Aekyung Industrial Reports 96.8% Increase in Operating Profit in Q1 Compared to Last Year

"Quarterly Highest Operating Profit Since COVID-19"
Sales 157.1 Billion KRW... Up 12.3% YoY

Aekyung Industrial achieved its highest quarterly operating profit since the COVID-19 pandemic.

Aekyung Industrial's Q1 2023 Performance.
[Photo by Aekyung Industrial]

Aekyung Industrial announced on the 10th that its consolidated operating profit for the first quarter of this year reached 15.4 billion KRW. This represents a 96.8% increase compared to the same period last year, marking the highest quarterly level since the outbreak of COVID-19.

During the same period, sales increased by 12.3% to 157.1 billion KRW.

An Aekyung Industrial official explained, "Despite the challenging business environment caused by the continued deterioration of domestic and international management conditions and the ongoing contraction of consumer sentiment in China in the first quarter of this year, we achieved improvements in sales and profits through strengthening the global market and digital channels, as well as improving our brand portfolio."

Specifically, the cosmetics business recorded first-quarter sales of 58.7 billion KRW and an operating profit of 8.7 billion KRW, increasing by 19.4% and 26.1% respectively compared to the same period last year. The global cosmetics business grew not only in China but also in Japan through efforts such as channel diversification and enhancing brand awareness.

Domestically, digital sales increased due to focused development of the company’s own online mall and favorable performance in social commerce channels. Offline channels also grew through the launch of exclusive products. Aekyung Industrial released trendy products such as Age 20’s Velvet Lasting Pact, Essence Cover Pact New Original DropDropDrop Edition, and Luna Comfy Light Base, expanding the product lines of its main brands to secure a diverse customer base.

The daily necessities business posted first-quarter sales of 98.4 billion KRW and an operating profit of 6.8 billion KRW, increasing by 8.4% and 602.0% respectively compared to the same period last year.

The daily necessities business achieved its highest quarterly profit through structural improvements such as continuous enhancement of the brand portfolio centered on premium products and channel diversification. It strengthened its premium product lineup by launching new products such as the hair loss specialist hair brand Blackforet and the premium laundry detergent brand Rique Jet, while personal care brands like Kerasis and 2080 continued to grow steadily.

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