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E-Malt.com News article: South Korea: Lotte Chilsung Beverage reports strong performance in Q3 2025
Brewery news

Lotte Chilsung Beverage's performance in the third quarter of this year was strong. This is the result of increased sales of products related to health flair trend and overseas sales, Maeil Business Newspaper reported.

Lotte Chilsung Beverage announced on the 6th of November that its operating profit in the third quarter of this year was 91.8 billion won on a consolidated basis, up 16.6% year-on-year. Sales rose 1.3 percent to 1.792 trillion won and net profit rose 39.3 percent to 62 billion won, respectively.

The beverage division's separate sales fell 0.1% to 538.4 billion won in the third quarter, while operating profit rose 4.3% to 55.1 billion won.

For the beverage business in the third quarter, sales in the juice, bottled water and sports drinks categories fell. The company explained that the burden of raw material costs such as fruits and coffee concentrates increased amid the continued slump in domestic consumption, and continued high exchange rates and business expenses continued.

Soda sales slightly increased by 0.3% year-on-year as it launched new marketing with the concept of "Zero Delicious Zero" centered on "Zero" in line with the Healthy Pleasure trend.

Energy Beverages saw year-over-year sales rise 23.5% in the third quarter. Lotte Chilsung explained that it is the result of strengthening its lineup by launching new products such as "Hot Six The King and Ice Peach Zero" to strengthen concentration and meet consumer demand for energy replenishment during exercise and outdoor activities.

For beverage exports, year-on-year sales rose 7.5%. Thanks to strong exports of "Milkis," "Let's Bee," and "Aloe Juice," which are in the spotlight as global "K-drinks," they sold to more than 50 countries, including the United States, Russia, Europe, and Southeast Asia.

Lotte Chilsung Beverage released "Pepsi Zero Sugar Mojito Hyang" and "Chilsung Cider Zero Orange" one after another to gain a competitive advantage in zero business. In addition, he explained that he is securing future growth engines by introducing products such as "Hot Six The Pro" and "Oatmond Protein," which can take care of nutrition through protein intake.

Despite a decrease in alcohol consumption due to health-conscious trends, the company continued to improve its performance by improving efficiency.

The liquor sector's third-quarter earnings (based on a separate basis) were 33.3 billion won in sales, down 5.3% (18.8 billion won) from the previous year. Operating profit was 13.9 billion won, an increase of 42.7% (4.2 billion won) from the previous year by improving the efficiency of cost execution such as advertising promotion costs.

In the third quarter, the liquor business saw a decrease in sales in all domestic liquor categories except soju. It is interpreted as the aftermath of the shrinking consumer sentiment due to the economic downturn and high prices that have continued since the first half of the year.

In the case of soju, sales increased by 2.3% (2 billion won) year-on-year thanks to the popularity of renewed "Like the First Time" and "Saereo" of Zero Shugger soju, along with increased sales of PET soju in the home market.

Liquor exports increased interest in K food along with K contents, and sales increased 3.6% year-on-year as fruit soju "Sunha-ri" and original soju products were popular in the U.S., Europe, and Southeast Asia.

In the third quarter of this year, the global division's performance increased 9.5% (33.2 billion won) from the previous year to 384.2 billion won in sales, and its operating profit jumped 44.8% (6.4 billion won) from the previous year to 20.7 billion won.

The Philippine corporation (PCPPI, Pepsi Cola Products Philippines Inc) increased its sales by 247.8 billion won and 2.3% year-on-year through the consolidation of factories with the Phoenix Project, a management efficiency business, and turned its operating profit into a surplus of 4.6 billion won.

The Pakistani subsidiary grew 7.8% year-on-year to 46.6 billion won in sales, but operating profit fell 4.2 billion won and 30.6% year-on-year due to rising prices of raw materials such as sugar. Myanmar's subsidiary posted 27.3 billion won in sales, up 47.3% year-on-year due to strengthening market dominance of major products such as "Pepsi" and "Sting," an energy drink.

Lotte Chilsung Beverage said, "We will actively respond to global K-food demand and target local markets to increase brand awareness and secure competitiveness in advanced markets such as Europe and the United States," adding, "We are also continuously considering expanding the botling business to secure global future growth engines."


21 November, 2025

   
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