Consumer China

Magic – facial mask maker keeps foreign big guns at bay

  • Published 22 Sep 2011

Magic’s sales have held up in spite of competition from Procter & Gamble and others, but product loyalty is a challenge.

Magic Holdings (1633:HKG), a facial mask and skincare company, has come under pressure to repeat breakneck sales growth seen in advance of its Hong Kong listing in September last year. Revenue growth had fallen to 35% in fiscal 1H11 ending December 30 2010, from 69% during fiscal 2010. Although it remains one of China's top-selling facial mask brands, competition is mounting. Magic's facial mask products under its brand MG currently rank fifth by sales on e-commerce site Taobao, trailing Herborist, a skincare brand by Shanghai Jahwa (600315:SHA), as well as Inoherb, which is mulling a listing, and unlisted Yunifang and My Beauty Diary. We expect Magic to report revenue growth in excess of 35% YoY in fiscal 2011, which ended June 30 this year.

Issue icon

Latest Issue

17 May 2012

Browse the archive

Subscribe now to access all of China Confidential

China Confidential Funds

China Confidential Funds, a new research service launched by FT China Confidential, is dedicated to illuminating the mainland fund industry. Our team of fund industry experts in Shanghai search out the interesting trends in fund performance, strategy, interactions with overseas funds, regulatory changes, distribution and management. We also use a proprietary system to track the emerging flows of Chinese money. Click here to find out more.

Find out more