{"id":51367,"date":"2025-11-10T17:09:15","date_gmt":"2025-11-10T09:09:15","guid":{"rendered":"https:\/\/www.abesmoke.com\/?p=51367"},"modified":"2025-11-10T17:09:15","modified_gmt":"2025-11-10T09:09:15","slug":"ktgs-q3-2025-financial-report-shows-explosive-growth-net-profit-up-73-overseas-revenue-from-new-tobacco-products-doubles-further-expansion-of-its-global-nicotine-bag-strategy","status":"publish","type":"post","link":"https:\/\/www.abesmoke.com\/en\/a\/51367","title":{"rendered":"KT&#038;G's Q3 2025 financial report shows explosive growth: net profit up 73%, overseas revenue from new tobacco products doubles! Further expansion of its global nicotine bag strategy."},"content":{"rendered":"<p><span dir=\"auto\">On November 6, 2025, Korea Tobacco &amp; Food Co., Ltd. (KT&amp;G) released its financial results for the third quarter of 2025. The data showed that the company's core financial indicators improved across the board, with operating profit reaching a five-year high. The new tobacco products (NGP) business was particularly strong, with overseas revenue doubling. At the same time, the company launched a global expansion plan for nicotine bags, injecting strong momentum into future growth.<\/span><\/p>\n<h3><span dir=\"auto\">Key financial metrics: Multiple data points set records, demonstrating strong growth momentum.<\/span><\/h3>\n<p><span dir=\"auto\">KT&amp;G's overall performance this quarter exceeded market expectations, with significant increases in revenue, profit, and earnings per share.<\/span><\/p>\n<ul class=\"list-paddingleft-1\">\n<li>\n<section><span dir=\"auto\">Revenue reached 1.83 trillion won (approximately US$1.307 billion), an increase of 11.6% year-on-year;<\/span><\/section>\n<\/li>\n<li>\n<section><span dir=\"auto\">Operating profit was 465.3 billion won (approximately US$332 million), an increase of 11.4% year-on-year;<\/span><\/section>\n<\/li>\n<li>\n<section><span dir=\"auto\">Net profit surged 73.4% to 418.7 billion won (approximately US$299 million);<\/span><\/section>\n<\/li>\n<li>\n<section><span dir=\"auto\">Earnings per share (EPS) reached 3,898 won (approximately US$2.78), an increase of 81.7% year-on-year;<\/span><\/section>\n<\/li>\n<li>\n<section><span dir=\"auto\">Earnings before interest, taxes, depreciation and amortization (EBITDA) reached 540.5 billion won, up 12.3% year-on-year, with the profit margin remaining stable at 29.6%.<\/span><\/section>\n<\/li>\n<\/ul>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-51366\" src=\"https:\/\/www.abesmoke.com\/wp-content\/uploads\/2025\/11\/edb46013f4c01e4cdf1d9671bdeba246.png\" alt=\"\" width=\"1383\" height=\"745\" srcset=\"https:\/\/www.abesmoke.com\/wp-content\/uploads\/2025\/11\/edb46013f4c01e4cdf1d9671bdeba246.png 1383w, https:\/\/www.abesmoke.com\/wp-content\/uploads\/2025\/11\/edb46013f4c01e4cdf1d9671bdeba246-300x162.png 300w, https:\/\/www.abesmoke.com\/wp-content\/uploads\/2025\/11\/edb46013f4c01e4cdf1d9671bdeba246-1024x552.png 1024w, https:\/\/www.abesmoke.com\/wp-content\/uploads\/2025\/11\/edb46013f4c01e4cdf1d9671bdeba246-768x414.png 768w, https:\/\/www.abesmoke.com\/wp-content\/uploads\/2025\/11\/edb46013f4c01e4cdf1d9671bdeba246-18x10.png 18w\" sizes=\"auto, (max-width: 1383px) 100vw, 1383px\" \/><\/p>\n<h3><span dir=\"auto\"><span class=\"\" dir=\"auto\">Business Breakdown: Tobacco Business Becomes Core Engine, NGP Sees Explosive Growth Overseas<\/span><\/span><\/h3>\n<h4><span dir=\"auto\">1. Tobacco Business: Driven by a dual engine of international cigarettes and new tobacco products.<\/span><\/h4>\n<p><span dir=\"auto\">As the core business, the tobacco segment saw revenue increase by 17.6% to 1.232 trillion won this quarter, and operating profit increase by 11% to 371.8 billion won, becoming the main pillar of the group's growth.<\/span><\/p>\n<ul class=\"list-paddingleft-1\">\n<li>\n<section><span dir=\"auto\">Total sales volume increased by 9.6% year-on-year to 33.15 billion units, of which cigarette sales volume was 29.11 billion units (+9.2%) and new tobacco (NGP) sales volume was 4.04 billion units, maintaining steady growth.<\/span><\/section>\n<\/li>\n<li>\n<section><span dir=\"auto\">The international cigarette business performed exceptionally well, with revenue increasing by 30.6% year-on-year, setting a new quarterly record for both sales and revenue. The international market accounted for 62.3% of total sales.