Expansion of the Product Lineup and Brand Portfolio

「On 5 March, the Clayence brand relaunched "Clay Spa Color Keep & Damage Care Mask," which provides comprehensive care for the three major hair concerns of adults in a single product.」

「We will renew the concept of Reinca (レインカ), an aging-care brand focused on stem-cell culture extracts, to "recovery beauty" and promote synergies centered on "recovery" through a crossover with ベネクス, a pioneer in recovery wear.」

「We are also preparing to launch the new skincare brand Lalaskin (ララスキン), based on the concept of fast beauty medical care, at selected variety stores, drugstores, general merchandise stores and e-commerce marketplaces from April 2025, followed by a nationwide launch in September.」

「The CANADEL brand expanded its product lineup by launching 2 new products in March 2024: CANADEL Cleansing Water, which removes makeup as effectively as an oil-based product, and CANADEL Jelly Lotion [quasi-drug], which moisturizes instantly.」

「Clayence is being developed as a comprehensive hair-care brand addressing customers' hair concerns. Its newly introduced quasi-drug foam hair color, Clay Spa Quick Color, has achieved a certain level of success, while its scalp-care series has also received high praise from beauty experts.」

「By combining our strengths in product planning and marketing with a channel-mix model, we have worked to expand our core cosmetics business and broaden our business domains related to anti-aging, including entry into the inner-care and recovery businesses.」

「The Clayence brand is increasing awareness through a media-mix strategy using mass marketing, including television commercials, and is seeking to expand sales through direct-to-consumer and wholesale channels. Recently, lifetime value has been trending upward as a result of active cross-selling initiatives, and we are strengthening new-customer acquisition. From June onward, we plan to introduce new products, including quasi-drug hair dyes and hair-growth products, to enhance the product lineup addressing gray-hair concerns, particularly among younger consumers.」

「By combining our strengths in product planning and marketing with a subscription-sales model, we launched two new brands, Shinto and X, in the inner-care business.」

「Under these circumstances, the company is taking steps to reinvigorate the business, including launching new television commercials from September and introducing the new product DUO The Cleansing Balm Hot.」

「Research and development expenses for the fiscal year totaled ¥432.218 million. They mainly comprised R&D activities for new products and new brands under the DUO, CANADEL, sitrana, immuno and Clayence brands.」

「The CANADEL brand, being developed as a second revenue pillar following DUO under a strategy of proposing all-in-one cosmetics to younger consumers, grew sales through products including the high-priced CANADEL Premier Zero and the quasi-drug CANADEL Barrier Fix, launched in April and containing niacinamide effective against dark spots and wrinkles. Monthly sales in April exceeded ¥700 million, a record high. In late March, the company also horizontally deployed the brand-development expertise gained from DUO and CANADEL and launched Clayence, a new brand targeting gray hair among younger consumers.」

「Wholesale sales were 154% of the level in the previous fourth quarter. This was attributable to continued sales growth of The Cleansing Balm Black Repair, launched in March 2021, as well as the expansion of shelf space per store driven by the DUO facial-cleansing series, which had been identified as a growth driver for the current period.」

「Research and development expenses for the fiscal year totaled ¥211.199 million. They mainly comprised R&D activities for new products and new brands under the DUO, CANADEL, sitrana and immuno brands.」

「The company began selling Premier Zero, a high-function, all-in-one anti-aging cosmetics product priced above existing products; Premier Moist Cool, a limited-edition firming and moisturizing all-in-one cosmetics product; and the limited-edition home-use facial device CANADEL Beauty Trainer, thereby expanding the CANADEL brand's product range.」

「Under the DUO brand, we launched the third 10th-anniversary product, The Cleansing Balm (limited-edition design, 10g larger), in November 2020, followed by the fourth, The Cleansing Balm Barrier (limited-edition design, 10g larger), in January 2021. We also launched two new products from the DUO Barrier line for sensitive-skin care in January 2021: The Medicated Vital Barrier Wash, a milky facial cleanser, and The Medicated Barrier Rescue, a mist serum, both quasi-drugs.」

「In September 2020, we began selling the new sitrana cosmetics brand, focused on sensitive-skin care and incorporating deer-derived ingredients with excellent soothing properties into all products. In October 2020, we also began selling the new immuno organic cosmetics brand, focused on the skin's immune function.」

「Since 2020, the company has released new products every month, and its product-development capabilities have become more robust than before.」