Cheil Worldwide (030000) Q3 2025 earnings summary

Executive summary

• Q3 2025 revenue grew 7% year-over-year to KRW 457.4B, with gross profit and net income also up 7% compared to Q3 2024.

• For the first nine months of 2025, revenue increased by 5.3% year-over-year to KRW 3,347.2B, gross profit up 8.0%, and operating income up 3.4%.

• Digital business accounted for 54% of service mix, up 5 percentage points year-over-year.

• Non-Samsung client revenue increased 10% year-over-year, now representing 27% of total.

• The business is diversified globally, with 69.5% of revenue from subsidiaries and operations in 46 countries.

Financial highlights

• Operating profit was KRW 95.9B in Q3 2025, flat year-over-year due to higher SG&A, mainly from digital labor investment.

• SG&A expenses increased 9% year-over-year; salaries rose 8%.

• Gross margin improved to 41.1% from 40.0% year-over-year.

• Net income for Q3 2025 was KRW 64.9B, up 7% year-over-year, but for the first nine months, net income declined 15.0% to KRW 144.2B due to higher taxes and non-operating losses.

• Dividends paid in 2025 were KRW 1,230 per share, totaling KRW 124.6B.

Outlook and guidance

• Focus on expanding digital and retail business, targeting top-line growth of 5% and margin defense.

• Continued growth in digital advertising expected, driven by AI integration and global expansion.

• Plans to reinforce expertise in industries such as automobile, healthcare, travel, and F&B.