Yatsen (NYSE:YSG) Posts Quarterly Earnings Results

Yatsen (NYSE:YSG) posted its quarterly earnings results on Monday. The company reported $0.00 EPS for the quarter, FiscalAI reports. Yatsen had a negative return on equity of 15.36% and a negative net margin of 11.54%.The firm had revenue of $197.16 million during the quarter.

Here are the key takeaways from Yatsen’s conference call:

• Yatsen delivered strong top-line recovery with total net revenue up 20.1% in Q4 to RMB 1.38 billion and full-year revenue up 26.7% to RMB 4.3 billion, driven largely by skincare (61.1% of Q4 revenue; 53% for the year).
• The company achieved a non-GAAP profitability turnaround—Q4 net income of RMB 3.0 million and full-year non-GAAP net income of RMB 8.4 million—narrowing the full-year net loss margin to 2.2% from 20.9% a year earlier.
• Management emphasized R&D-led growth and product successes (e.g., Galénic’s VB Serum and Couture Reviving Cream, and DR.WU’s PDRN serum), saying new launches and tech (including AI in R&D) are expanding category presence and customer lifetime value.
• Selling and marketing intensity remains high—Q4 S&M was RMB 893.8 million or 64.8% of revenues (up from 60.1%) due to higher traffic acquisition costs amid intense festival competition, which could pressure margins if spend efficiency doesn’t improve.
• Liquidity and cash flow weakened: cash, restricted cash and short-term investments fell to RMB 1.05 billion (from RMB 1.36 billion), and net cash used in operating activities was RMB 69.4 million in Q4 and RMB 94.7 million for the full year.

Yatsen Stock Down 8.5%

Shares of YSG opened at $4.07 on Tuesday. The stock has a market capitalization of $382.60 million, a P/E ratio of -5.90 and a beta of -2.06. Yatsen has a twelve month low of $3.30 and a twelve month high of $11.57. The firm has a fifty day simple moving average of $4.22 and a two-hundred day simple moving average of $6.44.

Wall Street Analysts Forecast Growth

Separately, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Yatsen in a report on Wednesday, January 21st. One analyst has rated the stock with a Sell rating, Based on data from MarketBeat, the company currently has an average rating of “Sell”.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in the company. Virtu Financial LLC purchased a new position in shares of Yatsen in the 4th quarter valued at approximately $48,000. XTX Topco Ltd boosted its holdings in shares of Yatsen by 487.9% during the 4th quarter. XTX Topco Ltd now owns 67,376 shares of the company’s stock valued at $262,000 after buying an additional 55,916 shares in the last quarter. Yiheng Capital Management L.P. grew its position in shares of Yatsen by 282.4% in the 4th quarter. Yiheng Capital Management L.P. now owns 368,347 shares of the company’s stock worth $1,433,000 after buying an additional 272,019 shares during the period. Quadrature Capital Ltd purchased a new stake in shares of Yatsen in the 4th quarter worth approximately $208,000. Finally, Millennium Management LLC raised its stake in Yatsen by 303.6% during the fourth quarter. Millennium Management LLC now owns 132,039 shares of the company’s stock valued at $514,000 after buying an additional 99,321 shares during the last quarter.

Yatsen Company Profile

Yatsen Holding Limited (NYSE: YSG) is a Shanghai-based beauty and personal care company founded in 2016. The firm operates as a digital-first cosmetics provider, designing, developing and marketing its own brands to a primarily Chinese consumer base. Since its inception, Yatsen has focused on leveraging data analytics and social media engagement to drive product innovation and brand awareness.

The company’s core portfolio includes Perfect Diary, a color-cosmetics brand offering lipsticks, eyeshadows, foundations and related accessories; Little Ondine, which specializes in nail lacquers and nail care products; Winona, a sensitive-skin skincare line; and Abby’s Choice, which features targeted skincare treatments.