Nippon Shikizai, Inc.【JP:4920】Stock Price

Nippon Shikizai Industrial Research Institute specializes in contract manufacturing and research and development services for cosmetics and pharmaceuticals. Based in Japan, the company manufactures and sells cosmetics, offering a wide range of products including foundations, lipsticks, mascaras, eyeliners, UV care products, eyeshadows, blushes, creams, serums, and toners.

THEPENIEUR PHARMA & COSMETICS S.A.S., a consolidated subsidiary, provides contract manufacturing services for pharmaceuticals and cosmetics in France. The company manufactures and sells medicinal toothpastes, oral rinses, antifungal treatments, anthelmintics, and other hygiene products.

Nippon Shikizai France S.A.S. specializes in contract manufacturing of cosmetics in France. Through these operations, Nippon Shikizai Industrial Research Institute leverages an international network to expand its cosmetics and pharmaceutical manufacturing globally.

Nippon Shikizai Industrial Research Institute and its subsidiaries engage in the mutual sale and purchase of processed raw materials and semi-finished products for certain cosmetics business products, enabling them to manufacture and sell finished products. In this way, the company has built an efficient supply chain and is working to expand its business.

Japan Color & Research Institute aims for sustainable growth and enhanced corporate value through contract manufacturing of cosmetics and pharmaceuticals. The company upholds "Creating Beauty and Health" as its corporate philosophy, focusing on improving profitability while prioritizing shareholder returns.

The company promotes efficient management based on competitive research and development capabilities and technical expertise. Aiming to maintain and improve capital efficiency, it targets maintaining a return on equity (ROE) of 8% or above, with a goal of 10% or higher.

Japan Color & Research Institute has formulated a medium-term business strategy vision for 2022-2026, positioning itself to "sustain momentum from post-COVID recovery and drive further growth." Key strategic priorities include strengthening and expanding core products, actively pursuing clean beauty initiatives, and transitioning to a higher-margin business model.

As the cosmetics market normalizes, the company concentrates management resources in its core competencies, improving efficiency while strengthening competitiveness. It is also expanding into overseas markets and reinforcing collaboration with its French subsidiary.

In clean beauty initiatives, the company proposes high-performance formulations tailored to customer needs and aims to contribute to the SDGs. It has established a Sustainability Committee to address environmental and workplace-related issues.

In transitioning to a higher-margin business model, the company is improving factory utilization rates and addressing inflationary pressures to enhance profitability. It is implementing appropriate price adjustments while working to improve customer satisfaction.