CHAILEEDO has recently learned that, according to disclosures from the National Equities Exchange and Quotations (NEEQ), Zhuhai Yasha Biotechnology Co., Ltd. (hereinafter referred to as “Yasha Inc.”) has suspended trading of its stock as of April 21, 2025. The suspension is due to the company’s voluntary application to delist from the NEEQ.
As for the reason behind the delisting application, Yasha Inc. previously stated in an announcement: “To better focus on the company’s operations and management, reduce operational costs, improve decision-making efficiency, and maximize the interests of the company and its shareholders.”
It is worth noting that in 2024, Yasha Inc. achieved a revenue of 126 million yuan, marking a year-on-year increase of 12.17% and setting a historical record. However, during the same period, its net profit was 13.05 million yuan, reflecting a 26.29% year-on-year decline.
Yasha Inc. Voluntarily Applies for Delisting, Is an Indirect Subsidiary of an A-Share Listed Company
Public information shows that Yasha Inc. was founded in 2009 and successfully listed on the National Equities Exchange and Quotations (NEEQ) in 2018. The company is primarily engaged in the R&D, production, and sales of skincare and cosmetic products. Its main revenue sources are its four skincare brands: Yashare, Fuyin, ZQ-II, and Yaqi.
CHAILEEDO has noted that prior to the current trading suspension, Yasha Inc.’s total market capitalization was 176 million yuan.
In fact, as early as March of this year, Yasha Inc. issued a “Notice of Intent to Voluntarily Apply for Delisting from the NEEQ,” expressing its plan to delist from the exchange.
Regarding the reason for delisting, the company explained in the notice that:
“Considering the overall development strategy and industry conditions, the company aims to better focus on operations and management, reduce operational costs, improve decision-making efficiency, and maximize the interests of the company and its shareholders.”
Yasha Inc. also stated:”After delisting, the company will concentrate fully on developing its core business, continue to enhance its operational management capabilities, increase product innovation, and strengthen market competitiveness to maintain steady growth.”
According to a previous announcement, in conjunction with the delisting, Yasha Inc. will repurchase shares from dissenting shareholders. The repurchase price will be based on the higher of: (1) the cost at which dissenting shareholders originally acquired the shares (excluding transaction fees, capital costs, etc., and adjusted for any rights or dividend changes), or (2) the latest audited net asset value per share attributable to shareholders of the listed company.
Notably, as a cosmetics company listed on the NEEQ, Yasha Inc. received two rounds of investment prior to its listing. In 2015, it secured an angel investment of 1.59 million yuan from Daan Gene. The following year, it received a strategic investment of only 30,000 yuan from Zhuoyuan Investment Center, Honglian Investment, and Juli Xiang Investment. After listing on the NEEQ, it also conducted a private placement, raising 10 million yuan.
CHAILEEDO also noted that Guangzhou Daan Gene Technology Co., Ltd., a wholly-owned subsidiary of Daan Gene, holds a 9.2095% stake in Yasha Inc. Public records show that Daan Gene, officially known as Guangzhou Daan Gene Co., Ltd., is a state-owned biotech high-tech enterprise founded in 1988. It was listed on the Shenzhen Stock Exchange in 2004 and is one of the first domestic IVD (In Vitro Diagnostics) companies to go public on the A-share market. In other words, Yasha Inc. is an indirect subsidiary of Daan Gene.
It is worth noting that IVD companies specialize in developing and producing medical devices and products used for diagnostic purposes, such as test reagents, instruments, and data systems. In March this year, Daan Gene also issued a statement confirming that:
“Yasha Inc.’s proposed delisting does not affect the company’s independent listed status, nor does it impact the continued profitability of the listed company.”
Four Skincare Brands Each Generate Over 100 Million Yuan Annually, Gross Margin Reaches 76.07%
It is worth mentioning that, unlike many companies forced to exit the capital market due to sluggish performance, Yasha Inc. has maintained steady revenue growth in recent years.
According to Yasha Inc.’s latest financial report, in 2024, the company achieved an operating revenue of 126 million yuan, a year-on-year increase of 12.17%, setting a historical high; however, net profit has declined for two consecutive years. Last year, its net profit was 13.0484 million yuan, a year-on-year decrease of 26.29%, also marking the largest decline since it was listed on the NEEQ.
From the revenue structure perspective, Yasha Inc.’s main income is derived from its four skincare brands: Yashaer, FOY, ZQ-II, and YA-QI. Among them, the two core brands, Yashaer and FOY, contributed the majority of revenue.
As for the main reason behind the revenue increase in 2024, Yasha Inc. stated in its financial report that it was due to a significant 32.72% growth in the FOY brand. This was mainly attributed to the company’s focus on channel management, effective maintenance of the market pricing system, intensified efforts in developing untapped markets, and investment in channel building.
At the same time, thanks to the expansion of its customized product line, Yasha Inc.’s other income increased by 3.1044 million yuan last year, a year-on-year growth of 924.31%.
In addition, according to the financial data, Yasha Inc.’s gross margin in 2024 was 76.07%, with the lowest gross margin among its four brands being Yashaer at 72.11% and the highest being FOY at 79.87%.
According to Yasha Inc.’s official website, the Yashaer brand is positioned as specializing in skin repair; FOY is positioned as a skin barrier repair dressing brand; ZQ-II is focused on light medical aesthetics; and YA-QI targets sensitive skin with gentle formulations. Judging from their positioning and public promotions, all four brands focus on trending efficacy-driven skincare.
CHAILEEDO’s research found that, as of now, the four brands mentioned above have opened official flagship stores on major domestic e-commerce platforms such as Tmall, JD.com, and Douyin.
