Yesterday, MINGCHEN HEALTH Co.,Ltd.(Mingchen Health) released its annual report for 2023 and the first quarter of 2024. The report shows that the operating revenue in 2023 was approximately 1.638 billion yuan ($226.1 million), a year-on-year increase of 73.21%. The net profit attributable to the shareholders of the listed company was approximately 70.36 million yuan ($9.7 million), a year-on-year increase of 177.15%. The first quarter revenue in 2024 was approximately 362 million yuan ($50 million), a year-on-year decrease of 11.06%. The net profit attributable to the shareholders of the listed company was approximately 44.79 million yuan ($6.18 million), a year-on-year increase of 31.34%.
It is reported that Mingchen Health’s daily chemical brands include domestic brands such as Mewon and Di Hua Zhi Xiu, with the main target market being third and fourth-tier cities in China. As of the end of the reporting period, the company had over 41,000 sales outlets for its daily chemical products.
In terms of business sectors, in 2023, the revenue of Mingchen Health’s daily chemical products reached 470 million yuan ($64.87 million), accounting for 28.7% of the operating revenue, a decrease of 5.68% compared to the previous year. In terms of regions, overseas revenue reached 125 million yuan ($17.25 million), a year-on-year decrease of 19.85%.
The company stated that it will continue to optimize the traditional distribution channels of its daily chemical business, strengthen distribution, and promote the construction of end-point retail outlets. In 2024, the company will continue to leverage its advantageous position in traditional distribution channels, strengthen channel cultivation and distribution channel reconstruction on a dealer basis, pay attention to the construction of target stores at the end-point, and create a situation where key outlets drive overall sales in towns and cities.
