Proya H1 Net Profit Up 46.26% to RMB1.168 Billion; Plans Interim Dividend of RMB11.8 per 10 Shares

Proya released its interim report for the first half of 2026. During the period, the company achieved operating revenue of RMB5.375 billion, up 0.24% year on year; net profit attributable to shareholders of the listed company was RMB1.168 billion, up 46.26%; basic earnings per share were RMB2.96. In the first half of 2026, the company's gross margin reached 74.32%, up 0.94 percentage points year on year.

On shareholder returns, the company approved a share buyback plan at the end of 2025, with a planned repurchase amount ranging from RMB80 million to RMB150 million, to be used for equity incentives or employee stock ownership plans. As of the end of June 2026, the company had repurchased a cumulative 2.0245 million shares, with actual payments of approximately RMB129 million. The proposed interim cash dividend plus the first-half share buyback funds together account for 50.61% of the period's net profit attributable to shareholders. Since its listing, including the proposed interim dividend, the company's cumulative dividends and buybacks total RMB3.379 billion.

In building its multi-brand matrix, Proya, through its wholly owned subsidiary Proya (Hainan), acquired a 12.5479% stake in Flower Knows for a consideration of RMB351 million. After the transaction closes, the company will hold 51% of Flower Knows and consolidate it into its financial statements. Flower Knows is a differentiated brand in the color cosmetics segment with overseas expansion experience; this acquisition fills a gap in Proya's color cosmetics portfolio.

Performance across brand segments diverged. The main brand Proya generated revenue of RMB3.692 billion, with lotions, creams, and facial care sets ranking second in the Tmall category, and sunscreen entering the top five for the first time. During the '618' shopping festival, Proya's Tmall flagship store ranked first in Tmall beauty, while also taking the top spot among domestic beauty brands on Douyin and JD. com. Sub-brand Yuanse Bota posted first-half revenue of RMB313 million, up 222.23% year on year; Off&Relax revenue reached RMB477 million, up 70.81%, with offline channels accelerating entry into Sam's Club, Hema, and beauty collection stores; Caitang, Yuefuti, and Jingshi all achieved positive revenue growth.

On R&D, the company invested RMB99.4295 million in research and development in the first half, filed 64 new patent applications, received 29 authorized patents, and held a cumulative 332 patents. The company has led and participated in the formulation of multiple national, industry, and group standards, launched several self-developed new raw materials, and continued to advance industry-university-research-medical collaborations with international raw material giants such as BASF and DSM, as well as institutions including West China Hospital, Shanghai Skin Disease Hospital, and Zhejiang University.

In digital and intelligent transformation, Proya is advancing the construction of a data middle platform, implementing dashboards for promotional operations and advertising monitoring tools. AI applications cover scenarios such as script generation, batch video production, data anomaly alerts, and low-code development. The company has completed ISO 27001 information security certification and is promoting the digitalization of business-finance archives and procurement supply chain processes.