Revenue growth remains volatile, swinging from a 19.0% contraction in 2023Q3 to a 50.0% expansion by 2025Q3, while gross margins have improved to 78.4% as of 2025Q4.
| Sales/Revenue | 4.18B | 3.44B | 3.41B | 3.77B | 5.76B | 4.95B | 3.02B | 660.1M |
| Revenue Growth % | 21.49% | 0.8% | -9.46% | -34.58% | 16.51% | 63.66% | 357.96% | - |
| Cost of Goods Sold | 869.69M | 787.24M | 901.33M | 1.21B | 1.92B | 1.77B | 1.1B | 241.13M |
| COGS % of Revenue | 20.8% | 22.87% | 26.4% | 32.04% | 33.24% | 35.72% | 36.41% | 36.53% |
| Gross Profit | 3.31B | 2.65B | 2.51B | 2.56B | 3.85B | 3.18B | 1.92B | 418.97M |
| Gross Margin % | 79.2% | 77.13% | 73.6% | 67.96% | 66.76% | 64.28% | 63.59% | 63.47% |
| Gross Profit Growth % | 24.76% | 5.62% | -1.95% | -33.4% | 21% | 65.43% | 358.85% | - |
| Operating Expenses | 3.49B | 3.08B | 3.07B | 3.51B | 5.45B | 5.72B | 1.78B | 453.59M |
| OpEx % of Revenue | 83.52% | 89.56% | 89.98% | 93.03% | 94.57% | 115.55% | 58.85% | 68.71% |
| Selling, General & Admin | 3.32B | 2.97B | 2.96B | 3.38B | 5.31B | 5.65B | 1.76B | 450.84M |
| SG&A % of Revenue | 79.33% | 86.34% | 86.71% | 89.6% | 92.14% | 114.27% | 58.09% | 68.3% |
| Research & Development | 133.56M | 110.84M | 111.68M | 129.1M | 140.25M | 62.88M | 23.12M | 2.74M |
| R&D % of Revenue | 3.19% | 3.22% | 3.27% | 3.42% | 2.43% | 1.27% | 0.76% | 0.42% |
| Other Operating Expenses | 41.56M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -180.73M | -427.79M | -559.24M | -945.21M | -1.6B | -2.54B | 143.37M | -34.61M |
| Operating Margin % | -4.32% | -12.43% | -16.38% | -25.06% | -27.81% | -51.26% | 4.74% | -5.24% |
| Operating Income Growth % | 57.75% | 23.5% | 40.83% | 41.04% | 36.79% | -1868.97% | 514.21% | - |
| EBITDA | -34.65M | -204.61M | -355.86M | -599.99M | -1.18B | -2.29B | 210.86M | -30.34M |
| EBITDA Margin % | -0.83% | -5.95% | -10.42% | -15.91% | -20.5% | -46.22% | 6.98% | -4.6% |
| EBITDA Growth % | 83.06% | 42.5% | 40.69% | 49.22% | 48.33% | -1184.5% | 795.08% | - |
| D&A (Non-Cash Add-back) | 146.08M | 223.18M | 203.38M | 345.22M | 421.73M | 249.47M | 67.49M | 4.28M |
| EBIT | -90M | -724.82M | -763.46M | -845.77M | -1.53B | -2.54B | 146.94M | -37.3M |
| Net Interest Income | 39.61M | 86.14M | 89.02M | 34.66M | 45.66M | 14.31M | 5.32M | -214K |
| Interest Income | 39.61M | 86.14M | 89.02M | 34.66M | 45.66M | 14.31M | 5.32M | 0 |
| Interest Expense | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 214K |
| Other Income/Expense | 90.73M | -295.62M | -194.09M | 112.21M | 75.3M | 1.16M | 3.56M | -2.91M |
| Pretax Income | -90M | -723.41M | -753.34M | -833.01M | -1.53B | -2.54B | 146.94M | -37.52M |
| Pretax Margin % | -2.15% | -21.02% | -22.06% | -22.09% | -26.51% | -51.24% | 4.86% | -5.68% |
| Income Tax | -105.06K | -3.13M | -3.21M | 2.75M | -909.07K | 6.59M | 71.78M | 4.17M |
| Effective Tax Rate % | 0.12% | 0.43% | 0.43% | -0.33% | 0.06% | -0.26% | 48.85% | -11.1% |
| Net Income | -78.66M | -718.21M | -744.69M | -829.69M | -1.52B | -2.54B | 75.16M | -41.69M |
| Net Margin % | -1.88% | -20.87% | -21.81% | -22% | -26.38% | -51.36% | 2.49% | -6.32% |
| Net Income Growth % | 89.05% | 3.56% | 10.25% | 45.44% | 40.15% | -3481.1% | 280.28% | - |
| Net Income (Continuing) | -89.9M | -720.29M | -750.13M | -835.76M | -1.53B | -2.54B | 75.16M | -41.69M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | -9.97M | 47.69M | 49.74M | 343.08M | 348.31M | 15.08M | 0 | 0 |
| EPS (Diluted) | -0.84 | -7.00 | -6.80 | -7.40 | -12.20 | -4.60 | -0.05 | -0.05 |
| EPS Growth % | 88% | -2.94% | 8.11% | 39.34% | -165.22% | -9483.33% | 9.09% | - |
| EPS (Basic) | -0.84 | -7.00 | -6.80 | -7.40 | -12.20 | -4.60 | -0.05 | -0.05 |
| Diluted Shares Outstanding | 93.13M | 101.25M | 109.79M | 112.34M | 126.34M | 126.32M | 134.86M | 134.86M |
| Basic Shares Outstanding | 93.13M | 101.17M | 109.79M | 111.13M | 126.29M | 126.32M | 134.86M | 134.86M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
High customer acquisition costs
