Yatsen CEO on Science-Backed Beauty, Turnaround Strategy, and Global Positioning
Yatsen Holding (NYSE: YSG) CEO David Huang shared insights on the company's evolution from a trend-focused startup to a global beauty innovation leader. The company, founded in 2016, has expanded to 11 brands across mass, masstige, and premium segments, including notable acquisitions like Galenic and EVE LOM.
Key highlights include a strategic shift towards science-backed beauty, with over $80 million invested in R&D, 240+ patent filings, and publications in prestigious journals. The company allocates 3% of revenue to R&D, positioning itself among global leaders in beauty innovation spending. Yatsen has successfully resumed profitable growth following its transformation, completed a $200 million share buyback, and maintains a strong domestic supply chain to minimize global trade disruptions.
Operating in China's RMB 400 billion beauty market, Yatsen focuses on high-value, science-driven products like the Biolip Essence Lipstick, while exploring new frontiers in neuroscience applications for skincare.
David Huang, CEO di Yatsen Holding (NYSE: YSG), ha condiviso approfondimenti sull'evoluzione dell'azienda da startup attenta alle tendenze a leader globale nell'innovazione cosmetica. Fondata nel 2016, l'azienda si è espansa fino a comprendere 11 marchi nei segmenti mass market, masstige e premium, con acquisizioni rilevanti come Galenic ed EVE LOM.
Tra i punti salienti c'è un cambiamento strategico verso la bellezza supportata dalla scienza, con oltre 80 milioni di dollari investiti in R&D, più di 240 brevetti depositati e pubblicazioni su riviste prestigiose. L'azienda destina il 3% del fatturato alla ricerca e sviluppo, posizionandosi tra i leader mondiali per investimenti in innovazione cosmetica. Yatsen ha ripreso con successo una crescita redditizia dopo la trasformazione, ha completato un riacquisto di azioni da 200 milioni di dollari e mantiene una solida filiera domestica per ridurre al minimo le interruzioni del commercio globale.
Operando nel mercato cinese della bellezza da 400 miliardi di RMB, Yatsen punta su prodotti di alto valore e basati sulla scienza come il Biolip Essence Lipstick, esplorando al contempo nuove frontiere nelle applicazioni neuroscientifiche per la cura della pelle.
David Huang, CEO de Yatsen Holding (NYSE: YSG), compartió perspectivas sobre la evolución de la compañía, pasando de ser una startup enfocada en tendencias a un líder global en innovación en belleza. Fundada en 2016, la empresa se ha expandido a 11 marcas en los segmentos masivo, masstige y premium, incluyendo adquisiciones destacadas como Galenic y EVE LOM.
Entre los aspectos clave destaca un cambio estratégico hacia la belleza respaldada por la ciencia, con más de 80 millones de dólares invertidos en I+D, más de 240 patentes registradas y publicaciones en revistas prestigiosas. La compañía destina el 3% de sus ingresos a I+D, posicionándose entre los líderes mundiales en gasto en innovación en belleza. Yatsen ha retomado con éxito un crecimiento rentable tras su transformación, completó una recompra de acciones por 200 millones de dólares y mantiene una sólida cadena de suministro nacional para minimizar las interrupciones del comercio global.
Operando en el mercado de belleza chino de 400 mil millones de RMB, Yatsen se enfoca en productos de alto valor y ciencia avanzada como el Biolip Essence Lipstick, mientras explora nuevas fronteras en aplicaciones de neurociencia para el cuidado de la piel.
Yatsen Holding(뉴욕증권거래소: YSG) CEO 데이비드 황은 회사가 트렌드 중심의 스타트업에서 글로벌 뷰티 혁신 리더로 성장한 과정을 공유했습니다. 2016년에 설립된 이 회사는 매스, 매스티지, 프리미엄 세그먼트 전반에 걸쳐 11개의 브랜드로 확장했으며, Galenic과 EVE LOM 같은 주요 인수도 포함됩니다.
주요 내용으로는 과학 기반 뷰티로의 전략적 전환이 있으며, 8천만 달러 이상을 연구개발에 투자하고 240건 이상의 특허 출원과 권위 있는 학술지에 논문을 발표했습니다. 회사는 매출의 3%를 연구개발에 할당하며, 뷰티 혁신 투자 면에서 글로벌 선두 그룹에 속합니다. Yatsen은 변혁 이후 수익성 있는 성장을 성공적으로 재개했고, 2억 달러 규모의 자사주 매입을 완료했으며, 글로벌 무역 혼란을 최소화하기 위해 강력한 국내 공급망을 유지하고 있습니다.
중국 4000억 RMB 규모의 뷰티 시장에서 Yatsen은 Biolip Essence 립스틱과 같은 고부가가치 과학 기반 제품에 집중하며, 피부 관리를 위한 신경과학 응용 분야의 새로운 영역도 탐색하고 있습니다.
