Binggrae's Q2 Operating Profit Down 40.3%... Chairman Kim Hoyeon Receives 2.2 Billion Won

Second Quarter Sales Reach 409.6 Billion Won, Operating Profit at 26.8 Billion Won
Chairman Kim Ho-yeon Receives 2.212 Billion Won in First Half Compensation

Binggrae announced on August 14 that its consolidated operating profit for the second quarter of this year was 26.8 billion won, down 40.3% compared to the same period last year.

During the same period, sales reached 409.6 billion won, a 0.5% increase from the previous year's 407.5 billion won, while net profit for the quarter fell by 33.3% to 24.2 billion won.

For the first half of this year, total operating profit was 40.2 billion won, a decrease of 38.9% year-on-year. Total sales for the first half increased by 1.4% to 718.1 billion won compared to the previous year.

An unmanned ice cream store in downtown Seoul. Photo by Yonhap News

A Binggrae official explained, "Despite the uncertain domestic and global economic environment, export growth to major overseas markets such as the United States, Canada, and Vietnam continued. However, in Korea, unfavorable weather conditions and a sluggish domestic economy led to continued weak consumer demand." The official also cited "rising prices of key raw materials, an increase in cost ratio due to the expansion of the scope of ordinary wages, and higher selling and administrative expenses" as additional factors.

The official added, "In the second half of the year, we expect sales of our main products to increase, driven by favorable peak-season weather in Korea and the effect of consumer coupons aimed at boosting livelihoods. Overseas, we anticipate some improvement in sales and profitability through diversification of export destinations and expansion of export products."

Meanwhile, according to Binggrae's semiannual report released the same day, Binggrae Chairman Kim Ho-yeon received a total compensation of 2.212 billion won for the first half of this year. This included a salary of 1.457 billion won, a bonus of 753 million won, and other earned income of 2 million won. This represents an 8.3% increase compared to the previous year's 2.043 billion won.

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