Massive Insider Buying of KRW 1.2 Billion in Treasury Shares With Bonuses... Amorepacific Leaders Back 'KRW 15 Trillion Sales Vision'

CEO Kim Seunghwan and Executives Continue On-Market Share Purchases
"15 Trillion Won Sales by 2035" Roadmap Articulated... Institutions and Foreign Investors Also Show Net Buying Trend

Amorepacific Group's key executives have purchased approximately 20,000 shares of Amorepacific and its holding company, Amorepacific Group, on the open market since the beginning of September. This move follows the company's strong performance from July last year through June this year, which resulted in higher executive bonuses. Instead of directly granting treasury stocks as part of the performance bonuses, the company opted to pay the bonuses in cash, prompting executives to use these funds to purchase company shares.

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According to the Financial Supervisory Service's Electronic Disclosure System as of September 21, a total of 6,251 Amorepacific shares have been purchased on the open market by nine executives from Amorepacific and its affiliates, including CEO Seunghwan Kim, during the period through September 15.

CEO Kim accounted for the largest share purchase among the executives. Between September 9 and 15, he bought a total of 2,495 common shares of Amorepacific across three transactions, spending 346.09 million won in total. As a result, Kim's holdings increased more than threefold, from 1,153 shares to 3,648 shares. In addition, he purchased 440 shares of Amorepacific Group.

2026 Investor Day_Kim Seunghwan, CEO

Likewise, Sangmok Lee, CEO of Amorepacific Group, also purchased shares in both the operating company and the holding company. On September 15, Lee acquired 58 Amorepacific shares for 8.08 million won. Between the 10th and 15th, he made four separate purchases, acquiring a total of 10,761 shares of Amorepacific Group for 275.19 million won. The total amount invested in the two companies' shares was 283.27 million won. Consequently, Lee’s holdings in the holding company rose from 4,873 shares to 15,634 shares.

Other executives also significantly increased their holdings. Seven executives — Jiyeon Lee, Myungku Kang, Byungkwon Noh, Youngmin Hwang, Mankyu Kim, Hyojeong Joo, and Jongsoo Moon — collectively purchased 3,698 Amorepacific shares for approximately 500 million won this month. In Amorepacific Group, three executives — Sooyeon Lee, Yeonjeong Lee, and Jinho Lee — bought a total of 2,450 shares for roughly 60 million won on the open market. Combining the purchases for both companies, 14 executives acquired a total of 19,902 shares, amounting to about 1.2 billion won.

This executive share purchase was made as part of Amorepacific Group's performance-based compensation system. When awarding executive bonuses, the company either directly transfers treasury shares it holds or pays out in cash, requiring executives to purchase company stock on the open market within a stipulated period.

The method applied varies annually depending on the size of the bonus pool. In years with larger bonus payments, disposing of a significant volume of treasury shares could put pressure on the share price, so this year the company opted for cash payments followed by open-market purchases. An Amorepacific spokesperson explained, "The method for executive bonus payments is not fixed each year but is adjusted based on the overall scale of the bonuses. In years with large bonus payments, instead of granting treasury shares, the bonuses are paid in cash and the executives are required to purchase shares within a set period." The spokesperson added, "This round of purchases reflects compensation for performance between July 2025 and June of this year. As the performance for this period was strong and the bonuses were large, it was decided to pay in cash and have the executives purchase shares subsequently."

However, the market has taken note that this increase in shareholdings by the CEO and other key executives coincides with Amorepacific's unveiling of their concrete 10-year growth blueprint. Both foreign and institutional investors have also been net buyers. Between September 2 and 15, institutions acquired a net 113,677 Amorepacific shares and foreign investors purchased a net 73,660 shares. In the same period, foreign investors bought a net 57,697 shares of Amorepacific Group, and institutions were net buyers of 8,423 shares.

On September 11, at its Yongsan headquarters in Seoul, Amorepacific reaffirmed its target of reaching 15 trillion won in group revenue by 2035 at the '2026 Investor Day,' which it first set for its 80th anniversary last year, and unveiled detailed business roadmaps to achieve it. The core strategy is global expansion. The company aims to grow its derma beauty business, centered around Aestura and Illiyoon, to reach 1 trillion won in sales by 2030. The hair care division, led by Ryo, Mise-en-Scene, and LABO-H, also targets 1 trillion won in sales and aims to raise the global sales share to over 60% by that year. In the short term, Amorepacific presented targets of 10% year-on-year sales growth and an operating margin of 11–12% for next year.

Woojeong Kwon, a research analyst at Kyobo Securities, commented, "Unlike companies that depend on specific brands or hero products, Amorepacific's strength lies in its multi-brand portfolio. Starting this year, multiple brands including Laneige, Aestura, Illiyoon, and Hera are demonstrating visible growth, proving the company's multi-brand competitiveness in actual results."

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