Core Insights - The Chinese cosmetics industry is currently in a critical phase of innovation-driven development, with a focus on the latest trends in beauty technology and future projections [2] - Yatsen Group has released the "Yatsen Group Beauty Innovation White Paper," marking it as China's first beauty innovation white paper and highlighting China's rising influence in global beauty technology research and development [2][8] - The white paper outlines Yatsen Group's systematic achievements in global research layout, technological innovation, efficacy verification, and sustainable development [2][5] Group 1: Innovation and Research - The white paper serves as a significant milestone in the history of China's beauty industry, showcasing the company's research capabilities and establishing a data-driven innovation model for the industry [2][4] - Yatsen Group revealed its core technology achievements related to the DR.WU PDRN essence, which allows consumers to experience "applicable water light" effects at home, breaking through traditional medical beauty efficacy [2][4] - The company has developed the "Nanoxinfuse™" technology in collaboration with Huazhong University of Science and Technology, enhancing the penetration and stability of active ingredients [4] Group 2: R&D Investment and Strategy - Since its listing on the NYSE in 2020, Yatsen Group has prioritized R&D as its core strategy, investing over 600 million yuan in R&D, with R&D expenses consistently exceeding 3% of total revenue for three consecutive years [5] - The company has established three global R&D centers in Shanghai, Guangzhou, and Toulouse, France, creating an "end-to-end" innovation research and development system [5] - Yatsen Group's skincare business now accounts for over 50% of its total revenue, positioning it among the top ten domestic beauty companies [5] Group 3: Collaborative Innovation - Yatsen Group promotes an open collaborative approach through the Open Lab model, partnering with various universities and hospitals to facilitate the rapid transformation of research outcomes into market applications [6] - The release of the beauty innovation white paper exemplifies the deep integration of industry, academia, and research, showcasing the company's commitment to scientific research and application-oriented development [8] - The founder and CEO of Yatsen Group expressed confidence that world-class beauty innovations can emerge from China, highlighting the potential of Chinese brands on the global stage [8]

Core Insights - The launch of the "Yatsen Group Beauty Innovation White Paper" marks a significant milestone for China's beauty technology, positioning it among the global leaders in research and development [1][3][5] Group 1: White Paper Overview - The white paper is the first of its kind in China, systematically outlining Yatsen Group's achievements in global research layout, technological innovation, efficacy verification, and sustainable development [3][5] - It serves as a window to showcase the company's R&D strategy, technological achievements, and future directions, reflecting the potential for world-class beauty innovation to emerge from China [5][12] Group 2: Industry Context - The Chinese cosmetics industry is currently in a critical phase of innovation-driven development, with the white paper providing valuable insights and foresight into future trends [7][9] - The release of the white paper is seen as a vital contribution to the ongoing transformation of the Chinese cosmetics industry, injecting new wisdom and vitality [7][9] Group 3: Research and Development Achievements - Yatsen Group has established a comprehensive "end-to-end" innovation system, integrating research, formulation development, efficacy validation, and manufacturing [18][20] - The company has invested over 600 million yuan in R&D since its NYSE listing in 2020, maintaining a R&D expense ratio exceeding 3% for three consecutive years, placing it among the top tier in the global beauty industry [17][20] Group 4: Product Innovations - The launch of the DR.WU PDRN Water Light Essence showcases the application of advanced technologies, including AI molecular docking and a patented delivery system, enhancing the efficacy of active ingredients [14][16] - The white paper highlights multiple innovative achievements, including the introduction of the Biotec™ technology, which integrates Nobel Prize-winning science into beauty products [16][18] Group 5: Financial Performance - Yatsen Group reported a revenue of 1.09 billion yuan for Q2 2025, a year-on-year increase of 36.8%, with a gross profit margin of 78.3% [21] - The skincare segment has shown remarkable growth, contributing 53.5% to total revenue, indicating the effectiveness of the company's R&D-driven growth strategy [21]