Shiseido Company,limited · TSE:4911
Shiseido Company,limited — Shiseido Co Ltd Ord — FY2025 Earnings Presentation
45 slides from Shiseido Company,limited's earnings presentation, Feb 10, 2026
Slide 1: 2025 Results (January—December) and 2026 Outlook
2025 Results (January—December) and 2026 Outlook February 10, 2026 Shiseido Company, Limited Kentaro Fujiwara President and CEO Ayako Hirofuji CFO
Slide 2: Forward-looking statements
In this document, statements other than historical facts are forward-looking statements that reflect our plans and expectations. These forward-looking statements involve risks, uncertainties, and other factors that may cause actual results and achievements to differ from those anticipated in these s
Slide 3: 2025 Results and 2026 Outlook: Key Highlights
2025 Results and 2026 Outlook: Key Highlights Achieved strong earnings recovery with sound financial position; Our initiatives bearing fruit, improving capital efficiency ⚫ Core OP: ¥44.5 bn; Core OP Margin: 4.6% ➢ Realized tangible results through enhanced financial discipline, driving structural r
Slide 4: 2026 Forecast
2026 Forecast Unwavering commitment to 7% Core OP margin target; Sharpen focus on improving FCF and capital efficiency; Increase dividends to enhance shareholder returns % of YoY YoY YoY YoY (Billion yen) 2025 2026 Net Sales Change Change % FX-Neutral % LfL*1% Net Sales 970.0 990.0 100% +20.0 +2% +2
Slide 5: 2026 Core OP Forecast
2026 Core OP Forecast Pursue growth through targeted investments even in times of uncertainty; Deliver on our targets, underpinned by structural reform gains and firm financial discipline Risks and Opportunities: ⊕Maximize sales by strategic investment ⊖Prolonged Japan–China tensions; Impacts reflec
Slide 6: Driving Stronger Cash Generation
Driving Stronger Cash Generation FCF improvement driven by higher profitability and efficiency in WC and CAPEX % of Net Sales 4.6% % of Net Sales (Billion yen) 4.0% −44.4 FCF 66.5 −40.0 FCF excl. acquisition costs*2 % of Net Sales 5.1% 109.9 1.0 67.0 CAPEX FCF excl. acquisition costs*1 50.0 48.4 −50
Slide 7: Dividend
Dividend Enhance shareholder returns on the back of a reinforced profit model built through structural reforms, with a planned dividend increase in 2026; Ensure sustainable shareholder returns based on strong cash flow projections 7.0 5.1 DOE(%) (Excl. Commemorative Dividend) 4.0 3.9 3.5 3.9 3.3 2.6
Slide 8: Our Initiatives to Yield Tangible Results; Set to Drive Significant Improvement in Capital Efficiency
Our Initiatives to Yield Tangible Results; Set to Drive Significant Improvement in Capital Efficiency ⚫ Pursue growth and cost optimization to deliver a Core OP margin of 10% or more by 2030 ⚫ Boost capital efficiency ➢ Asset-light: sale, lease termination, relocation of real estate properties, asse
Slide 9: 2025 Executive Summary
2025 Executive Summary % of % of YoY YoY YoY YoY 2024 2025 (Billion yen) Net Sales Net Sales Change Change % FX-Neutral % LfL*1 % Net Sales 990.6 100% 970.0 100% −20.6 −2% −2% −2% Core Operating Profit 36.4 3.7% 44.5 4.6% +8.2 +22% Non-recurring Items −28.8 −2.9% −73.3 −7.6% −44.5 - Operating Profit
Slide 10: Core Operating Profit: Reinvest Fixed-cost Savings to Accelerate Growth
Core Operating Profit: Reinvest Fixed-cost Savings to Accelerate Growth (Excluding Non-recurring Items) ％ of ％ of (Billion yen) 2024 2025 YoY Change YoY % Pts Difference Net Sales Net Sales Net Sales 990.6 100.0% 970.0 100% −20.6 −2.1% - COGS 236.4 23.9% 225.6 23.3% −10.9 −4.6% −0.6pts Gross Profit
Slide 11: Net Sales YoY by Region: Stronger 2H Momentum
Net Sales YoY by Region: Stronger 2H Momentum, while Q4 Challenges Remained in Americas 2024 2025 Like-for-like*1 (vs. 2023) (vs. 2024) Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Japan +20% +7% +5% +7% +10% −2% +2% +2% +2% +1% China & Travel Retail*2 −14% −11% −23% +2% −11% −14% −7% +8% +2% −3% Asia Pacific +5%
