Industry Overview - The beauty industry is showing signs of recovery, with a reported 8.8% year-on-year growth in retail sales of cosmetics for December 2025 according to the National Bureau of Statistics [1] - In January 2026, Douyin's beauty GMV increased by over 20% year-on-year, indicating improved daily sales and self-broadcasting efforts by brands [1] Company Insights - According to a report by Guotai Junan, the main brand of Shangmei Co., Han Shu, continues to expand its product categories, while sub-brands Yiye and Anminyou are experiencing significant growth in single products, suggesting a strong multi-brand strategy that could drive future growth [2] Stock Performance - Over the past week (February 5 to February 11, 2026), Shangmei Co.'s stock price has experienced a downward trend, with a decline of 2.61%. The stock reached a high of 67.95 HKD and a low of 62.10 HKD, with a trading volume of approximately 334 million HKD. Technical indicators show that MACD is in negative territory and KDJ is weak, indicating pressure on the stock price [3]

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2026年1月31日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 上海上美化妝品股份有限公司 (於中華人民共和國註冊成立的股份有限公司) 呈交日期: 2026年2月5日 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | H | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 02145 | 說明 | 普通股 | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | 法定/註冊股本 | | | 上月底結存 | | | 206,354,542 | RMB | | 1 RMB | | 206,354,542 | | 增加 / 減少 (-) | | | 0 | | | RMB | | 0 | | 本月底結存 | | | 206,354,542 | RMB | | 1 RMB | | 206,354,542 | | 2. ...

Group 1 - The Hong Kong stock market saw a rise in new consumer stocks, with Pop Mart leading the gains at nearly 5% [1] - Other notable performers included Blukoo, Maogeping, and Guming, which all rose over 3% [1] - Companies such as Laopu Gold, Shangmei Group, Mixue Group, Miniso, Weilon Delicious, and others also experienced increases of over 2% [1] Group 2 - Pop Mart's stock rose by 4.81%, reaching a latest price of 248.600, with a total market capitalization of 333.08 billion and a year-to-date increase of 32.45% [2] - Blukoo's stock increased by 3.84%, with a latest price of 72.950 and a market cap of 18.13 billion, showing a year-to-date rise of 8.96% [2] - Maogeping's stock rose by 3.83%, priced at 89.350, with a market cap of 43.798 billion and a year-to-date increase of 9.36% [2] - Guming's stock increased by 3.58%, with a latest price of 29.500 and a market cap of 70.156 billion, reflecting a year-to-date rise of 19.05% [2] - Laopu Gold's stock rose by 2.91%, priced at 759.500, with a market cap of 134.237 billion and a year-to-date increase of 22.90% [2] - Shangmei Group's stock increased by 2.92%, with a latest price of 67.000 and a market cap of 26.673 billion, showing a year-to-date decline of 7.97% [2] - Mixue Group's stock rose by 2.80%, priced at 396.600, with a market cap of 150.557 billion, reflecting a year-to-date decline of 3.22% [2] - Miniso's stock increased by 2.43%, with a latest price of 37.100 and a market cap of 44.916 billion, showing a year-to-date increase of 1.92% [2] - Weilon Delicious's stock rose by 2.63%, priced at 12.470, with a market cap of 30.316 billion and a year-to-date increase of 10.84% [2] - Hushang Ayi's stock increased by 1.28%, with a latest price of 86.750 and a market cap of 9.126 billion, reflecting a year-to-date increase of 1.34% [2] - Chazhidao's stock rose by 1.11%, priced at 6.370, with a market cap of 9.413 billion, showing a year-to-date decline of 3.19% [2] - Wuwu Hen Mang's stock increased by 0.90%, with a latest price of 403.000 and a market cap of 86.851 billion, reflecting a year-to-date increase of 70.33% [2]

