Yatsen Holding Ltd. ADR Class A (YSG.US) Q3 revenue reached 677 million yuan, with research and development expenses accounting for as high as 3.7%.

On November 20th, Yishen E-commerce (NYSE: YSG) released its third quarter performance report for 2024. The announcement showed that the company achieved a revenue of 677 million yuan in the third quarter, with the net income of its three major skincare brands, French Courlany, Darfur, and EVE LOM, increasing by 10.5% year-on-year, helping to stabilize the skincare business and achieve a revenue of 2.68 billion yuan, a year-on-year increase of 3.6%. The revenue of the skincare sector accounted for 39.6% of the total revenue, maintaining a level of over 30% of the total revenue for 10 consecutive quarters. Thanks to the optimization of revenue structure, the company achieved a gross profit margin of 75.9%, an increase of 4.5 percentage points year-on-year. According to performance guidance, it is expected that the company's total revenue in the fourth quarter can achieve year-on-year growth. As a rising domestic cosmetic group, Yishen E-commerce has always regarded research and development capabilities as the core strategy for the company's future product differentiation, insisting on high research and development investment to enhance product technology content. According to the financial report, research and development investment in the third quarter reached 25.34 million yuan, accounting for 3.7%, and the research and development expense ratio continued to rank at the top level globally. Research and development expenses in the first three quarters of 2024 exceeded 80 million yuan. Against the background of overall consumption pressure in the cosmetics industry in the third quarter, Yishen E-commerce continues to deepen its strategic transformation, focusing on improving quality and efficiency, steadily enhancing its ability to generate profits, narrowing losses, and demonstrating strong development resilience. Looking ahead, Yishen E-commerce's founder, chairman and CEO Huang Jinfeng said, "The company adheres to a long-term value-oriented approach, deepening its core business and currently optimizing resource allocation in an orderly manner to improve operational efficiency. At the same time, we will continue to increase research and development investment, driving product iteration through technological innovation to meet the evolving market demand. Regardless of the changes in the external environment, we will always focus on excellent products and user experience. We believe that this persistence will drive future growth and create greater value for users."