Core Viewpoint - The company reported a significant decline in revenue while achieving substantial growth in net profit, indicating a challenging balance between market expansion and cost control [1][2]. Revenue and Profit Discrepancy - The company's revenue decreased to 422 million yuan, a year-on-year decline of 33.91%, primarily due to the weakness in its core business and a significant reduction in brand online sales services [1][2]. - Despite the revenue drop, net profit reached 13 million yuan, reflecting a year-on-year increase of 90.5%, driven by cost control and operational efficiency improvements [1][2]. - The reduction in sales expenses and marketing investments raises concerns about future business growth potential [2]. Research and Development Challenges - The company has shown a worrying trend in R&D investment, with a continuous decrease in R&D expenses and a decline in the number of R&D personnel, indicating insufficient investment in technological innovation [3]. - The focus on operational efficiency over R&D may hinder the company's ability to compete effectively in the beauty e-commerce sector, where technology-driven service capabilities are crucial [3]. - An increase in the number of shareholders and a decrease in share concentration suggest a lack of confidence in the company's future development [3]. Conclusion: Need for Strategic Rebuilding - To achieve sustainable growth, the company must optimize its market strategy by reassessing customer structure and market layout, enhancing competitiveness in the domestic market, and exploring opportunities in emerging markets [4]. - Increasing R&D investment is essential to make technological innovation a core driver of long-term development, thereby enhancing digital service capabilities and market competitiveness [4].