Shanghai Lily&Beauty (SH:605136) Hua Xia Shi Bao·2025-09-30 00:46Core Viewpoint - The ongoing legal dispute involving Huang Tao, the actual controller of Liren Lizhuang, regarding a high-profile divorce case, has raised concerns about potential impacts on the company's ownership structure and stock performance, although the company asserts that its operations remain unaffected [2][4][6]. Group 1: Legal Issues - Huang Tao has received a court notice related to a property dispute following his divorce, making him a defendant in the case [2]. - Huang Tao's ex-wife, Weng Shuhua, is seeking to transfer 16.75 million shares registered in Huang's name to their children [4]. - The court case has not yet commenced, leaving the outcome uncertain regarding any changes in the controlling shareholder's rights [4][6]. Group 2: Company Performance - Liren Lizhuang reported a revenue of 831 million yuan in the first half of 2025, a year-on-year decline of 13.98%, with a net profit attributable to shareholders of -32.76 million yuan, down 1315.98% [12]. - The company has experienced a continuous decline in revenue for four consecutive years, with revenues of 4.155 billion yuan, 3.242 billion yuan, and 2.762 billion yuan from 2021 to 2023, reflecting year-on-year decreases of 9.67%, 21.98%, and 14.78% respectively [12]. - In 2024, the company's revenue further decreased by 37.44% to 1.728 billion yuan [12]. Group 3: Shareholding Changes - Following the completion of the share transfer, Huang Tao's shareholding decreased from 32.46% to 28.28%, while Weng Shuhua's stake increased to 4.18%, making her a significant shareholder [6]. - The company was founded in May 2010 and has transitioned from a small online cosmetics retailer to a publicly listed entity [6].