<\/span><\/section>\n<\/li>\n<li>\n<section><span dir=\"auto\">The South Korean domestic market maintained steady growth, with cigarette sales increasing by 3.5% to 10.69 billion cigarettes and market share rising by 1.5 percentage points to 68.9%, continuing to lead the domestic market.<\/span><\/section>\n<\/li>\n<\/ul>\n<h4><span dir=\"auto\">2. Novel Tobacco Products (NGP): Overseas revenue doubled, domestic revenue remained leading.<\/span><\/h4>\n<p><span dir=\"auto\">The NGP business was the biggest highlight this quarter, mainly due to the launch of the upgraded lil Solid device in Russia and the concentrated delivery of backlogged orders from the first half of the year\u00a0<\/span><span dir=\"auto\">,\u00a0<\/span><span data-pm-slice=\"0 0 []\"><span dir=\"auto\">driving a 13.3% year-on-year increase in cartridge sales.<\/span><\/span><\/p>\n<ul class=\"list-paddingleft-1\">\n<li>\n<section><span dir=\"auto\">Total revenue reached 279.1 billion won (approximately US$199 million), a significant increase from 193.2 billion won in the same period of the previous year;<\/span><\/section>\n<\/li>\n<li>\n<section><span dir=\"auto\">NGP's overseas performance was outstanding, with overseas revenue reaching 110.8 billion won (approximately US$0.79 billion), more than doubling year-on-year.<\/span><\/section>\n<\/li>\n<li>\n<section><span dir=\"auto\">With steady growth in the domestic market, NGP's revenue reached 168.3 billion won (approximately US$120 million), a year-on-year increase of 2%.<\/span><\/section>\n<\/li>\n<\/ul>\n<h4><span dir=\"auto\">Strategic Layout: Acquisitions + Expansion, Increasing Investment in the Global New Tobacco Market<\/span><\/h4>\n<p><span dir=\"auto\">The financial report also disclosed a major strategic move, indicating that KT&amp;G is accelerating its global expansion into new tobacco products:<\/span><\/p>\n<ul class=\"list-paddingleft-1\">\n<li>\n<section><span dir=\"auto\">A strategic partnership was formed with Altria\u00a0<\/span><span dir=\"auto\">to jointly acquire ASF, a Nordic nicotine bag manufacturer, laying the foundation for entering the nicotine bag market.<\/span><\/section>\n<\/li>\n<li>\n<section><span dir=\"auto\">The company has launched a global expansion plan\u00a0<\/span><span dir=\"auto\">, which aims to expand its nicotine bag business from the existing five Nordic markets to multiple regions including Europe, the Middle East, Africa, Asia, and North America starting in 2026, further increasing its global market share.<\/span><\/section>\n<\/li>\n<\/ul>\n<p><span dir=\"auto\">The strong performance of KT&amp;G's international cigarette business and the rapid expansion of its NGP business are the core driving forces. Despite challenges such as declining domestic demand for cigarettes in South Korea and intensified competition in the new tobacco market, the company is expected to continue to improve its valuation through overseas market expansion, product structure optimization, and strategic mergers and acquisitions.<\/span><\/p>","protected":false},"excerpt":{"rendered":"<p>On November 6, 2025, Korea Tobacco &amp; Food Co., Ltd. (KT&amp;G) released its financial results for the third quarter of 2025. The data showed that the company's core financial indicators i &hellip;<\/p>","protected":false},"author":2,"featured_media":51365,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false},"version":2}},"categories":[1],"tags":[],"class_list":["post-51367","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"jetpack_publicize_connections":[],"_links":{"self":[{"href":"https:\/\/www.abesmoke.com\/en\/wp-json\/wp\/v2\/posts\/51367","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.abesmoke.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.abesmoke.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.abesmoke.com\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.abesmoke.com\/en\/wp-json\/wp\/v2\/comments?post=51367"}],"version-history":[{"count":0,"href":"https:\/\/www.abesmoke.com\/en\/wp-json\/wp\/v2\/posts\/51367\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.abesmoke.com\/en\/wp-json\/wp\/v2\/media\/51365"}],"wp:attachment":[{"href":"https:\/\/www.abesmoke.com\/en\/wp-json\/wp\/v2\/media?parent=51367"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.abesmoke.com\/en\/wp-json\/wp\/v2\/categories?post=51367"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.abesmoke.com\/en\/wp-json\/wp\/v2\/tags?post=51367"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}