Seoul: Shares of Samyang Foods Inc., renowned for its globally popular Buldak spicy "ramyeon," surged 20 percent following the announcement of robust first-quarter earnings. As of 2:30 p.m., Samyang Foods' shares were trading at 1.19 million won (US$855), significantly outperforming the broader Korea Stock Price Index (KOSPI), which experienced a modest increase of 0.2 percent.
According to Yonhap News Agency, the company's strong performance was highlighted by a 49 percent year-on-year increase in net profit for the January-March period. Operating profit reached an all-time high of 133.99 billion won, marking a 67 percent increase compared to the previous year, while sales soared 37 percent to a record 529.01 billion won.
Samyang Foods derives over 80 percent of its total revenue from international markets. In the previous year, the company's exports exceeded the 1 trillion-won milestone for the first time, fueled by robust sales of the Buldak ramyeon series, particularly in the United States and China. This year, Samyang aims to surpass 1 trillion won in overseas sales by enhancing its production capacity.
The company currently operates three domestic plants and is set to complete a fourth in the first half of this year. Additionally, Samyang plans to initiate construction of its first overseas plant in China in July. The company already has business operations in China, Japan, Indonesia, the Netherlands, and the United States.
Approximately 1 billion units of Samyang's Buldak Bokkeummyeon, commonly known as "fire ramyeon," are sold annually across 100 countries. Since its introduction in 2012, cumulative sales of the hot chicken-flavored instant noodles have surpassed 7 billion units, generating more than 4 trillion won in revenue. The Buldak ramyeon gained widespread popularity after its intense spiciness led to a viral food-eating challenge in 2014.