Yatsen Holding Limited (NYSE:YSG) Q1 2024 Earnings Conference Call May 22, 2024 7:30 AM ET

Company Participants

Irene Lyu - Head, Strategic Investments & Capital Markets
Jinfeng Huang - Founder, Chairman & Chief Executive Officer
Donghao Yang - Chief Financial Officer & Director

Conference Call Participants

Maggie Huang - CICC

Operator

Ladies and gentlemen, good day, and welcome to the Yatsen First Quarter 2024 Earnings Conference Call. Today's conference is being recorded.

At this time, I would like to turn the conference over to Irene Lyu, Vice President, Head of Strategic Investment and Capital Markets. Please go ahead.

Irene Lyu

Thank you, operator.

Please note, the discussion today will contain forward-looking statements relating to the company's future performance and are intended to qualify for the safe harbor from liability as established by the U.S. Private Securities Litigation Reform Act. Such statements are not guarantees of future performance and are subject to certain risks and uncertainties, assumptions and other factors. Some of these risks are beyond the company's control and could cause actual results to differ materially from those mentioned in today's press release and this discussion.

A general discussion of the risk factors that could affect Yatsen's business and financial results is included in certain filings of the company with the Securities and Exchange Commission. The company does not undertake any obligation to update this forward-looking information except as required by law.

During today's call, management will also discuss certain non-GAAP financial measures for comparison purposes only. Please see the earnings release issued earlier today for a definition of non-GAAP financial measures and a reconciliation of GAAP to non-GAAP financial results.

Joining us today on the call from Yatsen Senior management are Mr. Jinfeng Huang, our Founder, Chairman and CEO; and Mr. Donghao Yang, our CFO and Director. Management will begin with prepared remarks and the call will conclude with the Q&A session.

As a reminder, this conference is being recorded. In addition, a webcast replay of this conference call will be available on Yatsen's Investor Relations website at ir.yatsenglobal.com.

I'll now turn the call over to Mr. Jinfeng Huang. Please go ahead, sir.

Jinfeng Huang

Thank you, Irene, and thank you, everyone, for participating in Yatsen's first quarter 2024 earnings conference call today.

I will start by providing a macro overview before reviewing our strategy and the progress we have made across our segments and brands.

China's beauty industry continued to grow moderately in the first quarter of 2024. According to the [adjusted] (ph) data published by the National Bureau of Statistics of China, total retail sales of consumer goods grew by 4.7% year-over-year in the first quarter of 2024, while total beauty retail sales increased by 3.3% year-over-year. Online sales trend remains mixed. Beauty sales on Douyin recorded another quarter of double-digit year-over-year growth, while sales on Tmall remained largely flat year-over-year in the first quarter.