Nongshim (004370) Q3 2025 earnings summary

Executive summary

• Consolidated sales rose 2.4% year-over-year in Q3 2025, with overseas sales up 14.4% and domestic sales down 2.1%.

• Revenue for the first nine months of 2025 was KRW 2,631.9 billion, down from KRW 3,438.7 billion year-over-year, reflecting a contraction in domestic and export sales.

• Gross profit margin improved to 29.9% from 27.9% year-over-year, and operating profit increased from KRW 38bn to KRW 54bn.

• Net profit grew from KRW 37bn to KRW 51bn compared to the same quarter last year.

• The company maintained a strong cash position with KRW 174.2 billion in cash and cash equivalents at period end.

Financial highlights

• Consolidated sales reached KRW 871bn, up from KRW 850bn year-over-year.

• Gross margin improved to 28.7% from 27.2% year-over-year, driven by cost controls and product mix.

• Operating profit rose to KRW 54bn, and net profit margin improved to 5.8% from 4.3%.

• Basic EPS for the period was KRW 24,071, up from KRW 22,925 year-over-year.

• Dividend payout maintained at KRW 5,000 per share, with a total cash dividend of KRW 28.9 billion.

Outlook and guidance

• Overseas subsidiaries are expected to continue driving growth, especially in China, Japan, Australia, and Vietnam.

• The company is focusing on qualitative growth in the domestic market through premiumization and new product launches.

• Overseas expansion remains a priority, with new subsidiaries established in Europe and continued investment in North America and Asia.

• Smart farm business is being developed as a new growth engine, with pilot projects underway in the Middle East.