Shiseido (4911): Longwear foundation

Research evidence excerpt

Shiseido (4911): Longwear foundation

• SHISEIDO: 1Q26 net sales were -4% YoY globally. Performance was mixed by

region: management highlighted successful LISA promotion in Japan and APAC,

while EMEA declined on tough comps from last year’s new launches and Travel

Retail was impacted by retailer changes. In 2Q onwards, management plans to focus

investment behind high-performance creams and Ultimune, with a sharper emphasis

on strong-performing e-commerce platforms in the Americas.

• Cle de Peau: -2% YoY globally, Japan as pressured by inbound weakness and tough

comps from last year’s pre-price hike demand, while China & Travel Retail sustained

solid momentum; the Americas were impacted by department store bankruptcies.

Actions from 2Q include refocusing on loyal customers in Japan and accelerating

capture of affluent consumers in China/TR via hero products (eg Key Radiance Care).

• NARS: +7% YoY globally, performance mainly boosted by Americas, supported by

new foundation initial shipments, while noting underperformance at a key retailer.

From 2Q, focus is on expanding distribution of the new foundation, re-promoting

hero products, and concentrating investment on strong-performing

channels/partners.

• ELIXIR: +4% YoY globally, high growth in Japan driven by hero products, and APAC

growth of over 2x helped by open-sell expansion. From 2Q, priorities are to sustain

lotions/emulsions momentum, strengthen cross-selling, and further expand open-

sell in APAC.

• ANESSA: -17% YoY globally, China is primary drag due to campaign timing shifts,

price distortion and inventory adjustments driven by unauthorized channel inflows,

partially offset by double-digit growth in Japan supported by new product initial

shipments. Actions from 2Q focus on strengthening distributor management,