Group 1 - The Hong Kong stock market saw new consumer stocks rise against the trend, with Pop Mart leading the gains at nearly 5% [1] - Other notable gainers included Blukoo, Maogeping, and Gu Ming, which rose over 3% [1] - Additional companies such as Laopu Gold, Shangmei, Mixue Group, Miniso, Weilon Delicious, and others experienced increases of over 2% [1] Group 2 - Pop Mart's stock increased by 4.81%, reaching a latest price of 248.600, with a total market capitalization of 333.08 billion and a year-to-date increase of 32.45% [2] - Blukoo's stock rose by 3.84% to a price of 72.950, with a market cap of 18.131 billion and a year-to-date increase of 8.96% [2] - Maogeping's stock increased by 3.83%, reaching 89.350, with a market cap of 43.798 billion and a year-to-date increase of 9.36% [2] - Gu Ming's stock rose by 3.58% to 29.500, with a market cap of 70.156 billion and a year-to-date increase of 19.05% [2] - Laopu Gold's stock increased by 2.91% to 759.500, with a market cap of 134.237 billion and a year-to-date increase of 22.90% [2] - Shangmei's stock rose by 2.92% to 67.000, with a market cap of 26.673 billion and a year-to-date decrease of 7.97% [2] - Mixue Group's stock increased by 2.80% to 396.600, with a market cap of 150.557 billion and a year-to-date decrease of 3.22% [2] - Miniso's stock rose by 2.43% to 37.100, with a market cap of 44.916 billion and a year-to-date increase of 1.92% [2] - Weilon Delicious's stock increased by 2.63% to 12.470, with a market cap of 30.316 billion and a year-to-date increase of 10.84% [2] - Hushang Ayi's stock rose by 1.28% to 86.750, with a market cap of 9.126 billion and a year-to-date increase of 1.34% [2] - Chabaidao's stock increased by 1.11% to 6.370, with a market cap of 9.413 billion and a year-to-date decrease of 3.19% [2] - Wuwu Hen Mang's stock rose by 0.90% to 403.000, with a market cap of 86.851 billion and a year-to-date increase of 70.33% [2]

Summary of Key Points from the Conference Call Records Industry Overview - The records focus on the cosmetics industry in China, specifically analyzing the Gross Merchandise Value (GMV) of various brands in January 2026 through data from the Douyin platform. Key Companies and Their Performance 1. 上美股份 (Shangmei Group) - Total GMV for 韩束 (Hansu) and its sub-brands in January was approximately 6.6 billion CNY, representing a 9% increase year-over-year [1] - 韩束 brand GMV was about 5.3 billion CNY, showing a decline of 3% [1] - NewPage brand GMV reached approximately 0.7 billion CNY, marking a significant increase of 120% [1] - 极方 (Jifang) achieved a GMV of 0.1 billion CNY, with rapid growth year-over-year [1] - 聚光白 (Juguangbai) also recorded a GMV of 0.1 billion CNY, indicating high growth [1] - 安敏优 (Anminyou) had a GMV of 0.3 billion CNY, with a remarkable year-over-year growth of 267% [1] 2. 珀莱雅 (Proya) - The three major brands under Proya had a combined GMV of 3.5 billion CNY in January, reflecting a 2% increase [1] - The main brand, 珀莱雅, generated a GMV of approximately 2.8 billion CNY, down by 2% [1] - 彩棠 (Caitang) brand GMV was 0.3 billion CNY, showing a decline of 12% [1] - OR洗护 (OR Hair Care) brand GMV reached 0.3 billion CNY, with a substantial increase of 148% [1] 3. 若羽臣 (Ruoyuchen) - The combined GMV for the brands 绽家 (Zhanjia), 斐萃 (Feicui), and Nuibay was 1.7 billion CNY [2] - 绽家 brand GMV was 0.7 billion CNY, increasing by 88% [2] - 斐萃 brand GMV was 0.8 billion CNY, showing a remarkable growth of 345% [2] 4. 丸美股份 (Marubi) - The total GMV for its two main brands was 2.6 billion CNY, reflecting a 1% increase [2] - 主品牌丸美 (Marubi) had a GMV of approximately 1.8 billion CNY, up by 5% [2] - 恋火 (Lianhuo) brand GMV was 0.8 billion CNY, down by 7% [2] 5. 毛戈平 (Mao Geping) - The brand achieved a GMV of approximately 2.9 billion CNY, with an increase of 78% [2] 6. 林清轩 (Lin Qingxuan) - The brand's GMV was 2.6 billion CNY, reflecting a significant increase of 145% [2] 7. 薇诺娜 (Winona) - The brand recorded a GMV of 1.0 billion CNY, with a growth of 156% [2] 8. 润本 (Runben) - The brand's GMV was approximately 0.4 billion CNY, showing a slight decline of 1% [2] 9. 福瑞达 (Furuida) - The two major brands under Furuida had a combined GMV of about 0.8 billion CNY, increasing by 12% [2] 10. 水羊股份 (Shuiyang) - The four major brands achieved a GMV of approximately 0.7 billion CNY, doubling year-over-year [2] 11. 上海家化 (Shanghai Jahwa) - The three skincare brands under Shanghai Jahwa had a combined GMV of about 0.9 billion CNY, reflecting a significant increase of 252% [2] 12. 植物医生 (Plant Doctor) - The brand's GMV in December was 0.1 billion CNY, showing a decline of 5% [2] 13. 拉芳 (Lafang) - The brand achieved a GMV of approximately 0.1 billion CNY, with an increase of 135% [2] Additional Insights - The data indicates a mixed performance across various brands, with some experiencing significant growth while others faced declines. - The overall trend suggests a competitive landscape in the cosmetics industry, with emerging brands showing strong growth potential, particularly in the Douyin channel. This analysis highlights the dynamic nature of the cosmetics market in China, emphasizing the importance of monitoring GMV trends for investment opportunities and risk assessment.

