After five years of IPO, "face changing master" Mao Geping finally has A-share face

Text / Seven Gong

Producer / Node Finance

According to node financial news, Mao Geping Cosmetics Co., Ltd. (hereinafter referred to as "Mao Geping Cosmetics") has recently passed the review meeting. This means that the IPO of Mao Geping Cosmetics' 5-year run is about to come to an end, and the capital market is expected to usher in the first share of the beauty industry.

According to public market information, Mao Geping Cosmetics is mainly engaged in the research and development, production, sales and makeup skills training business of makeup and skin care series products, and has two major brands of "MGPIN" and "Beloved Life".

In this IPO, the company intends to issue no more than 20 million shares, raising about 512 million yuan for channel construction projects, R&D center construction projects, image design training institutions construction projects and supplementary working capital.

Mao Geping's story should be familiar to everyone, he designed a variety of makeup for the actors of TV series such as "Yang Naiwu and the Little Cabbage", "Shanghai Family", "Wu Zetian", "Burning Afang Palace" and so on, and also made him a household name, known as "Head Changing Master" and "Liu Xiaoqing Royal Makeup Artist" and so on.

With the expansion of popularity, Mao Geping gradually established his own beauty business empire and submitted a listing application at the end of 2016.

It is worth saying that to this day, the prospectus of Mao Geping Cosmetics is still stuck in the September 2017 version.

Specific to the performance, from 2014 to the first half of 2017, the company's operating income was 279 million yuan, 321 million yuan, 343 million yuan and 201 million yuan, respectively, corresponding to net profits of 0.47 billion yuan, 0.55 billion yuan, 0.53 billion yuan and 0.36 billion yuan.

By brand, the sales revenue of MGPIN brand was 192 million yuan, 214 million yuan, 247 million yuan and 142 million yuan respectively, contributing about 70% of the main business income in each period.

In the same period, the operating income generated by the Beloved Lifelong Brand was only 46.6512 million yuan, 50.6355 million yuan, 37.1547 million yuan and 22.0739 million yuan, accounting for less than 20% and the decline was obvious; the makeup skills training income was 25.4843 million yuan, 39.0731 million yuan and 42.0896 million yuan, accounting for 9.52%, 12.64% and 13.64% respectively, rising year by year.

However, in research and development, Mao Geping Company does not have its own production line, and the investment in research and development is more "stingy", the above reporting period is pinched, and the R&D expenditure is only 2.4469 million yuan, 3.0511 million yuan, 3.4211 million yuan and 1.5717 million yuan, and the proportion of revenue in each period does not exceed 1%.

As of June 30, 2017, the company had only 15 R&D personnel, accounting for 1.14% of the total number of employees.

Although the prospectus was not updated, Node Finance found that from 2017 to 2020, Mao Geping Company achieved operating income of 389 million yuan, 555 million yuan and 730 million yuan, respectively, with a year-on-year increase of 28.08%, 42.78% and 31.34%, and a net profit of 0.82 billion yuan, 126 million yuan and 175 million yuan, an increase of 16.89%, 53.27% and 39.36% respectively. Both revenue and net profit have shown a steady upward trend.

Looking to the future, the beauty market is undoubtedly a "blue ocean". According to CBNData's "2021 Beauty Industry Trend Insight Report", the beauty track disclosed a total financing of 4.812 billion yuan in 2020, with a growth rate of 324%, and it is expected that the size of China's beauty market will reach 364.4 billion yuan in 2021, with great potential.

But it should not be overlooked that this is another highly competitive track.

In the past five years, a large number of cutting-edge beauty domestic brands such as Perfect Diary, Huaxizi, Lin Qingxuan, Bloomage Bio's hyaluronic acid skin care brand Kwadi, Tangerine, etc. have risen in a short period of time, capturing the "face" of young people, and it remains to be seen whether Mao Geping, who is about to land on A shares, can gain a firm foothold in the market.

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