KT&G Plans for Half of Sales to Come From Overseas by 2027
KT&G Corp. aims to generate more than half of its sales from overseas by 2027, the company told attendees at an investor event.<\/font><\/span><\/p>
The South Korean cigarette manufacturer targets sales of 1 trillion won (8.1 billion USD) by that year, while its estimated annual sales for 2022 are 590 billion won. Last year, about one-third of KT&G's sales likely came from overseas operations. <\/font><\/span><\/p>
In addition to focusing on combustible cigarette business, the company will also strengthen its next-generation products (NGP) business, including heated tobacco (HnB) products and health functional foods, KT&G Senior Executive Vice President Bang Kyung-man reported by Yonhap News Agency.<\/font><\/a>.<\/font><\/font><\/span><\/p>
“We will invest 400 billion won over the next five years to build new overseas production facilities and expand existing ones to meet the growing demand for NGPs like HnB products,” he said.<\/font><\/span><\/p>
Bang mentioned that the company is also considering building a new factory in Kazakhstan or Eastern Europe. He stated that to raise the necessary funds, the company plans to sell idle properties and borrow from banks. <\/font><\/font><\/span><\/p>
