Marubi(SH:603983)2025-04-28 15:33Summary of the Conference Call for Perfect Diary (完美生物技术股份有限公司) Company Overview - The conference call discusses the financial performance and strategic initiatives of Perfect Diary, a leading player in the beauty and skincare industry, particularly focusing on its transformation and growth in the market. Key Financial Performance - Q1 2025 Revenue: 847 million yuan, a year-on-year increase of 28%, marking nine consecutive quarters of revenue and profit growth [2][4] - 2024 Revenue: 2.97 billion yuan, a year-on-year increase of 33.44%, with main business revenue accounting for 99.94% [4] - Gross Margin: 2024 gross margin at 73.7%, up 3.01 percentage points year-on-year; Q1 2025 gross margin at 76.05%, up 1.45 percentage points year-on-year [2][5] - Net Profit: 2024 net profit attributable to shareholders at 342 million yuan, up 31.69% year-on-year; Q1 2025 net profit at 135 million yuan, up 22.07% year-on-year [2][5] Brand Performance - Perfect Brand Revenue: 2 billion yuan in 2024, accounting for 69% of total revenue, with eye products contributing 33% [6] - PL Brand Revenue: 900 million yuan in 2024, accounting for 30% of total revenue, with foundation products achieving over 100 million yuan in GMV [6] - Online vs. Offline Growth: Online channel revenue grew by 36% while offline grew by 21%, indicating a stronger performance in online sales [6] Research and Development - R&D Investment: 73.5 million yuan in 2024, an 18% increase year-on-year; a total of 596 patents applied, with 319 granted [8] - Industry Leadership: The company leads in R&D and patent reserves, having published 53 papers and participated in 82 standard-setting initiatives [8] Marketing and Brand Strategy - Marketing Shift: Transitioned from "eye care expert" to "focusing on reducing fine lines," emphasizing user connection and brand value [4][11] - Product Strategy: Focus on big product strategies, with significant upgrades to key products like the small red pen eye cream [12][16] - Social Media Marketing: Achieved significant engagement through short videos, with 1.2 billion views and high new customer conversion rates [19][25] Sustainability and Corporate Governance - Sustainability Initiatives: Selected as a green factory in Guangdong, with multiple products achieving carbon neutrality certifications [10] - Dividend Policy: Consistent dividends since 2019, totaling 900 million yuan, reflecting a commitment to shareholder returns [9] Future Outlook - Growth Strategy: Plans to enhance technology innovation and operational efficiency, aiming to solidify its position as a leading company in the industry [14][51] - Product Expansion: Introduction of new products like the collagen small gold needle and the whitening essence, with sales targets set for significant growth [52] Challenges and Responses - Market Competition: Acknowledgment of fierce competition in the sunscreen market, with a focus on anti-aging products [55] - Channel Strategy: Addressing challenges in offline sales by enhancing customer experience and maintaining a robust online presence [27][46] Conclusion - Perfect Diary demonstrates strong financial performance, innovative marketing strategies, and a commitment to sustainability, positioning itself for continued growth in the competitive beauty industry. The company is focused on leveraging technology and enhancing customer engagement to drive future success.