[Click eStock] "APR with Record High Overseas Sales, Surprise Earnings Forecast"

Growth Driven by the U.S. and Japan... Expansion to More Export Markets
More Strategies Yet to Unveil... Increasing Growth Potential

APR is expected to deliver surprising earnings that exceed the market consensus for the first quarter of this year. It is evaluated that overwhelming growth is anticipated as it records the highest-ever overseas sales.

On the 9th, Hana Securities maintained a 'Buy' rating on APR with a target price of 88,000 KRW. The closing price the previous day was 62,400 KRW.

Hana Securities forecasts APR's first-quarter earnings on a consolidated basis to be 238.7 billion KRW in sales and 45.5 billion KRW in operating profit. These figures represent increases of 60% and 64%, respectively, compared to the same period last year. The operating profit is also expected to far exceed the consensus of 39 billion KRW.

The rise in overseas markets, centered on the U.S. and Japanese markets, was a key factor. Overseas sales are estimated at 160 billion KRW, a 147% increase compared to the same period last year. In particular, the growth in the U.S. market is expected to be steep.

U.S. sales alone are expected to reach 71 billion KRW, a 187% increase compared to the same period last year. It is evaluated that brand awareness was raised as traffic increased during last year's U.S. Black Friday period. Monthly sales also show an upward trend, indicating improved marketing efficiency. Sales of cosmetics and beauty devices are expected to grow by 320% and 80%, respectively.

Japan is also showing strong performance. Sales are expected to more than double compared to the first quarter of last year, reaching 20 billion KRW, marking the highest quarterly record ever. It is understood that the direct overseas purchase platform contributes about 80% of total sales. B2B (business-to-business) sales are projected to increase by 800% compared to the same period last year, reaching 44.4 billion KRW. The expansion of brand awareness in North America is leading to a virtuous cycle, with exports expanding to various countries including Europe and the Middle East. In the case of beauty devices, production volume is still unable to keep up with demand.

As it is at the beginning of its expansion phase, additional growth is expected as various strategies are actively implemented through marketing capabilities. Eunjeong Park, a researcher at Hana Securities, explained, "While rapidly increasing awareness centered on Mediheal cosmetics in major markets, the use of beauty devices is becoming more familiar, gradually raising penetration rates and per capita purchase amounts by country. Although the stock price has been adjusted due to increased market volatility such as the imposition of global tariffs in the U.S., there is sufficient growth potential, making revaluation highly likely."