[News Space=Reporter seungwon lee] Recently, APR and KT&G have been attracting investor attention on the KOSPI market, hitting record highs. Both companies share a commonality: strong earnings in the second quarter of 2025 and policies to enhance shareholder value, which have driven their stock price increases.

APL recorded consolidated sales of KRW 327.7 billion and operating profit of KRW 84.6 billion in the second quarter, representing growth rates of 111% and 202%, respectively, compared to the same period last year. The operating profit margin reached 25.8%, significantly exceeding market expectations for two consecutive quarters despite the industry's off-season, delivering an earnings surprise.

Cosmetics sales, in particular, tripled year-over-year, driving overall performance. Leading brands like Medicube established themselves as global brands through successful local pop-up stores and expanded sales channels in the US and European markets.

Cumulative sales for the first half of the year reached KRW 593.8 billion, and operating profit reached KRW 139.1 billion, representing increases of 95% and 149%, respectively, year-on-year. This represents a significant increase, surpassing last year's annual operating profit of KRW 122.7 billion in just six months. Furthermore, APL is actively pursuing shareholder value by implementing a shareholder return policy, including the cancellation of 613,400 treasury shares worth KRW 30 billion.

KT&G also recorded consolidated sales of KRW 1.5479 trillion and operating profit of KRW 349.8 billion in the second quarter, representing increases of 8.7% and 8.6% year-on-year, respectively, continuing its growth streak for three consecutive quarters. Cumulative sales for the first half of the year surpassed KRW 3 trillion for the first time. Notably, overseas cigarette sales increased by more than 30% year-on-year, setting a new quarterly record.

Key factors contributing to the improved performance include overseas market expansion, a portfolio restructuring focused on high-end products, and increased unit sales prices. KT&G is also strengthening its shareholder return policy through share repurchases and dividend increases, contributing to increased corporate value. The stock price surpassed 140,000 won in early August 2025, approaching its 52-week high, positively impacting investor sentiment.

The common thread behind the growth and soaring stock prices of these two companies is their rapid growth in overseas sales and active shareholder return policies.

APR has seen a surge in sales in the global cosmetics market, particularly in the US, Japan, and Europe. KT&G has also seen steady increases in overseas cigarette sales and revenue, resulting in five consecutive quarters of strong performance. Regarding shareholder returns, APR is actively enhancing shareholder value through large-scale treasury stock cancellations and cash dividends. KT&G, meanwhile, maintains a dividend payout ratio of over 40% and is expanding dividends and repurchasing treasury shares.

In this way, APL and KT&G have solidified their unrivaled positions in the beauty tech and tobacco industries, respectively, based on the twin pillars of performance growth and shareholder return, earning high valuations from investors. Going forward, they are expected to focus on expanding their global markets and enhancing shareholder value, thereby enhancing their potential for sustained growth.

A securities industry insider commented, "As shown in the analysis of APL and KT&G's performance and stock prices for the second quarter of 2025, the two companies' high-speed performance demonstrates that overseas market expansion and active shareholder return policies are successful strategies in the current market, which have a positive impact on stock prices."