Sales of Korean snack and confectionary maker Orion in China hit a record high of 1.3 trillion won ($1.07 billion) in 2015, a 14.8 percent increase from a year ago, the company said in a press release on Friday.
Few South Korean companies, including AmorePacific and E-Land, have reaped more than 1 trillion won in the world’s most populous market so far.
Net profit of the Chinese arm of Orion also jumped 23.3 percent on year to 200.4 billion won.
The business success in China lifted the entire performance of Orion last year. Revenue generated in China took about 56 percent of the company’s total revenue in 2015, which amounted to 2.4 trillion won.
Representative Orion food items (Orion)
Meanwhile, the snack maker, famous for its best-selling Choco Pie with marshmallow cream, was selected as the first Korean snack and confectionary company to sell goods to over 100 million Chinese households in 2015, ranking No. 20 in market research company Kantar Worldpanel’s “100 Million Family Club List,” which is made up of companies that have sold products to over 100 million Chinese households.
With 21 consumer goods companies selected for last year’s list, Orion was the first and only Korean company to appear on it with a penetration rate of 63.5 percent, reaching an estimated over 101 million households. This was an increase from the previous year’s penetration rate of 60.6 percent.
Orion’s representative food item “Oh! Gamja,” in particular, saw an increased double-digit growth rate and made more than 200 billion won in earnings last year in China.
By Lee Seo-young (email@example.com