Lotte Wellfood Co., Ltd.’s Q3 operating profit rises 29.7% year on year to 89.9 billion won

[Financial News] Lotte Wellfood Co., Ltd. disclosed on the 11th that its consolidated operating profit for the third quarter of this year was 89.9 billion won, up 20.6 billion won (29.7%) from 69.3 billion won in the same period last year.
Sales for the same period rose by 17.1 billion won (1.5%) to 1.1739 trillion won, compared with 1.1568 trillion won in the same period last year. Net income was 51.9 billion won, up 4% year on year.
Growth at major global hubs drove increases in sales and operating profit. In India, stabilizing the fourth Lotte Choco Pie production line and expanding regional coverage contributed to results, while Kazakhstan also sustained steady growth in domestic sales and exports. In the third quarter, overseas subsidiaries recorded sales of 271 billion won, up 16.1% year on year, and operating profit of 23.1 billion won, up 137.8%.
In the domestic market, the company strengthened its ability to respond to market conditions by pursuing trend-driven marketing focused on core brands despite a contraction in the frozen-dessert market. In particular, even as costs for key raw and auxiliary materials, including packaging and raw milk, rose amid global geopolitical uncertainty, it continued to streamline low-efficiency stock-keeping units (SKUs) and sales channels and improve productivity, boosting profitability.
Lotte Wellfood Co., Ltd. plans to sustain its growth momentum by strengthening its competitiveness in global markets and pursuing new growth channels at home, despite continued uncertainty, including global geopolitical instability and volatility in raw-material prices caused by unusual weather.
The global business will continue investing in key growth hubs and expanding mainstream channels. In India, the company will focus on stabilizing the fourth Choco Pie production line and expanding quick commerce for frozen desserts. It also plans to broaden the distribution of Lotte-branded products through major subsidiaries in Kazakhstan and Russia to maintain solid growth. For exports, it is stepping up efforts to expand local distribution channels alongside marketing linked to K-culture.
The domestic business plans to actively target peak-season demand for Pepero Day and strengthen strategies tailored to new growth channels, such as warehouse clubs and household goods stores, to improve competitiveness. It also plans to continue restructuring its business with a focus on profitability.
A Lotte Wellfood Co., Ltd. representative said, “Strengthening our fundamental competitiveness through the continuous advancement of our business structure, along with the strong performance of overseas subsidiaries in India and Kazakhstan, drove our results.” The representative added, “We will continue to pursue qualitative growth through strategies to improve domestic profitability and expand our presence in global markets.”
[email protected] Park Kyung-ho Reporter