Pien Tze Huang Cosmetics Business Revenue Down 24%

The financial report shows that in 2022, Pien Tze Huang’s cosmetics business revenue reached 634.3 million yuan($92.24 million), with an decrease of 24.61% compared to 2021.

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Recently, Pien Tze Huang released its 2022 annual report and the first quarter report of 2023.

In the year of 2022, Pien Tze Huang delivered a total operating revenue of 8.694 billion yuan ($1.264 billion), with an increase of 8.38% compared to 2021. The total profit of Pien Tze Huang increased by 3.79% to 2.978 billion yuan ($433.05 million). The company’s net profit saw growth of 2.36% to 2.523 billion yuan($366.89 million). While the net profit attributable to shareholders was up 1.66 to 2.4723 billion yuan ($359.51 million).

According to the past financial reports, the growth rate of Pien Tze Huang’s operating revenue in 2022 was the lowest since 2015, while in 2022, the company also delivered a lowest growth rate in net profit since 2010.

Pien Tze Huang's main business is divided into pharmaceutical manufacturing, pharmaceutical distribution and cosmetics. Cosmetics business, the second growth curve of Pien Tze Huang, has fallen sharply.

The financial report shows that in 2022, Pien Tze Huang’s cosmetics business revenue reached 634.3 million yuan($92.24 million), with an decrease of 24.61% compared to 2021. In the first quarter of 2023, Pien Tze Huang’s cosmetics business operating revenue decrease by 42.78% to 109 million yuan($15.85 million).

Fujian Pien Tze Huang Cosmetics Co., Ltd., a subsidiary of Pien Tze Huang was founded in 2022. Pien Tze Huang Cosmetics owns multiple brands such as "Pen Tze Huang" and "Queen". Pien Tze Huang Cosmetics has also established a sales network covering various channels such as department store counters, daily chemical stores, drug store chains, experience halls, experience stores, e-commerce and supermarkets.

On October 23, 2020, Pien Tze Huang issued an announcement stating that it wound start the preparatory work for the spin-off of Pien Tze Huang cosmetics. In 2022, Pien Tze Huang is also actively promoting the spin-off and listing process of its cosmetics subsidiary. The subsidiary Pien Tze Huang Cosmetics has gradually carried out pre-listing business integration work.