Amorepacific Group reported increases in both revenue and operating profit for the third quarter of this year, driven by improved domestic profitability and growth in key overseas markets. Notably, sales of major brands such as Astra and Innisfree expanded in North America and Japan, contributing to the improved performance.
On October 29, Amorepacific Group announced that its consolidated revenue for the third quarter reached 1.2073 trillion won, with an operating profit of 130.1 billion won. Revenue increased by 8.9% compared to the same period last year, while operating profit rose by 24.7%. The operating profit margin also improved from 9.4% to 10.8%, a 1.4 percentage point increase.
This performance reflects a combination of improved domestic profitability and growth in overseas markets. In North America, major brands like Astra and Innisfree showed strong growth, reinforcing a multi-brand growth strategy. In Japan and India, performance improved through expanded customer touchpoints. The derma and hair care businesses, which are being developed as next-generation global growth drivers, also began to show significant growth both domestically and internationally.
The group's revenue has now grown for nine consecutive quarters. Its flagship subsidiary, Amorepacific, maintained an operating profit margin of over 10% for three consecutive quarters. In the third quarter, Amorepacific's revenue increased by 11% year-on-year to 1.1295 trillion won, while operating profit rose by 25% to 115.2 billion won.
Domestic revenue reached 620.5 billion won, an 11% increase from the previous year, with operating profit rising by 42% to 84.6 billion won. Strong sales from key brands such as Sulwhasoo, Hera, Astra, and ILLIYOON, along with growth in e-commerce, multi-brand shops (MBS), and duty-free channels, contributed to this improvement.
In particular, Sulwhasoo achieved double-digit growth thanks to its 60th anniversary campaign for the Jaum Balancing Cream and strong sales across major channels. Astra saw its revenue increase by over 50%, driven by sales growth in e-commerce, MBS, and hospitals, particularly for its Atobarrier365 line. Duty-free sales also experienced double-digit growth due to an increase in inbound tourists.
Overseas, revenue reached 495.5 billion won, with operating profit increasing by 14% year-on-year. This growth was attributed to an expanded brand portfolio in key markets such as North America, Japan, and India.
In the North American market, Astra and Innisfree showed remarkable growth. Astra's sales more than doubled through online and offline channels like Sephora and Amazon. Innisfree also grew by over 50%, driven by strong sales of its green tea and sun care products, as well as its PDRN line.
In Japan, Astra and COSRX saw their sales increase by over 100%, while Hera grew by more than 90%. COSRX expanded its offline presence by entering approximately 2,900 new stores. In India, overall revenue grew by over 60%, fueled by the growth of major brands like Laneige and the new entry of Mamonde.
Growth continued in the Europe, Middle East, and Africa (EMEA) markets as well. COSRX's revenue increased by over 30%, and sales on TikTok Shop in the UK surged by over 200%. Astra expanded its distribution network by entering Boots in the UK and Matas in Northern Europe.
The derma and hair care businesses are emerging as new growth drivers. Astra's global revenue increased by over 80%, while ILLIYOON's overall revenue grew by over 60%. Notably, ILLIYOON's overseas revenue increased sixfold compared to the previous year. Hair care brands such as Mise en Scène, Ryo, and Laboh were also able to achieve double-digit revenue growth due to global expansion.
Conversely, brands like Innisfree, Etude, Espoir, and Amos Professional saw declines in revenue and operating profit due to channel efficiency improvements and business restructuring. Osulloc experienced growth both online and offline due to strong sales of its Chuseok gift sets and increased store visitors.
Amorepacific Group plans to expand its global business focusing on derma beauty, clinical skincare, and hair care. It aims to enhance the international market presence of various brands based on its research and development (R&D) and digital competitiveness. The company is pursuing a long-term goal of achieving 15 trillion won in revenue by 2035 and becoming a global beauty and wellness enterprise.
* This article has been translated by AI.
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