According to quarterly financial disclosures, YSG's revenue growth has exhibited significant volatility, swinging from a 19.0% contraction in 2023Q3 to a 50.0% expansion by 2025Q3, suggesting that the company's transition toward a premium skincare-led model remains highly sensitive to seasonal promotional cycles and shifting consumer demand.
The erratic top-line performance appears to reflect the company's ongoing struggle to balance legacy color cosmetics volume with the higher-margin, lower-velocity skincare portfolio. Investors should monitor whether the recent 16.7% growth in 2025Q4 represents a sustainable stabilization or merely a temporary uplift from aggressive holiday-season discounting.
As reported in recent income statements, YSG has successfully expanded its gross margin from 71.4% in 2023Q3 to 78.4% by 2025Q4, indicating that the strategic shift toward premium skincare brands like Eve Lom and Galénic is effectively insulating the company from intense mass-market price competition.
This margin profile is notably superior to peers like Coty and Inter Parfums, suggesting that YSG's asset-light manufacturing model provides a distinct structural advantage. However, the sustainability of these margins warrants further investigation, as they may be vulnerable to future shifts in platform-driven traffic costs.
Based on the provided financial data, YSG's operating expenses continue to track closely with gross profit, as evidenced by the 2025Q3 operating margin of -8.4%, which suggests that the company has yet to achieve the necessary scale to offset its heavy reliance on influencer-led marketing expenditures.
While gross margins have improved, the inability to consistently deleverage SG&A costs implies that the company remains trapped in a high-cost customer acquisition cycle. The recent narrowing of operating losses suggests a potential inflection point, but investors should remain cautious until sustained positive operating income is demonstrated.
Analysis of recent filings reveals that YSG's net income figures are frequently impacted by significant stock-based compensation, which totaled $26.4 million in 2025Q4 alone, complicating the assessment of the company's underlying operational profitability and the true cash cost of maintaining its current market position.
The reliance on equity-based incentives to manage cash burn appears to be a recurring theme that masks the company's difficulty in achieving GAAP profitability. Analysts should adjust for these non-cash charges to determine whether the core business is truly generating value or merely subsidizing growth through shareholder dilution.
As indicated by the persistent high levels of SG&A relative to revenue, YSG faces a significant risk that its gross margin gains could be rapidly eroded if the cost of traffic on platforms like Douyin continues to escalate, outpacing the company's ability to maintain premium pricing.
Short-sellers may focus on the company's historical inability to convert high gross margins into bottom-line profitability, arguing that the 'private traffic' moat is insufficient to combat rising digital advertising costs. The reliance on seasonal shopping festivals to drive revenue suggests that the business model remains inherently fragile.
Quick answers to the most common questions about buying YSG stock.
For fiscal year 2025, Yatsen Holding Limited (YSG) reported total revenue of $4.18B. This represents a 533.4% increase compared to $660.1M in 2018.
Yatsen Holding Limited (YSG) reported a net loss of $78.7M for the fiscal year ending 2025.
Yatsen Holding Limited (YSG) reported an operating income of $-180.7M, resulting in an operating profit margin of -4.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Yatsen Holding Limited (YSG) generated $3.31B in gross profit for the year, representing a gross profit margin of 79.2%. This demonstrates the company's core pricing power and production efficiency.