David Huang, PDG de Yatsen Holding (NYSE : YSG), a partagé des informations sur l'évolution de l'entreprise, passant d'une startup axée sur les tendances à un leader mondial de l'innovation en beauté. Fondée en 2016, la société s'est développée jusqu'à compter 11 marques dans les segments mass market, masstige et premium, incluant des acquisitions notables telles que Galenic et EVE LOM.
Parmi les points clés figure un virage stratégique vers une beauté fondée sur la science, avec plus de 80 millions de dollars investis en R&D, plus de 240 dépôts de brevets et des publications dans des revues prestigieuses. L'entreprise consacre 3 % de son chiffre d'affaires à la R&D, se positionnant parmi les leaders mondiaux en matière de dépenses d'innovation beauté. Yatsen a réussi à renouer avec une croissance rentable après sa transformation, a achevé un rachat d'actions de 200 millions de dollars et maintient une chaîne d'approvisionnement nationale solide pour minimiser les perturbations du commerce mondial.
Opérant sur le marché chinois de la beauté, d'une valeur de 400 milliards de RMB, Yatsen se concentre sur des produits à forte valeur ajoutée et basés sur la science, comme le rouge à lèvres Biolip Essence, tout en explorant de nouvelles frontières dans les applications des neurosciences pour les soins de la peau.
David Huang, CEO von Yatsen Holding (NYSE: YSG), gab Einblicke in die Entwicklung des Unternehmens von einem trendorientierten Startup zu einem globalen Innovationsführer im Bereich Schönheit. Das 2016 gegründete Unternehmen hat sich auf 11 Marken in den Segmenten Mass Market, Masstige und Premium ausgeweitet, darunter bedeutende Übernahmen wie Galenic und EVE LOM.
Zu den wichtigsten Punkten zählt eine strategische Neuausrichtung hin zu wissenschaftlich fundierter Schönheit, mit über 80 Millionen US-Dollar Investitionen in Forschung und Entwicklung, mehr als 240 Patentanmeldungen und Veröffentlichungen in renommierten Fachzeitschriften. Das Unternehmen investiert 3 % seines Umsatzes in F&E und zählt damit zu den weltweit führenden Unternehmen bei Ausgaben für Schönheitsinnovationen. Yatsen hat nach der Transformation erfolgreich profitables Wachstum wieder aufgenommen, einen Aktienrückkauf im Wert von 200 Millionen US-Dollar abgeschlossen und verfügt über eine starke heimische Lieferkette, um globale Handelsstörungen zu minimieren.
Im chinesischen Schönheitsmarkt mit einem Volumen von 400 Milliarden RMB konzentriert sich Yatsen auf hochwertige, wissenschaftlich fundierte Produkte wie den Biolip Essence Lippenstift und erkundet gleichzeitig neue Anwendungsbereiche der Neurowissenschaften in der Hautpflege.
- Resumed profitable growth after strategic transformation
- Completed $200 million share buyback program
- Strong R&D investment with 3% of revenue allocation
- Filed 240+ patents and published in prestigious scientific journals
- Expanded to 11 brands across different market segments
- exposure to global supply chain disruptions due to domestic sourcing
- Stock price remains below IPO levels
- Operating in highly fragmented market with single-digit market shares
- Facing increased price sensitivity from post-COVID consumers
Insights
Yatsen's strategic pivot to science-based beauty products in a fragmented Chinese market positions them well for premium consumer capture through innovation.
Yatsen's evolution from a trend-focused startup to a research-driven beauty tech company represents a significant strategic repositioning in China's
The company has expanded from its original Perfect Diary brand to an impressive portfolio of 11 brands spanning mass, masstige, and premium segments, including strategic acquisitions like France's Galenic and EVE LOM. This multi-tier approach allows Yatsen to capture consumers across various price points while maintaining distinct brand identities.
What truly differentiates Yatsen is their science-backed innovation strategy. Their Biolip Essence Lipstick exemplifies this direction—priced comparably to luxury brands but offering hybrid benefits through patented ingredients that stimulate collagen and reduce lip wrinkles. This aligns perfectly with consumer insights shared by CEO Huang that Chinese consumers remain "highly willing to pay—as long as the product truly delivers."
The 3% of revenue allocated to R&D places Yatsen among industry leaders in innovation spending ratios. Concrete outputs include 240+ patent filings and publications in prestigious scientific journals like Nature Medicine. This investment creates meaningful differentiation from both domestic competitors and multinational corporations struggling to adapt to Chinese preferences.
Their exploration of neuroscience applications in skincare signals a forward-looking approach that could further cement their position as an innovation leader rather than merely following trends. This science-driven premiumization strategy appears well-calibrated to evolving consumer demands in the post-COVID China beauty market.
Yatsen has successfully pivoted to profitability while investing heavily in R&D and completing a $200M buyback, signaling management confidence.
