Amorepacific (090430) Q2 2026 earnings summary

Executive summary

• Revenue grew 17.0% year-over-year to 2,311,656 million KRW for H1 2026, with operating profit up 59.3% to 117,338 million KRW, driven by improved gross margin and optimized promotional spending.

• Net income increased 148.1% year-over-year to 93.4 billion KRW, reflecting robust operational performance.

• Domestic sales grew 10.3% to 610,800 million KRW, while overseas sales surged 27.6% to 551,600 million KRW.

• Strengthened global portfolio through acquisition of COSRX and expansion in key growth regions (Americas, EMEA).

• Maintained robust market share: 13.9% in cosmetics and 8.4% in household goods.

Financial highlights

• Gross profit margin improved to 74.1% from 72.6% year-over-year, supported by revenue growth.

• SG&A expenses rose 14.9% year-over-year, with marketing expense up 37% due to intensified promotional activities.

• Net income attributable to owners: KRW 88,328 million for H1 2026, up from KRW 35,776 million in H1 2025.

• Basic EPS (common): KRW 2,855 for H1 2026, up from KRW 1,282 in H1 2025.

• Total assets: KRW 7,087,389 million; total equity: KRW 5,631,695 million as of June 2026.

Outlook and guidance

• Continued focus on expanding growth channels, new product launches, and digital engagement is expected to sustain momentum.

• Enhanced profitability anticipated through channel mix optimization and operational efficiency.

• Accelerate global expansion, especially in high-potential regions (Americas, EMEA, APAC, Japan).

• Continue to invest in R&D, sustainability, and digital transformation.

• Maintain mid-term dividend payout policy at 35% of net income, with stable free cash flow allocation.