COSMO LADY (02298) Receives Another Share Increase by Wu Xiaoli of 1.22 Million Shares; Strategic Transformation Recognized, Highlighting Investment Appeal

On October 26, COSMO LADY (02298) announced that Ms. Wu Xiaoli, an executive director of the company, increased her shareholding by 1.22 million shares in the open market at an average price of approximately HK$0.2439 per share during the period from October 21 to October 26, 2026, with a total investment of approximately HK$297,600, demonstrating through concrete action her optimism about the group's future prospects. Since the beginning of 2026, several key members of the company's management, including Ms. Wu and Mr. Zhang Shengfeng, Vice Chairman and Executive Director, have stepped in to increase their shareholdings in the company. Behind this is not only confidence in the company's value and development prospects, but also the investment appeal brought by the gradual emergence of the group's strategic transformation results. COSMO LADY's 2026 interim results show that the company adhered to its national innerwear strategy and achieved an overall improvement in profitability. In the first half of the year, it achieved revenue of RMB1.267 billion, with a gross profit margin of 51.4%, up 5 percentage points year-on-year; profit attributable to owners of the company was RMB61.214 million, up 5.9% year-on-year. The company's e-commerce business performed brilliantly. In the first half of the year, e-commerce GMV reached RMB2.73 billion, surging 69.6% year-on-year, with a three-year compound growth rate of approximately 141%. Rankings on mainstream platforms such as Tmall, JD.com, and Douyin improved significantly, and livestreaming e-commerce became an important growth driver, among which influencer livestreaming became a highlight: during the 618 period in the first half of the year, GMV contribution reached RMB570 million, of which livestreaming GMV contributed approximately RMB190 million. Along with the substantial improvement in performance, the company achieved outstanding results in expense control, with operating expenses down 2.7% year-on-year. The group maintained a net cash position, and its inventory structure continued to optimize, with the proportion of old inventory declining and the proportion of new goods rising to 60%. The gross profit margin of the core intimate apparel main business rose to 52.9%, and main business profit increased 19% year-on-year, laying the foundation for subsequent development.