BEAUTYFARM MED (02373) saw its shares reverse earlier gains and fall more than 11% following the release of its annual results. The stock has now declined over 30% year-to-date. At the time of writing, the shares were down 8.55%, trading at HKD 18.6, with a turnover of HKD 6.742 million.

The company reported its 2025 financial results, revealing revenue of approximately RMB 3 billion, a 16.7% increase year-on-year. Adjusted net profit was about RMB 381 million, surging 41% compared to the previous year. Despite the strong profit growth, investors have expressed concerns about whether the company can sustain this momentum.

Chief Financial Officer Zhou Min addressed these concerns, stating that BEAUTYFARM MED expects to maintain profit growth through organic expansion and strategic acquisitions. For 2026, the company plans to invest in brand development and digital transformation, using efficiency gains to fund future growth initiatives.