[Edaily Reporter SHIN MIN JOON ] AEKYUNG INDUSTRIAL(018250), which was acquired by T. K. CORPORATION earlier this year, is accelerating the expansion of its beauty (cosmetics) business. The company aims to increase the share of its cosmetics business in total revenue to over 50% by 2028. The plan is to cultivate the beauty business as a core pillar of mid- to long-term growth, building on the stable foundation of its household goods business.

This strategy aligns with T. K. CORPORATION’s restructuring efforts to broaden its business scope from business-to-business (B2B) to business-to-consumer (B2C). AEKYUNG INDUSTRIAL is playing a key role in expanding the group’s B2C business by leveraging its capabilities in the cosmetics and household goods sectors.

According to the retail industry on the 19th, AEKYUNG INDUSTRIAL is conducting a large-scale outdoor advertising campaign for its “skin-first” makeup brand, Age20’s, in major commercial districts such as Gangnam and Hongdae in Seoul through the 30th. The campaign focuses on placing ads along consumers’ main daily routes to increase exposure to new products during commutes and shopping trips and to convey the brand’s message.

Previously, in August, the company appointed Ray, a member of the idol group IVE, as the global ambassador for Age20’s. Last month, the company launched a new product that combines primer and foundation using the brand’s proprietary technology, aiming to strengthen the product’s competitiveness.

AEKYUNG INDUSTRIAL’s strategy for expanding its beauty business centers on strengthening its brand portfolio, which spans from skincare to makeup. The company is expanding its product lines and sales channels centered on four brands: the skincare brands Signiq and ONE THING, and the makeup brands AGE20’S and LUNA.

In the skincare sector, the company is focusing on introducing products that address various skin concerns and consumer demands, while broadening its consumer reach both domestically and internationally. In particular, Signiq has been building a sales base in the U.S. since its initial launch. Following Amazon, the brand is expanding its sales channels to TikTok Shop and is intensifying its efforts to penetrate the local market.

Signic’s sales during last year’s Amazon Black Friday event increased by approximately 376% compared to the same period the previous year. The cumulative number of views for its TikTok content also surpassed 16 million. While solidifying its growth foundation centered on the U.S. market, the company is also expanding its consumer reach in South Korea and China.

Signic’s key technological differentiator is AEKYUNG INDUSTRIAL’s proprietary ingredient delivery system, “Deeposome.” According to AEKYUNG INDUSTRIAL, Deeposome is a technology designed to encapsulate active ingredients and deliver them to the skin, focusing on enhancing the delivery of essential nutrients to the skin.

An AEKYUNG INDUSTRIAL official explained, “Channel strategies tailored to the distribution environments of each market and brand communication utilizing digital platforms have played a key role in laying the foundation for Signic’s growth.”

In the makeup segment, the company is expanding its product lineup based on flagship products such as Age20’s Essence Compact and Luna’s concealer. The strategy is to enhance the competitiveness of core products while securing new consumer segments. The company also plans to reduce its reliance on specific products or categories through product and marketing strategies that reflect each brand’s strengths and the characteristics of the target markets.

The beauty business’s share of total revenue has also increased. In the first half of this year, AEKYUNG INDUSTRIAL’s cosmetics revenue reached 127.2 billion won, accounting for approximately 36% of its total revenue of 353.0 billion won. This is 3.2 percentage points higher than last year’s annual cosmetics revenue share of 32.8%. AEKYUNG INDUSTRIAL plans to enhance product competitiveness by reflecting consumer feedback and market characteristics, while strengthening brand awareness and sales foundations in key markets.

This expansion of the beauty business is closely linked to T. K. CORPORATION’s business restructuring. As T. K. CORPORATION seeks to transform its business model from B2B to B2C, it is cultivating the beauty business as a key growth engine. The recent acquisition of DongsungPharmaceutical(002210) is also seen as a strategic move to enhance synergies with the beauty business. Analysts suggest that combining AEKYUNG INDUSTRIAL’s beauty business capabilities with pharmaceutical technology and distribution networks will enable the company to expand its business scope into the dermocosmetics market.

An AEKYUNG INDUSTRIAL official stated, “The beauty business is a core business sector that will drive AEKYUNG INDUSTRIAL’s mid- to long-term growth,” adding, “Our goal is to establish a sustainable growth structure by enhancing the growth potential of the beauty business while maintaining a stable foundation in the household goods business.”