So-Young(US:SY) Di Yi Cai Jing·2025-08-26 08:25Core Viewpoint - The company is optimistic about the growth potential of the Chinese medical beauty market, which currently has a penetration rate of less than 5%, compared to over 20% in mature markets like South Korea [1][2] Group 1: Business Transition - The company has shifted its business model from being a transaction intermediary to directly opening offline medical beauty stores, which may lead to competition with its existing clients [1][2] - The opening of offline stores has resulted in a significant conflict between new and old business lines, leading to a decline in the number of service providers subscribing to the platform [2] Group 2: Financial Performance - In the first half of 2025, the company's revenue was 676 million yuan, a decrease of 6.9% from 726 million yuan in the same period last year, with a net loss of 67.95 million yuan compared to a net loss of 600,000 yuan in the previous year [2] - The company's offline business has now surpassed its online business, becoming the largest source of revenue, with revenue from beauty treatment services reaching 144.4 million yuan, a year-on-year increase of 426.1% [3] Group 3: Future Plans - The company plans to open 50 offline stores nationwide this year, with a goal of achieving a thousand-store scale within 8 to 10 years [3] - Despite the challenges, the company believes that the growth of its chain business will offset the decline in traditional business in the long term [3]