# SY earnings call intelligence LOPJLB CallCard / temporal rollup · freemium · [stock page](https://www.lopjlb.com/stock/SY) · [Earnings tab](https://www.lopjlb.com/stock/SY?tab=earnings) Updated: 2026-08-17T02:00:21 Quarters analyzed: 8 ## Cross-quarter narrative Across the earnings calls, So-Young's aesthetic center business has shown strong growth, with revenue surging and the number of centers expanding. Despite this, the company has faced challenges such as margin pressure, competition, and regulatory risks. The tone of management has generally been positive, with a focus on expansion and vertical integration. However, the company has also faced setbacks, including goodwill impairment and widening losses. Overall, So-Young's growth trajectory has been upward, but with significant challenges to navigate. ## Latest CallCard · Q1 So-Young Q1 revenue surged 46% YoY to RMB 433M driven by aesthetic center expansion (59 centers, +10 net), gross margin 27%, but net loss widened to RMB 49M; guiding Q2 aesthetic revenue +113-120% YoY, targeting 1,000 centers long-term. **Guidance:** vague — Provided Q2 aesthetic treatment service revenue guidance (RMB 307-317M, +113-120% YoY) but no full-year 2026 revenue or profit targets; only qualitative outlook on supply chain, medical delivery, and operational efficiency. **Tone:** mgmt 0.3 · Q&A pressure 0.4 · divergence 0.2 Prepared remarks emphasize robust performance, market leadership, expanding footprint, improving unit economics, new partnerships, and a 1,000-center goal with measured pace. ### Demand visibility Strong structural demand for light medical aesthetics with high core member repurchase, rising referrals, and lower-tier city growth, but industry growth slowing and competition intensifying. Core members (Level 3+) exceed 63K with high quarterly repurchase rate; referral new customers 52% in Q1; public domain acquisition growing with CAC controlled; consumers shifting to anti-aging, rational spending, and 2nd/3rd-tier cities matching 1st-tier ARPU. Industry forecast >RMB 600B by 2030, but 2025 market ~RMB 317B with light medical aesthetic ~80% share. Competition fierce, weaker players exiting. ### Margins / costs Aesthetic center gross margin improved to 27% (+8.4pp YoY, +3.3pp QoQ); operating expenses grew slower than revenue (26.6% vs 45.6%), but net loss widened due to scale investment. Cost of revenue up 65.8% YoY driven by center expansion; aesthetic treatment service cost up 156.4% YoY. Sales & marketing up 33.7% YoY (branding, user acquisition, payroll). G&A up 42.5% YoY (center expansion). R&D down 24.2% YoY (staff efficiency). Non-GAAP net loss RMB 46.6M vs RMB 31.5M prior year. ### Capital allocation Cash deployed to accelerate branded aesthetic center expansion; no buybacks, dividends, or M&A mentioned. Cash and equivalents decreased from RMB 936.4M (year-end 2025) to RMB 880M (March 31, 2026), reflecting strategic capital allocation to accelerate branded aesthetic center expansion and fuel next growth phase. ### Milestones - **So-Young Clinic network expansion** [on_track]: 59 centers across 17 cities as of call date (net add 10 vs year-end 2025); 54 centers across 16 cities as of March 31 per finance. - **Medical R&D and training center** [delivered]: Established in Beijing headquarters; labs for energy-based devices, injectables, testing; all physicians must complete training and assessments before practicing. - **Safety and compliance control center** [delivered]: Remote monitoring of safety/compliance, offline alerts, emergency response coordination, real-time integration for medical safety. - **Jinbo Biopharmaceutical partnership (WeiYiMei ColPact)** [delivered]: Exclusive rights to new product; launched Miracle Collagen (20th Green Label product) with 4-scenario anti-aging solutions using recombinant collagen. - **Green Label product system expansion** [on_track]: 20th product launched; focus on compliance, traceability, price transparency; reverse customization with upstream partners. - **Physician-led initial consultation policy** [on_track]: Piloted in selected clinics; plan 100% new customers consulted by physician, gradually expanding to returning