1H2026 Performance Highlights:
- Revenue reached RMB1.88 billion, up 29.0% year-on-year
- Net profit reached RMB240 million, up 40.2% year-on-year
- Gross profit margin reached 51.4%, up 2.1 percentage points year-on-year
- Net cash flow generated from operating activities reached RMB550 million, up 34.4% year-on-year
HONG KONG, Aug. 28, 2026 /PRNewswire/ — On August 28, Beauty Farm Medical and Health Industry Inc. (02373.HK, “Beauty Farm” or the “Group”) announced its interim results for the six months ended June 30, 2026 (the “Reporting Period”). During the Reporting Period, the Group recorded revenue of RMB1.88 billion, up 29.0% year-on-year; net profit of RMB240 million, up 40.2% year-on-year; and adjusted net profit of RMB260 million, up 39.9% year-on-year. Gross profit margin further increased to 51.4%, up 2.1 percentage points year-on-year, reflecting continued improvement in profitability.
Meanwhile, the Company continued to demonstrate a strong cash-generating profile. During the Reporting Period, net cash flow generated from operating activities amounted to RMB550 million, up 34.4% year-on-year. As of June 30, 2026, total cash and cash-like items reached RMB2.4 billion, up 21.5% year-on-year, providing a solid financial foundation for business expansion, R&D investment and shareholder returns.
“Dual Beauty + Dual Wellness” Integrated Business Model Delivers Strong Results
In the first half of 2026, the Group’s “dual beauty + dual wellness” business model delivered strong results. Beauty and wellness services generated revenue of RMB1.09 billion, up 35.7% year-on-year, while gross profit margin reached 44.2%, up 2.1 percentage points from the same period last year. The strong performance was mainly driven by increases in both client visits and average spending. During the Reporting Period, client visits at the Group’s direct beauty and wellness stores reached 1.13 million, up 33% year-on-year.
In May 2026, Beauty Farm, identified as the top brand in China’s premium beauty service sector, officially unveiled its new brand proposition, “Beauty, Beyond”, and jointly released the White Paper on Premium Lifestyle Beauty Services with Ipsos. The brand completed a comprehensive upgrade across four dimensions – core philosophy, visual identity, store service philosophy and scientific research collaboration. In the same month, the Group entered into collaborations with leading research partners, including the Shiseido China Innovation Center Shanghai Fengxian Branch and the Aging Science Innovation R&D Center (ACRDC) at the Yangtze Delta Region Institute of Tsinghua University, Zhejiang. The Center is led by Nobel laureate Professor Michael Levitt, winner of the 2013 Nobel Prize in Chemistry, as its Chief Scientific Advisor, marking Beauty Farm’s formal entry into proprietary R&D.
Siyanli, a premium tech-powered beauty brand in China, celebrated its 30th anniversary in 2026, which also marked the milestone year of its formal integration into the listed-company platform and the beginning of a new stage of high-quality development. During the Reporting Period, Siyanli’s adjusted net profit margin reached 11.0%, a marked increase from the full-year 2024 level of 9.5%, further demonstrating the Group’s strong M&A integration capabilities. Naturade, identified by Frost & Sullivan as the “Top AI-Powered Wellness Brand in China”, recorded an adjusted net profit margin of 10.8% during the Reporting Period, up 0.4 percentage points year-on-year. In August 2026, the Group announced that 10 Naturade stores in Hangzhou would be incorporated into its direct-store network, making Hangzhou a key strategic foothold for Naturade’s expansion into the Yangtze River Delta.
In the consumer healthcare segment, the Group officially launched “CellCare Meitian Medical” in August 2026, integrating its aesthetic medical and subhealth medical resources. Positioned as an “expert in beauty, health and anti-aging medicine”, CellCare Meitian Medical provides customers with one-stop beauty, health and anti-aging solutions.
CellCare delivered better-than-expected performance during the Reporting Period, with revenue reaching RMB600 million, up 20.9% year-on-year, and gross profit margin reaching 58.9%, up 2.0 percentage points year-on-year. Client visits at direct stores reached 61,000, up 23.7% year-on-year, reflecting continued strong in-store demand and the resilience of the consumer healthcare segment amid the current industry environment. Neology, the Group’s subhealth medical services brand, generated revenue of RMB180 million during the period, up 20.1% year-on-year, while gross profit margin reached 69.0%, up 6.0 percentage points year-on-year. Client visits at direct stores reached 20,000, up 8.3% year-on-year, with both volume and price increasing.
Dual Engines of Internal Growth and External Acquisitions Drive Long-Term Growth Momentum
The Group remains committed to the dual-engine strategy of “internal growth + external acquisitions”, leveraging the advantages of its listed-company platform to continue advancing consolidation across the beauty and health industry.
On the internal growth front, the Group continues to refine operating efficiency and build an industry-leading operating model through refined operations and strong middle- and back-office capabilities. During the Reporting Period, revenue per direct store at the flagship Beauty Farm brand increased by 5.5% year-on-year, setting an industry benchmark through exceptional internal operating efficiency and growth capabilities.
