China's Beauty Farm H1 revenue rises on Siyanli acquisition, internal expansion

Beauty Farm Medical and Health Industry

28/08/2026 24:08

Overview
China beauty and health service provider's H1 revenue rose 29% yr/yr
Adjusted net profit for H1 grew nearly 40% yr/yr
Company attributes revenue growth to internal expansion and Siyanli acquisition

Outlook
 BFG Group targets 20 super cities each generating more than RMB100 mln in revenue
Beauty Farm commits to a dividend payout ratio of at least 50% of parent net profit for the next three years
Naturade agrees to acquire two Hangzhou clinic and store operators for RMB10 mln, expanding its direct-store network

Result Drivers
SIYANLI CONSOLIDATION – Siyanli, consolidated from January, contributed RMB380 mln in H1 revenue and added growth momentum for revenue and profit
DIRECT-STORE VOLUME AND PRICE – Direct beauty-and-wellness revenue rose 39.8% yr/yr as visits increased 33% and average spending per visit rose 5.1%
PROCUREMENT AND LEASING GAINS – Gross margin widened 2.1 percentage points to 51.4%, aided by lower product procurement costs and improved property-leasing terms
MARKETING INVESTMENT – Selling expenses rose to RMB331 mln from RMB251 mln, primarily due to promotion and marketing spending for multi-brand upgrades

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 Revenue
 
RMB 1.88 bln
 
H1 Net Income Attributable to Owners of the Company
 
RMB 222.20 mln
 

Analyst Coverage
The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 7 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the personal services peer group is "buy."
Wall Street's median 12-month price target for Beauty Farm Medical and Health Industry Inc. is HK$38.50, about 113.2% above its August 27 closing price of HK$18.06
The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 9 three months ago

Reuters Recommended Reads
Aug 27 - Beauty products maker Shanghai Chicmax's H1 revenue falls on lower KANS brand sales
Aug 25 - China's H&H International half-year revenue rises, profit surges on margin expansion 
Aug 26 - Nail care studio operator MiniLuxe's Q2 revenue rises, aided by expansion

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

Press Release s3://eap-prd-eu-west-1-source-content/eap_feed_proxy/fingerpost/HKSW/2026-08-27/e775cd8a-2271-4089-8f26-9a6dec5ac28e.file
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)