PER, EPS, PBR and BPS are calculated in-house from the last 4 quarters (2025Q3–2026Q2) · Dividend yield is based on ₩250 per share · Prices as of the 2026-10-02 close
Haitai Confectionery & Foods posted its fourth consecutive year of revenue growth in 2025 at KRW 641.4bn, but rising grain costs and the exchange rate pushed the operating margin down to 6.6%, prompting the company to lean on new product launches in the first half of 2026.
2025 revenue rose 1.9% to KRW 641.4bn, but operating profit fell 13.7% to KRW 42.3bn and owners' net income dropped 26.6% to KRW 23.3bn
The company turned from a net loss in 2022 to three straight years of profit, while the debt ratio steadily declined from 172.3% in 2022 to 129.5% in 2025
Among the latest four quarters (2025Q3-2026Q2), 2026Q1 was the strongest with operating profit of KRW 10.68bn, before easing to KRW 9.29bn in 2026Q2
The company has rolled out a new Honey Butter Chip lineup called 'Castle' along with a GS25-exclusive collaboration potato chip to extend its hit-brand franchise
Volatile international raw material prices, particularly cocoa, are cited as a key swing factor for second-half cost burden
Haitai Confectionery & Foods is a KOSPI-listed food company with a product portfolio spanning snacks, biscuits, pies, and candies. Its flagship brands include Honey Butter Chip, Homerun Ball, Oh Yes, and Matdongsan, with Honey Butter Chip, launched in 2014, remaining the company's core cash cow.
The company recently introduced 'Castle,' a new sibling lineup to the original Honey Butter Chip, as part of a brand-extension effort.
It has also partnered with convenience store chain GS25 to launch a cheese-butter potato chip exclusive to that channel, leveraging its Honey Butter Chip development know-how, reflecting a retailer-collaboration approach to new product development.
Domestically, the company competes with Lotte Wellfood, Orion, and Nongshim in the snack and confectionery market, and forms the 'Crown Haitai' group together with affiliate Crown Confectionery.
Overseas sales reached KRW 50.3bn in 2024, roughly 8.0% of total revenue, and the company relies mainly on domestic production for export rather than operating multiple overseas manufacturing subsidiaries as Orion and Lotte Wellfood do, which industry observers note has made its overseas expansion comparatively slower.
To address this, the company completed a snack-dedicated plant in Asan, South Chungcheong Province in 2024, positioning it as an export hub.
Some industry commentary notes that while product quality has been maintained, few new products with the same impact as Honey Butter Chip have emerged in the roughly ten years since its launch.
| Quarter | Revenue | Operating profit | Op. margin |
|---|---|---|---|
| 2025Q2 | ₩163.7B | ₩10.3B | 6.3% |
| 2025Q3 | ₩160.4B | ₩8.3B | 5.2% |
| 2025Q4 | ₩158.3B | ₩10.3B | 6.5% |
| 2026Q1 | ₩157.7B | ₩10.7B | 6.8% |
| 2026Q2 | ₩160.1B | ₩9.3B | 5.8% |
| Year | Revenue | Operating profit | Net income (parent) | Op. margin | ROE | Debt-to-equity |
|---|---|---|---|---|---|---|
| 2022 | ₩590.3B | ₩23.2B | -₩2.2B | 3.9% | −0.9% | 172.3% |
| 2023 | ₩624.9B | ₩45.7B | ₩21.6B | 7.3% | 8.1% | 155.3% |
| 2024 | ₩629.2B | ₩49.1B | ₩31.7B | 7.8% | 10.9% | 140.0% |
| 2025 | ₩641.4B | ₩42.3B | ₩23.3B | 6.6% | 7.5% | 129.5% |
Consolidated basis (financial statements including subsidiaries) · Final figures from DART filings · Net income attributable to owners of the parent · Data as of 2026-08-21
Annual revenue rose for four straight years, from KRW 590.3bn in 2022 to KRW 624.9bn in 2023, KRW 629.2bn in 2024, and KRW 641.4bn in 2025.
Profitability, however, moved in a different direction: operating profit climbed from KRW 23.2bn in 2022 to KRW 45.7bn in 2023 and KRW 49.1bn in 2024, before falling back to KRW 42.3bn in 2025.
The operating margin correspondingly slipped from 7.8% in 2024 to 6.6% in 2025, a decline attributed to sluggish domestic consumption and currency volatility alongside rising international grain prices that pressured gross and operating margins.
