Cosmax Posts 195.8 Billion Won in Operating Profit Last Year...Marks Highest-Ever Results

Sales of 2.3988 Trillion Won

Cosmax achieved its highest-ever annual results last year, driven by strong growth at its global subsidiaries.

Cosmax announced on February 23 that its consolidated sales for last year came in at 2.3988 trillion won, up 10.7% from 2.1661 trillion won a year earlier. Over the same period, operating profit rose 11.6% year-on-year to 195.8 billion won, with both sales and operating profit hitting record highs.

Cosmax Corporate Identity. Cosmax

Cosmax Korea continued to grow, backed by the global boom in K-skincare. Last year, it posted sales of 1.5264 trillion won, up 12.4% from the previous year, and operating profit of 154.6 billion won, an 11.5% increase. In particular, during the fourth quarter, core skincare categories such as gel masks, creams, and sun care products maintained high growth, while newly focused hair and body categories also delivered meaningful results.

The China subsidiary successfully rebounded, overcoming a prolonged slump in local consumption. It recorded annual sales of 632.7 billion won, up 10.2% from the previous year. Efforts led by the Shanghai subsidiary to diversify its client base paid off, with both skincare and color cosmetics clients showing strong growth. In addition, at the Guangzhou subsidiary, increased exports by clients to Southeast Asia and diversification of product categories helped drive overall growth in China.

The U.S. subsidiary’s annual sales were 132.6 billion won, edging down slightly from a year earlier. However, fourth-quarter sales surged 24.2% year-on-year, marking the start of a clear upward trajectory. The inflow of new West Coast clients through the California sales office fueled sales growth, while body and sun care products, as well as basic skincare products incorporating K-beauty concepts, have been receiving a strong response in the local market.

The Thailand subsidiary posted sales of 73.2 billion won, a 68.2% jump from the previous year, supported by explosive growth in sun care products this year. However, the Indonesia subsidiary recorded sales of 97.7 billion won, down 13.7%, due to factors such as a heavy base effect and deteriorating consumer sentiment stemming from the local political situation. The two subsidiaries plan to accelerate their push into emerging markets this year by expanding their influence into neighboring regions such as Vietnam and India. They are also working to diversify their client base and enhance profitability through an OBM (Original Brand Manufacturing) model.

Cosmax has set this year’s management keyword as “Adding a premium to customer value with our own strength,” and plans to build a decisive competitive edge around strategic items such as sun care and base makeup. The company will also expand joint sales activities among its global subsidiaries and strengthen its presence in emerging markets including the Middle East, South America, and Africa.

A Cosmax official stated, “We were able to achieve record results as our solid growth was led by our Asian subsidiaries and our position in major markets such as the United States and Europe became more solid,” adding, “We will continue to grow together with K-indie brands and proactively respond to new markets around the world to further enhance our status as the world’s No. 1 cosmetics ODM company.”