Jeju Special Self-Governing Province Development Co. Net Profit Drops 49.8%... Candidate Kim Do-young: "Reorganizing Jeju Samdasoo's Distribution Network"

[Financial News Jeju = Reporter Jeong Yong-bok] As the net profit of the Jeju Special Self-Governing Province Development Co., which produces and sells Jeju Samdasoo, fell to 31.9 billion won last year—a 49.8% decrease from the previous year—the nominee for the next president faces the challenge of proving a rebound in performance through the reorganization of logistics and distribution networks and market-tailored sales.
Kim Do-young, nominee for president of the Jeju Special Self-Governing Province Development Co., stated at the confirmation hearing of the Environment and Urban Affairs Committee of the Jeju Special Self-Governing Provincial Council on the 15th, "I will pursue innovation in distribution and sales by reorganizing the logistics and distribution network structure and strengthening market-tailored sales strategies."
Nominee Kim Do-young diagnosed the corporation's current situation as a complex management challenge involving intensifying market competition, rising raw material prices, supply chain instability, and the balance between public interest and profitability. He proposed a "second founding spirit" as the guiding principle for management.
Recovering performance is the first task the next president must tackle. According to the Jeju Special Self-Governing Province Development Co., the corporation's total revenue fell by 33.3 billion won, or 9.5%, from 350.1 billion won in 2024 to 316.8 billion won last year. During the same period, net profit dropped by 31.6 billion won, from 63.5 billion won to 31.9 billion won, representing a decline of 49.8%.
This year's targets are 350.2 billion won in sales and 50.2 billion won in net profit. Compared with last year's performance, sales must increase by 10.5% and net profit by 57.4% to reach the targets. This is why whether Jeju Samdasoo's distribution and sales innovation plans translate into business performance will be the next president's first test.

Candidate Kim presented a plan to strengthen Jeju Samdasoo's position in the domestic market while simultaneously expanding into overseas markets. The plan involves diversifying export markets and increasing the scale of the corporation's business based on an eco-friendly and smart production system.
The Jeju Special Self-Governing Province Development Co. has also set a "growth transformation" for Jeju Samdasoo in its major business plan for this year. Along with the early stabilization of the distribution structure, the transition to an in-house online store operating system, and the streamlining of organizational, personnel, and financial operations, the company is pursuing the development of new export markets and the expansion of its product line.
Candidate Kim also signaled private-sector-style performance management. He presented management principles including fostering talent, establishing a fair performance compensation system, "detail management" involving direct oversight of production, distribution, and housing welfare sites, as well as disclosing management information and strengthening ethical management.
However, the management evaluation of the Jeju Special Self-Governing Province Development Co. is not determined solely by Jeju Samdasoo sales.
The corporation has set a cumulative public housing supply target of 4,650 units based on this year's approval standards. Along with construction-type and purchase-type public housing, it is also participating in the Hwabuk 2 Public Housing District, which will develop 5,500 units across 923,809 square meters in the Hwabuk-i-dong, Doryeon-il-dong, and Yeongpyeong-dong areas of Jeju City. It is being jointly implemented with the Korea Land and Housing Corporation (LH), with the Jeju Special Self-Governing Province Development Co. holding a 35% stake.

The stable preservation of Jeju's groundwater, the source of Jeju Samdasoo, must also be addressed alongside business expansion. Even if sales volume and production capacity are increased, the expansion could conflict with the public nature of a local public enterprise if water resource management and environmental sustainability are not adequately supported.
Nominee Kim also stated at the confirmation hearing, "I will enhance Jeju Samdasoo's competitiveness to create more value and return the results to residents," adding, "I will protect groundwater more thoroughly and responsibly promote housing welfare and regional development."
He went on to emphasize, "We will cooperate closely with the provincial administration, but the corporation's management decisions will be based on laws and principles, the interests of provincial residents, and the corporation's sustainability."
Candidate Kim is from Gujwa-eup, Jeju City, and graduated from Ohyeon High School and Seoul National University's Department of Business Administration. He joined LG Uplus Corp. in 1997 and worked in sales, exports, construction, and new business development for approximately 27 years, reaching the position of senior managing director at GS Engineering & Construction in 2024.
Once the personnel hearing process of the Jeju Special Self-Governing Provincial Council is concluded, the report on the hearing proceedings will be delivered to the Governor of Jeju through the chairperson. The final decision on the appointment will be made by Governor Wi Seong-gon.


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