Harry Zhao's questions to So-Young International Inc (SY) leadership • Q4 2024
Question
Harry Zhao from Deutsche Bank requested more insight into So-Young's future financial outlook beyond the provided Q1 2025 revenue guidance.
Answer
CFO Nick Zhao acknowledged that near-term profitability may be affected by investments in expanding the new aesthetic centers. However, he emphasized that this is a critical part of the long-term vertical integration strategy, which creates a diversified model for financial stability. Mr. Zhao assured that the company maintains a healthy cash flow and a disciplined capital allocation approach, focusing on balancing growth with profitability to drive long-term shareholder value.