ARTNATURE INC.
7823・Standard Market・Other Products
Business
Artnature Co., Ltd. is a comprehensive hair company founded in 1967, operating as a group that includes 12 consolidated subsidiaries. Its core business is the manufacture and sale of Custom-made Wigs for men and women, employing a response-based (inquiry-driven) sales model through 283 domestic stores (as of end-March 2026). The company has manufacturing subsidiaries in the Philippines and Bangladesh, and has built an integrated system covering everything from head measurement using 3D scanners to manufacturing, delivery, and After-sales Service & Maintenance. It has also expanded into new areas such as Women's Ready-made Wig Business (Ready-made Wigs (Julia Auger), etc., 127 stores), pharmaceutical sales, medical-related support, and overseas sales (Overseas Sales Business (Singapore, Thailand, Malaysia)), holding the top domestic market share in the men's hair market and the No. 2 position in the women's market.
Business Model
The company captures potential customer inquiries through TV, newspaper, and internet advertising, then sells custom-made wigs after counseling, 3D measurement, and fitting at salons nationwide. Products are manufactured in-house at overseas manufacturing subsidiaries in the Philippines and Bangladesh, with finished goods delivered via domestic stores. After the sale, regular After-sales Service & Maintenance builds up repeat orders, giving the business a high marginal profit margin structure in which revenue growth translates directly into profit growth.
Company Strengths
Based on Yano Research Institute data, the company holds the top share in the domestic men's segment and the No.2 share in the women's segment of the domestic hair industry market. In FY2026 (ending March 2026), sales to men's customers reached ¥23,274 million and sales to women's customers reached ¥13,522 million, supported by a customer base that is difficult for competitors to replicate in a short period and a nationwide sales network of 283 stores, underpinning stable earnings.
In addition to the two manufacturing subsidiaries AN Philippines and ANMP, the company has established a three-site structure by adding ANBD in Bangladesh, which began operations in FY2026 (ending March 2026). By combining raw material management through bulk purchasing and free supply of human hair and synthetic hair with high-precision manufacturing utilizing a 3D shape-measurement system, the company maintains an in-house structure capable of controlling both quality management and cost reduction.
In the Custom-made Wig business, the company employs a structure that builds up repeat orders through after-sales service at salons nationwide following the initial sale. In FY2026 (ending March 2026), repeat sales in both the Men's Business and Women's Business increased year on year, and the order backlog was maintained at ¥11,992 million (101.1% year on year). Repeat revenue serves as a stable underpinning of business performance.
ENVALITH's Perspective
Performance Trend
Revenue showed a gradual expansion trend: ¥40,437 million in FY2022 → ¥43,209 million in FY2023 → ¥42,850 million in FY2024 → ¥43,340 million in FY2025 → ¥44,600 million in FY2026. Operating profit peaked at ¥3,573 million in FY2023, then deteriorated to ¥2,181 million in FY2025, before recovering significantly to ¥3,219 million in FY2026. The factors behind the recovery were solid repeat sales for both men's and women's businesses, an increase in Women's Ready-made Wig Business, a reduction in impairment losses (from ¥750 million to ¥416 million), and a decrease in non-operating expenses (such as the disappearance of provision for allowance for doubtful accounts). While external factors such as persistently high raw material prices, labor shortages, and yen depreciation continued, the recovery in personal consumption provided a tailwind. For FY2027 (ending March 2027), the first year of the new medium-term management plan "Frontier Plan," operating profit is projected to decline to ¥2,500 million (down 22.3% year on year) due to upfront investment.
Growth Strategy
Aiming to become the "world's leading wig life maker" through reinforcement along three axes: customer base, production base, and new business domains
Promoting the development of new demand through the introduction of high-quality products in the men's and women's segments and optimization of advertising, while stabilizing repeat sales through enhanced customer retention measures. Aiming to increase LTV per customer by considering and introducing cross-sell products that go beyond hair-related items, positioned as a "lifestyle concierge service."
Promoting diversification of production sites by putting the new Bangladesh plant (ANBD) on track at an early stage. Building an optimized production system that simultaneously achieves "high quality, short lead times, and low cost" by reviewing raw material stockpiling and production processes across all production sites, thereby enhancing the ability to respond flexibly to demand fluctuations.
Promoting the optimization of assets through selective store relocations and renovations. Working to fundamentally improve the profit structure through maximizing store productivity via improved booth utilization rates, streamlining administrative operations through system renewal, and thoroughly pursuing cost efficiency. SG&A expenses for FY2026 (ending March 2026) remained at ¥26,577 million, only a slight increase year on year, and the effect of profit expansion driven by sales growth materialized.
Steadily growing the standard wig business, pharmaceutical sales business, and medical-related support business, while developing and expanding new business domains related to "beauty and health" through domestic and overseas M&A and the launch of new businesses. While working to deepen brand penetration in existing markets such as Singapore, Thailand, and Malaysia, advancing preliminary research and preparations for further business expansion into overseas hair-related industries.
Focusing on reskilling for licensed hairdressers and beauticians, who account for approximately 80% of all full-time employees, as well as on developing next-generation management talent and digital talent. Building a sustainable management structure through the promotion of health management, work-life balance improvement initiatives related to "Kurumin" and "Eruboshi" certifications, and the implementation of succession plans for key positions.
Last updated: July 19, 2026