26 August 2025 | 10:28PM HKT Bloomage Biotechnology Corp. (688363.SS): First Take: 2Q25 NI miss mainly on weaker medical aesthetics product sales; Sell Bloomage reported 2Q25 results after market close on Aug 26. 2Q25 NI (+21% yoy) missed expectations coming in 52%/43% lower than GSe/VA consensus, due to 1) 29%/22% lower sales (-18% yoy) vs. GSe/VA consensus driven by weak medical devices/raw materials sales; and 2) lower GPM likely due to step up discount, and lower-than-expected mix from high margin MA bu ...

Industry Overview - The beauty industry is witnessing significant developments, including financial reports from various companies and the successful registration of new raw materials like Ursolic Acid [1] - Major brands are launching new products and entering new markets, indicating a dynamic and evolving landscape [1] Company Performance - Up Beauty reported a record revenue of 4.108 billion yuan for the first half of 2025, a year-on-year increase of 17.3%, with a net profit of 556 million yuan, up 34.7% [2] - Giant Biological achieved a revenue of 3.113 billion yuan in the first half of 2025, reflecting a 22.5% year-on-year growth, with a net profit of 1.182 billion yuan, up 20.6% [21] - Huaxi Biological reported a revenue of 2.261 billion yuan, with net profit figures showing no growth, but signs of strategic adjustments beginning to take effect [22] - Marubi Biological's revenue for the first half of 2025 reached 1.769 billion yuan, a 30.83% increase year-on-year, with a net profit of 186 million yuan, up 5.21% [23] New Product Developments - Up Beauty is preparing to launch a new makeup brand called "Dan Cai" in collaboration with a renowned makeup artist [2] - COSMAX announced breakthroughs in anti-aging and whitening products, including a new NAD-based anti-aging cosmetic and a new whitening powder [3] - LV Cosmetics has begun global pre-sales, indicating a strong push into the market [15] Executive Changes - Proya appointed new executives, including Xue Xia as the board secretary and Guo Xiao as the Chief Marketing Officer, both bringing extensive experience in the consumer sector [4] - Givaudan announced a leadership change, with Gilles Andrier stepping down as CEO in March 2026, to be succeeded by Christian Stammkoetter [5] Market Trends - The beauty and skincare market saw sales of 235.23 billion yuan in the first half of 2025, a 10.1% year-on-year increase, with anti-aging products showing a significant growth of 30.3% [24] - The introduction of innovative products and strategic partnerships, such as COSMAX's collaboration with Korea University for climate-proof cosmetics, reflects the industry's adaptability to changing consumer needs [15]

Core Viewpoint - The functional skincare industry in China is experiencing a rise of domestic brands, with various listed companies involved across the supply chain, including raw materials, packaging, and sales channels [1][2]. Group 1: Industry Overview - Functional skincare products are designed to address specific skin issues and possess certain pharmacological effects, indicating a growing market for targeted skincare solutions [1]. - The industry is characterized by a diverse range of companies, from raw material suppliers to online and offline sales channels [2]. Group 2: Company Distribution - Key companies in the raw materials segment include Kesheng Co., Qingsong Co., and Xinhang New Materials, while packaging material companies include Jiaheng Household and Jinsong New Materials [2][3]. - Major players in the functional skincare segment include Betaini, Huaxi Biological, Shanghai Jahwa, and Chuang'er Biological, with significant online sales channels represented by Alibaba, JD.com, and Pinduoduo [2][4]. Group 3: Financial Performance - Betaini leads the industry with a revenue of 57.36 billion yuan in 2024, followed by Huaxi Biological with 53.71 billion yuan and Shanghai Jahwa with 56.79 billion yuan [6][18]. - The gross profit margins for most companies in the functional skincare sector range from 70% to 85%, with Juzhi Biological achieving the highest margin at 82.09% [17][18]. Group 4: Business Strategies - Companies are focusing on R&D innovation, brand enhancement, and channel optimization to capture more market share and adapt to competitive pressures [19]. - Betaini plans to enhance its product offerings in the baby skincare segment and expand its online and offline presence, while Huaxi Biological is shifting towards anti-aging strategies and enhancing its technological capabilities [20][19]. Group 5: Market Positioning - Betaini has a dominant market position with 99.49% of its business in functional skincare, primarily targeting the Chinese market [16]. - Huaxi Biological and Shanghai Jahwa have also established strong brand identities with competitive product lines, while Chuang'er Biological focuses on collagen products [14][16].

