istyle Inc.
3660・Prime Market・Information & Communication
Business
istyle Inc. is a company that operates cross-industry services specialized in the cosmetics and beauty industry, centered on "@cosme", a comprehensive cosmetics and beauty site launched in 1999. Based on a media platform with monthly users exceeding one-third of Japan's domestic female population, the company operates a Retail Business that runs the cosmetics e-commerce site "@cosme SHOPPING" and specialty stores "@cosme STORE" (with flagship stores in Tokyo, Osaka, and Nagoya), a Marketing Support Business that provides advertising and Data-Driven Solutions for cosmetics brands, overseas expansion centered on Asia, as well as a Staffing Business and Investment & Incubation Business. The group includes 19 consolidated subsidiaries and affiliated companies, and consolidated revenue for FY2025 (ending June 2025) was ¥68,768 million.
Business Model
This is a structure in which expanding the Retail Business (e-commerce and physical stores) increases touchpoints with users and purchase data, and that data asset is monetized through the Marketing Support Business (advertising and data consulting for cosmetics brands). The Retail Business is the largest segment, accounting for approximately 78% of group sales, but the Marketing Support Business is highly profitable, with net sales of ¥9,651 million and an operating margin of 29.2%. The @cosme trademark license fee paid from the Retail Business to the Marketing Support Business (an inter-segment transaction) also contributes to profit, forming a circular earnings structure in which the two businesses mutually reinforce each other.
Company Strengths
@cosme, which has accumulated reviews and behavioral data since its launch in 1999, has monthly users exceeding one-third of Japan's female population. This scale of user base serves as an irreplaceable advertising and data utilization channel for cosmetics brands, forming a barrier to entry that supports the Marketing Support Business's high operating margin (29.2%).
The company has built an O2O model that seamlessly integrates the @cosme media platform, @cosme SHOPPING e-commerce, and @cosme STORE physical stores (including flagship stores in Tokyo, Osaka, and Nagoya). In FY2025 (ending June 2025), Retail Business sales achieved high growth, reaching ¥53,463 million (up 26.9% year on year), with both e-commerce and physical stores achieving double-digit revenue growth.
The company posted an operating loss of ¥604 million in FY2021 (ending June 2021), but turned profitable in FY2023 (ending June 2023). By FY2025 (ending June 2025), it achieved operating profit of ¥3,164 million (up 63.1% year on year) and profit attributable to owners of parent of ¥2,327 million (up 91.6% year on year). The equity ratio also improved to 46.0%, strengthening the company's financial position.
ENVALITH's Perspective
Performance Trend
Revenue expanded 2.2x over five fiscal periods, from ¥30,950 million in FY2021 to ¥68,768 million in FY2025, and cumulative nine-month results for FY2026 (ending June 2026) recorded ¥59,694 million, up +19.7% year on year. Operating profit turned positive in FY2023 and expanded rapidly to ¥3,164 million in FY2025, with the full-year forecast for FY2026 (ending June 2026) at ¥3,800 million (+20.1% year on year). In terms of the external environment, domestically, intensifying selective consumption by consumers amid rising prices is a headwind, while the recovering trend in inbound visitor numbers to Japan is a tailwind. In the cosmetics industry, slowing per-purchase spending from certain countries/regions and foreign exchange fluctuations remain sources of uncertainty. The high-margin structure of the Marketing Support Business and the scale expansion of the Retail Business are driving the improvement in profit.
Growth Strategy
Aiming for net sales of ¥100,000 million and operating profit of ¥8,000 million through Retail expansion, deepening of data capabilities, and overseas restructuring
Continued acquisition of new customers through platform collaboration and new store openings (e.g., @cosme NAGOYA). Achieved combined e-commerce and store net sales of ¥45,573 million (up 17.9% year-on-year) for the cumulative nine months of Q3 FY2026 (ending March 2026). There was a temporary opportunity loss due to the relocation of the logistics warehouse, but the underlying trend remains solid.
Cultivating data consulting services leveraging proprietary cosmetics data as a new pillar of earnings. Focusing on hiring consultants and expanding transaction volume with major and mid-tier brands. Achieved segment net sales growth of +27.0% and operating profit growth of +26.2% for the cumulative nine months of Q3 FY2026 (ending March 2026).
Opened the Hong Kong flagship store "@cosme HONG KONG" on December 5, 2025. Recorded opening-related expenses of ¥251 million in the first half, and net sales fell short of the initial plan, but full-scale earnings contribution is expected from next fiscal year onward. China Cross-Border E-Commerce has recovered, with Global Business net sales up 31.0% year-on-year.
Launched the Supplement Business in July 2025, entering the inner care and aging care fields. Due to upfront cost recognition, operating profit of Other Businesses declined 61.3% year-on-year, but FY2026 (ending March 2026) is positioned as a "year of strategic investment," viewed as a run-up period toward growth from the following fiscal year onward.
Last updated: July 17, 2026