MINISO Group (NYSE:MNSO) executives highlighted accelerating revenue growth, strong same-store sales momentum in China and the United States, and continued expansion of large-format “MINISO LAND” stores during the company’s December-quarter and full-year 2025 earnings call.
Founder and CEO Ye Guofu described 2025 as “the year for steady growth and continued breakthrough,” pointing to quarterly revenue of RMB 6.25 billion in the fourth quarter—“the first time we have crossed CNY 6 billion quarterly revenue milestone.” CFO Zhang Jingjing (introduced as Ethan) said fourth-quarter revenue rose 32.7% year over year, above the company’s prior guidance range of 20%–30%, and full-year revenue increased 26.2% to RMB 21.44 billion.
Fourth-quarter performance and brand mix
TOP TOY continued to scale quickly, with Ye saying it posted 112% year-over-year growth in Q4 and “quarterly revenue approaching RMB 600 million.” Zhang said TOP TOY’s quarterly revenue was RMB 600 million, also up 112%.
Ye also broke down MINISO brand revenue between domestic and overseas markets, stating mainland China contributed RMB 2.87 billion in Q4, up 25%, while overseas revenue reached RMB 2.78 billion, up 31%. He said each accounted for roughly half of the brand total.
China strategy: same-store sales and MINISO LAND expansion
In mainland China, management emphasized improving operating quality and same-store sales rather than relying primarily on new store openings. Ye said domestic same-store sales grew by “mid-teens” in Q4, which he described as a record high for the year, adding that average daily sales per store surpassed 2023 levels.
On store strategy, Ye said MINISO is in a “third phase” focused on “an immersive retail transformation centered on MINISO LAND,” describing a shift “from selling the product to selling experience, from traffic-driven business to loyalty-driven consumer-centered ones.” He argued large-format stores require strong in-house product development, citing MINISO’s supplier network of “more than 1,500 global suppliers” and a design team of “over 1,000 professionals.”
Ye said the company had opened 26 MINISO LAND format stores in mainland China by the end of 2025, including locations in Tier 1 cities and other major destinations. He highlighted the January opening at Grandview Mall in Guangzhou, which he said attracted nearly 10,000 visitors on the first day and generated RMB 450,000 in sales. Zhang added that the broader domestic large-format portfolio (including MINISO SPACE, MINISO LAND, and MINISO FRIENDS) represented about 10% of domestic stores but contributed nearly 20% of domestic GMV.
In Q&A, Ye said domestic same-store sales growth in 2026 would be driven by “three” levers: “the right IP,” “the right product,” and “the right experience.” He pointed to a collaboration with Jennie, saying an opening-day pop-up at Honglan Plaza in Shanghai generated RMB 2.2 million in sales, which he said set a 2025 single-day record for a MINISO pop-up.
Overseas markets: U.S. momentum and regional differences
Ye and Zhang both emphasized the United States as a key contributor to overseas growth. Ye said the U.S. market delivered full-year growth “more than 60%” and 57% growth in Q4, while same-store sales growth was “more than 20%.” He said U.S. membership grew 150% year over year and that member-driven sales exceeded 50% of revenue “for the first time.”
Ye said MINISO expanded with a “cluster-based” approach to improve logistics and warehouse costs, adding that employee retention improved and labor cost as a percentage of sales declined. He also highlighted performance of “plaza” store formats, noting the company opened 48 plaza locations in 2025 and said they generated higher attachment rates and average transaction value than mall stores.
Zhang said international same-store sales varied by region, with Asia and Latin America lagging, while the company’s direct-operated markets—particularly the U.S. and Europe—performed better. He also said U.S. overhead costs declined by “low single digits” in 2025 and noted the business faced “meaningful tariff headwinds” during the year.
On Southeast Asia, Zhang said the company believed headwinds were “nearing the bottom,” and Ye said 2026 would bring “a huge adjustment” across Thailand, Malaysia, the Philippines, and Indonesia, with an expectation of improvement in the second half after changes in the first half.
On Mexico, Ye said he was “fully confident” the market would improve and called it a potential “top three” overseas market. He said the strategy includes upgrading the brand and expanding MINISO LAND and MINISO FRIENDS formats in top shopping malls, and he noted Mexico posted “high single-digit growth” in Q1 2026.
Margins, expenses, capital return, and 2026 outlook
Zhang said Q4 gross margin was 46.4% versus 47% a year earlier, while full-year gross margin was 45%, which he said was flat over the past five years. He attributed group-level margin pressure primarily to overseas mix shifts, noting direct-operated store revenue increased from about one-third of overseas revenue in 2024 to “more than half” in 2025, while some direct-operated markets remained in an early investment phase.
Operating expenses rose faster than revenue in Q4, according to Zhang, with operating expenses up 45.3%. He said sales expenses increased 47.4%, driven by direct-operated store costs, licensing fees, and advertising/marketing. He also said licensing fees rose 107% year over year and represented about 3% of revenue, reflecting “proactive upfront investment in IP strategy.”
Zhang reported Q4 adjusted net profit of RMB 815 million, up 7.6% year over year, and said adjusted diluted EPS grew 9.4%. He also said cash reserves were RMB 7.1 billion at year-end, and full-year net cash from operating activities was RMB 2.58 billion, which he said was about 90% of full-year adjusted net profit.
On shareholder returns, Zhang said 2025 return to shareholders totaled RMB 1.9 billion, consisting of RMB 550 million in share repurchases and RMB 1.36 billion in dividends. He added the board announced final dividends of CNY 810 million, expected to be paid in April.
Looking ahead, Zhang said the company expects 2026 revenue growth at a “high teens” rate and plans to open 510–550 net new stores, emphasizing “quality rather than quantity.” He also guided that Q1 2026 revenue growth would be “no less than 25%.”
Management also discussed an expected investment-related gain in Q1 2026. Zhang said profit in the quarter would include a “significant investment gain” of RMB 850 million–RMB 900 million tied to an AI company investment and said the company planned to exclude that item from adjusted results. In Q&A, Ye identified the AI company as MiniMax.
Separately, Ye addressed investor questions about Yonghui (YH), emphasizing MINISO remained his “highest priority.” He said the company had completed a management transition at YH, appointing Wang Shoucheng as CEO, and said YH now has an independent team responsible for daily operations.
On store upgrades, Ye said MINISO renovated 290 stores in 2025 and that renovated stores saw average sales uplift of 40%–50%, alongside improvements in foot traffic, conversion, and average selling price. He said 2026 would be “a year for accelerated renovation,” adding that “80% of the stores need to be renovated and upgraded” in the future.
About MINISO Group (NYSE:MNSO)
MINISO Group (NYSE: MNSO) is a global retailer specializing in lifestyle and consumer goods. Since its founding in 2013, the company has focused on offering affordable, design-driven products across a broad range of categories. MINISO’s stores feature a clean, minimalist layout and emphasize a “fast fashion” inventory model designed to turn over goods quickly and respond to emerging trends.
The company’s product mix spans household items, kitchenware, cosmetics and personal care, stationery, toys, digital accessories, apparel and seasonal items.
