Samyang Foods said its operating profit on a consolidation basis for the first quarter came to 177.1 billion won. That was up 32% from a year earlier.
According to the Financial Supervisory Service's DART filing system on the 13th, Samyang Foods' first-quarter sales on a consolidation basis were 714.4 billion won. That increased 35% from a year earlier. The operating margin for the same period was 24.8%. It has stayed in the 20% range for five consecutive quarters. The result is seen as stemming from the Buldak brand's rising global recognition as well as the effects of a strong won-dollar rate and improved production efficiency.
The company said the strong performance was driven by robust overseas sales of its flagship product, "Buldak spicy ramyeon," which has taken the world by storm, marking a record high. First-quarter overseas sales at Samyang Foods were 585 billion won, up 38% from a year earlier. As the operating rate of the Miryang No. 2 plant increased, supply volumes expanded, while demand for the Buldak brand continued mainly in Europe and the United States.
Europe's growth stood out in particular. Sales in Europe were 77 billion won, up 215% from a year earlier. A Samyang Foods official said, "The establishment of a U.K. subsidiary and expanded entry into major distribution channels in key Western European countries such as Germany and the Netherlands had a positive impact on results."
Stable growth also continued in the core export markets of the United States and China. Sales at the U.S. subsidiary were 185 billion won, up 37% from a year earlier. Over the same period, sales at the China subsidiary rose 36% to 171 billion won.
A Samyang Foods official said, "We delivered solid results despite difficult external conditions," adding, "Along with the Buldak brand's competitiveness, we have once again proven the sustainability of our growth." The official added, "This year, we will focus on strengthening the global management system and expanding production and sales infrastructure, and we plan to solidify our high-growth foundation."