On March 8, Yixian e-commerce released the fourth quarter of 2022 annual financial results.
Financial results show that Yi Xian e-commerce revenue continues to decline. In 2022, Q1-Q4 Yixian e-commerce revenue was 891 million yuan, 951.8 million yuan, 854.9 million yuan and 1.01 billion yuan respectively, with year-on-year growth rates of -38.3%, -37.6%, -36.1% and -34.2%.
However, in the past year under the environment of weak beauty consumption, Yixian e-commerce carried out a series of cost reduction and efficiency reform, did bring some surprises.
One is Yi Xian electricity business will "save money".
In Q4 of 2022, the total operating expenses of Yixian e-commerce decreased by 47.0% to 792.9 million yuan from 1.49 billion yuan in the same period of the previous year. Of this, e-commerce sales and marketing expenses were 535.2 million yuan, compared with 1.08 billion yuan in the same period last year.
Yixian E-commerce revealed that the sales decline was mainly due to the closure of underperforming offline stores, reduced expenses related to marketing activities and improved efficiency of online marketing activities. For example, last year's Double 11, Perfect Diary brand was particularly low-key, and accordingly appeared less frequently in Li Jiaqi's studio.
Two in the makeup business continues to fade, Yi Xian e-commerce began to "save", continue to increase the size of the skin care business, and the high margin of the skin care business made a great contribution.
Yixian E-commerce in 2022 net loss of 821.3 million yuan, a year-on-year decrease of 46.9%, and quarterly net profit (Non-GAAP) 34.68 million yuan. In the last quarter of last year, the skin-care business booked 470 million yuan, rising to 46.9 percent of total revenue and contributing to its first quarterly profit since going public.
According to Vice President Lv Pei-pei, hope the future skin care, makeup line balanced development.
However, Yi Xian e-commerce can achieve upturn?
In fact, no matter in the field of makeup or skin care, the final or back to the product itself. By the flow dividend can quickly out of the circle, but if it really go long term, or rely on the product force, especially when the industry growth slows down.
Although Yi Xian e-commerce operation experience, have their own set of traffic play, but in how to cultivate the brand of loyal users, how to tear off the parity label, how to build brand value on these issues, there is still a long way to go.