Core Insights - Huaxi Biological Technology Co., Ltd. reported its worst interim results since its listing, with a revenue of 2.261 billion yuan, a year-on-year decline of 19.57%, and a net profit of 221 million yuan, down 35.38% [2][3] Business Performance - The three main business segments of Huaxi Biological all experienced declines: the skin science innovation transformation business fell by 33.97% to 912 million yuan, accounting for 40.36% of total revenue; the raw materials business saw a slight decrease of 0.58% to 626 million yuan, making up 27.7% of revenue; and the medical terminal business dropped by 9.44% to 673 million yuan, representing 29.77% of revenue [3][9] - The company faced significant profit pressure due to credit impairment, asset impairment, and personnel optimization, with a total of 48.37 million yuan in impairment losses reported in the second quarter [3] Management Issues - Internal management problems have surfaced, including a financial fraud scandal involving a former marketing director, which has led to public disputes and allegations of financial misconduct [5] - The company has undergone significant management changes, with a focus on reforming its operational structure and reducing reliance on external management [6][7] Strategic Reforms - Founder Zhao Yan returned to the company to implement major reforms, including a crackdown on corruption and a shift towards hiring entrepreneurial talent for management positions [6][7] - Huaxi Biological is concentrating its resources on high-margin core segments, specifically raw materials and medical terminal businesses, which contributed over 57% of its main business revenue in the first half of 2025 [9][10] Research and Development Focus - The company has reduced its R&D projects significantly, focusing on raw materials and medical terminal businesses, while sales expenses decreased by 31.44% to 808 million yuan [8] - Despite the challenges, there are signs of marginal recovery, with a net profit of 119 million yuan in the second quarter of 2025, marking a year-on-year increase of 20.89% [8]

Group 1 - The controlling shareholder of Huaxi Biological Technology Co., Ltd., Huaxi Xinyu Investment Co., Ltd., plans to increase its shareholding in the company, with a minimum investment of RMB 200 million and a maximum of RMB 300 million, starting from August 8, 2025, for a period of six months [2] - As of August 29, 2025, Huaxi Xinyu has already acquired 2,117,690 shares, representing 0.44% of the total share capital, with a total investment amounting to RMB 122,326,228.05, exceeding 50% of the lower limit of the planned investment [2] - The share buyback plan is still ongoing, and Huaxi Xinyu will continue to purchase shares according to the established plan [2][5] Group 2 - The announcement confirms that the shareholding increase will not lead to a change in the controlling shareholder or actual controller of the company [4] - The company will continue to monitor the progress of the share buyback and fulfill its information disclosure obligations as required by the China Securities Regulatory Commission and the Shanghai Stock Exchange [5]

Core Viewpoint - The controlling shareholder of Huaxi Biotechnology Co., Ltd., Huaxi Xinyu Investment Co., Ltd., has initiated a share buyback plan, expressing confidence in the company's future development and long-term investment value [1] Group 1: Buyback Plan Details - The buyback plan will commence on August 8, 2025, and will last for six months, with a planned investment of no less than RMB 200 million and no more than RMB 300 million [1] - The buyback will not exceed 1% of the company's total share capital, and the purchase price will not exceed RMB 70 per share [1] Group 2: Initial Buyback Execution - On August 27 and 28, 2025, Huaxi Xinyu purchased a total of 1,533,569 shares, representing approximately 0.32% of the company's total share capital, for a total amount of RMB 88,683,021.15 [2][5] - The shares were acquired through the Shanghai Stock Exchange's centralized bidding system [5] Group 3: Shareholder Information - Huaxi Xinyu Investment Co., Ltd. is the controlling shareholder, holding 283,500,000 shares, which accounts for 59.17% of the total share capital [3][5] - The company has identified consistent action among shareholders, including the actual controller and chairman, Zhao Yan, who holds a significant stake through various entities [3][4] Group 4: Future Buyback Plans - The company will continue to execute the buyback plan using self-owned or raised funds, with ongoing monitoring of the buyback progress [5][6]

