FSN: Boosters Posts 42.6 Billion KRW in Q1 Sales, Sets New Quarterly Record

FSN's subsidiary, Boosters, achieved yet another record-high quarterly performance in the first quarter, traditionally considered an off-season, driven by the success of its partner brands.

On April 22, FSN announced that its subsidiary Boosters posted sales of 42.6 billion KRW and operating profit of 10.1 billion KRW in the first quarter, marking an earnings surprise. Sales increased by 382% compared to the same period last year. The company also successfully turned around from an operating loss of 100 million KRW to a profit.

Sales have continued to grow for four consecutive quarters since the first quarter of last year, once again setting a new quarterly record. Operating profit in the first quarter alone reached approximately 68% of last year's annual figure. In March, sales amounted to 20.3 billion KRW and operating profit to 5.3 billion KRW. These results are considered especially encouraging, given that the first quarter is typically regarded as the off-season for the advertising and commerce industries.

Boosters employs a business model that fosters mutual growth with high-potential brands, leveraging FSN's core strength in advertising and marketing capabilities. The company covers 50% of the initial advertising and marketing expenses and provides the most efficient, comprehensive marketing support for brand growth, which is its greatest strength. Currently, Boosters operates partnerships and equity investments with seven brands and platforms, mainly in the life and healthcare sectors. This year, based on its various success strategies in the domestic market, the company is also making a full-scale push into the global market.

With strong results in the off-season first quarter, the outlook for this year has become even more positive. Last year, Boosters surpassed both 100 billion KRW in sales and 10 billion KRW in operating profit for the first time. From its founding in 2019 through last year, the company has recorded an average annual sales growth rate of 250% and an operating profit growth rate of 330%. This year, Boosters has set targets of 175 billion KRW in annual sales and 25.5 billion KRW in operating profit. Having already achieved over 10 billion KRW in operating profit in just the first quarter, the likelihood of exceeding these targets has become very high.

As Boosters, which leads the brand co-prosperity business, continues its rapid growth, FSN, the parent company, is also expected to see significant performance improvements this year. Boosters alone surpassed FSN’s consolidated first-quarter sales from last year, and as the advertising and marketing business enters its peak season, platform businesses centered on Cauly, Daedamo, and MyOnePick are also steadily delivering results. Based on this, FSN is aiming once again to achieve record annual sales and operating profit this year.

Seo Jeonggyo, CEO of Boosters, stated, "Despite challenging economic conditions both domestically and internationally, we achieved another record quarterly performance in the first quarter thanks to our joint efforts for the growth of our partners and brands. As most of our partner brands enter their peak season from the second quarter onward, we expect to achieve even greater growth."

He added, "This year, we have begun to actively target overseas markets as well as the domestic market, and we are already seeing encouraging results in the early stages of our expansion. Going forward, we will further advance our co-prosperity business model to ensure the sustainable growth of brands with high potential, based on strong trust and partnerships."