CJ Cheiljedang (097950) Q4 2025 earnings summary

Executive summary

• Q4 2025 sales excluding logistics rose 1.4% YoY to KRW 4.54T, driven by overseas food growth, but operating profit fell 15.8% YoY to KRW 181.3B due to Bio business weakness and holiday timing effects.

• Net loss of KRW 876B in Q4, mainly from non-operating losses and significant asset impairments; full-year net loss was KRW 657.9B.

• Including logistics, Q4 sales up 1% YoY to KRW 7.57T, operating profit down 9.2% YoY.

• Full-year 2025 sales (ex-logistics) down 0.6% YoY to KRW 17.75T; operating profit down 15.2% YoY to KRW 861.2B.

• Feed & Care business reflected as discontinued operations from Q4 2025.

Financial highlights

• Global Food sales grew, offsetting Bio sales decline; Global Food up 9% YoY in Q4.

• Bio sales fell 5% YoY in Q4 to KRW 1T; operating profit nearly flat at KRW 0.5B.

• Korea Food sales declined 4% YoY due to holiday timing; processed food down 5% YoY.

• CJ Logistics Q4 sales up 1% YoY to KRW 3.18T; operating profit up 3% YoY to KRW 159.6B.

• Gross margin for Q4 2025 declined to 26.4% from 27.7% YoY; EBITDA margin at 9.6%, down from 10.1% YoY.

Outlook and guidance

• 2026 sales (ex-logistics, ex-Feed & Care) projected to grow low single digits; OP margin to remain similar to prior year.

• Global Food expects continued growth in Americas, Japan, China, Europe, and Oceania, but inflation and FX to pressure costs.

• Bio business faces ongoing competition; expects gradual improvement via cost reduction and new demand.

• Q1 2026 guidance: low single-digit sales growth, with OP margin flat or slightly improved.

• Strategic focus on cash flow improvement, asset monetization, and cost optimization.