[Click eStock] "Chris F&C, Expecting Performance Improvement with New Brand Next Year"

Yujiin Investment & Securities forecasted on the 1st that Chris F&C is expected to improve its performance from next year with new brands. The investment opinion was maintained as 'Buy,' but the target price was lowered to 9,000 KRW.

Yujiin Investment & Securities anticipated that Chris F&C's sales and operating profit for the third quarter will reach 77.7 billion KRW and 7.4 billion KRW, respectively, representing increases of 3.6% and 7.9% compared to the same period last year. For the entire year, sales are expected to be 359 billion KRW and operating profit 36.7 billion KRW, down 2.2% and 20.5% year-on-year, respectively.

Researcher Lee Haeni evaluated, "This year, the economic slowdown and contraction of the golf market are inevitable," adding, "Due to selling and administrative expenses related to the launch of new brands, profitability is likely to fail to be maintained."

However, performance improvement is expected from next year. He explained, "From next year, sales from new brands (Hydrogen, Mammut, and Andwonder) will begin," and "We expect business area expansion and a performance turnaround due to sales from new brands."

He emphasized, "The number of stores in 2024 is planned to be 26 for Hydrogen, 5 for Mammut, and pop-up stores and our own mall operation for Andwonder," adding, "The goal for 2025 is to expand to 59 stores for Hydrogen, 14 for Mammut, and 9 for Andwonder."