SEOUL, May 9 (Korea Bizwire) – CJ CheilJedang announced its first-quarter sales results on May 8. Its sales revenue slightly increased to 1.8 trillion won, a 0.3-percent rise from the same period of the previous year. However, its operating profit showed a 12.7-percent decrease to 98.8 billion won due to a slump in domestic consumption and a fall of selling price of lysine in the global market.
A company official said, “Amid the structurally unfavorable factors like the fall of lysine selling price, we minimized the deterioration of profitability through a business strategy innovation in every sector including food. We also kept the steady tone of growth in global businesses centered on biotic resources like fertilizers.”
By business sector, CJ’s food business showed a 0.4-percent increase in sales at 964.4 billion won. Also, its operating profit in the segment increased to 314.8 billion won, 25.8 percent rise from the same period of last year thanks to the innovation efforts reducing unnecessary marketing costs.
In the biotic resource sector, despite the reduced demand due to the outbreak of porcine epidemic diarrhea (PED) and foot-and-mouth disease in China, it kept growing trend marking 381.8 billion won of sales, a 6.2-percent increase year on year. The operating profit in the segment recorded 54.1 billion won or a 9.3-percent increase.
However, in the biotechnology sector including biotech and pharmaceutical business, it showed 4.3 percent decreased sales by earning 457 billion won during the first quarter this year.
IR News Team (irkorea@koreabizwire.com)
