Hong Kong-listed COSMO LADY (02298)'s 2025 interim financial results reflect the company's "second entrepreneurship" transformation. In the first half of 2025, COSMO LADY achieved revenue of RMB 1.436 billion, with profit attributable to owners of RMB 57.796 million and basic earnings per share of RMB 0.027. The company continues to focus strategically on brand building, e-commerce, channels, and products, with e-commerce GMV exceeding RMB 1.6 billion, representing a year-on-year growth of 243%.
"For the full year 2025, e-commerce GMV should reach or even exceed RMB 3.4 billion, and our target is to achieve RMB 5 billion by 2026," Chairman and CEO Zheng Yaonan told Zhitong Finance APP at the Hong Kong results presentation on August 29. E-commerce has become a significant growth engine for both revenue and profit at COSMO LADY.
Zheng Yaonan resumed the CEO position at the end of 2021 and subsequently proposed deepening reforms centered on "second entrepreneurship." Three years later, COSMO LADY has emerged from three consecutive years of losses and achieved profitability for three consecutive years from 2022-2024. Barring unforeseen circumstances, COSMO LADY is expected to maintain consecutive profitability in 2025.
Behind this consecutive profitability backdrop, e-commerce deserves significant attention. The explosive 243% growth reflects precise positioning in e-commerce channels, brand matrix strategy, and qualitative improvements in supply chain efficiency - a business practice of "resilient growth" is unfolding in the lingerie industry.
**E-commerce Channel GMV Surges 243%, Continuously Exploring New Channel Opportunities**
The most striking highlight in the financial results is the e-commerce channel GMV (Gross Merchandise Value) breakthrough of RMB 1.6 billion, surging 243% year-on-year. This figure not only far exceeds the industry average growth rate but also signifies that COSMO LADY has successfully upgraded e-commerce from a "channel supplement" to a "core growth driver."
Since 2024, COSMO LADY has implemented a "joint venture e-commerce" model, deeply integrating with leading e-commerce platforms and replacing traditional consignment models with GMV revenue-sharing mechanisms, significantly reducing channel costs while achieving shared benefits between brand and platforms.
As evidence, COSMO LADY's e-commerce platform performance was outstanding in the first half, with its flagship store ranking in the top ten during Tmall's 618 shopping festival, and achieving fourth place in the lingerie category on JD platform.
Additionally, COSMO LADY has adopted strategies to deepen cooperation with joint venture partners, enhancing synergy between brand and channels, optimizing supply chain coordination, leveraging group supply chain resources, sharing raw materials, optimizing existing supplier pools, and initiating supplier evaluation management.
Specifically, COSMO LADY strengthens cooperation with joint venture partners through complementary advantages to jointly explore markets and enhance synergy between brand and channels. The company also reinforces supply chain coordination optimization by combining group supply chain resources, sharing raw materials and finished product procurement suppliers, initiating supplier evaluation management, and developing and optimizing existing supplier pools.
COSMO LADY continues to strengthen product control, improving product quality inspection and management, product price management levels, standardizing product control systems, and enhancing consumer satisfaction.
The e-commerce channel explosion essentially represents the resonance between product capabilities and channel efficiency. COSMO LADY continues to build a mass-market and mid-to-high-end hit product matrix covering multiple consumption scenarios to meet different consumer needs. Products like Water Light Cup (multi-dimensional shaping), Goddess Cup (fashion matching), Carved Flower Thin Cup (combining beauty and function), and Peach Cup (comfortable and stylish) have all achieved sales exceeding one million units. The Goddess Cup lingerie launched this year won the 2025 BIDA International Intimate Apparel Design Award and the Most Commercial Value Award for bras.
COSMO LADY has mastered the methodology for "creating hit products": data-driven R&D, content-leveraged traffic, and supply chain-guaranteed delivery.
Beyond high-speed e-commerce GMV growth, COSMO LADY continues to explore new channel opportunities. New channels (shopping center stores accounting for 35% of new openings), online e-commerce joint ventures, offline channels (street stores), and instant retail (cloud retail grew approximately 40% in the first half) constitute COSMO LADY's comprehensive growth channel network.
**Brand Matrix Layout Transcends Economic Cycles**
Behind the e-commerce surge, COSMO LADY is also making strategic brand adjustments. Financial results show that its main brand "COSMO LADY" focuses on penetrating lower-tier markets, while the mid-to-high-end positioned "Pure Cotton House" brand accelerates expansion into urban shopping center channels, with performance growing 46% year-on-year.
Zheng Yaonan hopes that over the next three years, offline growth will be steady, ensuring profitability for every franchise partner, while online channels achieve greater breakthroughs.
For COSMO LADY, which operates China's largest offline lingerie chain, Zheng Yaonan summarized three principles: stores that are both atmospheric and down-to-earth; products that are good yet affordable; and worry-free shopping service.
For online operations, Zheng Yaonan hopes joint venture partners can continue to grow stronger, with expectations for sustained high growth in the second half of 2025.
COSMO LADY's 2025 interim results may serve as a textbook on how enterprises navigate through cycles. From e-commerce channel explosions to brand matrix evolution, from supply chain revolution to technology-driven future planning, the core logic consistently revolves around one key concept: resilience.
This resilience manifests in keen insights into consumption trends, decisive execution of strategic transformations, and most importantly, a long-term value philosophy centered on users.