Lutronic Q1 Sales 62.7 Billion KRW... Operating Profit Down 12% "Impact of Increased SG&A Expenses"

Lutronic announced on the 8th that its consolidated sales for the first quarter of this year were tentatively estimated at 62.7 billion KRW. This figure represents a 9.7% increase compared to the same period last year, marking the highest sales for a first quarter.

Lutronic CI
Photo by Lutronic

Overseas sales, accounting for 89% of total sales, reached 55.6 billion KRW, an 11.2% increase from the first quarter of last year. By region, the U.S. subsidiary recorded sales of 22.1 billion KRW, growing 16.4% and accounting for 35.2% of total sales. Sales in Europe, including the German subsidiary, amounted to 15 billion KRW, a 13.1% decrease compared to last year. In Asia, excluding subsidiaries in Korea, Japan, and China, sales reached 7.5 billion KRW, showing 29.5% growth, while sales in the Middle East were 5.9 billion KRW, reflecting a 41.5% increase.

Operating profit was recorded at 10 billion KRW, a 12.4% decrease compared to the same period last year, due to an increase in the proportion of selling and administrative expenses. Net profit for the period rose by 7.4% to 10.7 billion KRW.

The company stated, “Operating profit decreased relatively as the proportion of selling and administrative expenses reached 46.5% in the first quarter. This is the result of continuous expansion of marketing expenses such as workshops and symposiums to strengthen brand awareness, along with increased labor costs for establishing overseas sales networks as part of building a foundation for sustainable growth.” They also added, “The first quarter is traditionally an off-season for Lutronic, with relatively lower sales compared to other quarters, but the company has maintained a growth trend every year.”

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