[Click e-Stock] "NFC Achieves Growth Alongside K-Beauty's Global Expansion"

Independent research firm GL Research analyzed NFC on August 12, stating that the company is growing alongside the overseas expansion of K-beauty. No investment opinion or target price was provided.

NFC operates in the production of high-functionality cosmetic ingredients and in ODM and OEM businesses, based on its proprietary technology for cosmetic base materials. The company is simultaneously engaged in both base material and finished product businesses.

The analyst explained, "NFC continues to expand its client base, leveraging its technological strengths and a focus on new balm-type formulations," and added, "Major brands such as LG Household & Health Care, Cosmax, Kolmar Korea, and Amorepacific have been secured as key clients in the materials segment."

He further assessed, "The shortage of grinding balm containers, which has constrained the company's sales since early 2025, is expected to be gradually resolved as the supplier's production volume has doubled since July." He added, "The ODM/OEM division is expected to benefit from top-line growth, while the materials division is anticipated to see improved profitability through in-house development and production."

The company is also expected to benefit from the extended Amazon Prime Day. This year, Amazon Prime Day was extended from two days to four days. He explained, "During the 2025 Amazon Prime Day period, sales of Korean cosmetics grew by 33% year-on-year." He added, "Only 10% of NFC's overseas sales are direct exports, while the remainder are indirect exports through Amazon's K-beauty in-brand, which directly contributes to NFC's sales growth."