"APR Valued at 700 Billion Won, Overseas Growth Momentum in Focus"

On the 7th, KB Securities analyzed that attention should be paid to the overseas growth of APR.

APR is a beauty tech company established in 2014. It has a brand lineup including Mediheal (digital clinic beauty), Aprilskin (cosmetics), NERDY (street fashion), Forment (lifestyle beauty), and GlamD (health functional foods).

In addition to the domestic market, it is expanding its business overseas through foreign subsidiaries, and is expanding its business areas by securing core technologies such as investing in shares of cosmetics R&D companies and establishing medical and beauty device R&D companies.

Last year’s performance recorded sales of 397.7 billion KRW and operating profit of 39.2 billion KRW, increasing by 53.5% and 174.9% respectively compared to the same period last year. The operating profit margin was 9.9%. Net income attributable to controlling shareholders also increased by 162.7% to 30 billion KRW compared to the same period last year.

Researcher Lee Su-kyung of KB Securities said, “The strong performance is attributed to Mediheal’s beauty devices and overseas results,” adding, “Considering that the point when beauty devices were officially launched in major countries such as the US and Japan was the third quarter, the overseas growth is encouraging.”

Researcher Lee also stated, “Overseas, just like in Korea, sales through the company’s own mall using membership are being conducted,” and introduced that “in March, they attracted a pre-IPO investment of 8 billion KRW from institutions including the Industrial Bank of Korea, recognizing a corporate value of 708 billion KRW.”

APR plans to use these funds to invest in and strengthen capabilities in the beauty device sector. In particular, it announced that it will vertically integrate and internalize the entire process from planning, development, manufacturing, to distribution.

Lee explained, “APR achieved both external growth and profitability improvement last year, which was due to the distribution structure represented by a high proportion of own mall sales (enabling reduction of sales commissions) and the launch of various beauty devices that meet consumer needs.”

He added, “The scheduled new product launches this year and the expansion of overseas export countries will drive future corporate value growth,” noting that “last year, overseas sales amounted to 143.7 billion KRW, accounting for about 36% of total sales.”

He also added, “As the number of countries where APR operates overseas diversifies and the proportion of overseas sales increases, exchange rate volatility may affect performance.”

This content was produced with the assistance of AI translation services.