The invention discloses a propranolol hydrochloride cream used for treating infantile hemangioma, and a preparation method thereof. The cream comprises the components of, by weight, 0.8-1.2% of propranolol hydrochloride, 5.5-8% of octadecanol, 5.5-8% of glycerol monostearate, 5.5-8% of stearic acid, 7.5-10.5% of liquid paraffin, 7.5-10.5% of glycerol, 7.5-10.5% of propylene glycol, 1.5-2.5% of an emulsifier, 0.4-0.6% of a penetration enhancer, 0.08-0.12% of a preservative, and balance of water. The propranolol hydrochloride cream provided by the invention has good stability, and an effective duration of at least 24 months. The cream can directly act upon an infection site, such that local medicine concentration is high, and adverse reactions caused by oral administration or intravenous administration can be avoided. With the cream, medicine effect can be maximized, and medicine side effect can be reduced. The cream has a definite effect, and is suitable for industrialized large-scale productions. The cream is used for treating hemangioma and is especially suitable for treating infantile hemangioma.