Investment Rating - The investment rating for the company is "Buy" (maintained) [2] Core Views - The company's revenue for H1 2025 was 1.769 billion yuan, representing a year-on-year growth of 30.8%, while the net profit attributable to the parent company was 186 million yuan, with a year-on-year increase of 5.2%. The second quarter of 2025 saw revenue of 923 million yuan, up 33.5%, but net profit decreased by 23.1% [7][10] - Increased sales expenses impacted overall profit performance, with a sales expense ratio of 56.5% in H1 2025, up 3.4 percentage points year-on-year. The net profit margin was 10.5%, down 2.6 percentage points year-on-year [7][13] - The Marubi brand generated revenue of 1.25 billion yuan, a year-on-year increase of 34.4%, driven by strategic investments in product development and marketing [7] - The PL brand achieved revenue of 516 million yuan, a year-on-year increase of 23.87%, indicating a stable development phase [7] - Online channels accounted for 88.87% of total revenue in H1 2025, with a year-on-year growth of 37.85%, while offline channels saw a decline of 7.07% [7] - The company is expected to continue its multi-brand and multi-channel strategy, focusing on collagen-based skincare products and innovative makeup items [7] Financial Data and Profit Forecast - Total revenue projections for 2025 are estimated at 3.815 billion yuan, with a year-on-year growth rate of 28.5%. The net profit attributable to the parent company is forecasted to be 418 million yuan, reflecting a growth rate of 22.4% [6] - The gross profit margin is expected to be 73.9% in 2025, with a return on equity (ROE) of 11.6% [6] - The company has slightly adjusted its profit forecasts for 2025-2026, now expecting net profits of 420 million yuan and 530 million yuan for 2025 and 2026, respectively [7]

Investment Rating - The report maintains a "Recommended" rating for the company, with a current price of 45.29 yuan [4]. Core Insights - The company achieved a revenue of 1.769 billion yuan in H1 2025, representing a year-on-year growth of 30.83%. The net profit attributable to shareholders was 186 million yuan, up 5.21% year-on-year [1]. - The skincare segment led revenue growth with 693 million yuan, followed by other beauty categories [1]. - The company continues to deepen its focus on key products, achieving significant technological breakthroughs, including the launch of a new collagen mask that topped sales rankings [3]. - The PL brand also saw growth driven by enhanced product offerings and effective online marketing strategies [3]. Financial Performance - In H1 2025, the gross margin was 74.6%, with a slight decrease of 0.07 percentage points year-on-year. The net profit margin was 10.5%, down 2.56 percentage points year-on-year [2]. - The company plans to distribute a cash dividend of 2.50 yuan per 10 shares, totaling 100 million yuan, which accounts for 53.97% of the net profit for the first half of the year [1]. - Revenue projections for 2025-2027 indicate a steady growth trajectory, with net profits expected to reach 440 million yuan in 2025, 580 million yuan in 2026, and 739 million yuan in 2027 [5][7]. Product and Market Strategy - The main brand, Marubi, focuses on key products and strong brand momentum, while the PL brand is developing a second growth curve in the foundation segment [4]. - The company has launched several new products and marketing campaigns that have significantly increased engagement and sales, particularly through online platforms [3]. Future Outlook - The company is expected to maintain a robust growth rate, with projected net profit growth rates of 27.6% in 2025, 31.8% in 2026, and 27.3% in 2027 [4]. - The current price-to-earnings (PE) ratios for 2025-2027 are projected at 42x, 32x, and 25x respectively, indicating a favorable valuation trend [5][7].