Shiseido reported
a 45.4% drop in net profit for the fiscal year ended March 31st. The company blames the loss on falling consumer demand in its home market, Japan.
Net profit for the year ended March 31 fell 45.4 percent to 19.37 billion yen, or $193.70 million at average exchange rates. That's slightly lower than the 21 billion yen, or $210 million, estimate given March 31, when the company issued a profit warning.
Sales slid 4.6 percent to 690.26 billion yen, or $6.9 billion, while operating profit for the year fell 21.4 percent to 49.91 billion yen, or $499.10 million. Revenue was in line with March guidance while the operating figure is higher than the previous estimate of 48 billion yen, or $480 million.
Japan's fashion-loving consumers have been especially hard hit by the recession. They have cut back on all spending, especially luxury items such as high-end cosmetics.