On the external acquisitions front, the Group leverages mature systematic capabilities to advance post-acquisition integration efficiently and unlock the full-lifecycle value of its members. Since Siyanli was formally consolidated into the Group’s financial statements in January 2026, the brand has continued to enhance its value in three key areas. First, it upgraded its premium service system by further developing the “five senses and six awarenesses” experience and expanding into premium commercial locations, reinforcing its positioning as a premium service brand. Second, the Group integrated consumer healthcare resources and leveraged Meitian Medical’s extensive clinic network to fully meet the consumer healthcare needs of Siyanli customers. Third, it advanced the integration of middle- and back-office functions by deploying modularized and productized capabilities, enabling resource sharing and synergistic efficiency gains across the supply chain, training, digitalization and other functions. During the Reporting Period, Siyanli’s adjusted net profit margin rose significantly to 11.0%, once again demonstrating the Group’s strong M&A integration capabilities.
Digital Intelligence Powers Personalized Care Maps
The Group is committed to building an enterprise that integrates digital intelligence into its operations and has continuously evolved through informatization, digitalization and intelligent transformation. Over the past decade, it has cumulatively invested more than RMB500 million and built an IT team of around 100 professionals, establishing itself as a leader in digital intelligence development in the beauty and health sector.
During the Reporting Period, the Group achieved multiple breakthroughs in digital intelligence development. In March 2026, Beauty Farm AI Skin Analysis underwent a major upgrade. Powered by extensive skin data and intelligent algorithms, the system can not only analyze customers’ current skin conditions with precision, but also use historical assessment results to predict future changes, creating a personalized and dynamically adjusted long-term care map across three dimensions – skin type, skin tone and skin age. In the first half of 2026, the Group also fully rolled out Naturade’s “AI-Powered Wellness 2.0” system, completing an end-to-end digital closed loop across the customer service journey. Built around five core modules – intelligent detection, reporting, recommendation, conditioning and feedback – the system provides each customer with personalized health and wellness plans covering the full lifecycle.
Capital Market Value Continues to Rise as Shareholder Returns Strengthen
The Company continues to enhance its capital market value by focusing on three key areas: optimizing shareholder structure, maintaining a high dividend payout ratio and implementing management incentives, thereby continuously unlocking long-term investment value. In terms of dividends, the Company has explicitly committed to a stable dividend payout ratio of no less than 50% of the net profit attributable to shareholders for the next three years. The final dividend of HK$0.72 per share for the year ended December 31, 2025 represents a 38% year-on-year increase, and went ex‑dividend on August 19, 2026. In terms of management incentives, the Group has closely linked future revenue and profit targets with equity incentives, and the first-year performance targets have already been exceeded, fully demonstrating the effectiveness of the incentive mechanism. In addition, the Group continues to conduct share buybacks, demonstrating its firm confidence in the Company’s long-term development through concrete actions.
Looking Ahead: Building on Three Core Competitive Advantages and Advancing the Three Super Strategies
In August 2026, the Group officially announced the renaming and upgrade of its group brand from “Beauty Farm Medical and Health Group” to “BFG Meitian Group”. The Group’s ability to navigate market cycles over the past 33 years is underpinned by three core competitive advantages. First, it has built a diversified premium beauty and health brand portfolio, spanning beauty and wellness and consumer healthcare, and encompassing the top three beauty service chain brands in China, with a base of 300,000 premium female customers at direct stores during the past 33 years. Second, it has established a strong nationwide store network. According to Winshang Data, the Group’s brands have a 42% coverage rate in premium commercial locations across 20 high-tier cities, approaching half. Third, the Group has developed industry-leading AI and digital-intelligence capabilities. At the front end, it has built a refined operating system based on customer segmentation, store typology and project classification; in the middle and back office, it strengthens systematic capability building to fully release economies of scale; and in M&A integration, it deploys digital-intelligence capabilities to realize the synergistic vision of “integration upon acquisition, efficiency gains upon integration”.
Looking ahead, the Group will build on these three core competitive advantages and continue to advance its Three Super Strategies to guide high-quality development over the next five years. Under Super Brand, the Group will continue to enhance product strength and service standards, create “exceptional experiences that exceed expectations”, and reshape the value proposition of the beauty industry. Under Super Chain, it aims to cultivate 20 super cities each generating more than RMB100 million in revenue, continue its global curation and dedicated R&D approach, and strengthen supply chain autonomy and control. Under Super Digitalization, it will continue to build digital intelligence and AI infrastructure and strive to become a benchmark for digital-intelligence-led beauty and health service chains.
About Beauty Farm
Beauty Farm Medical and Health Industry Inc. is a leading beauty and health management platform in China. Over the past 33 years, Beauty Farm has developed a unique “dual beauty + dual wellness” business model, covering customers’ comprehensive beauty and health needs for their entire life cycle. We offer a diversified service matrix, including beauty and wellness brands Beauty Farm, Naturade, Siyanli and Palaispa, aesthetic medical brand CellCare, and subhealth medical services brand Neology. Our nationwide store network reaches over 100 cities with over 700 stores and serves millions of mid-to-high-end customers in top-tier cities in China. Beauty Farm was successfully listed on the Main Board of the Hong Kong Stock Exchange (stock code: 02373.HK) in January 2023.
For more information, please visit https://ir.beautyfarm.com.cn/.
For investor and media inquiries, please contact:
Beauty Farm Medical and Health Industry Inc.
Vivian Lu
Tel: +86 (21) 6095-3299
Email: ir@beautyfarm.com.cn
EVER BLOOM (HK) COMMUNICATIONS CONSULTANTS GROUP LIMITED
Julia Liang
Tel: +852 3468 8434
Email: Julia.liang@everbloom.com.cn
EVER BLOOM (HK) COMMUNICATIONS CONSULTANTS GROUP LIMITED
Yuvia Wang
Tel: +852 3468 8421
Email: Yuvia.wang@everbloom.com.cn