Slide 12: Japan: Key Brands Delivered Strong Growth
Japan: Key Brands Delivered Strong Growth, Driven by Our Innovation Strategies, and Improved Profitability Significantly YoY YoY Q4 Market FY2024 FY2025 • Local: Modest growth continued (Billion yen) Change % • Inbound: Visitor numbers kept rising, despite lower Chinese travelers; Net Sales 294.3 29
Slide 13: China & Travel Retail: Continued Recovery with China Share Gains
China & Travel Retail: Continued Recovery with China Share Gains and Growth Driven by Clé de Peau Beauté and NARS; Fixed-cost Reduced via Structural Reforms YoY YoY Q4 Market FY2024 FY2025 (Billion yen) Change % • China: delivered growth led by prestige, although fierce price competition continued d
Slide 14: Americas: Profit Decline Mitigated by Structural Reforms and Cost Management
Americas: Profit Decline Mitigated by Structural Reforms and Cost Management YoY YoY Q4 Market*2 FY2024 FY2025 (Billion yen) Change % • Maintained YoY growth, albeit lower-than-expected Net Sales 118.5 106.6 ー12.0 ー9.5% *1 Q4 Consumer Purchases*3 • −HSD％ Core OP ー9.2 ー11.6 ー2.3 - - Drunk Elephant :
Slide 15: Asia Pacific and EMEA results
Asia Pacific: Market Returned to Growth, with Our Innovation Driving Share Gains EMEA: Fragrances Continued Strong Growth, Contributing to Steady Profit Gains Asia Pacific EMEA FY2024 FY2025 YoY Change YoY % FY2024 FY2025 YoY Change YoY % (Billion yen) (Billion yen) Net Sales 71.7 73.3 +1.6 +1.8%*1
Slide 16: Progress on Structural Reforms and Global Cost Reduction
Progress on Structural Reforms and Global Cost Reduction 2025: Realized ¥27.0bn cost reduction benefits ahead of the target; 2026: on track to achieve ¥25.0bn benefits with all actions completed in 2025 (Billion yen) 2025 2026 • Selection and concentration of brands and SKUs, COGS strategic price in
Slide 17: Driving Sustainable Growth and Corporate Value
Driving Sustainable Growth and Corporate Value February 10, 2026 Shiseido Company, Limited Kentaro Fujiwara President and CEO
Slide 18: Delivering Stable Profit Growth Enabled by Diversified Regional Footprint
Delivering Stable Profit Growth Enabled by Diversified Regional Footprint % of Sales* Japan +6pts Americas / EMEA / Asia Pacific +7pts Japan Americas EMEA Asia Pacific China & Travel Retail 2021 2023 2025 * 2025 vs. 2021, excluding the impact of FX and business transfers 18
Slide 19: Creating a Virtuous Growth Cycle through Targeted Investment in High-profit Brands
Creating a Virtuous Growth Cycle through Targeted Investment in High-profit Brands % of Sales from Core + Next brands*1 +9pts*2 68% 77% Core Next Others 2021 2023 2025 *1 Core: SHISEIDO, Clé de Peau Beauté, NARS Next: ELIXIR, ANESSA, narciso rodriguez, ISSEY MIYAKE PARFUMS, Zadig&Voltaire, Dr. Denni
Slide 20: Transforming into Lean Organization; Boosting Productivity
Transforming into Lean Organization; Boosting Productivity for Stronger Competitiveness Net Sales per Employee Approx.+30%* 36.8 Net Sales per Employee (million yen) 31.9 28.6 2021 2023 2025 Net Sales : ¥1,010.0 bn ¥973.0 bn ¥970.0 bn # of employees : 35,318 30,540 26,330 End of Year * 2025 vs. 2021
Slide 21: Asset-Light Model Geared to Higher Operating Efficiency
Asset-Light Model Geared to Higher Operating Efficiency: Steadfast Progress on ROIC Improvement ⚫ Domestic assets*1 ¥140 bn+ ¥130 bn+ Approx. −10%*2 2021 2025 ⚫ Optimizing foreign assets ➢ China: Consolidation of China R&D Sites ➢ Asia Pacific: Closure of Innovation Center ➢ Americas: Office space r
Slide 22: 2026: Ensuring Solid Growth by Leveraging a Resilient Brand Portfolio
2026: Ensuring Solid Growth by Leveraging a Resilient Brand Portfolio ⚫ Core brands Others ➢ Continuously enhancing global hero products and product lines ➢ Maximizing brand communication driven by global ambassadors ➢ Capturing growth opportunities with strategies tailored to market structures Next
