1. What’s Happening with Amorepacific?
On September 18, 2025, Amorepacific Holdings disclosed a ‘Report on the Status of Large Shareholdings (General)’ due to insider buying by related parties. Although there was no change in stake, this is interpreted as a positive signal for strengthening management rights and corporate value.
2. Positive Fundamentals Taking Flight
Amorepacific’s performance in the first half of 2025 achieved a turnaround with sales of KRW 2.0725 trillion (+14.1%) and operating profit of KRW 191.4 billion (+149.1%). The acquisition of Cosrx and overseas business expansion had a positive impact, and its stable financial structure is also a strength. Notably, overseas sales account for 45%, highlighting growth in the global market.
3. Macroeconomic Environment: Tailwind or Headwind?
Exchange rate volatility can be positive for overseas sales but burdensome for rising raw material prices. The freezing of interest rates and stable oil prices are positive factors. However, the rising maritime freight index suggests the possibility of increased logistics costs.
4. Action Plan for Investors
- Short-term Perspective: Stabilizing management rights can have a positive impact on stock prices.
- Mid- to Long-term Perspective: An investment strategy should be established while monitoring the sustainability of fundamental improvements, changes in the Chinese market, and the global competitive environment.
- Key Checkpoints: Continuously monitor additional stake changes by Amorepacific Holdings and strategies for securing global market competitiveness.