Samyang Foods (003230) Q1 2026 earnings summary

Executive summary

• Achieved record-high consolidated Q1 2026 revenue of KRW 714.4 billion, up 35.0% year-over-year and 12.0% sequentially, with operating profit of KRW 177.1 billion and net income of KRW 144.5 billion, driven by global expansion and new UK operations.

• Separate (parent) Q1 2026 revenue was KRW 552.4 billion, operating income KRW 147.1 billion, and net income KRW 124.6 billion.

• Operating profit margin reached 24.8%, supported by global sales growth, favorable FX, and efficient SG&A execution.

• Net income margin was 20.2%, aided by FX gains from a strong USD.

• The company maintains a global presence with manufacturing and sales subsidiaries in Korea and major overseas markets, and is expanding production capacity in China.

Financial highlights

• Year-over-year, consolidated revenue increased from KRW 529.0 billion to KRW 714.4 billion, and operating income rose from KRW 134.0 billion to KRW 177.1 billion.

• Revenue growth was led by overseas subsidiaries in the US, China, and Europe, with the UK subsidiary commencing operations and contributing to expansion.

• EBITDA increased to KRW 1,973 (27.6% margin), up 33.5% year-over-year, as operating profit growth outpaced D&A expenses.

• Gross margin improved to 42.4% in Q1 2026 from 39.7% in Q1 2025.

• Basic and diluted EPS for Q1 2026 were KRW 19,198, up from KRW 13,292 in Q1 2025.

Outlook and guidance

• Plans to progressively raise dividends per share as net income grows, maintaining a payout ratio of 9–11% until stable free cash flow is secured.

• Continued CAPEX through FY2025–2026 to support business expansion and enhance corporate value.

• Investing in new production lines in China, targeting completion by January 2027, to strengthen its position in the Chinese market.