According to regulatory filings released Tuesday, operating profit fell to 148.5 billion won ($100 million) for the three months ended March, while revenue edged up 4.3 percent to 4.03 trillion won, the company said. The figures exclude its logistics affiliate CJ Logistics.
On a consolidated basis, revenue rose 6.0 percent to 7.11 trillion won, with operating profit down 17.2 percent at 238.1 billion won.
The firm said that the food division carried the quarter, posting a 3.9 percent rise in revenue to 3.04 trillion won and an 11.2 percent jump in operating profit to 143.0 billion won. Overseas food sales climbed 4.5 percent to 1.56 trillion won, driven by its lineup of global strategic products led by the Bibigo dumpling brand.
In the Americas, dumpling sales grew 15 percent and shelf-stable rice 7 percent, while frozen pizza continued to gain market share. In Japan, dumpling revenue surged 17 percent on the back of the company's new Chiba plant, pushing its market share into double digits at 11.0 percent for the first time. European and Asia-Pacific sales each expanded 17 percent, with Vietnam up 32 percent and Oceania up 31 percent.
The bio division, however, dragged on group earnings.
Revenue rose 5.7 percent to 988.7 billion won, but operating profit collapsed 92.4 percent to 5.5 billion won as competition intensified in tryptophan and lysine prices weakened on base effects. Specialty amino acids such as arginine notched record sales volumes, partly cushioning the blow.
CJ CheilJedang said it plans to accelerate the rollout of its Bibigo brand in mainstream European retail channels and expand digital marketing in the United States, while pushing higher-margin specialty products in bio.
"We will press ahead with the global expansion of K-food through strategic products such as dumplings, while stepping up efforts to improve profitability through bio sales growth and management efficiency," said a company spokesperson.
Shares of CJ CheilJedang traded at 212,500 won per stock at 10:37 a.m., 5.76 percent lower than the day before.
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