Slide 23: Core Brand – SHISEIDO
Core Brand – SHISEIDO : Re-accelerating as a Global Growth Engine 2025 2026 Net Sales: Flattish (2H: +3%) Net Sales Forecast: +LSD% ⚫ Japan: outperforming the market with ⚫ Global: Drive sustainable growth by strengthening brand equity and strong double-digit growth and scaling global hero franchise
Slide 24: Core Brand – Clé de Peau Beauté
Core Brand – Clé de Peau Beauté : Creating Enduring Value of Luxury 2025 2026 Net Sales: +4% (2H: +6%) Net Sales Forecast: +LSD% ⚫ China & TR, Asia Pacific, EMEA ⚫ Build brand equity as a science-driven luxury brand delivered double-digit growth in 2H ⚫ Reinforce the image of luxury with a new globa
Slide 25: Core Brand – NARS
Core Brand – NARS : Leveraging Creativity to Drive Growth 2025 2026 Net Sales: +3% (2H: +4%) Net Sales Forecast: +LSD% ⚫ Double-digit growth in 2H across ⚫ Reinforce leadership in the complexion category globally China & TR and EMEA through the major launch of Natural Matte Longwear Foundation ⚫ Cap
Slide 26: Next Brand – ELIXIR
Next Brand – ELIXIR : Expanding Its Reach as the Next Growth Driver in Asia 2025 2026 Net Sales: +9% (2H: +6%) Net Sales Forecast: +MSD% ⚫ Drove strong growth across all regions ⚫ Enrich collagen science Asia Pacific: +over 30%, ⚫ Nurture hero SKUs: Relaunch brightening lotion & emulsion, China & TR
Slide 27: Next Brand – ANESSA
Next Brand – ANESSA : Creating New Growth Opportunities via Category Expansion 2025 2026 Net Sales: −9% (2H: +6%) Net Sales Forecast: +HSD% ⚫ China & TR headwinds in 1H, ⚫ Unveiled a daily-use series designed for everyday situations; but returned to growth in 2H strong UV protection, high-performing
Slide 28: Next Brands – Fragrance Brands, Dr. Dennis Gross Skincare
Next Brands – Fragrance Brands, Dr. Dennis Gross Skincare 2025 2025 Net Sales: +6% (2H: +12%) Net Sales: −8%*4 (2H: −15%) ⚫ Despite softness in China & TR, strong double-digit ⚫ Intensifying competition in the hero product, growth in EMEA drove overall performance Peels and Masks ⚫ Zadig&Voltaire ac
Slide 29: Drunk Elephant Turnaround
Drunk Elephant Turnaround ⚫ Actions in 2025 ➢ Completed inventory normalization across key regions and retailers within 2025 ➢ Completed cost structure reform actions in the Americas ⚫ Steadily advancing brand repositioning ➢ Initiate a new brand campaign aimed at the core target segment ➢ Build emo
Slide 30: Adopt Cutting-Edge Bold Science / Technology Across Brands
Adopt Cutting-Edge Bold Science / Technology Across Brands; Building a Category-Focused Growth Model New Bold Science / Technology Existing Bold Science / Technology ~2024 2025 2026 2027 2028~ Skincare Micro needle Second Skin Spots Fluid Absorption Dark Lifecycle Technology Spots A string of new pr
Slide 31: Horizontal Deployment of Technologies Leading to Tangible Results
Horizontal Deployment of Technologies Leading to Tangible Results No.1 in Best Cosmetics Awards from Japan’s Big Three Beauty Magazines for Three Straight Years 2018 2019 2020 2021 2022 2023 2024 2025 Company A Company B Company C Company D Company E Shiseido * Total number of 1st–3rd place awards i
Slide 32: Creating Sustainable Social Value through Business Growth
Creating Sustainable Social Value through Business Growth People Strategy Sustainability Strategy ⚫ Percentage of Women Managers*1 Society Global : 60.3% Japan : 43.3％ ⚫ Advancing Gender Equality 0.95 million people*2 ⚫ The Shiseido Way – our value, mindset and ⚫ Empowering people through the power
Slide 33: Governance Enhancement: Foundations for Maximizing Corporate Value
