The South Korean beauty giant said sales in the Americas increased to KRW524.6bn (USD 361.7m), driven by Laneige, Innisfree, Sulwhasoo, and the consolidation of COSRX.
Laneige in particular maintained its top position in the lip treatment category with its Lip Glowy Balm range and the Lip Treatment range.
Additionally, the brand’s Bouncy & Firm series also performed well in the US.
At the same time, Innisfree and Sulwhasoo posted growth by increasing store coverage with partners such as Sephora US, driving sales growth for its key products.
Laneige and Innisfree also posted record performances during the Black Friday and Cyber Monday shopping events, further contributing to the growth.
On the flip side, Greater China revenue decreased by 27% to KRW510bn (USD351.6m).
The firm attributed this decline to the downsizing of its inventories on major e-commerce channels, and its efforts to optimise its offline stores for each of its brands in bid to improve things in China.
Overall, Amorepacific revenue was up 5.7% to KRW3.9tn (USD2.69bn) and operating profit increased 103.8% to KRW220.5bn (USD152m).
Overseas business growth
Despite the decline in Greater China, Amorepacific’s overseas revenue recorded 21% growth to KRW1,678.9bn (USD1.16bn), highlighting the demand overseas for its brands.
Its Europe, Middle East, and Africa division reported 229% growth in sales driven by Laneige and COSRX.
The company said Laneige’s robust sales growth in EMEA was driven by its expansion into new channels such as Boots and ASOS, which helped to broaden its consumer base.
COSRX, which was integrated into Amorepacific from the second quarter of last year, was also a driving force as it expanded into new countries and retail channels.
The firm said COSRX has been significant in its overseas expansion ambitions.
The rest of Asia, not including China, Hong Kong, and Taiwan, reported revenue increase of 33%.to KRW473.9bn (USD326.7m).
This was driven by Amorepacific’s efforts to strengthen the competitiveness of key brands Sulwhasoo with the Concentrated Ginseng range and Laneige with Lip Treatment, Bouncy & Firm, and Cream Skin products.
Additionally, the firm has expanded its brands into new markets in Asia, including Aestura, Hera, and Illiyoon.
Lastly, the demand for COSRX further bolstered sales in Asia.
The company highlighted its successes in Japan, noting that it boosted sales by enhancing customer engagement through store expansions of Laneige, Aestura, and Hera, while also strengthening collaborative marketing with retail partners.
Domestic declines
Amorepacific reported a 2% decline to KRW2,157bn (USD1.48bn) in its home market.
Its luxury portfolio increased by 2% as travel retail continued to struggle.
The premium category declined by 8% as it faced stiff competition from a host of new brands in the segment.
Lastly, the daily beauty division, which include brands like Labo-H and Illiyoon, grew slightly by 0.8%.
