[Click eStock] "Pumtek Korea, Record High Performance Driven by Flood of 'K-Beauty' Orders"

Korea Investment & Securities forecasted on the 16th that Pumtec Korea, which manufactures pumps and tubes for cosmetics, will continue its record-breaking performance driven by a surge in orders.

Si-on Kang, an analyst at Korea Investment & Securities, stated, "Currently, due to a flood of bulk orders, the lead time from order to shipment has extended from the usual 2-4 weeks to up to 2 months," adding, "Both the pump and tube divisions are expanding their production capacity (CAPA) to meet market demand." He predicted, "The current lead time delays will gradually be resolved through the expansion."

Analyst Kang also noted, "Order volumes from domestic and international indie brands as well as major cosmetics companies are all increasing, and sales from new overseas clients will be fully reflected starting from the third quarter," forecasting, "From the point when the expansion effects are realized, growth in both scale and profits will accelerate."

Meanwhile, Korea Investment & Securities projected that Pumtec Korea will record sales of 85.2 billion KRW and operating profit of 12.1 billion KRW in the second quarter of this year. Sales are expected to increase by 12.3% year-on-year, and operating profit by 16.8%.