istyle Inc.
3660・Prime Market・Information & Communication
Marketing Support Business
High-margin BtoB marketing support segment for cosmetics brands built on @cosme
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment sales (cumulative 3Q) | ¥8,968 million | ¥7,063 million | ↑ |
| Segment sales YoY change | +27.0% | — | ↑ |
| Segment operating profit (cumulative 3Q) | ¥2,606 million | ¥2,065 million | ↑ |
| Segment operating profit YoY change | +26.2% | — | ↑ |
| Segment operating margin (cumulative 3Q) | 29.1% | 29.2% | — |
| Intersegment internal sales (cumulative 3Q) | ¥1,394 million | ¥1,205 million | ↑ |
Business Details
A group of domestic BtoB services that provide advertising solutions and data-driven solutions to cosmetics brands, built on the comprehensive cosmetics and beauty site @cosme. The segment has a broad customer base ranging from major cosmetics brands to mid-tier and emerging brands, and profits also benefit from intersegment transactions accompanying the expansion of e-commerce and stores in the Retail Business. The business model, which has a high marginal profit margin, has a structure that makes it easy to achieve profit growth exceeding sales growth.
Recent Overview
Cumulative 3Q sales up 27.0% and operating profit up 26.2%, the highest growth rate among all segments
In the cumulative nine months of FY2026 (ending March 2026) (July 2025 to March 2026), the segment achieved sales of ¥8,968 million (up 27.0% year on year) and operating profit of ¥2,606 million (up 26.2% year on year). Against the backdrop of strong sales promotion measures leveraging touchpoints at the Retail Business's e-commerce sites and stores, the scale of transactions expanded not only with major cosmetics brands but also with new mid-tier brands. The high marginal profit margin business model has led to efficient profit expansion, and the segment maintains its position as a core segment responsible for the majority of the group's overall operating profit.
Key Products
Growth Drivers
- Increased demand for e-commerce and store-based sales promotion measures accompanying the expansion of the Retail Business (e-commerce and stores)
- Expansion of the customer base through increased transactions with mid-tier and emerging brands in addition to major cosmetics brands
- Profit contribution from increased intersegment internal sales (license fees, etc.) from the Retail Business
- Profit expansion effect exceeding sales growth due to the high marginal profit margin business model
- Expansion of proprietary data utilization services with data consulting as a new revenue pillar
- Creation of sales opportunities through the newly established large-scale event, Tokyo Beauty Week
Risks
- Expansion of upfront costs due to increased consultant hiring and personnel expenses accompanying the strengthening of data consulting
- Risk of a decrease in intersegment internal sales if growth in the Retail Business slows
- Impact on media advertising demand from changes in information-gathering methods due to technological innovations such as generative AI
- Information security risk associated with holding large volumes of personal information and word-of-mouth data
- Risk of obsolescence of software assets and increased depreciation expenses accompanying increased system investment
Last updated: September 26, 2025