Tianfeng Securities Co.,Ltd. issued a research report maintaining a "Buy" rating for YSB (09885), revising upward the net profit attributable to shareholders forecasts for 2025-2027 from RMB 156/373/602 million to RMB 179/403/650 million. In the first half of 2025, the company's platform and self-operated businesses demonstrated steady performance, while its proprietary brand business achieved significant breakthroughs. High-margin proprietary products are expected to continue driving profit growth. For 2025H1, the company achieved operating revenue of RMB 9.843 billion, up 11.66% year-over-year; net profit attributable to shareholders of RMB 78 million, up 258.01% year-over-year; and adjusted net profit attributable to shareholders of RMB 78 million, up 1,602.64% year-over-year.
Tianfeng Securities Co.,Ltd.'s main viewpoints are as follows:
Platform Business: Focusing on High-Growth Categories to Meet Diverse User Demands In 2025H1, the company's platform business generated revenue of RMB 436 million. The company comprehensively enhanced the product diversity of its platform business, covering more customer demand scenarios. The average monthly SKU count on the platform has grown to approximately 4 million, greatly satisfying users' diverse needs. The company focused on value mining in core traditional Chinese medicine (TCM) decoction piece categories. In 2025H1, the company provided 125,000 TCM decoction piece SKUs to downstream customers, up 22.5% year-over-year.
Regular Self-Operated Business: Comprehensive Advancement in "Variety, Speed, Quality, and Value" to Enhance User Experience In 2025H1, the company's self-operated business achieved revenue of RMB 9.389 billion, up 12.5% year-over-year. The company advanced comprehensively across four dimensions - "variety, speed, quality, and value" - continuously improving self-operated business operational capabilities. 1) Variety: Self-operated business provided downstream buyers with an average monthly SKU count of 480,000, increasing by 58,000 in 2025H1; 2) Speed: Same-city orders with half-day delivery accounted for 70%; 3) Quality: Maintaining quality standards, the company's return rate continued to decline to 0.4% in 2025H1; 4) Value: The company further strengthened direct manufacturer supply models, continuously optimized procurement channels, and reduced operating costs.
Private Label Business: Proprietary Brands Drive New Profit Growth In 2025H1, the company's private label business achieved a combined transaction volume of RMB 1.08 billion, up 115.6% year-over-year. Among these, proprietary brands formed the core driver of high-quality growth in self-operated business. In 2025H1, proprietary brand transaction volume reached RMB 852 million, growing approximately 473.4% year-over-year. The flagship product "Leyaoshi Huoxiang Zhengqi Oral Liquid" achieved substantial breakthroughs in coverage of grassroots medical terminals.
Risk Warnings: Policy fluctuation risks, product sales underperformance risks, industry volatility risks