Kobayashi Pharmaceutical: Key Takeaways from Indonesia Site Visit

Research evidence excerpt

Kobayashi Pharmaceutical: Key Takeaways from Indonesia Site Visit

Update

July 5, 2026 07:02 PM GMT

Morgan Stanley MUFG Securities Co., Ltd.+MKobayashi Pharmaceutical (4967) | Japan Haruka Miyake

Equity Analyst

Key Takeaways from Indonesia Haruka.Miyake@morganstanleymufg.comJully Ussui +81 3 6836-5421

Research Associate

Jully.Akina.Ussui.Nakao@morganstanleymufg.com +81 3 6836-5408

Site Visit

Key Takeaways

While we believe the impact on the share price is limited given the business's

small scale (F12/25 sales of ¥1.3bn), our overall impression from the site visit was Kobayashi Pharmaceutical (4967.T, 4967 JP)

somewhat positive. Cosmetics & Personal Care Products | Japan

Stock Rating Underweight

KOOL FEVER (cooling gel sheets), which accounts for 98% of sales, holds ~50%

Industry View In-Line

market share in the cooling sheet market and has established a leading duopoly Price target ¥3,950

Shr price, close (Jul 3, 2026) ¥5,579

position alongside Hisamitsu Pharmaceutical. Mkt cap, curr, basic (bn) ¥414.7

Avg daily trading value (bn) ¥1.2

By leveraging the distribution network of its JV partner PT. Eagle Indo Pharma

(Eagle), the company has been increasing distribution coverage across both GT

(General Trade) and MT (Modern Trade) channels. In particular, its strong

penetration in general merchandise (not handling drugs) GT channels

differentiates it from Hisamitsu, which has a stronger presence in pharmacy-

related GT channels.

For GT channels, the company sells slightly more affordable children's products

in small sachet packages. These products serve as an entry point for trial

purchases, after which the company promotes its standard boxed products (3

types ranging from babies to adults).

Brand awareness for KOOL FEVER is high, with local awareness at 82%, trial rate