Yatsen Returns to Growth in Q1 as Skincare Surges 48%

Yatsen, the parent company of Perfect Diary, is showing signs of a rebound. In its Q1 2025 results, the Chinese beauty group reported revenue of RMB 834 million, up 7.8% year-on-year—beating expectations and marking its second straight quarter of growth.

Gross profit rose nearly 10% as the company leaned into high-margin products, pushing gross margin to 79.1%. Meanwhile, net losses narrowed sharply to just RMB 5.6 million from RMB 125 million a year ago, aided by reduced management costs and accounting adjustments. On a non-GAAP basis, Yatsen posted a profit of RMB 7.14 million.<