[Click eStock] "Gamseong Copper, Growth Momentum to Stand Out This Year"

NH Investment & Securities analyzed on the 18th that among domestic listed clothing companies, Gamseong Corporation is expected to show remarkable growth this year.

NH Investment & Securities forecasted that Gamseong Corporation's clothing brand Snow Peak Apparel will achieve a sales growth of up to 40% this year. Baek Joon-gi, a researcher at NH Investment & Securities, stated, "While competing brands are expected to perform poorly due to the economic downturn and consumption slowdown, Snow Peak Apparel recorded a sales growth rate of over 30% in the first quarter, demonstrating outstanding growth in the domestic clothing market."

The expected sales and operating profit for the first quarter of this year are 40.2 billion KRW and 6 billion KRW, respectively, representing increases of 29.2% and 34.8% compared to the same period last year. Additionally, the annual expected sales for this year are projected to increase by 33.3% to 237.2 billion KRW, and operating profit by 35.4% to 43.7 billion KRW. He explained, "The high inventory turnover rate was driven by strong sales of lightweight padding and jumpers this quarter, and economies of scale will also improve profit margins. In the second half of the year, performance growth exceeding the initial guidance is expected due to increased B2B bulk orders and a rise in styles for the fall/winter (F/W) season."

He also anticipated achievements overseas. He said, "Meaningful results are expected this year in Japan and Taiwan businesses, with growing demand from Taiwanese customers at domestic duty-free shops leading to an expansion of stores in Taiwan. Although the China business is currently stagnant after opening its first store, with the largest shareholder of Snow Peak Japan having changed to a global PEF, we expect the implementation of additional expansion strategies in the Chinese market."