Summary of Key Points Core Viewpoint - The controlling shareholder of Huaxi Biological, Huaxi Xinyu Investment Co., Ltd., is actively increasing its stake in the company, indicating confidence in the company's future performance and potential growth [1]. Group 1: Buyback Plan Details - Buyback Entity: Controlling shareholder Huaxi Xinyu Investment Co., Ltd. [1] - Buyback Period: From August 8, 2025, to February 7, 2026 (6 months) [1] - Total Investment Amount: Between 200 million to 300 million RMB [1] - Maximum Buyback Proportion: Not exceeding 1% of total share capital [1] - Maximum Buyback Price: Not exceeding 70 RMB per share [1] Group 2: Latest Buyback Progress - Implementation Dates: August 27-29, 2025 [1] - Shares Acquired: 2.1177 million shares, accounting for 0.44% of total share capital [1] - Total Investment Amount: 122 million RMB [1] - Progress Completion: Exceeded 50% of the lower limit of the buyback plan of 200 million RMB [1] Group 3: Shareholding Situation - Shareholding Before Buyback: 283.5 million shares, representing 58.86% [1] - Total Shares Held by Concerted Actors: 285 million shares, representing 59.17% [1] - Actual Controller: Chairman and General Manager Zhao Yan [1] Group 4: Future Arrangements - The buyback plan is not yet completed and will continue as planned [1] - Future buybacks will be financed through self-owned or raised funds [1]

证券代码：688363 证券简称：华熙生物 公告编号：2025-033 华熙生物科技股份有限公司 关于控股股东增持股份进展暨增持金额过半的公告 本公司董事会、全体董事及相关股东保证本公告内容不存在任何虚假记载、 误导性陈述或者重大遗漏，并对其内容的真实性、准确性和完整性承担法律责任。 重要内容提示： ? 已披露增持计划情况：华熙生物科技股份有限公司（以下简称"华熙生 物""公司"）的控股股东华熙昕宇投资有限公司（以下简称"华熙昕宇"） 基于对公司未来发展的信心和长期投资价值认可，计划自 2025 年 8 月 8 日起的 括但不限于集中竞价、大宗交易等）增持公司股份，增持金额不低于人民币 2 亿元（含），不超过人民币 3 亿元（含），增持股份比例不超过公司总股本 1%， 增持股票价格不超过 70 元/股。具体内容详见公司于 2025 年 8 月 8 日在上海证 券交易所网站（www.sse.com.cn）披露的《华熙生物科技股份有限公司关于控股 股东增持公司股份计划公告》（公告编号：2025-028）。 ? 增持计划的实施情况：截至 2025 年 8 月 29 日，华熙昕宇通过上海证券 交易所交易系统以集中竞价 ...

证券代码：688363 证券简称：华熙生物 公告编号：2025-033 华熙生物科技股份有限公司 关于控股股东增持股份进展暨增持金额过半的公告 本公司董事会、全体董事及相关股东保证本公告内容不存在任何虚假记载、 误导性陈述或者重大遗漏，并对其内容的真实性、准确性和完整性承担法律责任。 重要内容提示： 已披露增持计划情况：华熙生物科技股份有限公司（以下简称"华熙生 物""公司"）的控股股东华熙昕宇投资有限公司（以下简称"华熙昕宇"） 基于对公司未来发展的信心和长期投资价值认可，计划自 2025 年 8 月 8 日起的 6 个月内，使用自有资金或自筹资金，通过上海证券交易所系统允许的方式（包 括但不限于集中竞价、大宗交易等）增持公司股份，增持金额不低于人民币 2 亿元（含），不超过人民币 3 亿元（含），增持股份比例不超过公司总股本 1%， 增持股票价格不超过 70 元/股。具体内容详见公司于 2025 年 8 月 8 日在上海证 券交易所网站（www.sse.com.cn）披露的《华熙生物科技股份有限公司关于控股 股东增持公司股份计划公告》（公告编号：2025-028）。 增持计划的实施情况：截至 2025 年 ...

Group 1 - The medical beauty sector increased by 0.59% on August 29, with Jinbo Biological leading the gains [1] - The Shanghai Composite Index closed at 3857.93, up 0.37%, while the Shenzhen Component Index closed at 12696.15, up 0.99% [1] - Jinbo Biological's closing price was 312.48, reflecting a rise of 4.41%, with a trading volume of 14,200 lots and a transaction value of 442 million [1] Group 2 - The medical beauty sector saw a net inflow of 60.73 million in main funds, while retail funds experienced a net outflow of 21.81 million [1] - Aimei Ke reported a closing price of 193.98, with a gain of 1.90%, and a trading volume of 48,700 lots, totaling 946 million in transaction value [1] - Huaxi Biological's stock price decreased by 1.00% to 57.20, with a trading volume of 64,200 lots and a transaction value of 36.9 million [1]