So-Young International Inc. (NASDAQ:SY) Q2 2024 Earnings Conference Call August 23, 2024 7:30 AM ET

Company Participants

Mona Qiao - IR
Xing Jin - Co-Founder, Director and CEO
Hui Zhao - CFO

Conference Call Participants

Chloe Wei - CICC
Nelson Cheung - Citibank
Ivy Lian - Haitong Securities

Operator

Ladies and gentlemen, thank you for standing by for So-Young’s Second Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen-only mode. After management gives their prepared remarks, there will be a question-and-answer session. As a reminder, today's conference call is being recorded.

I would now like to turn the conference over to your host for today's call, Ms. Mona Qiao. Please go ahead, Ms. Mona.

Mona Qiao

Thank you, operator, and thank you everyone for joining So-Young’s Second Quarter 2024 Earnings Conference Call. Joining me today on the call is Mr. Xing Jin, our Co-Founder, Chairman, and CEO; and Mr. Nick Zhao, CFO.

Please note that the discussion today will contain forward-looking statements made under the safe harbor provisions of the US private securities and the litigation reform act of 1995. Forward-looking statements are subject to risks and alternatives that may cause actual results to differ materially from our current expectations. Potential risks and alternatives include, but are not limited to those outlined in our public filings with SEC, including our Annual Report on Form 20-F. So-Young does not undertake any obligation to update any forward-looking statements, except as required under applicable law.

At this time, I would like to turn the call over to Mr. Xing Jin.

Xing Jin

[Foreign Language]

Hello everyone, welcome to today's earnings call. Our performance during the second quarter was solid, with total revenue of RMB407.4 million, exceeding the top-end of our guidance. Non-GAAP net profit was RMB22.2 million at 43.1% year-over-year, showcasing our high quality growth at the effectiveness of industry integration.

[Foreign Language]

We capitalized on industry trades, executed on our strategy and made impressive progress during the quarter. Specifically, our new businesses segments continue to grow rapidly with revenue from the sales of medical products and maintenance services reaching RMB106 million, up 22.6% year-over-year.

Product shipments in our upstream supply chain business increased as our channel clinics expanded, both contributing significantly to growth. We are the only platform covering the upstream, midstream and downstream segments of the entire aesthetic medical industry and are leading the industry into a new era of high-quality and sustainable development.