from RMB 338,771,000 in the previous year, reflecting a decrease of about 2%[178] - The company's operating cash flow for 2022 was RMB 36,561,000, a significant decrease from RMB 335,193,000 in 2021, reflecting a decline of approximately 89%[180] Dividend and Shareholder Returns - The board proposed a final dividend of RMB 0.25 per share for the year ended December 31, 2022, compared to RMB 0.56 per share for the previous year[6] - The proposed final dividend for the year ended December 31, 2022, is RMB 0.25 per share, compared to approximately RMB 0.56 per share in 2021[112] Brand Strategy and Market Position - The company focuses on a multi-brand strategy, successfully launching several cosmetic brands including Han Shu, Yi Ye Zi, and Hong Se Xiao Xiang to meet diverse consumer needs[7][8] - The company aims to consolidate its three main brand core positions to drive overall performance growth[8] - The company continues to leverage its multi-brand strategy to seize market opportunities and differentiate itself from competitors[7] Revenue Breakdown by Brand - Han Shu generated revenue of RMB 1,267.4 million in 2022, a decrease of 22.3% compared to 2021, accounting for 47.4% of total annual revenue[9] - Yi Ye Zi's revenue in 2022 was RMB 529.9 million, down 36.2% from 2021, representing 19.8% of total annual revenue[9] - Hong Se Xiao Xiang's revenue for 2022 was RMB 655.1 million, a decrease of 24.8% year-over-year, contributing 24.5% to total annual revenue[11] - Total revenue from the three main brands in 2022 was RMB 2,452.4 million, reflecting a decline of 26.4% from 2021, and accounting for 91.7% of total revenue[11] Research and Development - Research and development expenses for 2022 were RMB 110.3 million, representing 4.1% of total revenue, compared to RMB 104.7 million and 2.9% in 2021[14] - New product launches in 2022 included the TIRACLE PRO and blue copper peptide series, which received multiple awards for innovation[9] - Yi Ye Zi is being repositioned to focus on natural plant-based skincare, with a new product line featuring Gansu olive leaf extract[10] - The company plans to enhance its R&D activities in plant extraction technology and skin barrier repair for Yi Ye Zi[10] Financial Position and Assets - The total assets increased from RMB 2,274.6 million in 2021 to RMB 3,145.7 million in 2022[17] - As of December 31, 2022, cash and cash equivalents amounted to RMB 1,147.7 million, up from RMB 145.2 million in 2021[31] - The debt-to-equity ratio increased from 29.9% in 2021 to 42.7% in 2022, indicating a higher leverage position[32] Corporate Governance - The board consists of a balanced mix of executive and non-executive directors, ensuring independent judgment[52] - The company has established appropriate liability insurance for directors and senior management, which is reviewed annually[57] - The board is committed to maintaining high standards of corporate governance to protect shareholder interests and enhance corporate value[50] - The company has confirmed that all directors complied with the trading standards during the relevant period[51] Risk Management - Major risks identified include business risks, financial risks, compliance risks, insider information risks, and internal control risks[80] - The company has established a risk management framework to identify and control significant risks, ensuring business objectives are met and compliance with regulations is maintained[81] Employee and Management Structure - The total number of full-time employees as of December 31, 2022, is 2,572, with 2,505 located in mainland China and 67 in Japan[35] - The company has achieved a gender diversity ratio of 84.91% female employees (2,184) and 15.09% male employees (388) across the organization[75] Audit and Compliance - The audit opinion confirms that the consolidated financial statements present a true and fair view of the group's financial position as of December 31, 2022[164] - The independent auditor confirmed that there were no findings indicating that disclosed continuing connected transactions were not approved by the board[131] Shareholder Communication - The company is committed to effective communication with shareholders, particularly through annual general meetings and other shareholder meetings[91] - The company encourages shareholder participation in annual general meetings and provides various communication channels for shareholder inquiries[95] Future Plans and Utilization of Proceeds - 32% of the net proceeds, approximately HKD 275.5 million, is allocated for brand building activities to enhance brand recognition and establish new brand images, expected to be fully utilized by the end of 2026[100] - The company plans to gradually utilize the net proceeds based on current market conditions and business needs, with adjustments as necessary[102]