[Edaily Reporter Shin Su-jeong] Key executives at Pulmuone have been purchasing company shares one after another. Amid growing expectations for a recovery in earnings, particularly in overseas operations and food services, this move is interpreted as an effort to demonstrate to the market their confidence in the company’s mid- to long-term growth potential and corporate value.

According to the Financial Supervisory Service’s electronic disclosure system on the 10th, Kim Jong-heon, Chief Financial Officer (CFO) of Pulmuone, purchased 1,902 shares of Pulmuone stock on the open market on the 5th. With this purchase, CFO Kim’s total shareholding increased from 4,098 shares to 6,000 shares.

Lee Dong-hoon, CEO of Pulmuone Food & Culture, also purchased a total of 900 new shares in two separate transactions: 800 shares on the 5th and 100 shares on the 8th. Consequently, the number of shares held by Nam Seung-woo, the largest shareholder, and his affiliates increased by 2,802 shares, from 31,446,060 to 31,448,862. Their ownership stake rose slightly from 66.97% to 66.98%.

This purchase was not a company-wide acquisition of treasury stock but was carried out based on the independent judgment of individual executives. However, the fact that the CFO, who oversees finance, and the CEO of a major subsidiary both purchased shares simultaneously is interpreted as a sign of internal confidence in the trend toward improved performance.

Pulmuone has recently continued its trend of revenue growth and improved profitability. Pulmuone’s consolidated revenue last year was 3.3802 trillion won, a 5.2% increase from the previous year. Operating profit was 93.2 billion won, up 1.5% year-over-year. Compared to 2023, revenue increased by 12.9% and operating profit by 50.3%.

The main drivers fueling expectations for a recovery in performance are overseas operations and food services. Pulmuone’s overseas food manufacturing and distribution segment revenue increased from 570.1 billion won in 2023 to 644.9 billion won in 2024 and reached 674.0 billion won last year. This represents an 18.2% increase over two years. However, the overseas food manufacturing and distribution division recorded an operating loss of 16.3 billion won last year, meaning it has not yet returned to profitability. This is why future improvements in profitability are considered a key variable in the revaluation of the company’s value.

Momentum in overseas operations is also taking shape. Pulmuone stated in its business report that it maintains the top market share in the U.S. tofu market, and its high-protein tofu products are showing double-digit growth rates. Its noodle meal kit products, produced locally in the U.S., have performed well in the club channel and are now expanding into the retail market. The company explained that its Chinese subsidiary secured new growth drivers last year and successfully shifted to a profitable trajectory.

The foodservice business also supports expectations for recovery. Sales in the foodservice and distribution sector, which includes Pulmuone Food & Culture, increased from 755.1 billion won in 2023 to 902.1 billion won in 2024 and reached 998.9 billion won last year. This represents a 32.3% increase over two years. Last year, the sector reported an operating profit of 35.4 billion won.

Whether shareholder returns will be expanded is also a matter of interest. Pulmuone stated that it recognizes enhancing shareholder value as a key management priority and is reviewing its shareholder return policy by comprehensively considering the business environment, financial situation, and investment plans. However, the company maintains that no specific decisions have been made regarding increased dividends or the repurchase and cancellation of treasury shares.

A Pulmuone official said, “This purchase was not made for a single specific business but was based on confidence in the mid- to long-term growth potential and corporate value of ‘One Pulmuone’ as a whole,” adding, “It can be seen as reflecting the management’s shared commitment to striving for the company’s sustainable growth and enhancement of corporate value.”