Kao Corp Ord (KAOCF) Q1 2025 Earnings Call

Investor webinar replay

Watch the replay and follow the connected company analysis, news, and investor updates for Kao Corporation.

Watch the replay

Replay transcript excerpt

WEBVTT 00:00:01.229 -- 00:00:06.381 Today, I will explain in the order of the materials provided to you. 00:00:06.381 -- 00:00:11.793 First, please take a look at the key highlights on page 5. 00:00:11.793 -- 00:00:16.825 We have positioned fiscal 2025 as a year to build a solid foundation for 00:00:16.825 -- 00:00:20.568 global growth toward achieving K27. 00:00:20.568 -- 00:00:25.976 To that end, we will accelerate a budget cycle of steadily increasing profitability, 00:00:25.976 -- 00:00:31.144 primarily in our stable earnings area, and reinvesting the profit earned there 00:00:31.144 -- 00:00:33.548 into growth areas. 00:00:33.548 -- 00:00:38.956 In the first quarter, we steadily executed our basic strategy and made strong progress 00:00:38.956 -- 00:00:42.739 toward achieving the K27 target. 00:00:43.342 -- 00:00:48.580 We achieved both sales growth and an increase in operating margin. 00:00:48.580 -- 00:00:53.608 In cosmetics, we made a smooth start toward achieving the operating income target of 00:00:53.608 -- 00:00:58.071 7 billion yen for fiscal 2025. In 00:00:58.195 -- 00:01:03.042 addition, we are making steady progress in building the foundation for global growth 00:01:03.042 -- 00:01:08.210 in UV care, which is a key to achieving K27 along with 00:01:08.210 -- 00:01:10.210 cosmetics. 00:01:10.554 -- 00:01:15.783 On the other hand, U.S. tariff policy is creating new risks. 00:01:15.783 -- 00:01:21.230 We expect the impact of tariffs on our business to be minor and are taking 00:01:21.230 -- 00:01:24.375 measures to minimize the impact. 00:01:24.375 -- 00:01:29.422 And we maintain our earnings forecast for fiscal 2025. 00:01:29.422 -- 00:01:32.804 Details will be provided later. 00:01:33.447 -- 00:01:38.955 Please turn to page 6. Net sales was up 6.6% to ...