TOKYO — Kao Corporation said Monday its full-year net profit tumbled more than 37 percent, attributing the drop to a prolonged decrease in a consumer spending and a decline in consumer prices.
Kao said net profit declined 37.2 percent to 40.51 billion yen, or $436.65 million at average exchange, for the 12 months ended March 31.
Sales dropped 7.2 percent to 1.18 trillion yen, or $12.77 billion.
A strong yen bit into the company’s performance, Kao said. The beauty care, human health care, and chemical business segments all saw sales fall in the period.
Kao’s operating profit fell 2.9 percent to 94.03 billion yen, or $1.01 billion.
Despite a slide in profits, lower raw material for items such as oils, fats and petrochemicals helped improve cost of sales, the company said, adding that Kao worked to reduce costs and make more efficient use of its marketing
For complete coverage see Tuesday’s WWD.