I-ne CO (4933) Q1 2025 earnings summary

Executive summary

• Q1 FY2025 revenue rose 22.4% YoY to ¥11.116bn; operating income increased 41.3% to ¥901m and EBITDA rose 83.2% to ¥1,316m.

• Sales were broadly on plan, with strong profit growth supported by skincare expansion and acquisition contributions from TOUT VERT and Artemis.

• Profit attributable to owners of parent was ¥373m, up 7.2% YoY; comprehensive income was ¥398m.

Financial highlights

• Gross profit increased to ¥6,240m from ¥4,836m; cost of sales ratio improved to 43.9% from 46.7%.

• Operating margin was 8.1%, versus 7.0% a year earlier; EBITDA margin rose to 11.8% from 7.9%.

• Basic EPS was ¥21.37, compared with ¥23.98 in Q1 FY2024; ordinary income was ¥840m.

• Total assets were ¥36,424m and net assets ¥17,998m as of March 31, 2025; capital adequacy ratio was 45.7%.

Segment performance

• Haircare sales were ¥6.37bn, up 3.1% YoY; domestic sales excluding overseas revenue rose 5.9%. YOLU grew 18.0%, while BOTANIST declined amid the China market exit.

• Beauty appliances revenue was ¥2.57bn, up 3.9%; sales of products priced at ¥6,000 or more grew 82.1%, supporting margin improvement.

• Skincare and related revenue rose 410.9% to ¥2.16bn; excluding TOUT VERT, sales increased 102.5%. TOUT VERT contributed ¥1.30bn and other brands ¥850m.

• TOUT VERT recorded its highest January–March sales; WrinkFade grew 44.8% YoY, and ReWEAR sold 3,000 units in one hour during online test sales.