Specifically, Yashaer’s Tmall flagship store has 224,000 followers. According to the brand’s Tmall store, product prices range from 19 yuan to 819 yuan, covering cleansers, masks, creams, serums, and other skincare products. The best-selling product, “Anti-Aging Repair Oil Suspension Ampoule Essence,” shows over 30,000 units sold;
In addition, Yashaer’s Douyin flagship store has 41,000 followers and shows total sales of 138,000 items. The best-selling product, “Tea Extract Amino Acid Oil-Control Cleansing Foam,” shows 40,000 bottles sold.
As for the FOY Tmall flagship store, it has 271,000 followers. According to the brand’s Tmall store, product prices range from 24.6 yuan to 2,158 yuan, covering cleansers, repair patches, repair gels, and other skincare products. The best-selling product, “Sodium Hyaluronate Repair Gel,” shows over 50,000 units sold;
FOY’s Douyin flagship store has over 3,000 followers, with total sales exceeding 5,000 items. The best-selling product, “Sodium Hyaluronate Repair Gel,” shows over 1,000 units sold.
According to CHAILEEDO intelligence data, from 2022 to 2024, Yashaer’s annual GMV on Douyin increased year by year, respectively reaching 100,000–250,000 yuan, 1 million–2.5 million yuan, and 10 million–25 million yuan. In the first quarter of this year, GMV was 2.5 million–5 million yuan; FOY began ramping up efforts on Douyin in December last year, with a GMV of 75,000–100,000 yuan for that month, and GMV in the first quarter of this year reaching 1 million–2.5 million yuan.
According to Liandanlu data, in 2024, Yashaer’s GMV on the Taotian platform reached 21.715 million yuan, with total sales volume of 174,900 items.
Multiple Companies Face Delisting as Capital Market Undergoes Major Reshuffle
In recent years, amid tightened regulations and weakening consumer demand, news of delistings among cosmetics-related companies has surfaced frequently.
According to incomplete statistics from CHAILEEDO, since 2025, at least five cosmetics-related companies have been delisted/terminated their listings or are at risk of delisting/termination. Among them, both Yasha Inc. and Shandong Linsen Biological Products Co., Ltd. (hereinafter referred to as “Linsen Bio”) voluntarily applied to terminate their listings.
Although both companies voluntarily applied to delist from the NEEQ (National Equities Exchange and Quotations), their business performances differ significantly. Unlike Yasha Inc., which maintains steady revenue growth, Linsen Bio has experienced frequent fluctuations in profitability since its listing on the NEEQ, reflecting unstable operations. According to Linsen Bio’s latest financial report, in the first half of 2024, its operating revenue was only 6.2522 million yuan—far below its peak of 1.61 billion yuan in 2022. During the same period, the company recorded a net loss of 1.0112 million yuan.
In October last year, Linsen Bio announced: “To better focus on corporate management, reduce operating costs, and improve decision-making efficiency, after thorough communication and careful consideration, we plan to apply for delisting from the NEEQ.” Effective February 13 this year, Linsen Bio officially delisted from the NEEQ, becoming the first cosmetics company to do so in 2025.
In addition, companies such as Kunming Longjin Pharmaceutical Co., Ltd., Guangdong Xingmei Cosmetics Co., Ltd. (hereinafter referred to as “Xingmei Co.”), and Hubei Jiuyou Investment Co., Ltd. are also facing risks of delisting/termination.
Among them, Xingmei Co., known as the “first daily chemical stock on the NEEQ,” failed to disclose its 2024 semi-annual report within the legally required period and the subsequent two months. As a result, on March 31 of this year, it received a notice from the National SME Share Transfer System regarding the decision to terminate the listing of its shares.
According to the announcement, if Xingmei Co. does not submit a review application within the prescribed time and no circumstances exist that would allow trading to resume, its stock will resume trading on April 16, 2025, and be officially delisted on April 30, 2025. CHAILEEDO observed that since the beginning of this year, Xingmei Co. has issued five risk warnings about the possible termination of stock listing due to the delayed disclosure of its 2024 semi-annual report.
Public information shows that Xingmei Co. was founded in 2010. The company was formerly known as Meizhi Group and owns several brands including ZMC (Zhi Mei Cun), Xi Zhuang Ji, Quan Run, An Shang Xiu, and Fa Rui, with ZMC being its flagship brand.
According to Xingmei Co.’s latest financial report, the company recorded only 8.86 million yuan in operating revenue in 2023, a year-on-year decline of 62.60%, and a drop of over 97% compared to its historical peak of 310 million yuan; net losses reached 1.9698 million yuan. Notably, this marks the sixth consecutive year since 2018 that the company has failed to turn a profit.
In fact, the capital market has been undergoing a new round of reshuffling in recent years, where companies with poor operations or legal violations are being quickly eliminated.
On April 12, 2024, the China Securities Regulatory Commission (CSRC) released the Opinions on Strict Implementation of the Delisting System (hereinafter referred to as the “New Delisting Rules”), which further tightens mandatory delisting criteria and aims to improve the overall quality of listed companies.
The new rules include key adjustments to revenue indicators for loss-making companies, clearly stating that if a company’s most recent audited financial report shows negative net profit and its revenue falls below a certain threshold (300 million yuan for the Main Board, 100 million yuan for the STAR Market and ChiNext), it will face delisting risk.
These new rules will take effect on January 1, 2025, meaning more cosmetics companies may face delisting in the coming year.
With the strict enforcement of the new delisting regulations, companies that rely on capital operations while neglecting core business fundamentals will find it difficult to survive. For cosmetics enterprises, only by strengthening product R&D, optimizing cost control, and improving operational efficiency can they move forward steadily in an increasingly regulated environment.
