Although medical aesthetics consumption was affected by repeated epidemics in the second quarter, the number of paid medical institutions on the SoYoung platform continued to maintain an upward trend, reaching 5,735, a year-on-year increase of 17.1%.

Beijing time on August 16, 2022, SoYoung Technology (NASDAQ: SY), a leading domestic Internet medical and aesthetic medical service platform, released its unaudited financial results for the second quarter as of June 30, 2022.

In the second quarter of 2022, SoYoung Technology’s total revenue was 309.1 million yuan (US$46.1 million), an increase of 3% from the previous quarter. Although medical aesthetics consumption was affected by repeated epidemics in the second quarter, the number of paid medical institutions on the SoYoung platform continued to increase, reaching 5,735, a year-on-year increase of 17.1%.

SoYoung Group Chairman and CEO Jinxing believes, “This quarter, the company achieved stable performance. This also fully demonstrates the development resilience of the company’s business under the dual pressure of the challenges of the epidemic and weak consumption. At the same time, thanks to the company's digital capabilities and user experience-centered technological innovation capabilities, the number of paid medical institutions on the SoYoung platform increased by 17.1% year-on-year, reaching 5,735. "

In the second quarter of this year, SoYoung's performance was achieved. increased month-on-month. In this regard, Jin Xing said, "In a challenging environment, while our business is advancing in an orderly manner, we are also constantly improving our operational capabilities. Recently, we have launched the "Solar Selection" business, which will help The organization's improved operational efficiency will also help users make more scientific medical and aesthetic consumption decisions. Looking to the future, SoYoung will continue to be committed to healthy and sustainable development. development strategy to further consolidate its leading position in the medical beauty industry by creating more value. "

launches carefully selected businesses to break the opacity of information in the medical beauty industry.

As we all know, the standardized development of the medical beauty industry has become the focus, and the establishment of an open and transparent high-end A quality medical aesthetics consumption decision-making system is the common expectation of the industry and consumers. Data from the SoYoung platform shows that for institutions, “good service” is the “only” rule in a rapidly changing market environment. On the SoYoung platform, organizations have faster response rates to users’ private messages, organizations have higher ratings on the SoYoung platform, and organizations can better serve and fulfill contracts. These details all greatly affect consumers’ decision-making and repurchase. .

Based on this, Sonyang followed the trend and launched the "Sonyang Strict Selection" business, positioning itself to only cooperate with quality institutions that do not exceed 8% - that is, in cities where Sonyang Strictly Selection business is launched, Sonyang will use 8% To set the upper limit for quantitative indicators, local medical and aesthetic institutions on the SoYoung platform are continuously screened throughout the year to help users make scientific medical and aesthetic consumption decisions.

According to reports, SoYoung Strict Selection has six major screening dimensions, including qualification threshold, hardware facilities, institutional reputation, institutional services, physician conditions, equipment/drugs; it will also cooperate with SoYoung Strict Selection institutions to subsidize consumers, with the highest level of subsidies Up to 30%; Strictly ensuring service and safety will also become important assessment indicators for SoYoung’s selection. Worry-free waiting guarantee and overtime gifts will be included in the carefully selected service system. It is worth mentioning that in response to the call of Article 52 of the Physician Law, all carefully selected institutions will be insured with medical liability insurance to further promote the compliance process of medical aesthetic institutions.

New Oxygen Strict Selection no longer uses large or complete as the criterion for screening medical beauty institutions, but evaluates institutions, doctors, projects, reputation, services, safety and compliance and other aspects, creating a set of high-quality "Solution Strict Selection Standard" that is higher than the industry average standard. For these selected institutions, SoYoung will also provide assistance in four major aspects: word-of-mouth support, traffic support, customer acquisition support, and value-added rights and interests. By strengthening the promotion of on-site platforms and off-site channels, SoYoung will create exclusive and scarce carefully selected brand identity certifications, and provide With diversified traffic support, SoYoung will also use more powerful marketing methods to help medical and aesthetic institutions accurately acquire customers, and improve the operating efficiency of the institutions through training and other measures.

As of August 8, SoYoung has launched a total of 46 carefully selected institutions. Data shows that the exposure of SoYoung institutions on the platform has doubled, an increase of 101.3% compared with before joining the strictly selected institutions. The payment order volume of the strictly selected institutions is higher than that before joining. Before Yanxuan’s growth, the conversion rate of SoYoung’s Yanxuan institutions on the platform increased significantly, with an increase of 46.8%.

's "content + community + e-commerce" model and the collaborative efforts in the upstream and downstream of the industry chain are SoYoung's advantages in creating a strict selection model.This represents a new way for the future growth of the medical aesthetics industry, which is to solve the information asymmetry problem in the development of the industry through the Internet platform, and to support high-quality institutions to better exert their influence and promote the evolution of industry self-discipline and ecology. .

"New Oxygen Selection" helps consumers choose suitable supply solutions through "preferred products" that meet consumers' individual needs, shortens consumers' decision-making links, creates a trustworthy consumer decision-making system, and allows consumers to complete High-quality contract fulfillment improves users’ experience, satisfaction and perception of purchased goods.

At present, "New Oxygen Strict Selection" has been launched in 6 cities: Beijing, Shanghai, Shenzhen, Chongqing, Hangzhou, and Wuhan, and will be launched in more cities in the future.

continues to lay out the light medical beauty supply chain, and the performance health continues to improve

According to Qizhi Laser’s financial report data, Qizhi Laser’s revenue reached 120 million yuan in the first half of 2022, a year-on-year increase of 8.4% in 2021. In a relatively weak market environment, it shows the growth momentum gained by SoYoung’s layout of supply chain.

In the second quarter, with the photorejuvenation equipment CC Protein Light as the core, Qizhi Laser continued to educate and penetrate the market. Through Qizhiyun Academy, online training and academic live broadcasts of medical aesthetic optoelectronics knowledge have covered nearly 100,000 institutional doctors, an increase of 42% compared with the first quarter, thereby further accelerating the sales of CC protein optical equipment and the transformation of institutional coverage. .

At the same time, in the second quarter, with CC protein light technology as the core, Qizhi Laser created the CC glass lip project. Based on the "painless" advantage of the CC protein light instrument, it is suitable for lip refinement treatment and has been recognized by consumers. In the relatively fiercely competitive track of photorejuvenation, technological innovation has filled the gap of lip medical beauty without photoelectric projects and brought new growth points to medical beauty institutions. At present, good results have been achieved in the market. Technological innovation will also become a new driving force for SoYoung’s continued growth in the future.

In terms of agent products, Aelasiti and Weilamei continued their development trend in the first quarter. Taking Aelasiti as an example, in the second quarter, it achieved more than 150 million online exposures and reached more than 10 million people through various social media, further broadening the influence of agency products.

SoYoung CFO Mr. Yu Min said: "In the second quarter, we are encouraged by the gradual recovery of SoYoung's performance and the performance growth achieved between the first half of 2022. In this quarter, non-US GA Standard net losses attributable to listed companies narrowed by more than 53% compared with the first quarter, thanks to the growth in performance and the company's good control of expenses. As of June 30, 2022, SoYoung's cash reserves were approximately 1.6 billion. Yuan, looking forward to the future, we will continue to implement the established business strategy, maintain healthy cash reserves, and create long-term value for shareholders.”

(This article does not constitute any investment advice, and the information disclosure content shall be subject to the company’s announcement. Investors shall operate accordingly. , use at your own risk)