CTK Reports 70.6 Billion KRW in Cumulative Sales for Q3, Up 42% Year-on-Year

Beauty platform company CTK announced on the 13th that its cumulative consolidated sales for the third quarter reached approximately 70.6 billion KRW, a 42% increase compared to the same period last year. Operating profit turned positive at 3.5 billion KRW.

On a separate basis, the cosmetics business segment recorded cumulative sales of 56.5 billion KRW, up 53.5% year-on-year. Separate operating profit was 5.2 billion KRW, turning profitable compared to the previous year.

A CTK representative explained, "This year, there has been a significant increase in new customers through the CTKClip.com platform, and the reorder rate of existing customers remains solid at over 70%, which is reflected in our performance."

The beauty creation B2B platform 'CTKClip.com' has seen the number of new subscribers increase more than 2.5 times compared to last year. Inquiries are rising as various countries and emerging brands join the platform.

Following recent group-wide restructuring and financial reorganization, CTK has begun to achieve meaningful results by business division. Completion, which has expanded from the beauty category to focus on various branding consulting services (OBM), recorded cumulative sales of 2.6 billion KRW in the third quarter. Operating profit has improved, reaching the breakeven point. Completion is aiming to turn profitable by the end of the year.

In CTK Bio's Canada division, as a mid-term result of continued R&D investment in eco-friendly materials, the company recently received the ‘OK Compost Home’ certification from ‘TUV’, Europe’s top testing and certification body, for its self-developed finished product material (Resin). Supported by grants received from the Canadian government in recognition of its technological capabilities, the division reduced its deficit compared to the same period last year in the third quarter. From next year, direct sales are expected to occur through the commercialization of new products.

In the U.S. fulfillment business division, which focuses on third-party logistics (3PL), efforts are underway to maximize sales during the year-end peak season from Black Friday through Christmas. CTK CEO Jeong In-yong stated, "CTK is enhancing financial and structural soundness through successful business division reorganization, and we will continue to focus on improving performance and future business growth."