Shinsegae International: Q1 Operating Profit of 347 Billion Won — Up 452% Year on Year
Shinsegae International (031430) posted a sharp improvement in first-quarter results, buoyed by robust sales of global luxury brands.
According to a report published on the 15th by iM Securities, Shinsegae International recorded consolidated revenue of 295.6 billion won in the first quarter of 2025, a 15.7% increase year on year. Operating profit surged 452.6% to 34.7 billion won, exceeding the market consensus.
Segment Performance
By division, imported fashion revenue rose 35.2% year on year, driven by the strong performance of key brands including Brunello Cucinelli, Chrome Hearts, Rick Owens, UGG, and Herno. Imported cosmetics revenue also climbed 20.0%, reflecting expanding demand for niche fragrances and luxury beauty products.
Drivers of Improvement
The underlying improvement in results was supported by a broadening of high-end consumption as asset values rose. According to the Ministry of Trade, Industry and Energy, department-store sales of overseas luxury brands grew 31.0%, 22.6%, 21.7%, and 38.1% year on year in January through April respectively.
A favourable base effect also contributed, following the transfer of the JAJU lifestyle brand division to Shinsegae Causses in January 2026.
Full-Year 2026 Outlook
iM Securities forecasts full-year 2026 revenue of 1.2531 trillion won and operating profit of 56.3 billion won, representing a return to profitability from a loss of 11.5 billion won in the prior year.