Lion Corporation
4912・Prime Market・Chemicals
Business
Lion Corporation, founded in 1891, took its current form in 1980 through the merger of Lion Dentifrice and Lion Fat & Oil, and is a comprehensive healthcare manufacturer listed on the Tokyo Stock Exchange Prime Market. Domestically, the Consumer Products Business (net sales of ¥258,874 million) forms the core, led by oral care brands such as "Systema," "Clinica," and "NONIO," alongside laundry, household, and beauty care products, as well as over-the-counter pharmaceuticals (such as Bufferin). The Industrial Products Business (¥58,316 million) handles B2B products including conductive materials, rubber additives, and commercial cleaning products, while the Overseas Business (¥177,999 million) manufactures and sells daily necessities across Asia, including Thailand, Malaysia, China, and South Korea. The group consists of the Company, 26 subsidiaries, and 4 affiliated companies, with consolidated net sales of ¥422,092 million.
Business Model
Domestic consumer products are sold to mass retailers etc. via agents and specialty distributors, with sales to PALTAC, the largest customer, reaching ¥97,604 million (23.1% of sales). The pillars of profitability are the cultivation of high-value-added new products and gross margin improvement through price increases, while logistics cost reduction through supply chain digitalization also contributes to improved profit margins. Overseas, local subsidiaries in Thailand, Malaysia and elsewhere handle manufacturing and sales, aiming for growth through product development tailored to local needs. R&D expenses of ¥11,915 million were invested across the group as a whole, maintaining product differentiation based on scientific evidence.
Company Strengths
The company holds multiple brands including "Systema," "Clinica," "NONIO," and "Dent Health," with domestic Oral Care Products sales of ¥80,223 million (up 4.7% year on year). Products for the dental route channel also performed well, and the highest-priced new product, "Dent Health Yakuyo Hamigaki DX Premium," has been well received in the market, steadily advancing value-added product development.
For FY2025 (ending December 2025), business profit was ¥30,760 million (up 16.8% year on year), operating profit was ¥36,368 million (up 28.1%), and profit attributable to owners of parent was ¥27,587 million (up 30.1%), representing a substantial increase in earnings. The Consumer Products Business's business profit margin improved to 8.4% (from 7.0% in the previous period), and ROE reached 9.0%.
Overseas Business sales were ¥177,999 million (up 3.6% year on year), with business profit in Southeast and South Asia rising 42.3% year on year to ¥7,109 million. Sales in Malaysia increased 12.5% year on year, and geographic expansion continues, including the consolidation of a Vietnamese subsidiary, completion of a new factory in Bangladesh, and acquisition of the Sukin brand in Australia.
ENVALITH's Perspective
Performance Trend
Revenue increased for five consecutive periods, from ¥366,234 million in FY2021 (ended December 2021) to ¥422,092 million in FY2025 (ended December 2025). Operating profit bottomed out at ¥20,505 million in FY2023 (ended December 2023), then recovered sharply to ¥28,387 million in FY2024 (ended December 2024) and ¥36,368 million in FY2025 (ended December 2025), and the profit growth trend continued into 1Q FY2026 with operating profit of ¥6,292 million, up 11.6% year on year. 1Q FY2026 revenue was ¥99,205 million (up 5.3% year on year), with real growth excluding foreign exchange effects at 1.7%. Business profit in the Overseas Business drove this growth, rising 60.7% year on year, while business profit in the Consumer Products Business declined 8.1% due to increased advertising expenses. As an external factor, yen depreciation has boosted the yen-denominated value of overseas revenue, and attention should be paid to the divergence from real growth rates. For full-year FY2026, operating profit is forecast at ¥40,000 million (up 10.0% year on year), and the profit growth trend is expected to continue.
Growth Strategy
Aiming for sustainable growth through top-priority investment in Oral Care and expansion in Asia and Oceania under the theme of "strengthening earnings power"
In Japan, the company is promoting the cultivation of top-tier price-range products such as "Dent Health Yakuyo Hamigaki DX Premium" and expanding sales of products for the dental route. Overseas, high-value-added brands such as "Systema" are being rolled out in South Korea, China, and other markets, and domestic Oral Care Products sales grew 9.8% year on year in 1Q FY2026 (ending March 2026).
In January 2026, the company made PNB Consolidated Pty Ltd, an Australian natural beauty care company, a wholly owned subsidiary (acquisition cost of ¥13,599 million), expanding sales in the Southeast/South Asia and Oceania region by 18.8% year on year. This is aimed at creating new business opportunities in Beauty Care Products, which is treated as a challenge business.
The company has decided to transfer shares in two chemical products subsidiaries, advancing its policy of concentrating management resources on highly profitable, high-growth businesses. Following the transfer of the cooking-related product brand "Reed" to another company last October, the company continues to steadily execute selection and concentration within its portfolio.
The company launched a new fabric care product, "NANOX one Kokin x Jitan," which emphasizes zero rinsing, 15-minute laundry completion, and high antibacterial effect, at select retailers, proposing new laundry habits. In parallel, the company is also re-staging existing brands, including the improved relaunch of "Soflan Premium Deodorant."
Last updated: July 17, 2026