On March 25th, FOREST CABIN (02657), known as a leading domestic high-end skincare listing, held its first annual results briefing since going public, reporting high-quality growth across multiple core operational metrics. Subsequently, several brokerages including Huatai Securities, CITIC Securities, Guotai Junan Securities, GF Securities, Shenwan Hongyuan Securities, Guolian Securities, Soochow Securities, and Great Wall Securities issued research reports expressing continued optimism about FOREST CABIN's long-term development. They assigned the company "Buy" or "Recommend" ratings, reflecting strong capital market confidence.
Huatai Securities maintained a Buy rating with a target price of HK$130.88, citing the rapid penetration growth in the oil-based skincare segment and FOREST CABIN's current high-growth phase. The report highlighted structural growth opportunities in the company's market. FOREST CABIN has built a product matrix centered around its core flagship product, Camellia Oil Serum, supported by an integrated online and offline sales network driving sustainable brand growth. Huatai anticipates strong performance from several products in 2026: the Small Gold Pearl Essence, launched in July 2025, generated over RMB 200 million in revenue by year-end and is expected to maintain strong momentum; oil-based products may expand into whitening categories, with serum iterations likely in the second half of 2026; the newly launched "Light White Umbrella" sunscreen in March combines whitening and anti-aging benefits. The "1+4+N" category strategy and omni-channel network are seen as key growth drivers.
CITIC Securities pointed to effective Douyin channel strategies, strong flagship product performance, and promising new product launches. The company is deepening its Douyin presence with an IP matrix and dual-category drive, while optimizing livestream efficiency and expanding broadcast rooms to enhance IP value. Traditional e-commerce channels like Tmall are being refined, and offline store expansion continues with OMO integration, utilizing Douyin Local Life and Meituan for store traffic. Long-term, CITIC believes FOREST CABIN's unique high-mountain camellia ingredient, mature omni-channel operations, and expanding product portfolio will help capture more high-end skincare market share.
Guotai Junan Securities highlighted continuous product line expansion, with the "1+4+N" matrix supporting long-term growth. In 2025, sales of serums, creams, emulsions & toners, essences, masks, and sunscreen grew by 129%, 89%, 207%, 86%, 34%, and 47% year-on-year, respectively. Serum sales benefited from Douyin channel growth, while the new Small Gold Pearl Essence boosted the toner category. The company aims to develop creams, essences, sunscreen, and masks as four pillar categories around its core serum, creating a systematic skincare regimen for sustainable growth.
GF Securities noted that high-end positioning has enhanced brand value, with strong recent data supporting an omni-channel strategy focusing on offline strength and online scale. Douyin sales continue to grow, while Tmall shows recovery, potentially leading to multi-category and multi-brand expansion. A Buy rating was maintained.
Shenwan Hongyuan Securities emphasized FOREST CABIN's focus on the high-end skincare segment, leveraging high-mountain camellia for an oil-based product matrix. Strong online performance on Douyin and Tmall, combined with premium offline store experiences, has built a competitive model integrating core products, deep channel layout, and full-chain operations, boosting brand loyalty. Based on 2025 results, forecasts for 2026-2028 were raised, with projected net profits of RMB 582 million, RMB 835 million, and RMB 937 million, maintaining a Buy rating.
Guolian Securities described FOREST CABIN as a leader in the serum segment, well-positioned to benefit from industry growth through precise customer targeting and pricing, plus omni-channel presence. The "1+4+N" portfolio supports a sustainable category matrix. The March 2026 launch of "Light White Umbrella" sunscreen, integrating three functions, is expected to create new growth via differentiated advantages.
Soochow Securities highlighted an online sales surge driving rapid growth since 2023, with 2025 revenue and adjusted profit doubling. High gross margins and stable expense ratios indicate robust profitability. Initiated with a Buy rating.
Great Wall Securities credited the "scale online" strategy for building a full-domain growth engine. 2025 online direct sales and sales to online retailers reached RMB 1.57 billion and RMB 154 million, up 147.3% and 93.9% year-on-year, achieving scale and branding synergy. Offline, the "strengthen offline" strategy enhanced store quality and user experience, with offline store sales, sales to retailers & corporate clients, and distributor revenue at RMB 576 million, RMB 20 million, and RMB 128 million, up 29.8%, 19.3%, and 285.1%, respectively. Flagship product success demonstrates core competitiveness in product, marketing, and channels, supporting a positive long-term view and Buy rating.
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