So-Young International (NASDAQ:SY) Issues Quarterly Earnings Results, Beats Expectations By $0.55 EPS

So-Young International (NASDAQ:SY) posted its earnings results on Wednesday. The company reported ($0.13) EPS for the quarter, topping the consensus estimate of ($0.68) by $0.55, Zacks reports. The business had revenue of $65.85 million during the quarter, compared to analysts’ expectations of $442.62 million. So-Young International had a negative return on equity of 12.31% and a negative net margin of 15.97%.

Here are the key takeaways from So-Young International’s conference call:

• So-Young reported a record Q4 with total revenue of RMB 460.7–461 million (+≈25% YoY), driven by aesthetic centers whose revenue rose to RMB 248.1 million (+205% YoY) and became the largest segment.
• Rapid brick-and-mortar expansion — 49 clinics by year-end (now 50+), 25 centers profitable and 39 with positive operating cash flow — and a plan to open at least 35 new centers in 2026 while shifting toward balancing scale with profitability.
• The company remains loss-making and is using cash to fund expansion — net loss attributable to So-Young was RMB 108.8 million (improved from RMB 607.6M), non-GAAP loss was RMB 93.4 million, and cash resources fell to RMB 936.4 million from RMB 1,253.2 million year-over-year.
• Management emphasized quality and trust as a moat — the full-time physician team expanded to 211 doctors, implemented a six-pillar compliance framework and gained industry-first PIA certification, while core-member quarterly repurchase rate exceeds 80% with average annual spend ~RMB 16,500.
• Revenue concentration and headwinds in other segments — information/reservation services, product sales and other services declined materially (−26.8%, −19.9%, −40.7% YoY respectively), increasing reliance on the branded clinic rollout to sustain growth and margins.

So-Young International Stock Down 11.3%

SY opened at $2.83 on Friday. The stock has a market cap of $285.40 million, a PE ratio of -8.58 and a beta of 2.01. So-Young International has a 52 week low of $0.67 and a 52 week high of $6.28. The business’s fifty day simple moving average is $3.07 and its 200 day simple moving average is $3.21.

Hedge Funds Weigh In On So-Young International

A number of hedge funds and other institutional investors have recently modified their holdings of SY. HRT Financial LP bought a new position in So-Young International during the 4th quarter worth approximately $32,000. Virtu Financial LLC bought a new stake in So-Young International in the fourth quarter valued at approximately $33,000. Dimensional Fund Advisors LP bought a new stake in So-Young International in the third quarter valued at approximately $63,000. Marshall Wace LLP purchased a new stake in shares of So-Young International during the fourth quarter valued at approximately $45,000. Finally, Millennium Management LLC purchased a new stake in shares of So-Young International during the third quarter valued at approximately $123,000. 35.31% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

A number of brokerages have recently issued reports on SY. Wall Street Zen upgraded So-Young International from a “sell” rating to a “hold” rating in a research report on Saturday, December 20th. Weiss Ratings restated a “sell (d)” rating on shares of So-Young International in a research report on Monday, December 29th. One analyst has rated the stock with a Buy rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Hold” and an average price target of $5.50.

About So-Young International

So-Young International Inc operates a leading digital marketplace and community platform focused on the medical aesthetic industry in China. Headquartered in Shanghai and founded in 2013, the company connects consumers seeking cosmetic treatments with a network of accredited clinics, licensed physicians and beauty service providers. Its online ecosystem offers a wealth of educational content, peer reviews and before-and-after galleries designed to help users make informed decisions about aesthetic procedures.

The company’s platform is accessible via web and mobile applications, where users can browse service packages, compare providers, read expert articles and schedule appointments directly through an integrated booking system.