Shanghai Chicmax Cosmetic (2145) H2 2025 earnings summary

Executive summary

• FY2025 revenue rose 35.1% YoY to RMB9,177.8 million; gross profit increased 37.3% to RMB7,014.7 million and profit for the year rose 43.7% to RMB1,154.2 million.

• Basic and diluted EPS increased to RMB2.77 from RMB1.96; the Board proposed a final dividend of RMB0.75 per share, subject to shareholder approval.

Financial highlights

• Gross margin was 76.4% versus 75.2% in 2024; the increase was attributed to a higher online self-operated sales mix and greater contribution from mid- to high-end brands.

• Selling and distribution expenses rose 35.9% to RMB5,362.7 million; marketing and promotion spending increased 42.0% to RMB4,708.2 million.

• R&D costs increased 24.9% to RMB224.7 million; income tax expense rose to RMB242.2 million from RMB123.7 million.

• Operating cash flow was RMB1,205.2 million versus RMB547.0 million in 2024.

Outlook and guidance

• The six-six strategy targets six competitive capabilities and six business sectors, including mass skincare, washing and personal care, maternity and baby and teen products, skin medical beauty, makeup and premium skincare.

• Plans include continued R&D investment in anti-aging and skin-barrier technologies, new ingredients and formulas, alongside AI-enabled management and data analysis tools.

• Online channel expansion will prioritize Douyin, Tmall/Taobao, JD and Kuaishou, alongside a deeper offline omnichannel strategy.

• The AI-enabled unmanned cosmetics workshop is in production with stated daily capacity of 2 million bottles; strategy also calls for expanding international R&D, business presence and brand awareness.