Mandom Group Business Areas and Business Highlights
Other overseas
The Mandom Group is developing its global operations, particularlyin Asia. The Group segments its operations into three regions:Japan, Indonesia and Other overseas.

Japan

We create and invigorate markets by responding meticulously toconditions in each area and to such characteristics as consumer
preferences, lifestyles and purchasing power.

▲

Composition of net sales byregion and business▲

Composition of consolidated net sales by region■ Menʼs business■ Womenʼs business■ Other businesses

Other overseas

25.5%

Net salesIndonesiaJapan53.3%

Composition of consolidated
operating income by region▲¥67,047
millionIndonesia（21.2%
Other overseas Indonesia

Not presented due to operating
loss for the Indonesia segment）

Japan

Note: All figures are for the fiscal year ended March 31, 2023

▲

Japan

Net sales, year on year

Our core sales region, constituting more than half of the Mandom Groupʼs net sales

Average growth rate,
past five years

4,248

48,442 46,175
38,84732,5958.8
3,014

35,7696.5

35,541＊-0.7-1,473

2021(Year ended March 31)

0.8282-255 -266＊20192020(Year ended March 31) (Year ended March 31)

Operating margin (%)▲▲

Operating income or loss (Millions of yen)▲

Net sales (Millions of yen)

2022
2023
(Year ended March 31) (Year ended March 31)

9.7%
-6.2%

2019
2020
(Year ended March 31) (Year ended March 31)

2021(Year ended March 31)

2022
2023
(Year ended March 31) (Year ended March 31)

-4.5
2019
2020
2021
2022
2023
(Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31)* If calculated using the same criteria as the fiscal year ended March 31, 2022

<Menʼs business>

Our mainstay brand “GATSBY” saw an increase in sales of bodycleansing wipes, deodorant sprays, etc., which are summer season
products, due to the unusually hot weather at the end of June 2022, inaddition to the decline in COVID-19 infections resulting in a recoveryof the flow of people. In February 2023, we launched “Meta Rubber,” anew line of styling products
tailored to the tastes of todayʼs
young men.
Combining an affordable pricerange and high functionality,
this product is in line with thecurrent demand for cost- andtime-effectiveness and is
expected to increase its sales.
“GATSBY Meta Rubber”

08

Mandom Report 2023

<Womenʼs business>

The cleansing and facial wash brand “Bifesta” also saw an improvementin performance due to a rise in opportunities to go out and put onmakeup. The brandʼs new products, such as Cleansing Balm and Clay
Face Mask, contributed to the increase in sales.
The hair care brand “LÚCIDO-L” launched the “Hair Damage Repair
Treatment” in August 2022.
The series has garneredfans for making hair quality
improvement treatmentsavailable at home and ataffordable prices, whensuch treatments are typicallycostly at salons, and more
stores sold the products thananticipated.
“LÚCIDO-L #Hair Damage Repair Treatment”

for the Fiscal Year Ended March 31, 2023
Net sales, year on year

The largest overseas business area and growth leader for the Mandom Group

Average growth rate,
past five years

681

17,044 17,791
12,102 11,751

Operating margin (%)▲▲

Operating income or loss (Millions of yen)▲

Net sales (Millions of yen)

645

4.0

14,178

3.6- 676-899

2019
2020
2021
2022
2023
(Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31)<Womenʼs business>

Our makeup brand “Pixy” saw a significant
rise in sales following the renewal of thefoundation “Two Way Cake,” a mainstay
product, and the airing of TV commercials.
Our fragrance brand “Pucelle” hassuccessfully captured the increase in demand
due to more opportunities to go out, and new
products were steadily introduced.

Materiality

Our mainstay brand “GATSBY” is recording a growth in sales withthe aggressive launch of new products in response to the recoveryof consumersʼ purchasing appetite since the impact of COVID-19
subsided. In our mainstay category of hair styling, we launched
pomade, watergloss, and hair cream
products in sachetsizes. For fragrances,
we launched “Eaude Blue” and otherproducts in bottles thatwould be popular in thelocal market.
“GATSBY Pomade Series”“Pixy Two Way Cake”

Net sales, year on year

This area possesses a large potential for future growth and is expected to become the engine of growth in the future

Average growth rate,
past five years

17,098

2,205

16.3

2,310

1,802

12,360 13,015

2.820192020
2021
2022
2023
(Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31)<China>“GATSBY Facial Wash”

Chinaʼs zero-COVID policy imposedsevere movement restrictions, andwhile countries around the world
were recovering from the pandemic,
the Chinese economy continued toslump, resulting in a drop exceeding
30% in the Companyʼs sales from theprevious year. However, the market
has been recovering since thebeginning of 2023, and we expectimproved results in the fiscal year
ending March 31, 2024.

Company Information

Restrictions to stem the spread of
COVID-19 were lifted throughout
Malaysia in January 2022. Since
then, our Group companies
witnessed robust growth due tomarket reopening, with growthof 30% at Mandom (Malaysia)
Sdn. Bhd. and over 50% at ACG
International Sdn. Bhd., a womenʼs
cosmetics company, and they
are leading the “Other overseas”
segment.

10.5

2.9369

2019
2020
2021
2022
2023
(Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31)<Malaysia>

13.0

Performance for the Fiscal Year Ended March 31, 2022361
2019
2020
2021
2022
2023
(Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31)

Operating margin (%)▲

13,510▲Operating income or loss (Millions of yen)▲

17,80631.4%
6.1%

Middle-Range Planning▲

Other overseas
Net sales (Millions of yen)

Value Creation Story-10.2

2019
2020
2021
2022
2023
(Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31)<Menʼs business>

- 4.8

-7.4

-1,204
2019
2020
2021
2022
2023
(Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31) (Year ended March 31)

20.7%
-4.5%

About Mandom▲

Indonesia“Bifesta Cleansing Oil”

Mandom Report 202309