Group 1 - Anta Sports (82020), Li Ning (82331), and JD Health (86618) have the highest short-selling ratios at 100.00% each [1][2] - BYD Company (01211), Meituan (03690), and Xiaomi Group (01810) lead in short-selling amounts, with 1.896 billion, 1.439 billion, and 0.965 billion respectively [1][2] - Li Ning (82331), Shangmei Group (02145), and Bank of China Hong Kong (82388) have the highest deviation values at 37.55%, 31.60%, and 30.16% respectively [1][2] Group 2 - The top short-selling ratio rankings include Anta Sports (82020) at 100.00%, Li Ning (82331) at 100.00%, and JD Health (86618) at 100.00% [2] - The top short-selling amounts are led by BYD Company (01211) at 1.896 billion, Meituan (03690) at 1.439 billion, and Xiaomi Group (01810) at 0.965 billion [2] - The top deviation values are led by Li Ning (82331) at 37.55%, Shangmei Group (02145) at 31.60%, and Bank of China Hong Kong (82388) at 30.16% [2]

Industry Overview - The Chinese beauty industry is transitioning from "incremental expansion" to "stock game," indicating a shift towards a mature market with a projected market size of 465.3 billion yuan by 2025, reflecting a 5.1% year-on-year growth [1] - Domestic brands are gaining market share by accurately understanding local consumer needs and demonstrating agile operational responses, evolving from market participants to market leaders [1] - The competition has shifted from traffic acquisition to a systematic comparison of brand strength, product technology, and sustainable innovation capabilities, leading to a concentration of resources among top companies with established multi-brand matrices and platform operations [1] Company Performance - The company has successfully transformed from a "single-core drive" to a "platform group," with its main brand, Han Shu, contributing 3.344 billion yuan in revenue in the first half of 2025, shifting growth from reliance on Douyin to expanding into men's skincare and high-end hair care [2] - The company has validated its brand incubation capabilities, with the "Yi Ye" brand representing a second growth curve, achieving a 146.5% year-on-year revenue increase to 397 million yuan in the same period [2] - Emerging brands like An Min You and Ji Fang are also showing strong growth, contributing to the company's long-term multi-brand matrix [2] Long-term Strategy - The company has outlined a clear blueprint to achieve 30 billion yuan in sales by 2030, driven by three core strategies: the implementation of research results, expansion of brand categories, and deepening global layout [3] - The company plans to enhance its product efficacy through the expansion of technology matrices like X-peptide and leverage global expert resources [3] - The company aims to establish local manufacturing and operations in Southeast Asia while applying AI in production and marketing to improve operational efficiency, supporting the long-term revenue target [3] - Expected EPS for the company from 2025 to 2027 is projected to be 2.73, 3.41, and 4.04 yuan respectively, maintaining a "buy" rating [3]

Core Insights - Han Shu has announced that its user base has surpassed 100 million, highlighting its quality control system, product cost, positioning, and future development plans [2] - The company maintains a strict quality control system from raw material sourcing to mass production, ensuring consistency and safety in its products [2] - Han Shu's overall product cost rate remains at approximately 25%, which is considered a significant advantage in the industry [3] Quality Control - Han Shu implements rigorous qualification audits for raw material suppliers and requires complete technical reports for each batch of raw materials [2] - The company conducts internal testing for each batch of products to verify the consistency of raw material indicators [2] - Each product batch is assigned a traceable batch number, allowing consumers to track the source and production time of the products [2] Market Performance - Han Shu's parent company, Shanghai Shangmei Cosmetics Co., Ltd., is experiencing explosive growth, with revenue increasing by 56.6% and 62.1% in 2023 and 2024, respectively [4] - The company's net profit attributable to shareholders has surged by 213.5% and 69.4% in the same periods [4] - In the first half of 2025, the company achieved revenue of 4.108 billion yuan, a year-on-year increase of 17.3%, and a net profit of 524 million yuan, up 30.7% [4] Product Strategy - Han Shu's Red Waist套盒 has become a bestseller, priced between 300-400 yuan, offering a combination of multiple products [4] - The brand focuses on high cost-performance ratios, aiming to be recognized as a "five good brand" that emphasizes quality, brand, and value [4] - The company is entering a 3.0 development phase, transitioning from a B2B model to a multi-brand, multi-category approach to serve diverse consumer needs [5] Growth Areas - Han Shu's men's skincare and hair care products are showing high growth potential, with sales of the red bottle shampoo exceeding 100 million yuan and men's essence surpassing 300 million yuan by 2025 [5] - The brand matrix includes multiple brands such as Han Shu, Yi Ye Zi, and Hong Se Xiao Xiang, indicating a broadening of its market presence [5]

