TOKYO — Shiseido Co. Ltd.’s first-quarter profits and sales slumped as consumer demand for cosmetics continued to weaken.
Net profit fell 57.8 percent to 4.32 billion yen, or $44.40 million at average exchange rates for the period, for the three months ended June 30. Sales declined 14.9 percent to 139.69 billion yen, or $1.43 billion.
“In the first quarter under review…consumer sentiment continued to weaken, causing market conditions in the domestic cosmetics industry to remain difficult,” the company said Thursday in a release. “Overseas, the cosmetic markets in Europe and the Americas were affected by the economic recession, resulting in weak conditions overall.”
Shiseido said operating profit declined 82.8 percent to 2.11 billion yen, or $21.67 million.
The company also slashed its first-half and full-year targets, citing deteriorating market conditions.