On the bottom line, owners' net income swung from a loss of KRW 2.2bn in 2022 to profits of KRW 21.6bn in 2023 and KRW 31.7bn in 2024, before easing to KRW 23.3bn in 2025.
Looking at the latest four quarters (2025Q3-2026Q2), operating profit moved from KRW 8.3bn in 2025Q3 to KRW 10.3bn in Q4 and KRW 10.7bn in 2026Q1, a gradual improvement, before pulling back to KRW 9.3bn in Q2.
Owners' net income showed similar quarter-to-quarter swings, rising from KRW 4.3bn in 2025Q2 to KRW 6.3bn in Q4 and KRW 6.7bn in 2026Q1, then falling back to KRW 4.5bn in Q2.
Operating cash flow declined from KRW 80.4bn in 2024 to KRW 53.0bn in 2025, while the debt ratio steadily improved from 172.3% in 2022 to 129.5% in 2025, pointing to a gradually strengthening balance sheet.
South Korea's confectionery market has shown relatively resilient growth in the snack category, particularly potato chips, buoyed by health-conscious consumption trends even as overall domestic spending remains sluggish.
Rival Orion's potato snack sales grew at a 9% average annual rate over the past three years, with 73% of that revenue coming from overseas, underscoring intense competition within the potato snack category.
By contrast, Haitai Confectionery & Foods relies mainly on a domestic-production-for-export model, which industry observers note has made its overseas expansion comparatively slower than Orion's or Lotte Wellfood's.
K-snack exports overall have trended favorably, rising 11.4% year-on-year to USD 354.0mn in the first half of this year. However, sharp swings in cocoa prices continue to pressure the industry's cost structure broadly, with international cocoa futures surging again in the second half of 2026 after a brief retreat.
Because of the time lag between raw material contracts and actual input costs, cost management is seen as a key swing factor for second-half earnings across peers such as Lotte Wellfood and Orion.
A persistently high won-dollar exchange rate is also cited as a factor compounding cost pressure for domestic confectionery makers that rely heavily on imported raw materials.
Haitai Confectionery & Foods continues to pursue a lineup-extension strategy centered on its existing hit brands in 2026.
Most notably, it introduced 'Castle,' the first sibling lineup since the original Honey Butter Chip's launch, applying a new potato-cutting technique with altered shape and thickness to attempt a premium positioning.
Its collaboration with GS25, which launched a cheese-butter potato chip exclusive to the convenience store chain on June 27, 2026, was designed around a retail trend in which cheese-flavored snack sales at GS25 rose 115.4% month-on-month, illustrating how joint product planning with retail partners has become one avenue for new product development.
The company has stated that its snack-dedicated plant in Asan, completed in 2024, is intended to serve as a hub for expanding future export volumes.
On the cost side, however, continued volatility in international cocoa prices and a persistently high exchange rate mean the securities industry is watching closely for the timing and magnitude of any cocoa cost relief flowing through to actual results.
How much and when the company passes rising costs through to product prices, versus absorbing them internally, could affect second-half margins.
Whether the new product lineup achieves an impact comparable to the original Honey Butter Chip, or remains more incremental in nature, is something that will need to be confirmed through future sales data.
Haitai Confectionery & Foods' shares currently trade at a level below its per-share net asset value, which places the stock toward the lower end of its multi-year trading band on a price-to-book basis.
On the earnings side, the company moved from a loss in 2022 through a recovery in 2023-2024 before profit growth moderated somewhat in 2025, and this multi-year earnings volatility is a factor that weighs on how the market applies valuation multiples.
On dividends, the company has a history of paying annual cash dividends, though the resulting yield has generally run below the sector average. Historically, the stock's earnings multiples have swung considerably across periods, consistent with its history of sensitivity to raw material and currency movements.
Ultimately, assessing valuation for this name requires weighing near-term earnings volatility alongside whether cost pressures ease going forward.
PER, EPS, PBR and BPS are all calculated in-house (the same method as Naver and Toss) · Dividend yield = cash dividend per share from DART filings (supplemented by KRX) ÷ current price · As of 2026-08-21
Since posting a net loss attributable to owners in 2022, the company has maintained three consecutive years of profitability, while its debt ratio steadily improved from 172.3% in 2022 to 129.5% in 2025. Operating cash flow has also remained positive every year, reflecting ongoing balance sheet improvement.
This trend suggests the company's underlying financial footing has gradually strengthened even amid near-term margin softness.
