Core Viewpoint - Lanting Technology has decided to terminate its IPO guidance due to declining operational performance and unfavorable market conditions, marking a significant setback for the company since it signed the listing guidance agreement in November 2021 [1][2]. Financial Performance - In the past year, Lanting Technology reported a revenue of 323 million yuan, a year-on-year decline of 14.87% [3][4]. - The net profit attributable to shareholders was -17.27 million yuan, a decrease of 49.65% compared to the previous year [3][4]. - The company's net profit after deducting non-recurring gains and losses also fell by 43.28% to -21.10 million yuan [3]. Business Segments - The skincare segment generated revenue of 214 million yuan, down 22.55%, while maintaining a gross margin of 76.54% [5]. - The color cosmetics segment saw a slight increase in revenue by 0.28% to 56.52 million yuan [5]. - The health products segment experienced a revenue decline of 23.29% [5]. - The wash and bath products segment achieved a revenue growth of 48.24% to 27.92 million yuan, attributed to increased sales to overseas clients [5]. Debt and Cash Flow - Short-term borrowings surged by 252.46% to 28.22 million yuan, representing 10.15% of total assets [6][7]. - The net cash flow from operating activities decreased by 258.64% to -12.16 million yuan [7]. E-commerce and Market Strategy - E-commerce revenue fell by 25.53% to 207 million yuan, with a corresponding decrease in operating costs by 49.34% [10]. - The company emphasized the importance of online channels amid increasing competition in the cosmetics retail sector [10]. R&D and Future Plans - R&D expenses decreased by 17.36% to 14.30 million yuan, accounting for 4.42% of total revenue [10]. - Lanting Technology is focusing on international expansion, having established its first overseas factory in Malaysia, which is expected to reduce delivery times and customer concentration risks [11].