Shiseido’s Annual Profit Drops 73% as China Sales Slump
Shiseido reported a 73% decline in annual profit, citing weaker consumer spending in China, one of its key markets. The post Shiseido’s Annual Profit Drops 73% as China Sales Slump appeared first on Global Cosmetics News.
THE WHAT? Shiseido reported a 73% decline in annual profit, citing weaker consumer spending in China, one of its key markets. The company posted an operating profit of 7.58 billion yen (US$49.9 million) for the fiscal year ending December 31, down from 28.13 billion yen the previous year.
THE DETAILS China’s sluggish economic sentiment and rising household savings led to a 4.6% decline in Shiseido’s like-for-like sales in the country. The company noted that the downturn in China’s beauty market has persisted longer than anticipated, impacting its overall financial performance. Looking ahead, Shiseido expects further sales challenges in China in 2025.
THE WHY? As a premium beauty player, Shiseido serves as a barometer for luxury consumer confidence in China, a region that has traditionally driven growth for global beauty brands. The company’s weaker results reflect broader challenges in the sector, as economic uncertainty continues to dampen spending on high-end personal care products.
The post Shiseido’s Annual Profit Drops 73% as China Sales Slump appeared first on Global Cosmetics News.