Investment Rating - The report maintains a "Buy" rating for the company, indicating a projected investment return that exceeds the market benchmark by over 20% in the next 6-12 months [6]. Core Insights - The Chinese beauty industry is transitioning from "incremental expansion" to "stock game," with the market expected to reach a scale of 465.3 billion yuan by 2025, reflecting a 5.1% year-on-year growth, marking the maturity of the market [1][6]. - Domestic brands are gaining market share due to their understanding of local consumer needs and agile operations, shifting from market participants to leaders [1]. - The competition has evolved from traffic acquisition to a systematic comparison of brand strength, product technology, and sustainable innovation capabilities [1]. Summary by Relevant Sections Company Performance - The company has successfully transitioned from a "single-core drive" to a "platform group" strategy, with its main brand, Han Shu, contributing 3.344 billion yuan in revenue in the first half of 2025, driven by the expansion into men's skincare and high-end hair care [2]. - The second growth curve represented by the "Yi Ye" brand has seen a revenue surge of 146.5% year-on-year to 397 million yuan [2]. Long-term Growth Strategy - The company has set a clear goal to achieve 30 billion yuan in sales by 2030, supported by three core drivers: scientific research outcomes, brand category expansion, and deepening global layout [3]. - The application of AI in production and marketing, along with talent development, is expected to enhance operational efficiency and support the long-term revenue target [3]. Financial Projections - Revenue is projected to grow from 4.191 billion yuan in 2023 to 12.646 billion yuan in 2027, with a compound annual growth rate (CAGR) of 56.6% in 2024 and 27.4% in 2025 [4]. - Net profit is expected to increase from 461 million yuan in 2023 to 1.609 billion yuan in 2027, with a significant growth rate of 213.5% in 2024 [4]. - Earnings per share (EPS) are forecasted to rise from 1.16 yuan in 2023 to 4.04 yuan in 2027, reflecting strong profitability [4].

Core Insights - The beauty industry is witnessing a shift as leading brands are refocusing on offline channels, which are expected to become a significant growth area by 2026 [1][3] - Major companies like Marubi, Proya, and Shiseido are signaling a strategic pivot towards offline sales, indicating a collective recognition of the potential profitability in this space [1][3][4] Group 1: Market Trends - The past year has seen brands expressing concerns over high competition, expensive traffic, and declining online sales, leading to a reevaluation of growth strategies [1][2] - Data from 2023-2024 shows slight increases in offline revenues for major brands, but their overall contribution to total revenue is declining, highlighting a need for strategic investment in offline channels [3][4] Group 2: Strategic Shifts - Natural堂 has demonstrated the potential of offline channels, with average annual revenues exceeding 1.6 billion yuan over the past three years, indicating that offline can still be a vital growth area [4] - The increasing costs of online traffic and the saturation of online platforms are pushing beauty brands to reconsider their channel strategies, making offline channels a more attractive option for sustainable growth [4][5] Group 3: OTC Channel Opportunities - The OTC (Over-the-Counter) channel is emerging as a key battleground for domestic brands, with over 30% of the top 100 cosmetic brands already having products displayed in pharmacies [6][7] - Major pharmacy chains are actively seeking to expand their beauty product offerings, with plans to introduce personal care items in a significant number of their stores [6][7] Group 4: Brand Strategies - Brands are adopting targeted product strategies for different channels, with Marubi launching new products specifically for offline sales and Proya entering the OTC market with a focus on medical and cosmetic synergy [8][9] - The emphasis is on creating engaging in-store experiences and building emotional connections with consumers to enhance brand loyalty and drive sales [10][11]