Woowa Brothers Opens Era of 4 Trillion Won Sales... Balanced Growth in Delivery and Commerce

Operating Profit Falls 8.4% Due to Rising Costs

Woowa Brothers, the operator of Baedal Minjok, announced on the 4th that it recorded consolidated sales of 4.3226 trillion KRW and an operating profit of 640.8 billion KRW last year.

Baemin's core business, the food delivery service, maintained a stable growth trend, and commerce services such as Baemin B Mart and grocery shopping also grew rapidly, resulting in a 26.6% increase in sales compared to the previous year (3.4155 trillion KRW). However, operating profit decreased by 8.4% compared to the previous year (699.8 billion KRW) due to increased operating expenses such as outsourcing costs.

By sales category, service sales, which represent performance in food delivery services and intermediary commerce, amounted to 3.5598 trillion KRW, a 30.9% increase from the previous year (2.7187 trillion KRW).

Woowa Brothers explained, "The food delivery service continued steady growth by offering strong customer incentives centered on the subscription program Baemin Club, including free delivery benefits and discounts on popular franchise brands."

The number of grocery shopping orders last year increased by 369% compared to the same period last year, and transaction volume grew by 309% during the same period. In particular, the total number of orders from convenience stores, corporate supermarkets, and large marts participating in grocery shopping increased fivefold compared to the previous year.

Performance Trends of Woowa Brothers. Woowa Brothers

Product sales, including Baemin B Mart, reached 756.8 billion KRW, a 10% increase from the previous year (688 billion KRW). B Mart achieved a positive annual EBITDA (earnings before interest, taxes, depreciation, and amortization) for the first time last year, supported by overall growth such as product line expansion and increased average spending per customer.

Baemin's quick commerce business, encompassing B Mart and grocery shopping, continues to show steady growth. Last year, the number of customers and orders in Baemin's commerce business increased by 49.4% and 38.8%, respectively, compared to the same period last year. The annual transaction volume of Baemin's commerce business surpassed 1 trillion KRW for the first time last year.

A Woowa Brothers representative said, "We achieved steady sales growth based on balanced growth in food delivery and commerce businesses," adding, "This year, we will maximize customer value through subscription enhancement by improving delivery quality, expanding customer discounts, and increasing partnerships."