Core Viewpoint - The company maintains a "buy" rating, expecting continued growth in the second half of the year due to a low base effect and the launch of new products in Q4, supported by a high-end membership system and Eastern aesthetic positioning [1] Group 1: Sales Performance - In H1 2025, the company's sales reached 2.588 billion yuan, a year-on-year increase of 31.3%, with color cosmetics contributing 1.422 billion yuan, accounting for 55.1% of total sales and growing by 31.1% [2] - The core base makeup products achieved retail sales exceeding 200 million yuan each, validating the effectiveness of the big product strategy [2] - The company launched a co-branded perfume with the Palace Museum in May, generating sales of 11.41 million yuan in two months, with plans to introduce more Eastern-themed fragrance products throughout the year [2] - Skincare revenue reached 1.087 billion yuan, representing 42.0% of total sales and a growth of 33.4%, with key products like caviar masks and black cream continuing to gain traction [2] Group 2: Profitability and Margins - The company's gross margin in H1 2025 was 84.2%, impacted by rising unit costs from color cosmetics upgrades and increased training expenses [3] - The selling and distribution expense ratio was 45.2%, but net profit margin improved by 0.9 percentage points to 25.9% due to enhanced operational efficiency and reduced listing expenses, resulting in a net profit of 670 million yuan, a year-on-year increase of 36.1% [3] Group 3: Brand Positioning and Market Expansion - The company has over 19 million members, with offline and online repurchase rates at 30.3% and 24.1% respectively, indicating strong brand loyalty [4] - Future product launches will focus on Eastern aesthetics, including advanced perfumes, high-end skincare, and multifunctional color cosmetics [4] - The company plans to enhance its distribution channels through a combination of department stores and shopping centers offline, and content-driven and live-streaming strategies online, with plans to open a new store in Hong Kong and expand into Singapore, Japan, and South Korea [4]
兴证国际：维持毛戈平(01318)“增持”评级 多品类+多渠道打开长期空间