So-Young Reports Financial Performance for First Quarter 2025

On May 16, 2025, So-Young International Inc. released its unaudited financial results for the first quarter ending March 31, 2025. As a premier platform in China for aesthetic treatments, So-Young connects consumers to both online services and offline treatment centers. The report offered a comprehensive overview of its financial standing, operational performance, and strategic direction.

Financial Highlights

In the first quarter of 2025, So-Young recorded total revenues of RMB 297.3 million (approximately USD 41.0 million). This represents a decline from RMB 318.3 million during the same period in 2024, aligning with the forecasted range of expectations. Notably, there was a net loss attributable to So-Young amounting to RMB 33.1 million (USD 4.6 million), which contrasts with a smaller loss of RMB 21.2 million recorded in the previous year's first quarter.

A closer look at the figures reveals a non-GAAP net loss of RMB 31.5 million (USD 4.3 million), flipping from a non-GAAP profit of RMB 4.1 million earned in the same quarter of 2024. The financial results underscore the challenges faced by the company, yet they coalesce with an optimistic view on long-term strategies for growth.

Operational Analysis

In terms of operational metrics, the total value of aesthetic treatment transactions facilitated by the platform reached RMB 303.2 million, down from RMB 367.1 million in the equivalent quarter of 2024. Interaction with the platform surged, evidenced by over 45,500 verified paid visits and surpassing 92,900 paid aesthetic treatments processed, a significant leap compared to approximately 4,600 visits and 8,500 treatments a year previous. Notably, the count of active users soared to over 75,700, an increase from roughly 8,000 users last year.

As of March 31, 2025, So-Young boasted 23 aesthetic clinics spread across nine major cities, all fully operational, including high-profile locations like Beijing and Shanghai. Impressively, 18 of these centers yielded positive monthly operating cash flows. The revenue analysis of these centers indicates continued robust growth, particularly in the 'Growth' phase of their establishment.

CEO's Insights

Mr. Xing Jin, Co-Founder and CEO of So-Young, indicated that the branded aesthetic centers showed remarkable growth momentum, particularly achieving year-on-year revenue increases in triple digits. He attributes this growth to the strategic transformations that have not only uncovered unmet market demands but have enhanced synergies across business markers. The integration of their subsidiary, Wuhan Miracle Laser, is cited as pivotal, boosting upstream capabilities that streamline product offerings while curbing costs.

The ability to nurture customer loyalty remains a central pillar for the company as it aims to broaden the presence of aesthetic centers and deliver reliable treatment solutions tailored to consumer needs.

In parallel, CFO Mr. Hui Zhao reflected on the economic backdrop and the need to coat strategic investments that facilitate long-term sustainable growth. While the immediate financial results may raise concerns, Zhao stressed the belief in disciplined expansion and operational refinement across established centers.

Market Outlook

Looking ahead, So-Young estimates that second-quarter revenues from aesthetic treatment services are likely to hit between RMB 120 million (USD 16.5 million) and RMB 140 million (USD 19.3 million), which could represent an astounding growth rate of 337.3% to 410.1% from the second quarter of 2024. This projection showcases the company's resilience and adaptability following a challenging market environment.

Overall, the first quarter results illustrate a phase of transitions for So-Young International Inc., marked by noteworthy growth in operational metrics amidst financial losses, paving the way for future strategies targeting sustainable development and market leadership.