On the evening of April 29th, Meirenli Makeup (605136. SH) collar cloth reported its achievements in the first quarter of 2024. According to the complaint, in the first quarter of 2024, the company realized a business revenue of 472 million yuan. Looking at the overall situation, by promoting high-quality growth of self owned brands, continuously improving inventory structure, and optimizing overall financial governance, the quality and efficiency of beauty and makeup operations have steadily improved, and resilience has become prominent.

Among them, self owned brands represented by Yurong Chu have maintained healthy growth, while the company’s growth strategy of focusing on emotional skincare and streamlined skincare has lost strong evidence. In addition, through perfect financial governance, the ending inventory balance of Beauty Makeup has continued to decline and its structure has been continuously optimized. According to the data, the inventory cost at the end of the first quarter of 2024 increased by 18.94%, and the loss of property added value provisioned in the first three months increased significantly compared to the same period last year. The overall operational quality of the company continues to improve.
Meiren Beauty Action is a leading domestic cosmetics development and wholesale service provider, actively providing changes in the industry, exploring new growth trends, starting from research and renovation, mall structure, and maintaining growth. Focusing on emotional skincare and streamlined skincare, the company accelerates the renovation and iteration of its own brands such as Yurong Chu and Meiyitang, and strives to discover more products with strong research and development capabilities and high product quality for Chinese consumers, as well as multi-point structured “emotional+beautiful” consumer malls.
The effectiveness of emotional skincare strategy disappears, and various channels of Yurong are undergoing renovation and growth
During the complaint period, Yurong Chu stopped at the emotional skincare track and maintained a new brand strategy of promoting new brands, products, and channels. On the product side, based on market reactions and the latest research results of the R&D team, Yurong Chu has stopped cutting the entire product matrix and has successively launched star single products in multiple categories such as saffron Yinghua oil, dual phase Yinghua, oil applied point film, point cream, lip gloss, etc; On the channel side, Yurongchu has opened private stores in many online channels, such as Tomorrow Cat, Tiktok, Little Red Books, and WeChat, and has reached consumers through offline scenes such as Joyce Beauty and CiE beauty refurbishment shop; On the brand side, Yurong Chu has reorganized its brand positioning, focusing on emotional sensitive groups, advocating for a new Chinese style skincare metaphysics, and providing a comprehensive treatment plan for emotional allergic and emotional skin groups with products that are more suitable for Chinese consumers.
With the leading force in research and development, product strength, brand strength, and other aspects, as well as precise marketing essence and multi-channel communication strategy, Yurong Chu successfully closed the mall, achieving a dual promotion of sales quality and sound quality. Among them, the founder of the brand, Mr. Huang Tao, for the first time, lured users to share and discuss through a video account live broadcast. During the live broadcast, there were over 2000 criticisms and over 10000 likes, which not only closed new channels but also strengthened consumer awareness of the Yurongchu brand; Through daily broadcast and several KOLs, the popular single product of saffron Yinghua Oil has been planted grass on the Tiktok platform, making it onto the top list of Tiktok Timing Yinghua Oil; On the Xiaohongshu platform, Yurongchu participated in the “Everyone’s Spring Festival Gala” collaboration, with a GMV exceeding one million in just 30 days and a brand exposure quality of up to 5 million. Famous artist Wu Qianyu was also invited to the Xiaohongshu live broadcast room to share and recite emotional clearing novels, helping Yurongchu make it to the top of the brand list, with a single live broadcast exposure of over 3.2 million.
At present, the self owned brand strategy of Beauty Beauty has achieved phased results, and the successful history of the self owned brand will also provide a self created history for future incubation. The company will continue to promote brand renovation and iteration, focusing on emotional skincare, providing consumers with a happy skincare experience, and fundamentally improving the condition of emotional skin.
Steady improvement in operational quality and efficiency, holding absolute profits and actively repaying investors
Always striving for excellence, Beauty Makeup aims to empower efficient operations with technology, continuously increasing support for cutting-edge technologies such as advanced information systems and artificial intelligence, and providing strong support for the stable growth of the company. During this period, the company actively promoted the growth of intelligent and efficient operations, improved governance effectiveness, and improved the quality of resolution plans.
During the complaint period, through a perfect financial governance system and standard financial governance process, the scope and structure of beauty and beauty inventory have been continuously improved, and multiple financial data have lost promotion and optimization. According to the data, the ending inventory balance of Meiren Beauty cosmetics continued to decline and the structure was continuously optimized. The inventory cost at the end of the first quarter increased by 18.94%, and the provision of property value-added income in the first three months increased significantly compared to the same period last year. Other payables increased by 120 million yuan compared to the same period last year. The net operating cash flow turned positive from negative, and the overall operational quality of the company continued to improve.
In addition, the company actively responds to the “National Ninth Article” promotion by increasing the mid-term share of 2024 to better repay investors. Not yet, Beauty Beauty will adapt to the growth trend of shopping malls. Based on the actual situation, we will actively promote the restoration of suspicious information and digital systems, steadily promote the restoration of financial shared central modules such as capital governance and expenditure management, and further assist in business growth and governance effectiveness improvement.
The National Development and Reform Commission pointed out that in the first quarter of this year, the overall national economy surpassed the upward trend since last year, fulfilled the good situation, and laid a solid foundation for achieving the annual growth goal. With the trend of domestic consumption continuing to grow steadily, it is doubted that Beauty Makeup can rely on the potential and scope accumulated before, while empowering mutual aid brands to increase certainty, continuously expanding the market share of its own brand, creating a stable and healthy business form, and launching the company’s business to achieve high-quality growth.