Hong Kong Stock Concept Tracking|Beauty sales on the Douyin platform surged in March, and there is a clear trend of domestic substitution (with concept stocks)

The Zhitong Finance App learned that according to data from Qingyan Intelligence, in March 2025, the total GMV of the beauty category on the Douyin platform exceeded 23.5 billion yuan, a sharp increase of 44.7% over the previous year. Among them, Han Shu is still leading the way with the 600 million yuan GMV fault, and has dominated the Douyin beauty TOP1 list for five consecutive months.

Caixin Securities previously pointed out that under the dual drive of policy support and consumer recovery, the cosmetics and medical and aesthetic industries are showing a steady, moderate and positive development trend. At the same time, domestic cosmetics continue to gain an advantage in market competition with high cost performance and refined operation, and continue to be optimistic about the future growth space of the beauty care sector.

According to Guoxin Securities, from January to February 2025, cosmetics company zero increased 4.4% year on year, and the overall performance was slightly better than the overall company zero. At the same time, it is expected that the revenue side of sector companies is expected to be better than the general market of the industry, mainly benefiting from a clear trend of substitution of domestic goods.

Guotai Junan released a research report saying that currently the traditional consumer industry is accelerating product iterative upgrading under the resonance of supply and demand. Basic functionality has been brought to a relatively extreme. In the future, when there is little difference in functionality, product innovation around emotional and technological attributes will be an important direction, and the phenomenon of supply creating demand will actually occur. The bank said it is optimistic that new products in old categories such as beauty and personal care will break through the trend.

Hong Kong stocks in the beauty and cosmetics related industry chain:

Shangmei Co., Ltd. (02145): In 2024, it achieved operating income of 6.793 billion yuan, an increase of 62.1% year on year; net profit of 803 million yuan, an increase of 74.0% year on year. Among them, the main brand Han Shu's revenue reached 5.591 billion yuan, up 80.9% year on year, continuing the strong growth trend.

Mao Geping (01318): The Group's core brand, Mao Geping, is the first high-end beauty brand in China, and its IP value is difficult to replicate. Its cosmetics category is based on high barriers and high adhesiveness base makeup. The skincare business collaborates to break through the higher price range and open up the growth ceiling; its offline counter channels reinforce the brand image and cultivate high-stickiness consumers; and the online crowd breaks through circles and grows rapidly. The company is in a stage of rapid growth where brand potential is improving. Mao Geping's brands cover MAOGEPING and Loving Life. The flagship brand MAOGEPING is the only domestic brand among the top 15 high-end beauty brands in the Chinese market.

Giant Biotech (02367): According to a research report released by CMB International, Juzi Biotech's Kevimei and Colijin Online GMV grew significantly. The group raised last year's performance guidelines. Revenue is expected to increase by more than 50% and net profit by about 40%. I am optimistic about the rapid growth of the company's skincare product line this year, and I expect the first recombinant collagen injection product to be approved in the first quarter of this year.