Norang Poongseon Expects Full-Scale Earnings Recovery After Q4

[Asia Economy Reporter Park Hyungsoo] Norang Poongseon, the nation's No.1 direct sales travel agency, announced on the 26th that it expects a full-scale recovery in performance from the 4th quarter due to the easing of Japan's entry restrictions, which are highly preferred by Korean travelers.

Japan, which had maintained strict entry restrictions since COVID-19, will lift the daily entry limit starting from the 11th of next month. Visa-free and individual travel will also be allowed. Following major Southeast Asian countries, Japan's easing of entry restrictions has made a full-scale recovery in performance possible.

Along with the easing of entry restrictions, the relatively weak yen is also a positive factor in recovering full-scale demand for travel to Japan. It is expected to partially replace demand from other regions where travel costs have increased due to the rise in the won-dollar exchange rate. As of the 20th, the reservation rate for Japan Osaka package products increased by 1200% compared to the same period last year.

A Norang Poongseon official said, "Following Southeast Asia, which is highly preferred by overseas travelers, the easing of Japan's entry restrictions has laid the foundation for performance improvement," adding, "With organizational and cost efficiency improvements and a full-scale increase in sales, meaningful performance improvement will be possible from the 4th quarter."

Norang Poongseon plans to do its best to turn a profit next year. Based on direct sales without going through agencies, profitability is expected to improve rapidly.