1. Barunson Q2 Earnings: What Happened?

Barunson recorded KRW 16.5 billion in revenue for Q2 2025, exceeding market expectations. The steady growth of the beauty business drove the revenue increase, but profitability fell short of expectations with an operating loss of KRW 200 million and a net loss of KRW 900 million.

2. Analyzing the Drivers of Earnings Volatility: Why These Results?

The beauty business showed remarkable growth, fueled by the K-beauty boom. However, the continued sluggishness of the film business and losses in other business segments worsened overall profitability. While the VFX business showed growth potential, its small size limited its overall impact on earnings.

3. Future Outlook and Investment Strategy: What’s Next?

Barunson is aiming for a turnaround based on the robust growth of its beauty business. The growth potential of the VFX business is also a positive factor. However, addressing the underperforming film business and improving the financial structure remain crucial tasks. Investors should carefully consider these factors when making investment decisions.

  • Positive Factors: Beauty business growth, VFX business potential
  • Cautionary Factors: Struggling film business, accumulated deficit

4. Action Plan for Investors

Investors considering Barunson should closely monitor the continued growth of the beauty business, strategic changes in the film segment, and the specific performance of the VFX business. Focusing on long-term growth potential rather than short-term profitability is crucial.