Record-Breaking Results Shatter Off-Season... K-Beauty Soars in Q1

Exports Reach Record High of $3.1 Billion

Growing Optimism for Major Cosmetics Companies' Performance

Rapid Growth in Europe... Further Gains Expected During Second Quarter Peak Season

In the first quarter of this year, Korea's cosmetics exports reached an all-time high, signaling a positive outlook for the cosmetics industry's first-quarter results. Despite the prolonged Middle East war and sluggish demand in the Chinese market, expectations are rising that K-Beauty will experience another record-breaking quarter as it continues to expand its presence in Europe following the United States.

AmorePacific announced on April 29 that its consolidated sales for the first quarter of this year reached KRW 1.1358 trillion, with an operating profit of KRW 126.7 billion. These figures represent increases of 6.4% and 7.6%, respectively, compared to the same period last year, exceeding market expectations.

Other cosmetics companies are also expected to post strong results. According to financial information provider FnGuide, APR's consensus for operating profit in the first quarter of 2026 is projected at KRW 141.5 billion, representing a 159.16% increase year-on-year. Both Kolmar Korea and Cosmax are expected to deliver strong results as well, with operating profits of KRW 66.5 billion (up 11.02%) and KRW 54.9 billion (up 7.02%), respectively. For Silicontwo, the first-quarter operating profit consensus is anticipated to reach KRW 62.7 billion, a 31.45% increase over the same period last year.

Statistics from the Ministry of Food and Drug Safety also support this trend. According to the ministry's 'Cosmetics Export Statistics for the First Quarter of 2026,' Korea's cosmetics exports reached an all-time high of USD 3.1 billion (KRW 4.6813 trillion) in the first quarter. This marks a 19% increase compared to the same period last year.

The first quarter is traditionally considered an off-season for the cosmetics industry. Typically, consumer demand peaks at the end of the year due to gift-giving, and from the second quarter, cosmetics sales surge as outdoor activities and demand for sun care products increase. In particular, this year has posed additional challenges such as the impact of the Middle East war and sluggishness in the Chinese market.

However, it was the European market that drove performance starting from the first quarter of this year. The strong growth in sales to Europe, which led the industry’s positive surprise last year, has continued into the first quarter. In 2025, Korean cosmetics held a market share of 1.8% in Germany, 3.3% in the UK, and 4.1% in France. By brand, d’Alba Global broke into the Amazon Top 100 in countries such as Spain, Germany, the UK, and Italy, and the growth rate for the European market this year is projected to reach 208% year-on-year. APR also posted sales of KRW 30 billion in the UK alone, while Silicontwo’s sales in Europe reached KRW 140 billion, clearly demonstrating robust growth centered in the European market.

Estra Atobarrier 365 Cream Surpasses 10 Million Units Sold. Provided by Amorepacific.

Jongdae Park, a researcher at Meritz Securities, stated, “Cosmetics exports to Europe in the first quarter increased by 53% year-on-year, surpassing a major milestone, with exports to key regions such as the UK, Poland, and the Netherlands seeing double-digit growth. If this trend continues, the cosmetics export growth rate this year could reach 20%, far exceeding the initial forecast of 15%.”

Based on solid first-quarter results, the industry is expected to see even more rapid growth as it enters the peak season in the second quarter. Park commented, “APR is increasing its production for Europe, and Silicontwo is doubling the size of its logistics center in Poland. Most cosmetics companies are projecting continued quarter-on-quarter growth in European sales. If this trend continues, not only in the second quarter but for the entire year, Europe could become the largest export market for Korean cosmetics.”

The securities industry is also raising target stock prices for cosmetics companies. Samsung Securities raised its target price for d’Alba Global by 31.5% to KRW 280,000. Yuanta Securities increased APR’s target price from KRW 380,000 to KRW 540,000. KB Securities raised Kolmar Korea’s target price by 19.8%, setting it at KRW 115,000.

Myeongjoo Kim, a researcher at Korea Investment & Securities, stated, “Since the first-quarter results of major cosmetics companies are expected to meet market expectations, the strong stock performance of the cosmetics sector is likely to continue. Considering that the market share of Korean cosmetics in their main export destinations, the United States and Europe, is only about 3%, it is too early to talk about a peak-out.”

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