Core Viewpoint - The successful registration of bio-synthesized royal jelly acid by Furuida, a subsidiary of Lushang Group, marks a significant breakthrough in the Chinese cosmetics industry, enabling the large-scale application of this active ingredient and leading innovation in the sector [1][8]. Group 1: Royal Jelly and Its Applications - Royal jelly is a complex substance secreted by worker bees, consisting of water, proteins, sugars, lipids, and trace components, and is known for its strong biological activity with potential applications in food, medical materials, health products, and cosmetics [3][4]. - Historically, royal jelly has been used in skincare, with records dating back over 2000 years in ancient Egypt and China [3]. Group 2: Benefits of Royal Jelly Acid - Royal jelly exhibits multiple benefits in cosmetics, including anti-aging properties by promoting collagen production and inhibiting skin photoaging [4][5]. - It also has antibacterial properties, effectively inhibiting Staphylococcus aureus and other microbes [5]. - Additionally, royal jelly shows strong anti-inflammatory effects, enhancing skin barrier function and hydration [5]. Group 3: Challenges in Industrialization - The core component of royal jelly, 10-hydroxy-2-decenoic acid (royal jelly acid), is present in low concentrations (1.4%-2.4%), making extraction and application challenging [6][7]. - Despite China being the largest producer of royal jelly, the high cost and limited availability of royal jelly acid have hindered its widespread use in cosmetics [7][8]. Group 4: Industry Significance of Furuida's Breakthrough - Furuida's successful registration of royal jelly acid as a new cosmetic ingredient represents a significant advancement in the domestic cosmetics industry, breaking the research and application gap in this area [8][9]. - The innovative biosynthesis technology developed by Furuida enhances the efficiency and yield of royal jelly acid production, addressing the challenges of high costs and limited availability [9][10]. - The discovery of royal jelly acid's skin barrier protection and anti-aging effects further solidifies its potential as a key ingredient in cosmetics [10]. Group 5: Broader Implications for the Cosmetics Industry - The success of royal jelly acid is indicative of a broader trend in the Chinese cosmetics industry towards reducing reliance on foreign technology and increasing domestic innovation [11]. - The number of newly registered cosmetic ingredients in China is at a historical high, with over 40% being supported by synthetic biology, reflecting a strategic shift towards "domestic substitution" in response to global supply chain uncertainties [11].

Core Viewpoint - The cosmetics industry is facing a dilemma where companies must balance between investing in traffic for exposure and managing high costs that erode profits. A shift towards research and cultural foundations rather than solely focusing on GMV growth is essential for sustainable development [1][3]. Group 1: Industry Trends - The current trend in the cosmetics industry indicates that relying solely on traffic for sales is becoming increasingly costly, leading to a need for companies to enhance content quality to attract users [6][7]. - The importance of storytelling and emotional connection with consumers is emphasized, as brands that focus on cultural narratives tend to perform better in terms of sales [4][5]. Group 2: Company Insights - Founded in 1998, the company initially specialized in hyaluronic acid production and has since expanded its business to include skincare, makeup, fragrance, and hair care, reporting approximately 939 million yuan in revenue and 69.7 million yuan in net profit for the first half of the year [2]. - The company has identified a significant difference in performance between its brands, with one brand focusing on technology and another on cultural storytelling, highlighting the effectiveness of the latter in driving sales [4][5]. Group 3: Marketing Strategy - The company is adapting its marketing strategy to focus on content creation rather than just selling products, aiming to engage users and reduce reliance on expensive traffic [6][7]. - A multi-channel approach is being adopted to avoid dependency on a single platform, ensuring that investments in one platform can drive conversions across others [7]. Group 4: Technological Advancements - The company is exploring synthetic biology to lower production costs and improve the efficiency of raw material extraction, which is seen as a necessary trend in the cosmetics industry [8]. - The company is committed to continuous investment in its core product, hyaluronic acid, while also developing new growth areas such as skin microbiome and recombinant collagen [9]. Group 5: Future Plans - The company has launched a medical beauty brand, aiming to integrate cosmetic logic with medical applications, and plans to expand into hospitals and medical aesthetics channels [9][10]. - The company is in the process of applying for "medical device" certification, leveraging its existing pharmaceutical background to enhance its product offerings in the medical field [10].

Core Viewpoint - The Chinese cosmetics industry is undergoing a high-quality transformation driven by "ingredients," with a focus on the active ingredient "10-Hydroxy-2-Decenoic Acid" (commonly known as Royal Jelly Acid) emerging as a significant innovation following Hyaluronic Acid [2][3]. Group 1: Research and Development Progress - On May 21-23, 2025, Furuida Bio Co., Ltd. publicly disclosed important research advancements regarding Royal Jelly Acid, showcasing a comprehensive approach from "synthesis process to efficacy research to application" [4][6]. - Royal Jelly Acid, a unique unsaturated fatty acid found in royal jelly, is considered a core indicator of royal jelly quality, with a content of only 1.4-2.4% [4][6]. - Furuida Bio has achieved breakthroughs in synthesizing Royal Jelly Acid through collaboration with Qilu University of Technology, resulting in high-yield production methods [6][10]. Group 2: Application and Market Potential - The successful development of Royal Jelly Acid not only breaks technical barriers but also enhances brand recognition, positioning it as a new key ingredient in China's raw material library [2][4]. - Furuida Bio's research has led to the discovery of Royal Jelly Acid's skin barrier protection and anti-aging effects, with the ingredient officially registered as a new cosmetic raw material in July 2024 [6][10]. - The upcoming launch of the "Jingyan Jinzhi" product line, featuring Royal Jelly Acid, is set for June 2025, indicating the ingredient's entry into the cosmetics market [22][24]. Group 3: Industry Implications - The transition from Hyaluronic Acid to Royal Jelly Acid reflects a collective awakening among domestic brands regarding ingredient development and value return [27][32]. - The competition for key active ingredients in the global cosmetics market has evolved into a "technology chip war," where mastery of core raw materials and innovative applications determines market leadership [28][29]. - The successful industrialization of Royal Jelly Acid represents a significant shift in the Chinese cosmetics industry's approach to ingredient science, emphasizing the importance of independent research and development [31][32].