Amorepacific Group's Third-Quarter Operating Profit Rises 24.7% to 130.1 Billion Won

South Korean beauty company Amorepacific Group, which owns Sulwhasoo and Laneige, said its third-quarter operating profit rose 24.7 percent from a year earlier to 130.1 billion won.

Consolidated revenue at holding company Amorepacific Holdings increased 8.9 percent to 1.21 trillion won, the company said Oct. 29. Operating margin improved to 10.8 percent from 9.4 percent a year earlier, and the quarter marked the group's ninth consecutive quarter of revenue growth.

Amorepacific, the group's main subsidiary, reported revenue of 1.13 trillion won, up 11 percent, and operating profit of 115.2 billion won, up 25 percent. Its operating margin has been 10 percent or higher for three straight quarters.

In South Korea, Amorepacific's revenue rose 11 percent to 620.5 billion won, while operating profit jumped 42 percent to 84.6 billion won. The company said strong sales of key brands including Sulwhasoo, Hera, Aestura and Illiyoon, along with growth in e-commerce, multibrand stores and duty-free channels, improved profitability.

Overseas revenue increased 12 percent to 495.5 billion won, and overseas operating profit rose 14 percent to 48.5 billion won.

In North America, Aestura sales more than doubled from a year earlier, and Innisfree sales rose more than 50 percent, according to the company.

In Japan, sales of Aestura and Cosrx each more than doubled, while Hera sales climbed more than 90 percent. Total sales in India rose more than 60 percent, driven by growth at Laneige and other key brands and the market entry of Mamonde.

The group's beauty affiliates, including Innisfree, Etude, Espoir and Amos Professional, saw revenue fall 12 percent to 103.2 billion won and operating profit drop 29 percent to 5.2 billion won. The company attributed the decline to a business restructuring that included making its distribution channels more efficient.

Amorepacific Group set a long-term goal of reaching 15 trillion won in revenue by 2035 when it marked its 80th anniversary last year. The group plans to grow several brands together in overseas markets and to develop derma beauty, clinical skin care and hair care as new growth areas.