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Shiseido: nine-month sales up, maintains guidance

By
AFP
Translated by
Jennifer Braun
Published
Nov 9, 2018
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Japanese cosmetics maker Shiseido said Thursday that net profit for the first nine months of its 2018 calendar year was already close to its annual target, but the company is playing it safe, maintaining its full-year guidance.
 
While the company still expects a net annual gain of 67 billion yen (515 million euros at current prices) for the whole year, Shiseido has already earned 64 billion in its first three quarters. It reported a net loss of 17-billion-yen last year, due to an exceptional charge.

From January to September, its revenue rose 10 percent year-over-year to 805.8 billion yen, despite a business divestiture.
 
"All segments posted a sales gain," said the group, which counts a number of luxury cosmetic brands among its portfolio like Shiseido, Key Beauty Skin, Nars, Laura Mercier, and Dolce & Gabbana, which have been highly profitable. 
 
Among other factors, the company said it benefited from the continued growth of tourism in the archipelago nation, as well as a renewed demand for skin care products.
 
"Japanese, Chinese and duty free markets" are driving sales, Shiseido said in a presentation broadcasted on a Tokyo Stock Exchange news site.
 
About 42 percent of its revenue was gained in Japan, 17.5 percent in China, 11.7 percent in North America, 9.3 percent in Europe and 8.5 percent in airport shops.
 
For the full year, Shiseido's revenues should stand at 1.090 billion yen (+ 8.5 percent year-over-year), while its operating gain should hit 110 billion yen (+ 37 percent).

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