"Raw Material Costs Weigh Down SamLip... Q2 Operating Profit Plunges 98.7%"

Profitable Turnaround from Previous Quarter's 4.3 Billion Won Loss
Strong Sales of Pokémon 30th Anniversary Products
Growth in Bakery Exports and Other Factors

SamLip achieved a sales increase in the second quarter of this year thanks to the launch of new products celebrating the 30th anniversary of Pokémon and successful global exports, but profitability deteriorated due to the impact of high exchange rates and rising prices of raw materials and ingredients.

SamLip announced on the 14th that its consolidated operating profit for the second quarter was 110 million won, down 98.7% year-on-year. During the same period, sales increased by 2.9% to 847.8 billion won.

However, despite recording an operating loss of 4.3 billion won in the first quarter due to production disruptions from a fire at the Siwha plant in February and the revamp of the on-site shift system, the company succeeded in turning to profit in the second quarter.

The new Pokémon 30th anniversary products surpassed 10 million units sold in just about 50 days since launch, and sales in both global exports and the bakery segment increased year-on-year by 49.9% and 6.4%, respectively.

A SamLip official explained, "Driven by robust sales of the Pokémon 30th anniversary products and expanded success in global exports, overall sales posted a slight increase compared to the same period last year." The official also added, "Profitability was impacted by higher safety-related expenses from the shift system overhaul, as well as rising raw material costs and high exchange rates." The company went on to say, "Going forward, we plan to continue improving our results through strengthening product competitiveness, enhancing management efficiency, and engaging in cost improvement activities."

Meanwhile, SamLip's cumulative consolidated sales for the first half of the year reached 1.6601 trillion won, up 1.3% year-on-year, but the company recorded an operating loss of 4.2 billion won, turning to a loss from an operating profit of 24.8 billion won during the same period last year.

This content was produced with the assistance of AI translation services.