Harbin Fuerjia Technology Co.,Ltd. is a representative enterprise in the beauty care industry, with core business operations encompassing the research and development, production, and sales of professional skincare products. In the first half of 2025, the company's operating performance faced significant pressure, with operating revenue of 863 million yuan, down 8.15% year-over-year, and net profit attributable to shareholders of 230 million yuan, declining 32.54% year-over-year.
The operational anxieties subtly revealed in Harbin Fuerjia Technology's semi-annual report reflect the struggles of the former "leading medical beauty mask stock" amid industry transformation. When the trajectory of dual decline in revenue and profit meets the heavy burden of sales expenses accounting for nearly half of revenue, the company appears trapped in a **cost-effectiveness dilemma of "investment for growth."** The dramatic adjustment of channel structure, weakening growth momentum in core product categories, combined with the dual pressures of industry regulation and rational consumption, all suggest that its business model requires systematic adjustment.
**Imbalanced Costs of Channel Transformation: Online Dependence and Efficiency Bottlenecks**
The company's strategic initiative to actively optimize offline channels has objectively caused dramatic contraction of terminal networks. Traditional distributor system revenue plummeted sharply, with offline revenue contribution falling to less than 20%, while online channels, despite rapid growth, cannot fully compensate for the revenue gap. This unipolar tilted channel structure adjustment has weakened the overall revenue foundation in the short term and exposed the company's need to improve refined operational capabilities in offline channels.
To support online expansion, Harbin Fuerjia Technology significantly concentrated marketing resources on live-streaming e-commerce and influencer marketing, resulting in sales expense growth significantly outpacing revenue growth. Heavy investment in partnerships with top-tier live streamers and platform promotions has brought online exposure and order growth but failed to convert proportionally into profits—nearly 50% of every yuan earned requires marketing cost expenditure. This **"traffic dependency syndrome"** has squeezed profit margins and significantly compromised growth quality.
A deeper issue lies in the online channel prosperity's failure to activate comprehensive synergistic effects: live-streaming orders concentrate around major promotional events with insufficient user retention; while distribution and consignment channels show rapid growth momentum, increased risks of low-price cross-selling actually impact the pricing system. Without establishing sustainable traffic conversion mechanisms, online expansion may remain trapped in the "cost-effectiveness imbalance" vortex long-term.
**Loss of Value Anchor: Concept Halo Fading and Innovation Stagnation**
The once-popular core product category "medical beauty masks" has encountered a trust crisis amid consumer awareness upgrades and tightened regulations. With regulatory standardization of medical dressing definitions, the "medical device" attribute halo has gradually faded, leading consumers to rationally evaluate efficacy boundaries. While product positioning returns to professional repair essentials, it also means the previous marketing premium space has been significantly compressed, with high gross margin myths facing dissolution risks.
The more fundamental challenge lies in the stagnation of R&D innovation pace. Although the company has focused on expanding non-patch product portfolios, new product development cycles are lengthy and have not yet formed scaled revenue contributions; core product lines remain highly dependent on traditional patch formulations, lacking differentiated breakthroughs in ingredient innovation and formulation advances. Compared to peers' continuous investment in high-activity ingredients and proprietary technologies, its R&D resource depth is clearly insufficient to support rapid iteration demands.
Counterfeit product issues accompanying channel expansion further weaken brand value. Imitation products frequently appearing across multiple platforms not only divert legitimate channel sales but also generate consumer complaints due to quality issues, indirectly damaging brand credibility. When "authentic product guarantee," this fundamental trust foundation suffers erosion, the costs required to repair consumer relationships may far exceed direct losses from counterfeits.
**Path to Resolution: Triple Transformation for Reconstructing Growth Logic**
Harbin Fuerjia Technology's predicament actually epitomizes the industry's transition from traffic dividends to value cultivation. Its transformation needs to focus on three key dimensions:
Channel Rebalancing: Rebuild deep service capabilities in offline professional channels (such as medical beauty institutions and pharmacies) to complement online scenarios, reducing dependence on singular traffic acquisition pathways;
Deep R&D Foundation: Accelerate research and development transformation of high value-added products (such as injectable devices and functional skincare products), replacing marketing premiums with technological barriers;
Brand Value Reconstruction: Rebuild trust through transparent supply chains and anti-counterfeiting traceability measures, shifting marketing focus from "medical beauty concepts" to "professional solutions."
When the tide recedes, enterprises must ultimately face a simple business truth: without solid product capabilities as support, any marketing prosperity is merely building castles on sand. Harbin Fuerjia Technology's growing pains may be reminding the entire industry: farewell to the era of concept speculation, true competitiveness will ultimately return to the origin of value creation.
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