CHAILEEDO has compiled the performance of 30 listed cosmetics-related companies that have released their quarterly reports up to October 31.
In the first three quarters of 2024, both the total revenue and total profits of the 30 companies showed a decline.
Specifically, among the 30 listed cosmetics-related companies surveyed, one-third experienced a decrease in revenue, and out of the 29 companies for which net profit data was available, 20 reported a decrease in net profit.
It is worth noting that 27% of the companies (8 in total) saw an increase in revenue without a corresponding increase in profits. Five companies experienced a revenue decline of more than double digits, and 50% of the companies saw a net profit decline of more than double digits.
- Revenue Performance: Slight Decline, Single-Digit Growth for Brand Owners and OEM/ODM Companies
In terms of revenue performance, the total revenue of 30 listed cosmetics-related companies in 2024 reached 62.301 billion yuan, a decrease of 0.8% compared to the same period last year.
Specifically, brand owners achieved single-digit revenue growth in the first three quarters of the year, with a year-on-year growth rate of 5.4%, totaling 30.199 billion yuan.
Among the 10 brand owners surveyed, three companies including Proya, Shanghai Jahwa, and BTN had revenues exceeding 4 billion yuan. Furthermore, sixty percent of the companies experienced positive growth, with BTN and Runben Co., Ltd. achieving double-digit growth.
OEM/ODM companies saw a 2.6% growth in revenue in the first three quarters, reaching a total of 2.549 billion yuan. However, ingredients suppliers and retail service providers faced challenges with negative revenue growth in the same period.
- Net Profit Performance: Overall Double-Digit Decline
In the first three quarters of 2024, the total net profit of Chinese listed cosmetics-related companies amounted to 5.428 billion yuan, a year-on-year decrease of 21.5%.
Specifically, the largest increase in net profit came from OEM/ODM companies, with a net profit of 0.63 billion yuan, mainly due to Green Pine turning a year-on-year profit.
Following them are retail service providers, with a 55.2% year-on-year increase in net profit to 2.02 billion yuan, primarily driven by significant year-on-year growth from Qingmu and Ruoyuchen.
Brand owners experienced a negative growth in net profit, with a 9.8% year-on-year decline to 3.198 billion yuan in the first three quarters. Out of the 9 brand owners surveyed, 7 saw a year-on-year decline in net profit, while Proya, Marubi, and Runben achieved double-digit year-on-year growth in net profit.
Ingredients suppliers saw a net profit of 1.965 billion yuan in the first three quarters, a 39.4% year-on-year decrease. This was mainly due to significant declines from Tinci Materials, AHB, and Sinohighchem.
- Research and Development Expenses: Slight Increase Overall, Brand Owners Continue to Expand Investment
In the first three quarters of 2024, the total research and development (R&D) expenses of Chinese listed cosmetics-related companies amounted to 2.151 billion yuan, a 1.2% year-on-year increase.
Specifically, the largest increase in R&D expenses came from brand owners, with a total R&D expenditure of 1.005 billion yuan, a 5% year-on-year growth. Out of the 9 brand owners surveyed, 6 increased their R&D investment, with companies like Fuerjia and Runben achieving over 20% growth in R&D expenditure.
However, ingredients suppliers and OEM/ODM companies saw a single-digit decrease in R&D expenses in the first three quarters.
- Sales Expenses: Overall Double-Digit Growth
In the first three quarters of 2024, the total sales expenses of Chinese listed cosmetics-related companies amounted to 14.436 billion yuan, showing an 11.9% year-on-year increase.
Specifically, ingredients suppliers, OEM/ODM companies, brand owners, and retail service providers all increased their sales expenses in the first three quarters. Out of the 29 companies surveyed, 19 saw a year-on-year growth in sales expenses.
