It seems you've provided an incomplete message or there might be some confusion regarding the reference article text. However, based on the previous detailed article about Kolmar Korea, I'll create a BULLINK portfolio-style report to incorporate the insights.
BULLINK Portfolio: Kolmar Korea's Market Momentum
1. Summary of 1Q25 Performance:
- Overview:
Kolmar Korea's 1Q25 financial results exceed expectations with significant growth in key markets: Korea, China, and the US. - Revenue & Profit Metrics:
- Total Revenue: KRW 653.1 billion (+14% YoY)
- Operating Profit: KRW 59.9 billion (+85% YoY)
2. Regional Highlights:
- Korea:
- Revenue: KRW 274.3 billion (+11% YoY)
- Driving Force: Strong demand in sun care indie brands, outperforming legacy brands significantly.
- Margin Achievement: Operating margin increased to 12.4%, the highest Q1 margin recorded.
- China:
- Revenue: KRW 41.6 billion (+20% YoY)
- Operating Profit: KRW 3.1 billion (+72% YoY)
- Positive Shift: Recovery in sun care orders after previous pricing negotiation challenges.
- United States:
- Revenue Surge: 21.7 billion won (+210% YoY)
- Operating Profit: 1.5 billion won, marked improvement QoQ.
- Strategic Growth: Secured new base makeup clients, ongoing expansion of customer base.
3. Valuation and Future Outlook:
- Current Stock Momentum:
- Influenced by robust sun care demand and valuation improvements in the US.
- Price Target Increase: From KRW 92,000 to KRW 110,000, reflecting improved domestic OPM and industry multiples.
- US Expansion Strategy:
- Second plant's expected completion in June, enhancing production capabilities.
- Uplifting 2025 U.S. revenue projections from KRW80 billion to KRW90 billion.
- Investment Sentiment:
- Stock trading at a justifiable 14x 12FM PER. Rating remains a "Buy".
4. Strategic Insights:
- Sun care market provides a dynamic growth avenue, particularly with the rise of indie brands.
- Geographic diversification continues to pay off, particularly in the fast-recovering Chinese market and the rapidly expanding US operations.
- The strategic completion of the US second plant aligns with the growing demand and revised tariff policies, marking a pivotal step in production scalability.
Conclusion:
Kolmar Korea represents a strong BULLINK portfolio addition with its expansive growth trajectory, strategic geographical diversification, and responsive adaptation to market demands. The favorable outlook maintains investor confidence and warrants a strategic buy amid peak sun care season investments and operational expansions.
