KM Pharmaceutical announced that it has signed a supply contract worth approximately 1 billion KRW per year with General Brands, a cosmetic brand company.
This contract is considered a significant step in KM Pharmaceutical's strategy to expand its cosmetics business, which the company has been actively pursuing since this year. It aims to strengthen a new growth pillar based on its existing quasi-drug-focused business structure.
Last year, KM Pharmaceutical reorganized its research, sales, and quality teams to focus its capabilities on business expansion. The supply contract demonstrates that the preparations made so far have now entered the execution phase.
KM Pharmaceutical plans to continue strengthening its quasi-drug business as a core foundation, while also developing the cosmetics business into another key area to build a stable business portfolio. By operating its own cosmetics manufacturing plant, the company is able to directly manage research, production, and quality control, thereby enhancing both product quality and delivery reliability.
Baek Seungwon, CEO of KM Pharmaceutical, explained, "The supply contract signifies that our strategy to foster the cosmetics business as a core mid- to long-term business, rather than a short-term initiative, has officially entered the implementation phase."
He added, "We will leverage the research and quality competitiveness accumulated in the quasi-drug business to create a breakthrough in the cosmetics sector, focusing on enhancing the company's value."
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