Governance Enhancement: Foundations for Maximizing Corporate Value ⚫ Newly Elected Candidates for External Directors ⚫ Skills Matrix after the Ordinary General Meeting of ➢ Mr. Andrew House Shareholders in March 2026 (Planned) • Nominating Committee / Compensation Experience Experience Finance, as t
Slide 34: Strive to Achieve Targets for 2026
Strive to Achieve Targets for 2026: Unwavering Commitment to Maximizing Corporate Value Net Sales Core OP Core OP Margin (Billion Yen) 970.0 990.0 ≥10% 69.0 7.0% 44.5 4.6% 2025 2026 2030 Actual Forecast Target 34
Slide 35: NUL
NUL — Bh — AE SEL In every moment, in every life % Beauty
Slide 36: Supplemental Data 1: 2025 Q4 Net Sales and Core OP by Reportable Segment
Supplemental Data 1 2025 Q4 Net Sales and Core Operating Profit by Reportable Segment*1 Top: Net Sales 2024 % of Net Sales/ 2025 % of Net Sales/ YoY YoY YoY YoY Bottom: Core OP (Billion yen) Q4 Core OPM %*2 Q4 Core OPM %*2 Change Change % FX-Neutral % LfL %*3 75.5 28.2% 76.2 27.6% +0.8 +1.0% +1.0% +
Slide 37: Supplemental Data 2: 2025 Net Sales and Core OP by Reportable Segment
Supplemental Data 2 2025 Net Sales and Core Operating Profit by Reportable Segment*1 Top: Net Sales % of Net Sales/ % of Net Sales/ YoY YoY YoY YoY Bottom: Core OP 2024 2025 (Billion yen) Core OPM %*2 Core OPM %*2 Change Change % FX-Neutral % LfL %*3 294.3 29.7% 295.3 30.4% +1.1 +0.4% +0.4% +0.7% Ja
Slide 38: Supplemental Data 3: 2025 Net Sales by Brand
Supplemental Data 3 2025 Net Sales by Brand Core 3 YoY % YoY % YoY % Q4 Q4 Q4 +1% +2% +5% 2025 2025 2025 −0% +4% +3% % of Net Sales % of Net Sales % of Net Sales 23% 20% 12% Next 5 YoY % YoY % YoY % YoY % YoY % Q4 Q4 Q4 Q4 Q4 +9% −2% +8% +6% −10% 2025 2025 2025 2025 2025 −39% +9% −9% +5% −4% % of Ne
Slide 39: Supplemental Data 4: Q4 Net Sales by Brand
Supplemental Data 4 Q4 Net Sales by Brand YoY Change %* Japan China & Travel Retail Asia Pacific Americas EMEA SHISEIDO +H-teen% +LSD% +HSD% −HSD% −HSD% Clé de Peau Beauté −L-teen% +HSD% +L-teen% −L-teen% −LSD% NARS −L-teen% +H-teen% +MSD% −M-teen% +H-teen% Drunk Elephant +over 30% −M-teen% ELIXIR −
Slide 40: Supplemental Data 5: Non-recurring Items
Supplemental Data 5 Non-recurring Items (Billion yen) 2024 2025 Q3 YTD Q4 FY Q3 YTD Q4 FY Core Operating Profit 27.4 8.9 36.4 30.1 14.4 44.5 Structural Reform Expenses −23.3 −3.3 −26.6 −10.8 −9.8 −20.6 Impairment Losses / Reversal of Impairment Loss 0.2 0.8 1.0 −51.2 −0.1 −51.3 Gain / Loss on Sales
Slide 41: Supplemental Data 6: 2025 Core Operating Profit Results
Supplemental Data 6 2025 Core Operating Profit Results Structural reform Group-wide cost (Billion yen) benefits management, etc. 44.5 36.4 Inflation, etc. Tariff Impact One-off effect Contribution margin & price increases 2024 2024 2025 (excl. one-off effect) 41
Slide 42: Supplemental Data 7: 2026 Sales Forecasts by Reportable Segment
Supplemental Data 7 2026 Sales Forecasts by Reportable Segment 2026 Market and Sales Assumptions YoY Net Sales (LfL*1) Local: ⚫ The market to grow at moderate pace ⚫ Achieve above-market growth driven by targeted investments in key brands, strategic price increases, selection Japan +MSD% and concent
Slide 43: Supplemental Data 8: Capital Expenditures; Depreciation and Amortization
Supplemental Data 8 Capital Expenditures; Depreciation and Amortization (Billion yen) 2024 2025 2026 Property, Plant and Equipment 23.4 24.2 23.0 Intangible Assets, etc. 25.5 18.8 17.0 Capital Expenditures* 48.9 43.0 40.0 Property, Plant and Equipment 35.2 33.3 Intangible Assets, etc. 17.9 17.4 Depr
Slide 44: Supplemental Data 9: Overview of Assets Associated with Key M&A Transactions
Supplemental Data 9 Overview of Assets Associated with Key M&A Transactions ⚫ Americas Business ➢ Goodwill • Recognized an impairment loss of on goodwill of ¥46.8 bn in Q3 2025 due to the declined profitability in Americas • Aiming for strong growth across Americas, starting with the turnaround of D
Slide 45: SHISEIDO
SHISEIDO