BRIEF: So-Young revenue jumps on aesthetic center growth as loss widens

Medical aesthetics platform So-Young International Inc. (SY.US) reported on Friday that its first-quarter revenue rose 45.6% year-on-year to 433 million yuan ($64 million), mainly driven by growth in its self-operated aesthetic medical centers. But the company’s losses continued to widen, with its net loss increasing 48.6% to 49.2 million yuan from 33.1 million yuan a year earlier.

During the quarter, revenue from the company’s medical aesthetic treatment services surged 185.8% to 282 million yuan. But its original platform business remained under pressure, with revenue from information services, reservation services and other services all declining. Verified treatment visits nearly doubled year-on-year to about 148,000, while completed treatment procedures exceeded 325,800. The company’s number of active users also surpassed 213,000.

On the cost side, So-Young’s selling and marketing expenses rose 33.7% year-on-year to 131 million yuan, mainly due to higher branding, user acquisition and staffing costs for its self-operated aesthetic medical centers. Administrative expenses also climbed 42.5% to 84.5 million yuan. The company said it will continue expanding its branded medical aesthetics center network while improving operating efficiency.

So-Young shares fell 16.5% on Friday in New York to close at $2.23. The stock has declined about 28% over the past six months.

By Lee Shih Ta

To subscribe to Bamboo Works weekly free newsletter, click here