Yatsen's 2021 strategic pivot toward science-backed products and premiumization has successfully transitioned the company back to profitable growth, according to CEO Huang. This financial turnaround required substantial operational restructuring and capital reallocation during challenging market conditions—a difficult transformation for a public company.
The
A particularly significant capital allocation decision was the completed
The company appears relatively insulated from potential trade tensions and supply chain disruptions due to predominantly domestic sourcing for components and ingredients, with mainland China as its core market. This provides some buffer against global volatility, though management maintains vigilance regarding potential external risks.
While specific financial metrics beyond the R&D percentage and buyback amount aren't detailed, CEO Huang emphasized that "the fundamentals are stronger than ever" with resumed profitable growth. The disciplined approach to brand building and product innovation has reportedly garnered increased investor confidence, with Huang noting that "since last quarter, investor feedback has been increasingly positive."
From a growing portfolio of brands to deep investments in science and R&D, Huang positioned Yatsen as a rare hybrid—both agile and deeply rooted in long-term thinking. His message was clear: beauty is being redefined, and Yatsen intends to lead the next era.
A Vision to Build a Tech-Driven Beauty Powerhouse
Founded in 2016, Yatsen first captured attention through Perfect Diary, now a mainstream brand in
Its lineup includes
"Our vision was always to build a next-generation beauty tech company," Huang explained. "From trend-driven to science-backed, we now offer products across all major segments—what unites them is innovation."
The domestic beauty market in
Despite recent macro challenges, Huang is confident: "Chinese consumers are still highly willing to pay—as long as the product truly delivers."
That belief led to one of Yatsen's breakout hits: the Biolip Essence Lipstick. Priced similarly to global luxury brands, this hybrid product combines high-performance color with skincare benefits, including patented ingredients that stimulate collagen and reduce lip wrinkles.
"It's not just makeup. It's biotech in a lipstick," Huang said. "And the market responded—we've seen strong repurchase and loyalty."
Science-Led Premiumization: A Strategic Pivot
Yatsen's transformation goes beyond branding. In 2021, the company initiated a strategic shift: lean harder into skincare, R&D, and innovation-led premiumization. The move was both ambitious and risky, as it involved restructuring operations, reallocating capital, and riding out a tough market cycle.
"Turning around a public company isn't easy," said Huang. "But we knew where the market was going—toward science-backed, benefit-driven beauty. We invested over
He added that
Profitability Resumed, Market Confidence Growing
While Yatsen's stock price has yet to return to IPO levels, Huang emphasized the fundamentals are stronger than ever.
"Since last quarter, investor feedback has been increasingly positive. But more important than sentiment is performance—we've resumed profitable growth, with a long-term focus on value creation," he said.
The turnaround, built on disciplined brand building and product innovation, has earned Yatsen growing respect among long-term investors.
"We believe the equity market is a weighing machine over time. Our job is to do the right things—R&D, great products, strong brands—and the value will follow."
Resilience in a Volatile Global Landscape
Huang also addressed concerns around trade and supply chain disruptions, particularly in light of global tariff tensions.
While the beauty industry is highly globalized, Yatsen has insulated itself well. Most of its components and ingredients are sourced domestically, and its primary market remains mainland
"We're not immune, but we're well-positioned," he said. "We monitor risks—supplier stability, cross-border issues—but our current exposure is manageable. Still, we stay agile."
When asked whether cost increases from potential tariffs would be passed on to consumers, Huang pointed to the brand's focus on delivering value, not just price.
"Consumers are smart. Post-COVID, they're more price-sensitive, but they're not chasing the lowest price. They want high value—products that justify their cost."
A Different Playbook From Global Competitors
Huang believes that Yatsen's unique blend of local insight and global scientific ambition sets it apart from multinationals struggling to regain ground in
"We're not just following trends—we're deeply embedded in where Chinese consumer preferences are heading," he said. "Biotech, neuroscience, ingredient innovation—this is where we're betting big."
Yatsen is already seeing results from this strategy with loyal followings for products under brands like Galenic and high-performance serums featuring vitamin A and C.
In a nod to its future direction, Huang revealed that Yatsen is now exploring neuroscience applications in skincare—a niche with massive long-term potential.
Capital Strategy: Transparency, Optionality, and Growth
On the capital markets front, Huang acknowledged investor concerns around ADR delistings and so on. But Yatsen is taking a disciplined, transparent approach.
The company completed a
Yatsen represents a rare blend of scale, agility, and innovation depth. With proven market traction, a science-led product pipeline, and a profitable operating model, the company is positioned to capture long-term share in a fragmented, fast-evolving industry. In terms of Yatsen's vision, "We're not just making beauty products," Huang concluded, "We're inventing the future of beauty—and we're just getting started."
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SOURCE Yatsen Holding Limited
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