Hyundai Motor Securities on the 5th said earnings growth at CJ Freshway is proceeding smoothly. It kept a Buy rating and a target price of 36,000 won. CJ Freshway's previous closing price was 26,500 won.
Hyundai Motor Securities projected CJ Freshway's 2026 results at 3.6978 trillion won in revenue and 117.2 billion won in operating profit. Those would be up 6% and 16%, respectively, from a year earlier.
By division, it expected revenue in the food materials distribution division to grow 4% from a year earlier and revenue in the food service business to grow 8%.
Ha Hee-ji, an analyst at Hyundai Motor Securities, said, "In the case of the food materials distribution institutional sector, the online contribution is expected to expand," and noted, "Last month we launched our own mall FreshN and are testing other channels, and after testing, the pace of online growth is expected to accelerate."
It also projected that on the profitability side, cost-efficiency effects such as labor costs, commissions paid, and logistics costs will become visible following the merger with Fresh One.
As for the institutional sector of the food service business, Ha said new order volume in the food service institutional sector remains solid, and if the Incheon Airport site additionally opens in the first quarter next year, new channel sites such as military meals and apartments are expected to expand.
In addition, the kitchenless institutional sector, which recorded a cumulative 79.5 billion won as of the third quarter this year, is also expanding, and expense-saving effects are expected to become visible.
Meanwhile, CJ Freshway posted revenue of 901.2 billion won and operating profit of 33.6 billion won in the third quarter this year. Those figures were up 8% and 19%, respectively, from a year earlier.