Shiseido to Cut 300 U.S. Jobs as Drunk Elephant Falters

THE WHAT? Shiseido will cut 300 jobs in the U.S. following continued losses from its skincare brand Drunk Elephant, contributing to a ¥5.8 billion operating loss in the region.

THE DETAILS  While restructuring in Japan and China lifted net profit to ¥9.5 billion for H1 2025, U.S. sales fell 10%. Drunk Elephant’s supply issues in 2024 led to customer attrition and dragged performance in both the U.S. and Europe. Shiseido will aim to reposition the brand from 2026 and expects ¥15 billion in U.S. cost savings by 2026.

THE WHY? Shiseido is refocusing after past acquisition missteps and a soft U.S. skincare market. The company is cutting costs globally and will release a new mid-term plan by year-end.

Source: Shiseido