South Korean food majors posted mixed results in the third quarter, with companies strong in overseas exports continuing to show marked growth while those dependent on the domestic market struggling to escape sluggish performance.

According to industry sources on Tuesday, companies that posted growth in third-quarter operating profit are Samyang Foods Co., Nongshim Co., Pulmuone Corp., Lotte Chilsung Beverage Co., Maeil Dairies Co., and Namyang Dairy Products.

Samyang Foods’ Buldak Hot Chicken Flavor Ramen. (Samyang Foods)

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Samyang Foods, in particular, saw a sharp rise in operating profit thanks to strong demand for its Buldak Hot Chicken Flavor Ramen.

The company posted third-quarter operating profit of 130.9 billion won, up 49.9 percent, on sales of 632 billion won, up 44 percent from the previous year.

The share of overseas sales in total revenue rose to 81 percent.

Nongshim’s “KPop Demon Hunters” special-edition ramyeon. (Nongshim)

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Nongshim also reported third-quarter revenue of 871.2 billion won, up 2.4 percent on year and operating profit of 54.4 billion won, up 44.7 percent.

The growth was attributed to recovering consumer sentiment and the effects of price hikes, leading to a rebound in sales of Shin Ramyun, Saewooggang shrimp flavored snack, and other flagship products.

Pulmuone’s third-quarter revenue increased by 6.6 percent year-on-year to 888.4 billion won, while operating profit rose 14.4 percent to 38.1 billion won.

Lotte Chilsung Beverage posted 538.4 billion won in third-quarter revenue for its beverage division, down 0.1 percent from a year ago, while operating profit rose 4.3 percent to 55.1 billion won.

A common thread among these companies is that they secured growth momentum through overseas exports.

Expanding exports of products such as ramyeon and beverages to major markets including the United States, Southeast Asia, and China helped lift their overall earnings.

Rising brand awareness and effective localization strategies also contributed to a boost in overseas business, sources said.

Companies focused on the domestic market, on the other hand, saw their third-quarter earnings worsen as they struggled to overcome sluggish consumption and rising costs.

(Lotte Wellfood)

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Lotte Wellfood Co. saw its third-quarter operating profit decline 8.9 percent year-on-year to 63.9 billion won. The drop was due to higher prices of raw materials such as cocoa and one-off costs related to voluntary retirement programs.

Ottogi Corp.’s third-quarter operating profit also fell 12.9 percent on year to 55.3 billion won due to rising cost pressures and increased promotional expenses amid intensifying market competition.

Binggrae Co. also suffered a decline in operating profit as costs rose due to increases in raw material prices and higher labor expenses stemming from a broader interpretation of ordinary wages.

Industry observers expect this trend to continue into the fourth quarter.

“Domestic consumption remains sluggish, and uncertainties surrounding raw-material costs are still significant due to the strong dollar-won exchange rate and U.S. tariff issues,” said an industry insider. “Without improvements in the cost structure, a short-term rebound is unlikely.”