Shiseido sees slight improvement
International markets help flagging Japan
The Japanese cosmetics group Shiseido has reported a slight improvement in performance in the first two quarters of fiscal 2011 (April-September) with sales up 0.8% at €3.13bn (¥336.2bn). Sales on the Japanese domestic market fell 3% year-on-year to €1.7bn as customer sentiment was affected by the east Japan earthquake and difficult employment conditions.
Sales abroad rose by 6.4% in the reporting period to €1.3bn with sustained growth in North American and European cosmetics markets and continued expansion of the emerging markets, notably China. Almost all brands increased sales in China, including Aupres, a dedicated brand for major Chinese department stores, and Urara, a brand produced for Chinese speciality cosmetics outlets,
Shiseido's operating profits dropped 1.5% following growth related investments but net profits went up 20.6% in the absence of the one-off losses reported in the same year-earlier period.