Shiseido sees its shares plummet. As reported this morning by the news agency 'Europa Press', cosmetics giant Shiseido has closed today's trading day with a debacle in the value of its shares. The session ended with a fall of more than 14% and was the biggest devaluation of its shares in 16 years.
The company lowered its forecasts due to the impact of the decline in Chinese consumer purchases. This decline was caused by a boycott on their part due to a spill of contaminated water from the Fukushima nuclear power plant.
Shiseido shares closed the Tokyo Stock Exchange session down 14.32% after the company reported a 29.4% drop in net profit for the first nine months of its fiscal year last Friday.
In the same press release, the company explained that by 2023 it expects to achieve consolidated revenues of 980 billion yen (6062 million euros), down from one trillion yen (111.3 million euros), or 61.9 million euros less.
Shiseido explained that this is the worst comparable sales performance for the full year reflecting weakness in the travel retail business and the China business. Moreover, they add in the press release that "it has been exacerbated by weakening sentiment towards China's economy and consumer withdrawal of purchases of Japanese products following the treated water spill in Japan".