THE WHAT?  CHICMAX Co., Ltd. released its interim results for the six months ending June 30, 2023. The company reported a revenue of 1.59 billion yuan, up 25.7% from the previous year, and a gross profit of 1.10 billion yuan, a 33.7% year-on-year increase. Net profit reached 100 million yuan, a 60.7% increase from the prior year.

THE DETAILS  CHICMAX operates several brands in the cosmetics sector. In the first half of 2023, the revenue distribution among its brands was as follows: Kans at 64.8%, One Leaf at 12.8%, The Baby Elephant at 11.9%, and other brands accounting for the remaining percentage. Notably, Kans registered a revenue of 1.028 billion yuan, a 70.3% year-on-year increase, primarily due to its performance on TikTok. The new brand, Newpage, launched in May 2022, saw its sales for the first half of 2023 double from its entire 2022 sales figures.

THE WHY?   In the first half of 2023, CHICMAX’s R&D expense ratio stood at 3.4%, with the addition of 24 new patents. One of their significant developments is the anti-ageing ingredient “cyclopeptide”. The company’s R&D department comprises over 200 personnel and has secured around 200 patents. CHICMAX is also set to establish a joint R&D centre with Shanghai Jiaotong University.