Unicharm Corp 8113

Cost Pressure Weighs on Outlook but Unicharm Shows Early Signs of Recovery

Unicharm strives to lead in personal hygiene categories in Japan and overseas markets, especially in Asia, establishing extensive distribution channels and providing innovative products to cater to consumers of different age groups. Domestically, the company’s dominant market position has enabled price hikes amid input cost increases when inflation began its uptrend in 2022. We think Unicharm is well-positioned to identify opportunities in new channels and launch new products to drive top-line growth and margin expansion in Japan across the major personal care categories.