F&F announced on the 2nd that its consolidated operating profit for the first quarter of this year was tentatively estimated at 148.826 billion KRW, a 10.6% increase compared to the same period last year.
During the same period, sales amounted to 497.4 billion KRW, up 13.8% year-on-year. Net profit for the period increased by 23.3% to 118.885 billion KRW. However, compared to the fourth quarter of the previous year, sales decreased by 11% and operating profit fell by 5%. F&F explained, "Due to the seasonal nature of the fashion industry, the fourth quarter is the peak season."
It is analyzed that the reopening effect of China’s economy has fully taken effect, leading to improved performance. Jinhyup Lee, a researcher at Hanwha Investment & Securities, stated, "As clothing consumption expands in China, F&F, led by MLB, is expected to benefit strongly as its brand power expands locally. China’s reopening can contribute not only to local subsidiaries but also to increased sales at domestic duty-free shops due to inbound demand growth, which can offset the burden on domestic clothing consumption."
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