[Click e-Stock] "APR Achieves Record Results Driven by U.S. Market... Target Price Raised to 320,000 Won"

On February 2, Daishin Securities raised its target price for APR by 7% to 3.2 million won, maintaining its "Buy" rating, citing expectations for record-breaking results driven by the U.S. market.

Hansong Hyup, a researcher at Daishin Securities, estimated, "APR's sales in the fourth quarter of last year are expected to reach 473.3 billion won, up 94% year-on-year, and operating profit is projected to surge 194% to 116.7 billion won," adding, "The U.S. market likely drove this growth."

He explained, "Thanks to the Black Friday (BFCM) season and the spread of hit products, APR ranked first in quarterly sales in Amazon's skincare category, entering a stage where online demand is translating into greater brand awareness. Sales to Ulta nearly doubled from about 7 billion won in the third quarter to the fourth quarter, strengthening profitability through channel diversification in addition to online-driven top-line growth."

He continued, "In Korea, despite increased volume due to a higher share at Olive Young, top-line growth is limited because of the sell-in price recognition structure. In Japan, strong performance during the Megawari sale and the expansion of offline stores (to 3,000 locations) are driving high growth, but the penetration rate is expected to be slower than in the U.S. due to the vendor-centered distribution structure."

He projected, "This year, sales are expected to reach 2.0236 trillion won (up 39% YoY), with operating profit of 492.3 billion won (up 40% YoY, OPM 24%)," analyzing that "the key driver of growth is expansion in the U.S. market." He added, "With a low penetration rate, products proven online still have room to expand into offline and B2B channels, leaving further growth potential."

He emphasized, "Europe is still in the infrastructure-building stage, so its short-term contribution will be limited, but from mid-2026, direct sales results are expected to become visible in major countries, starting with the UK. The key to profitability will be how much the burden of online marketing expenses can be offset by expanding the mix of offline and B2B channels."

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