customers. - **AI/big data skin detection upgrade** [new]: Planned integration of big data and AI for automatic treatment recommendations to automate diagnosis and boost efficiency. - **1,000 centers long-term goal** [new]: Management reiterated commitment to 1,000 centers with measured expansion pace. ### Fears / risks - **Industry growth deceleration**: Broader medical aesthetic market growth slowing; competition intensifying with more device supply and price transparency. - **Competitive shakeout**: Weaker players exiting; survivors need differentiated positioning; traditional high-end and single-store centers pressured. - **Physician retention**: Turnover at industry average; reliance on multilayer incentives (commission, career progression, equity) to retain ~230 full-time physicians. - **Execution risk on 1,000-center target**: Measured expansion pace but large scale-up from 59 centers; per-center economics must continue improving. - **Widening losses** ## Quarter one-liners - **2026 Q1:** So-Young Q1 revenue surged 46% YoY to RMB 433M driven by aesthetic center expansion (59 centers, +10 net), gross margin 27%, but net loss widened to RMB 49M; guiding Q2 aesthetic revenue +113-120% YoY, targeting 1,000 centers long-term. - **2025 Q4:** So-Young posted record Q4 revenue, with aesthetic center sales up 205% YoY, expanded to 49 clinics and lifted 2026 guidance while emphasizing profitability and margin improvement. - **2025 Q3:** So-Young Q3: aesthetic centers revenue +305% YoY to RMB 184M, 42 centers (target 50), 20 profitable, core members +40% QoQ, Q4 guidance RMB 216-226M treatment revenue, 2026 openings ≥35. - **2025 Q2:** So-Young Q2 2025: aesthetic center revenue RMB 144M (largest segment), 33 centers, net loss RMB 36M; Q3 guidance RMB 150-170M aesthetic revenue, targeting 50 centers by year-end, long-term 1,000 centers in 8-10 years, franchise pilot in Q4. - **2025 Q1:** So-Young Q1 2025: revenue RMB297.3M, net loss RMB33.1M; aesthetic centre business surging (RMB98.8M, +551% YoY), 23 clinics in 9 cities with 18 cash-flow positive; pursuing Sam's Club-inspired vertical integration, franchise model, and proprietary products; Q2 aesthetic revenue guided RMB120-140M. - **2024 Q4:** So-Young Q4 revenue RMB369.2M, net loss RMB607.6M (RMB540M goodwill impairment); aesthetic centers revenue up 702% YoY to RMB81.3M, 19 clinics opened; Q1 2025 guidance RMB280-300M; vertical integration progressing. - **2024 Q3:** So-Young Q3 revenue RMB371.8M beat guidance; clinic chain expanded to 17 stores with 67% QoQ revenue growth; upstream injectables up 18.7% YoY; Q4 guidance RMB350-370M; franchise model accelerating expansion. - **2024 Q2:** So-Young Q2 revenue beat guidance at RMB407M; non-GAAP profit up 43% YoY; 14 clinics operational with Beijing profitable; franchising planned H2; Q3 guidance RMB350-370M reflects macro softness. ## Theme arcs - **Aesthetic center expansion** (improving): Center count and revenue have consistently grown - **Margin pressure** (deteriorating): Rapid expansion has led to consumable costs and promotions compressing margins - **Competition** (deteriorating): Industry growth slowing and competition intensifying - **Regulatory risks** (stable): Compliance and safety under scrutiny, but no major changes - **Vertical integration** (improving): Supply chain partnerships and investments in upstream businesses - **Losses** (deteriorating): Net loss has widened due to scale investment and expansion costs ## Fear persistence - **Competition** [recurring]: Industry growth slowing and competition intensifying - **Margin pressure** [recurring]: Rapid expansion compressing margins - **Regulatory risks** [recurring]: Compliance and safety under scrutiny - **Losses** [recurring]: Net loss widening due to scale investment and expansion costs - **Execution risk** [new]: Risk of not achieving 1,000 centers target due to large scale-up required ## Guidance path 2024 Q2:maintained → 2024 Q3:maintained → 2024 Q4:maintained → 2025 Q1:maintained → 2025 Q2:maintained → 2025 Q3:raised → 2025 Q4:raised → 2026 Q1:vague --- Research context only. Not personalized investment advice. API: `GET /bff/api/bigfive/earnings-intel/SY`