The launch of 'Castle,' a sibling lineup to Honey Butter Chip, and the GS25 collaboration product both illustrate a strategy of leveraging existing high-recognition brand equity for extension. Co-planned new products with retail partners lower development risk while allowing quicker responses to consumer trends.
Whether these new products can match the impact of the original Honey Butter Chip, however, remains to be confirmed through actual sales performance.
Domestic confectionery exports rose 11.4% year-on-year to USD 354.0mn in the first half of this year, reflecting growing overseas demand for K-snacks.
The company's overseas sales mix remains around 8%, lower than competitors like Orion, but it has stated plans to use its Asan plant, completed in 2024, as an export hub for expansion. If overseas demand growth continues, there is room to strengthen the company's export channel.
The 2025 operating margin fell to 6.6% from 7.8% in 2024, a decline attributed to rising international grain prices and currency volatility feeding into costs. Raw materials such as cocoa have again shown sharp swings recently, making cost pressure difficult to predict.
Because of the time lag between raw material contracts and actual input, any relief from falling prices can take several months to be reflected.
Industry experts note that in the roughly ten years since Honey Butter Chip's launch, few new products with comparable impact have emerged. Many recently launched products are seen as closer to renewals applying existing flavors or concepts rather than genuinely new positioning.
Some observers argue the company needs to strengthen its research and planning capabilities to respond to longer-term trends such as health and functional foods.
Operating profit over the latest four quarters has ranged between KRW 8.3bn and KRW 10.7bn, showing notable quarter-to-quarter variation.
The overseas sales mix remains around 8%, and industry observers view the pace of overseas expansion as comparatively slower than peers like Orion and Lotte Wellfood, which operate multiple overseas production subsidiaries.
The domestic-production-for-export model carries both logistics cost and currency exposure that could constrain the pace of overseas growth.
Sharp swings in international raw material prices such as cocoa and grains, combined with a persistently high exchange rate, could directly affect cost burden and results. The time lag between raw material contracts and actual input also makes it difficult to predict when price changes will be reflected. Passing cost increases through to product prices also carries the risk of dampening consumer demand.
Given industry commentary that no new product with impact comparable to Honey Butter Chip has emerged since its launch, there is a risk that lineup extensions may not contribute to revenue as much as hoped.
Competitors such as Orion and Lotte Wellfood are also actively launching new products in similar categories, which could intensify competition. Retail-collaboration products, such as those exclusive to convenience store chains, also carry a risk of increased dependence on specific distribution channels.
As health-conscious consumption trends spread, preferences for traditional snack and confectionery products could shift structurally over time. With an overseas sales mix lower than peers, the domestic-production-for-export model could constrain the pace of overseas growth. If domestic economic slowdown persists, this could also weigh on the pace of domestic revenue growth.
Check the 2026 third-quarter preliminary earnings release for cost burden trends and the revenue contribution of new products.
Monitor quarterly results to see whether and to what extent the cocoa cost relief anticipated by the securities industry actually materializes.
Track sales data for new products such as 'Castle' and the GS25 collaboration item to gauge their contribution to revenue growth.
Review the 2026 full-year confirmed earnings (annual business report) filing to reassess annual revenue and profit trends along with changes in the debt ratio.
Haitai Confectionery & Foods extended revenue growth for a fourth consecutive year through 2025 and maintained profitability for a third straight year while steadily improving its debt ratio, yet the 2025 operating margin slipped to 6.6% under the weight of rising international grain costs and currency pressure.
Results over the latest four quarters have ranged between KRW 8.3bn and KRW 10.7bn in operating profit, showing quarter-to-quarter volatility, with profit easing again in the second quarter of 2026.
The company is attempting to extend its existing hit-brand equity through initiatives such as the 'Castle' sibling lineup to Honey Butter Chip and a GS25 collaboration product, though industry commentary notes that few new products with comparable impact to Honey Butter Chip have emerged since its debut.
Volatility in raw materials such as cocoa and a persistently high exchange rate remain ongoing cost-structure burdens for the second half, and how quickly and to what extent this pressure eases is seen as the key variable shaping future margins.
The overseas sales mix, at around 8%, remains lower than peers, but the growth trend in K-snack exports and the company's plan to position its Asan plant as an export hub are factors worth monitoring over the medium to long term.
On balance, this is a period in which balance sheet improvement and brand-extension efforts are playing out alongside ongoing cost volatility as offsetting factors.
Report written 2026-09-05 · Data as of 2026-09-04
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