[Market Focus] Bioport, the "Silicon Two" of Food and Beverage... Strong Performance

Bioport is showing strength. This appears to be influenced by securities firms' analysis that the company's performance growth will continue, driven by the overseas popularity of K-consumer goods.

As of 2:08 p.m. on June 24, Bioport was trading at 20,650 won, up 250 won (1.23%) from the previous trading day.

Bioport is engaged in the manufacturing and sales of products such as snacks, liquid tea, pouch beverages, and health functional foods. The company was established in 2004 and was listed on May 16 through a merger with a SPAC. Its major clients include large domestic and international retailers such as Costco, as well as major distributors in countries including Hong Kong, the Philippines, Germany, and Mexico.

Kim Hyemi, a researcher at SangSangin Securities, described Bioport as the "Silicon Two" of the food and beverage industry, stating, "The company offers its own branded products, develops products tailored to client needs that are sold as private brand (PB) products under the retailer's brand, and supplies raw materials for health functional foods." She added, "In addition, Bioport supplies many products to clients that are not manufactured in-house but are instead purchased from other companies."

Researcher Kim emphasized, "Costco, which serves as both Bioport's growth driver and main sales channel, has extremely high entry barriers for new suppliers. Nevertheless, Bioport has seen related sales steadily increase for 20 consecutive years, which strongly suggests the company will continue to deliver stable results in the future."

She continued, "With active new product launches, the company is continuously expanding its SKU portfolio. This year, Bioport aims to enter all Costco stores worldwide and achieve 50 billion won in sales. The company also plans to further expand its sales channels, and as a result, starting in the second half of the year, sales to China (including Sam's Club, Hema Xiansheng, 7-Eleven, Lawson, etc.) and the United States (including Trader Joe's) are expected to increase."

She stressed, "Although the stock price has surged recently, considering the high proportion of overseas sales and the potential for further expansion, there remains room for additional upside."